There is a speech which George Osborne hoped to deliver today which will have to remain in the Treasury drawer for a few years yet. It is the one where the Chancellor declares that the deficit has been eliminated and the government is raising more in tax than it spends. In 2010 Mr Osborne confidently declared that he would balance the books by 2014-15, but today he was forced admit that borrowing remains stubbornly high and balancing the books is still a long way off. In June 2010, the Office for Budget for Responsibility predicted that in 2014-15 borrowing would fall to just £37billion, but it has remained high at around £100billion and is not expected to return a surplus until 2018-19 . In 2010 George Osborne remained confident that borrowing would fall sharply, but in 2011 and 2012 a deterioration in the economic picture meant the prospect of balancing the books slipped further into the future . In 2010, the Office for Budget Responsibility predicted that borrowing would be just £37billion in 2014-15. Instead it will be £91.3billion, which is still £5billion higher than the OBR predicted in March this year. While there are record numbers of people in work, many are in low paid jobs. These workers have benefitted most from the coalition policy of not paying income on the first £10,000 of earnings. But it means the Treasury is raising less than expected from taxes to offset spending. Four years ago in June 2010 Mr Osborne boasted that he would have 'eliminated' the deficit by 2014-15. 'We have set the course for a balanced budget and falling national debt by the end of this Parliament,' he predicted in the Coalition's emergency budget. Instead borrowing has remained stubbornly high, and barely changed in the last 12 months. Revealing that the deficit has been halved over this Parliament, Mr Osborne said the OBR now forecasts the deficit will fall slightly from £97.5 billion last year to £91.3 billion this year - rather than the £86.4billion previously expected. Mr Osborne will boast that the economy is now growing strongly, and faster than most other countries. But its has failed to keep pace with the predictions made in 2010 . National debt as a proportion of the economy (GDP) was supposed to start falling in 2013-14, but has instead been rising and is not expected to peak until next year . Borrowing for 2015-16 is expected to fall to £75.9 billion, worse than the £68.3 billion previously expected. But the outlook for 2016-17 of a £40.9 billion shortfall is better than the £41.5billion previously set out. For 2017-18 expected borrowing is likely to be £14.5billion, an improvement on the previously pencilled-in £15.8 billion. Mr Osborne told MPs that by 2019-20 the UK will be spending £23billion less than it raises in tax. 'Out of the red and into the black for the first time in a generation - a country that inspires confidence around the world because it seeks to live within its means,' he added. It still means that the country will not be in a position where it is spending less than it raises in tax, until 2018-19 - a decade after the financial crash. The OBR said: 'Despite stronger growth, we have revised up our estimate of the budget deficit this year. 'In headline terms, the UK economy has outperformed our March forecast. 'But wage and productivity growth have once again disappointed, while national income and spending have outperformed most in those areas that yield least tax revenue.' Several times Mr Osborne claimed that he had brought the British economy back from the brink over the last four years. The Chancellor used his Autumn Statement to plead for time to 'finish the job', warning a change of course now would 'squander' prosperity. Four years ago the OBR hoped for strong growth in pay, but low wages have persisted and have only just started to outstrip inflation . He revealed growth in this year is now expected to hit 3 per cent, up from 2.7 per cent forecast in March this year. And he told MPs that under the coalition, Britain has created 1,000 jobs every day since 2010. But in future years, growth is forecast to be lower than previously thought. The OBR now it forecasts growth of 2.4 per cent in 2015, 2.2 per cent in 2016, then 2.4 per cent, 2.3 per cent and 2.3 per cent in subsequent years. Unemployment has also fallen sharply, dropping to just 6 per cent for the first time since autumn 2008. Pay is also rising faster than the cost of living for the first time in five years. Average earnings are 1.3 per cent higher than a year ago, compared to inflation running at 1.2 per cent, with workers in the private sector enjoying even higher pay rises. The OBR predicts wages will rise by 1.8 per cent this year, 2 per cent next year and 3.1 per cent in 2016. Employment has surged above expectations, breaking through 30million a year earlier than expected. Latest figures show there are 30.8million in work, a figure which was not expected to be reached until 2016. With total debt still rising to the vicinity of £1.4 trillion, Mr Osborne is set to have borrowed more in five years at the Treasury than Labour chancellors did in 13. Time and again the Chancellor has seen the economic forecasts shift, with hopes of balancing the books drifting further into the future. Britain will still not be back in the black, spending less than it raises in tax, until 2018-19, a decade after the financial crash. Labour's shadow chancellor Ed Balls said: 'It's all here in black and white, hard evidence from the Budget for Responsibility that the Chancellor's borrowing targets are all in tatters. 'We all know he's changed the way he styles his hair but he can't brush away the facts. People are worse off and he's failed to balance the books in this Parliament. 'I've got to say, for all his strutting, for all his preening, for all his claims to have fixed the economy, he promised to make people better off, working people are worse off. 'He promised we were all in this together and he cut taxes for millionaires. He promised to balance the books in this Parliament and that commitment is now in tatters. Every target missed, every test failed, every promise broken.'
In 2010, Osborne boasted he would have 'eliminated' the deficit by 2014-15 .
But new figures show Britain will borrow around £91billion this year .
Treasury is raising less in income tax than thought earlier this year .
Economic growth has been strong but failed to match 2010 forecasts .
Pay rises have also been well below expectations four years ago .
But employment has soared above 30million much sooner than expected .
