SPRING BUDGET 2023
Highlights from Chancellor Jeremy Hunt’s first Budget – 15 March 2023
- Childcare to expand 30 hours free childcare for children over the age of nine months.
- Measures to ease cost-of-living burden will help more than halve inflation, with extension of Energy Price Guarantee and duties on fuel and a pub pint both frozen.
- Major set of reforms to support people into work, removing barriers that stop those on benefits, older workers, and those with health conditions who want to work from working.
- Inflation falling, debt down and growth up in Chancellor’s Spring Budget for Growth that delivers upon the Prime Minister’s economic priorities.
Aimed at achieving long-term, sustainable economic growth that delivers prosperity for the people of the United Kingdom, the Spring Budget breaks down barriers to work, unshackles business investment and tackles labour shortages head on.
Chancellor of the Exchequer, Jeremy Hunt said:
“Our plan is working – inflation falling, debt down and a growing economy.
“Britain is on a lasting path to growth with a revolution in childcare support, the biggest ever employment package and the best investment incentives in Europe.”
The Chancellor went on to set out plans to continue to support households with cost-of-living pressures including keeping the Energy Price Guarantee at £2,500 for the next three months.
To help household budgets further, the planned 11 pence rise in fuel duty will be cancelled, maintaining last year’s 5p cut for another twelve months, saving a typical driver another £100 on top of the £100 saved so far since last year’s cut.
The generosity of Draught Relief has also been significantly extended from 5% to 9.2%, so that the duty on an average draught pint of beer served in a pub both does not increase from August and will be up to 11 pence lower than the duty in supermarkets.
- 30 hours of free childcare for every child over the age of 9 months with working parents by September 2025, where eligibility will match the existing 3-4 year-old 30 hours offer.
- This will be introduced in phases, with 15 hours of free childcare for working parents of 2-year-olds coming into effect in April 2024 and 15 hours of free childcare for working parents of 9 months – 3 years old in September 2024.
- Schools and local authorities will be funded to increase the supply of wraparound care, so that parents of school age children can drop their children off between 8am and 6pm – tackling the barriers to working caused by limited availability of wraparound care.