This is the second Budget this year – the first was held, pre the general election, on 8 March – and it will cover the government’s plans for the economy going forward.
This will be the last time there are two fiscal events in a year. In the Autumn Statement last year, Hammond announced that he was changing the system so that from 2018 there will only be one Budget each year.
In the future there will be a Spring Statement which will respond to the updated Office for Budget Responsibility forecast for the economy and the public finances. It will give the government the opportunity to consider longer-term fiscal challenges and start consultations on how they can be addressed.
Hammond added that the government would retain the option to make changes to fiscal policy at the Spring Statement if the economic circumstances require it.
In the Autumn, the chancellor will present his Autumn Budget. The rationale behind the move is that tax changes will be announced well in advance of the start of the tax year on 6 April in the following year.