UK chancellor George Osborne has claimed his austerity plan is working as he revealed the Autumn Statement in the House of Commons today (December 5th).
He stated that the policies he has introduced in the last few years have helped Britain to have an economy growing faster than any other major nation.
Mr Osborne also suggested the UK could be in the black by 2018/19, but admitted there will be further "tough" decisions to make in the coming years.
Responding to the chancellor's Autumn Statement, Labour said he was "in denial" about the "cost of living crisis".
Mr Osborne predicted that the UK will expand by 1.4 per cent for 2013 as a whole, which is up on the figure of 0.6 per cent that was predicted in March.
He also revealed growth next year should rise to 2.4 per cent, rather than 1.8 per cent.
Chief secretary to the Treasury Danny Alexander told BBC News that the economic recovery will be dependant on businesses starting to invest once more.
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