British finance minister Jeremy Hunt in a speech on Friday will prioritize halving inflation in the UK, sticking to his previous plan, the Telegraph reported on Thursday.
Hunt plans to reject calls from some Tory MPs to bring forward tax cuts, while adding that tough decisions on public spending will be required, the report said.
He intends to use Friday’s speech to counter talk of Britain’s economic decline and focus on growth industries, including digital technology and the shift to new, high value industries such as renewable power and advanced manufacturing.
“Confidence in the future starts with honesty about the present, and we should not shy away from the biggest challenge we face which is our poor productivity,” Hunt was due to say in the speech, excerpts of which were released by the ministry.
“Our plan for long-term prosperity tackles that challenge head on. It is a plan necessitated, energised and made possible by Brexit which will succeed if it becomes a catalyst for the bold choices we need to take.”
Hunt would confirm that reforms to the European Union’s Solvency II rules will be implemented in the coming months, allowing insurers to invest more in the economy, the ministry said.
The Telegraph newspaper said Hunt would reject calls from some Conservative lawmakers to bring forward tax cuts as a way to spur growth.
Earlier on Thursday, Hunt told fellow ministers that he had to stick to the fiscal discipline he outlined in November in order to help reduce inflation which is running above 10%, according to Prime Minister Rishi Sunak’s office.
(Reuters)
