He announced the OBR has revised its 2014 figures for UK GDP from a previous estimate of 2.7%, announced in March, up to 3%.
The GDP forecast for 2015 was increased slightly to 2.4% from the 2.3% announced in March. Despite this, however, for 2016 the forecast was revised down from 2.6 to 2.2%, before rising again to 2.4% in 2017. By 2018/19 the economy is forecast to grow at 2.3%.
Osborne said:
“The warning lights are flashing over the global economy. The OBR has revised down its forecasts for global growth and says the slowdown will be particularly acute in export markets such as Europe."
"Today, the British economy is forecast to grow by 3%. Over the last year we have grown 2 1/2 times faster than Germany; over 3 times faster than the Eurozone; and over 7 times faster than France.
"Growth in the UK next year is forecast a little higher at 2.4%, with quarterly growth moderating as it returns to trend. Then 2.2% in 2016, 2.4% the year after, then 2.3% in 2018 and 2019. And the growth we are now seeing is more balanced."
