§ Mr. Matthew TaylorTo ask the Chancellor of the Exchequer what assessment he has made of the change in growth rate over each of the next three years as a result of the measures contained in the Budget. [36593]
§ Mr. Geoffrey RobinsonThe Budget takes a broadly neutral fiscal stance. Consequently, there will be very little impact on growth in the short term. In the medium term, measures taken to address structural weaknesses in the economy, including the changes made to help work pay and promote enterprise, should increase the growth potential of the economy. This should allow faster growth and higher levels of employment in the future, consistent with meeting the inflation target.
The ranges included in the Treasury's forecast of GDP growth for the next three years, published in the FSBR, reflect the potential impact of improved labour market performance on the economy.