Rishi Sunak has delivered his third Budget as Chancellor, which had a focus on the economic recovery post-Covid.

In his statement on Wednesday afternoon in the House of Commons, Mr Sunak told MPs that inflation will average more than four per cent for the next year and the economy would return to pre-Covid levels by the end of 2021 - earlier than initially expected.

Unemployment had been expected to peak at 12 per cent but the Office for Budget Responsibility now thinks it will peak at 5.2 per cent.

It had already been announced pre-Budget that billions would be spent on transport, the NHS in England and education, while the National Living Wage will be going up to £9.50 an hour in April and the public sector pay freeze will be lifted next year.

Here’s an at-a-glance guide to the key announcements made by Mr Sunak in the Budget:

• Universal Credit taper rate cut by eight per cent, from 63 per cent to 55 per cent, which will be introduced by no later than 1 December
• The government will reinstate its commitment to spend 0.7 per cent of gross domestic product (GDP) on foreign aid by 2024/25
• Resource spending on health will increase by £44 billion from £133 billion to £177 billion
• HGV levy suspension will be extended for a further year until 2023 and Vehicle Excise Duty will be frozen for heavy goods vehicles
• £5 billion to remove unsafe cladding from the highest risk buildings
• Local governments will be given £4.8 billion in new grant funding over the next three years  
• £11.5 billion to build 180,000 affordable homes
• £640 million a year for rough sleeping and homelessness
• 30,000 school places for special educational needs
• £560 million for maths coaching to increase adult numeracy
• £300 million for parenting programmes
• An extra £2 billion for Covid schools catch-up
• £9 million to create more small green spaces across the UK
• £150 million for training of entire early years workforce
• £21 billion for roads and £46 billion for railways to connect towns
• £560 million to youth services and £200 million for local football
• £1.4 billion to encourage foreign investment and talent
• £20 billion a year to spend on research and development by the end of this Parliament
• An increase in core science funding to £5.9 billion a year by 2024-25
• Net Zero strategy to invest £30 billion in green industries
• Lower Airport Passenger Duty for internal UK flights
• Extra Air Passenger Duty band for flights 5,500+ miles
• Corporate tax rate on banks to increase to 28 per cent in 2023
• 50 per cent business rates discount for retail, hospitality and leisure
• New ‘business rates improvement relief’ policy
• Alcohol Duty system to be overhauled, cutting the number of main duty rates from 15 to 6 and end of duty premium of 28 per cent for sparkling wines
• Five per cent duty cut on draught beer and cider
• Cancelling planned increase on duty for spirits and planned rise in fuel duty

This is what your local MPs had to say about the announcement...

High Peak MP Robert Largan 

The Conservative MP said: "It's worth remembering that one year ago, as a result of a global pandemic, large parts of the economy were effectively shut down. Large scale unemployment and a crippling recession were forecast.

"Today, the UK is recovering faster than any of our major international competitors, more people are in work and the economy is growing. This wouldn't have been possible without the Government's Plan For Jobs and some of the difficult fiscal decisions taken both during this crisis and over the last decade. But there is no doubt Covid has had a huge impact. We were forced to borrow over £300billion in just 12 months (the highest ever) and global economic uncertainty and price rises continue to be a big challenge.

"With all these difficulties, it was really important that Rishi Sunak got this Budget right. I've been going over the details this afternoon and I'm really encouraged by what's been announced. Some of the key measures include:

• A significant tax cut for low-income families, reforming Universal Credit by reducing the taper rate from 63p to 55p in the pound
• An increase in the National Living Wage to £9.50 an hour, giving a £1,000 pay rise to 2 million of the lowest paid workers
• Increases in pay for public sector workers
• A freeze on fuel duty and alcohol duty
• Helping the high street by cutting business rates by 50% for retail, hospitality and leisure
• Record spending on infrastructure

"The Budget also had a big focus on innovation and skills, with investment into R&D, T-levels, apprenticeships and numeracy. Perfect timing for my High Peak Jobs & Apprenticeships Fair on Friday!

