IMF says it is not recommending faster UK fiscal consolidation
EWU•The IMF is not recommending that the UK accelerate fiscal consolidation, fiscal affairs director Rodrigo Valdes said. The UK ran a budget deficit of 4.4% of GDP last year and aims to balance day-to-day spending with tax revenue by the 2029/30 financial year.
1. IMF recommendation
“Our recommendation is ‘stay the course’. We are not saying ‘accelerate the pace of consolidation’,” IMF fiscal affairs director Rodrigo Valdes said during IMF-World Bank meetings in Bangkok. The UK government ran a budget deficit of 4.4% of GDP last year and aims to balance day-to-day spending with tax revenue by the 2029/30 financial year, though previous governments regularly failed to meet similar goals.
