The Government have pre-announced several measures, designed to help stimulate the economy. This is in response to calls for a credible growth strategy in the face of a grim economic outlook.
So, what’s already been announced?
Britain’s Infrastructure –
The Treasury have announced plans for a £30bn boost toBritain’s infrastructure. Over this parliament and the next, the Government is expected to provide two £5bn tranches of funding. The aim is that the scheme will attract investment from pension funds andChinato make up the shortfall.
Credit Easing –
One of the most important elements of the Coalition’s growth strategy is a credit easing scheme; designed to give small companies easier access to £20bn of funding. More details will be revealed today, but it is thought that the Government could underwrite the cost of British banks’ borrowing in order to fund those loans. The scheme could be doubled over time to £40bn of loans.
Tackling the Employment problem –
In a bid to getBritain’s young working, the Deputy Prime Minister Nick Clegg announced a £1bn plan to create subsidised work and training placements. Under this scheme, the Government would pay up to 160,000 subsidies worth £2,275 to employers who take on 18-24 year olds.
Britain’s housing market –
The Government are planning to guarantee up to 100,000 95pc loan-to-value mortgages for first-time buyers. The Government has also pledged £400m of support for house builders.
Further Updates –
The Chancellor could take the opportunity to update parliament on a number of policies in the pipeline, including rules on controlled foreign companies, and the proposed Statutory Residence Test.
What are your thoughts? – What would you like to see the Government announce? Leave a comment below with your thoughts.