The British budget mixes sensible tinkering and fiscal fantasy

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The British budget mixes sensible tinkering and fiscal fantasy
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Both the Tories and Labour are making promises they cannot keep

budget is meant to provide the incumbent party with a springboard to the campaign. Jeremy Hunt, Britain’s chancellor of the exchequer, whoby 20 points in the polls. Voters reckon Labour is the better party at managing the economy . According to Ipsos,has a personal approval rating of -54, the worst recorded for a prime minister since Sir John Major in 1994. Mr Hunt trails Rachel Reeves, the shadow chancellor, by 15 points.That left Mr Hunt facing a difficult choice.

But his remaining headroom, of just £8.9bn, is a make-believe kind of cushion: chancellors since 2010 have averaged £26bn. The revenue-raisers mostly take effect well after the spending they are meant to offset. In 2024-25, for instance, the budget’s tax-cutting measures will cost £14bn but the tax-raising measures will raise only £0.4bn.

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