Truss and Kwarteng to refuse to release OBR forecasts for six weeks
Liz Truss and Kwasi Kwarteng will refuse to release forecasts from the Office for Budget Responsibility (OBR) until more than six weeks after receiving them, despite calls for them to be published as soon as possible.
The prime minister and chancellor said they would only publish the independent forecasts on 23 November alongside a fiscal statement, despite them being ready on 7 October.
The pair met Richard Hughes, the chief executive of the OBR, on Friday after a week of turmoil in the markets in response to Kwarteng’s mini-budget promising tax cuts funded by borrowing, without any accompanying independent growth forecasts.
After the mini-budget the pound plunged, mortgage rates soared and the Bank of England had to stage an emergency £65bn intervention to bail out pension funds.
Truss and Kwarteng have been facing calls from the Treasury select committee to allow the OBR to release forecasts earlier to reassure the markets, public and parliament that their plan will lead to higher growth. However, they appear to be holding firm against that idea. The pound, which hit a one-week high of $1.1235 at 10am on Friday, has dipped back into negative territory against the dollar. It is trading 0.1% lower at $1.1101.
The Treasury said Truss, Kwarteng and Hughes had “discussed the process for the upcoming economic and fiscal forecast, which will be published on 23 November, and the economic and fiscal outlook”.
“They agreed, as is usual, to work closely together throughout the forecast process and beyond,” it said. “The prime minister and chancellor reaffirmed their commitment to the independent OBR and made clear that they value its scrutiny.”
Following the meeting, the OBR confirmed its forecast would be ready to deliver to the
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