Household finances not set to return to pre-COVID levels until 2023

04 Nov 2021

The Office for Budget Responsibility (OBR) has warned that household finances are not set to return to their pre-COVID levels until 2023.

In a hearing with MPs, Charlie Bean, a board member for the OBR, stated that incomes are not set to return to their 2019 levels for at least two years.

He said: 'We don't have real household disposable income getting above pre-pandemic levels until the back end of 2023, and it's growing at a pretty mediocre rate from then on.'

Richard Hughes, Chair of the OBR, informed MPs that Chancellor Rishi Sunak may 'struggle to meet his targets of reducing debt and balancing the budget deficit in three years'.

The OBR recently published its forecast alongside the Autumn Budget. The forecast showed that inflation will adversely affect household incomes over the next two years.

xero quickbooks.png sage.png kashflow.png

© 2022 Mark J Rees LLP. All rights reserved.

We use cookies on this website, you can find more information about cookies here.
Contact Us

Please call:
0116 2549018

Mark J Rees LLP, Granville Hall, Granville Road, Leicester, Leicestershire LE1 7RU

Mark J Rees LLP is a Limited Liability Partnership Registered in England & Wales Number OC362074. A list of members’ names is available at the business address. MJR, Mark J Rees and MJR Wealth Management are trading styles of Mark J Rees LLP which is registered to carry on audit work in the UK by the Institute of Chartered Accountants in England and Wales and authorised and regulated by the Financial Conduct Authority.

‘Partner’ refers to a director of a corporate member.