Hammond promises Brexit dividend in spring statement

OBR says lower borrowing has swelled chancellor's five-year war chest to 26.6bn

Philip Hammond has promised a Brexit dividend to boost spending on public infrastructure projects and vital services after forecasts of lower government borrowing over the next five years swelled the chancellor's war chest to 26.6bn.

The chancellor said he remained confident that a Brexit deal would be agreed by parliament in the next few weeks and he could include the extra funds in a three-year Whitehall spending review, which he plans to begin before the summer recess.

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