The Chancellor says the Government will run a £10bn surplus by 2019/20.
Osborne forecasted a surplus of 0.4 per cent of GDP in 2019/20, followed by a surplus of £11.6bn, equivalent to 0.5 per cent of GDP, in 2020/21. The deficit is forecast to be 3.7 per cent in 2015/16, before falling to 2.2 per cent in 2016/17 and 1.2 per cent in 2017/18. In 2018/19 the deficit is expected to fall to 0.3 per cent.
The OBR has revised down its forecast for GDP growth for this year, from 2.5 per cent to 2.4 per cent. It forecasts growth of 2.3 per cent in 2016 and revised up forecasts for both 2017 and 2018 to 2.4 per cent.