Chancellor pledges cash for businesses and parents, and says UK will avoid recession this year
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Jeremy Hunt has said he is “proving the doubters wrong” as he used a stronger than expected economic performance to help fund new tax breaks for business investment and a drive to get people back into the workforce.
Setting out £22bn of higher spending and tax breaks in the next financial year, the chancellor said the British economy would avoid a technical recession in 2023 with inflation falling by half. However, the economy is still expected to shrink this year.
Thirty hours of free childcare for children of working parents aged nine months and over from 2025.
Increasing the tax-free allowance for pensions from £40,000 to £60,000 a year as well as abolishing the tax-free cap.
Abolishing the work capability assessment, allowing those with health problems to seek work without losing benefits.
However, sanctions for those seeking work will be tightened, including those working less than 18 hours a week.