Britain's Chancellor of the exchequer, Philip Hammond, insists that if the government and the European Union reach an agreement to leave Europe, Britain is expected to end its long-standing spending crunch. His remarks cast pressure on the feuding Conservative Party, which demanded support for Prime Minister Teresa May.
In his annual budget speech, Hammond sought to change the wording of taxes and spending 10 years after the financial crisis, announcing tax cuts for households and easing welfare cuts for poor working families.
He also announced new sales taxes on big technology companies like Google (GOOGL.O), Facebook (FB.O) and Amazon (AMZN.O).
Britain is leaving the EU in five months, and in the latest budget, Hammond is trying to help Teresa May overcome intra-party resistance and determine what kind of relationship Britain should have with the EU after her departure. Nearly half of Britain's exports go to the European Union.
"When we reach an agreement with the EU, I'm confident they will; I expect the Deal Dividend to give us more financial support," Hammond told parliament.
"The hard work of the British people is bringing rewards. The knot ends. "
The British economy has slowed down since its referendum in 2016, but it is not as serious as many analysts are concerned about.
Despite unexpectedly strong tax revenues and a rise in economic growth, Hammond announced that demand for borrowing in the UK will now fall only slightly by 2025.
Hot Model No.: