Jeremy Hunt has promised a major expansion in state-funded childcare and tax breaks for businesses in Budget measures aimed at boosting economic growth.
The chancellor said a recession would be avoided and inflation would fall dramatically as the economy was “proving the doubters wrong”.
In an effort to remove barriers to work, he promised up to 30 hours a week of free childcare for eligible households in England with children as young as nine months, instead of three- and four-year-olds under current policy.
The phased changes, which will be fully introduced by September 2025, will be worth up to £6,500 a year for working families.
He also pledged an expansion in wrap-around care at each end of the school day for parents with older children.
The lifetime allowance for pensions savings, which stands at just over £1m, will be abolished, a major tax break for the wealthy.
And the pensions annual tax-free allowance will rise from £40,000 to £60,000.
The chancellor also promised an extension of support for household energy costs.
