In the document prepared by the Office of British Budget Responsibility (OBR, for its acronym in English) it is noted that the agency, responsible for making economic forecasts, still has a "significant basis to predict the post-Brexit relationship between the United Kingdom and the European Union. "
Despite the uncertainty, the Executive of Theresa May has raised the growth forecast in all the proposed horizons, except for 2018, where it has lowered to 1.3%, from the previous 1.5%, the growth estimate.
Thus, for 2019 London expects the economy to grow 1.6%, compared to 1.3% previously. By 2020, growth will slow down to 1.4%, from the 1.3% expected in March. While in 2021, 2022 and 2023 the growth will be one tenth higher than the previous estimate, up to 1.4%, 1.5% and 1.6%, respectively.
In the same way, the OBR assures that the exit of the community block has caused that in certain sectors they postpone or cancel several investment projects in the British archipelago.
With respect to the deficit, Theresa May's Executive has improved its forecasts with respect to the March estimate. Thus, for the current fiscal year, which began in April, the Government anticipates that the deficit will reach 1.2% of GDP, compared to the previous 1.8%. In net terms, London expects the deficit to reach 25,500 million pounds (28,665 million euros), compared to 37,100 million pounds (41,706 million euros) previously forecast.
For the fiscal year started in April 2019, just the first month in which the United Kingdom will be a non-EU country, the British Government expects the deficit to reach 1.4%, compared to 1.6% previously. For the next three years, the City Government has reduced the deficit by one tenth, to 1.2%, 1% and 0.9% of GDP, respectively.