Philip Hammond: there is light at the end of the tunnel for UK debt

Chancellor says public finances will improve but councils will not get major cash injection

There is light at the end of the tunnel for the UK's public finances, Philip Hammond has said, while strongly indicating that his financial statement this week is unlikely to herald any significant reduction in austerity.

In his statement on Tuesday, which will bring no changes to tax or spending, the budget having been moved to autumn, the chancellor will set out the latest financial and debt figures. It has been reported that he will give a more upbeat assessment.

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