Fiscal Policy in the UK

With public finances already being strained, what does that mean for near and long term fiscal policy in the UK? We basically think it means that fiscal policy needs to turn from a support of all for growth over COVID and during the energy crisis into a drag as debt has risen. And so our estimates here are that fiscal policy is already deducting from growth this year to the tune of about half a percentage point. Then we think the drag will go up in 2024 to a bit more than 1 percentage point. Now, of course, there is uncertainty around the fiscal outlook; we also have an election and so on. But we do think bottom line here is that fiscal Policy is turning from a