There is a speech which George Osborne hoped to deliver today which will have to remain in the Treasury drawer for a few years yet. It is the one where the Chancellor declares that the deficit has been eliminated and the government is raising more in tax than it spends. In 2010 Mr Osborne confidently declared that he would balance the books by 2014-15, but today he was forced admit that borrowing remains stubbornly high and balancing the books is still a long way off. In June 2010, the Office for Budget for Responsibility predicted that in 2014-15 borrowing would fall to just £37billion, but it has remained high at around £100billion and is not expected to return a surplus until 2018-19 . In 2010 George Osborne remained confident that borrowing would fall sharply, but in 2011 and 2012 a deterioration in the economic picture meant the prospect of balancing the books slipped further into the future . In 2010, the Office for Budget Responsibility predicted that borrowing would be just £37billion in 2014-15. Instead it will be £91.3billion, which is still £5billion higher than the OBR predicted in March this year. While there are record numbers of people in work, many are in low paid jobs. These workers have benefitted most from the coalition policy of not paying income on the first £10,000 of earnings. But it means the Treasury is raising less than expected from taxes to offset spending. Four years ago in June 2010 Mr Osborne boasted that he would have 'eliminated' the deficit by 2014-15. 'We have set the course for a balanced budget and falling national debt by the end of this Parliament,' he predicted in the Coalition's emergency budget. Instead borrowing has remained stubbornly high, and barely changed in the last 12 months. Revealing that the deficit has been halved over this Parliament, Mr Osborne said the OBR now forecasts the deficit will fall slightly from £97.5 billion last year to £91.3 billion this year - rather than the £86.4billion previously expected. Mr Osborne will boast that the economy is now growing strongly, and faster than most other countries. But its has failed to keep pace with the predictions made in 2010 . National debt as a proportion of the economy (GDP) was supposed to start falling in 2013-14, but has instead been rising and is not expected to peak until next year . Borrowing for 2015-16 is expected to fall to £75.9 billion, worse than the £68.3 billion previously expected. But the outlook for 2016-17 of a £40.9 billion shortfall is better than the £41.5billion previously set out. For 2017-18 expected borrowing is likely to be £14.5billion, an improvement on the previously pencilled-in £15.8 billion. Mr Osborne told MPs that by 2019-20 the UK will be spending £23billion less than it raises in tax. 'Out of the red and into the black for the first time in a generation - a country that inspires confidence around the world because it seeks to live within its means,' he added. It still means that the country will not be in a position where it is spending less than it raises in tax, until 2018-19 - a decade after the financial crash. The OBR said: 'Despite stronger growth, we have revised up our estimate of the budget deficit this year. 'In headline terms, the UK economy has outperformed our March forecast. 'But wage and productivity growth have once again disappointed, while national income and spending have outperformed most in those areas that yield least tax revenue.' Several times Mr Osborne claimed that he had brought the British economy back from the brink over the last four years. The Chancellor used his Autumn Statement to plead for time to 'finish the job', warning a change of course now would 'squander' prosperity. Four years ago the OBR hoped for strong growth in pay, but low wages have persisted and have only just started to outstrip inflation . He revealed growth in this year is now expected to hit 3 per cent, up from 2.7 per cent forecast in March this year. And he told MPs that under the coalition, Britain has created 1,000 jobs every day since 2010. But in future years, growth is forecast to be lower than previously thought. The OBR now it forecasts growth of 2.4 per cent in 2015, 2.2 per cent in 2016, then 2.4 per cent, 2.3 per cent and 2.3 per cent in subsequent years. Unemployment has also fallen sharply, dropping to just 6 per cent for the first time since autumn 2008. Pay is also rising faster than the cost of living for the first time in five years. Average earnings are 1.3 per cent higher than a year ago, compared to inflation running at 1.2 per cent, with workers in the private sector enjoying even higher pay rises. The OBR predicts wages will rise by 1.8 per cent this year, 2 per cent next year and 3.1 per cent in 2016. Employment has surged above expectations, breaking through 30million a year earlier than expected. Latest figures show there are 30.8million in work, a figure which was not expected to be reached until 2016. With total debt still rising to the vicinity of £1.4 trillion, Mr Osborne is set to have borrowed more in five years at the Treasury than Labour chancellors did in 13. Time and again the Chancellor has seen the economic forecasts shift, with hopes of balancing the books drifting further into the future. Britain will still not be back in the black, spending less than it raises in tax, until 2018-19, a decade after the financial crash. Labour's shadow chancellor Ed Balls said: 'It's all here in black and white, hard evidence from the Budget for Responsibility that the Chancellor's borrowing targets are all in tatters. 'We all know he's changed the way he styles his hair but he can't brush away the facts. People are worse off and he's failed to balance the books in this Parliament. 'I've got to say, for all his strutting, for all his preening, for all his claims to have fixed the economy, he promised to make people better off, working people are worse off. 'He promised we were all in this together and he cut taxes for millionaires. He promised to balance the books in this Parliament and that commitment is now in tatters. Every target missed, every test failed, every promise broken.'
deficit has been eliminated and the government is raising more in tax than it spends. In 2010 Mr But it means the Treasury is raising less than years ago in June 2010 Mr Osborne boasted that he would have 'eliminated' the deficit by 2014-15. growth in this year is now expected to hit 3 per surged above expectations, breaking through 30million a year earlier than expected. Latest figures show there are 30.8million in work, a