The day markets have been waiting for arrived, as Chancellor of the Exchequer George Osborne announced that there will be spending cuts of 30 billion pounds a year by 2014-2015, and that the deficit will be narrowed to 20 billion pounds by years 2015 and 2016.

Public sector net borrowing this year is projected to be 149 billion pounds, 116 billion pounds next year, 89 billion pounds in 2012-2013 and 60 billion pounds in 2013-2014, as estimated by George Osborne. He also expects that borrowing will drop to 10.1% of GDP this year to 1.1% in 2015-2016.

Osborne projects that growth in the upcoming five years in the United Kingdom, to be between 1.2% this year and 2.3% next year, 2.8% in 2012 and rising further in 2013 to be at 2.9%.