United Kingdom finance chief stresses spending discipline as Brexit lies ahead

The change, which is supposed to take place every five years, was controversially delayed by the government for two years in 2015. It is, of course, also going to be the last Budget of its type – the Autumn Statement and the Spring Budget will, henceforth, swap positions.

Hammond, who announces his first full Budget on Wednesday (8 March), said he did not expect that to be the outcome and predicted a comprehensive deal would be struck.

Mr Hammond also rejected shadow chancellor John McDonnell’s calls for him to publish his tax returns, saying: “My tax affairs are all perfectly regular and up-to-date”.

“As we leave the European Union, we must forge our way in an ever more competitive world”.

Since then, it has permitted councils to raise more money through extra council tax levy but that has failed to satisfy its critics. These changes will come into effect in April.

Always a highly anticipated event, this Budget will also have increased importance.

Potential support for firms that will be affected by substantial hikes in business rates later this year.

“As well as making it easier for family businesses to be transferred between generations, the Government should ensure that the tax system encourages succession planning”.

It is Mr Hammond’s first full budget – he was made Chancellor of the Exchequer in July a year ago – and it is not expected that he will make any dramatic changes.

“This will help protect hundreds of small businesses now left out in the cold”.

The North East England Chamber of Commerce has set out its hopes for tomorrow’s Budget.

“Over the previous year, insurers have seen a host of new and unexpected costs as a result of policies such as upping the Insurance Premium Tax and drastically reducing the Ogden discount rate, resulting in higher compensation costs for insurers”, Smart noted.

“This undermines business investment, which in 2016, fell for the first time in seven years”.

Speaking yesterday the Chancellor said that he would take a prudent approach to spending in Wednesday’s Budget to ensure that the United Kingdom has “enough in the tank” to manage the Brexit process of leaving the European Union.

Among stocks, Admiral’s results, as with Direct Line on Tuesday, will be dominated by the impact and consequences of the recent change in the discount rate on personal injury claims, which the company has already said it expects to reduce FY16 results by £70-100m.

The Chancellor has hinted that there would be more than £1bn for social care, which is likely to be funded using tax increases rather than an increase in borrowing.

Tom Salmon, co-founder of tech innovation consultancy The Bakery, agreed: “I think the biggest thing at the moment for entrepreneurs and small businesses is the rates increase and I think the expectation is that something will be done about this”.