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The UK responds to lower productivity growth and a more difficult global economy by: in 2020-21.The government’s first duty to the next generation is to put the public finances on a sustainable footing.Headline measures include: These economies face a number of risks.As China rebalances towards domestic consumption, the emerging markets whose exports are geared to China’s previous manufacturing and investment-led growth are suffering.These concerns about growth prospects have been reflected in financial market volatility since the turn of the year.Global stock markets had their worst six-week start to the year for more than 45 years, with over trillion wiped off world markets.

The Budget drives forward the devolution revolution, giving local areas further control over the decisions that affect their communities.And after a decade of cheap debt, emerging markets are facing tighter credit conditions.Over 5 billion in capital flowed out of emerging markets last year.The speed and intensity of the falls in commodity prices in the last 18 months have increased financial stress and worsened the economic outlook for commodity exporters like Brazil, Russia and many countries in the Middle East.The combination of lower global growth and cheaper oil has meant inflation has fallen across advanced economies, with every major central bank revising down its inflation forecast.

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