UK To Unveil Spending Plans In Face Of Surging Debt

Britain's government on Wednesday announces its spending plans for the next year amid soaring debt to support the virus-ravaged economy and as the nation embarks on its post-Brexit future

London, (UrduPoint / Pakistan Point News - 25th Nov, 2020 ) :Britain's government on Wednesday announces its spending plans for the next year amid soaring debt to support the virus-ravaged economy and as the nation embarks on its post-Brexit future.

Finance minister Rishi Sunak will address parliament from around 1230 GMT, with one week to go until England ends a second lockdown aimed at curbing a fresh wave of coronavirus infections.

Sunak will outline departments' budgets for 2021/2022, with Britain yet to strike a post-Brexit trade deal with the European Union ahead of a transition period ending December 31.

Speculation is growing that with UK debt soaring, Prime Minister Boris Johnson's Conservative government will either cut or suspend Britain's commitment to spend 0.7 percent of national income on foreign aid.

Ahead of his spending statement, Sunak said his "number one priority is to protect jobs and livelihoods across the UK.

"This spending review will ensure hundreds of thousands of jobs are supported and protected in the acute phase of this crisis and beyond with a multi-billion (pound) package of investment to ensure that no-one is left without hope or opportunity," the chancellor of the exchequer added.

Having already splashed billions of Pounds on a furlough jobs scheme to keep millions of British workers in their jobs during the pandemic, Sunak is expected to launch a three-year jobs programme to help over a million unemployed.

But Sunak is not expected to give pay rises to public sector workers such as nurses and teachers who have played key roles during the Covid-19 outbreak.

Outside of pay rises, the National Health Service will receive a boost totalling �3.0 billion ($3.9 billion, 3.3 billion Euros), the Treasury has already revealed.

The military meanwhile is to receive extra spending of �16.5 billion over four years, the biggest such investment since the end of the Cold War, as Britain positions itself for its post-EU future.