Back in the black by 2027

BRITAIN will be back in the black sooner than expected as the tax take reaches its highest level since the 1980s, the fiscal watchdog predicted.

Robert Chote, chairman of the Office for Budget Responsibility, said the Government would finally balance the books in 2027-28 – three years sooner than he thought in November. He warned that Philip Hammond is still likely to miss his target of eliminating the deficit by 2025 despite rising tax receipts.

But the OBR said the ‘current budget’ – which includes dayto-day spending such as running schools and hospitals but not one-off capital costs such as building them – will be in surplus next year.