"I was particularly pleased to see a new Draught Relief, cutting beer duty. This is something I've been campaigning for with colleagues and is a badly needed helping hand for local pubs. Of course, this is on top of the record extra funding for the NHS, as well as the new money and reforms to help fix our social care system, announced a few weeks ago.

"The Budget also including plenty of northern towns getting additional investment through the Levelling Up Fund. High Peak wasn't one of the places to benefit from this investment because, as you'll remember, High Peak Labour Council failed to submit a Levelling Up Fund bid before the deadline. This is extremely frustrating but I'm pleased that the Government will be doing a second round of funding and the Council have now agreed to submit a bid.

"It's also important to note that the spending commitments and extra investment come on top of those already agreed including the £137million upgrade to the Hope Valley railway line, the £228million Mottram Bypass & Glossop Spur Road, the £30million new Urgent Care Centre for Stepping Hill Hospital, the £16million new Urgent Care Centre for Tameside Hospital and the £10million to regenerate Buxton town centre.

"Overall, this is a Budget that will make a real difference to people and businesses in the High Peak. There are challenges ahead but I was elected on a promise to level up our area. That's what I'll keep doing!" 

Ashton-under-Lyne and Failsworth MP Angela Rayner 

The Deputy Leader of the Labour Party is currently on bereavement leave. 

Stalybridge and Hyde MP Jonathan Reynolds 

In a statement to the Tameside Reporter, the Shadow Work and Pensions Secretary said: "Today showed the Government's priorities are completely out-of-touch, hitting working families with a huge tax burden while offering tax cuts to bankers and lowering duties on flying days before we host COP26. 

"Labour has previously outlined plans to reduce the taper rate when we replace Universal Credit to allow low earners to keep more of what they earn.

"It is welcome that the Chancellor is following our lead in his announcement today, but he is trying to take people for fools if he thinks this alone makes up for the biggest cut ever to our social security system, tax hikes and a cost of living crisis." 

Denton and Reddish MP Andrew Gwynne 

Responding to the Chancellor's announcement, the Labour MP issued the following statement: "Obviously some of the aspects of this budget were welcome and long-overdue. I am particularly pleased that the Department for Transport has approved the bid for the Restoring Your Railway bid for the line through Denton and Reddish South stations. This will make a big difference to people's lives, and I look forward to working with the Department for Transport and Transport for Greater Manchester over the coming months to develop a plan. 

"However, there were aspects of the budget that were just totally wrong. The Chancellor has hit working people with the highest sustained tax burden in peacetime, and council tax hikes will continue to rise. People are facing more years of real incomes barely growing, high inflation, rising taxes and unsustainably high standards of living. Yet the Chancellor seems to think now is a good time to simultaneously cut taxes for bankers. He's also made the bizarre decision to cut taxes on short-haul domestic flights - literally days before the start of COP26. How are we supposed to be leading the way on climate policy when we're making short-sighted decisions like this? 

"It was particularly frustrating to hear the Chancellor talk about the importance of early years development and announce the launch of 'family hubs' - if this is the Government's opinion, why on earth did they shut more than a thousand sure start centres, damaging the long-term development of millions of children across the country in the process?

"The Chancellor also announced that he would be lowering the Universal Credit taper rate to 55%. Make no mistake, this will not even come close to making up for the £6bn taken from people up and down the country by the cutting of the £20-a-week Universal Credit uplift. A lone parent on minimum wage is still substantially worse off as a direct result of this Government's actions, and the Chancellor doesn't seem to get that. We need fair taxes, proper investment and a long-term green plan that unlocks the incredible skills right across this country."

Oldham West and Royton MP Jim McMahon 

Writing on his Facebook page, the Shadow Transport Secretary said: "Today's Budget makes clear that the Chancellor and this government are out of touch with working people in Chadderton, Oldham and Royton.

"Working people face tax rises - the highest sustained tax burden in peacetime no less, whilst the Chancellor cut taxes on bankers, frequent flyers and champagne.

"It doesn't have to be this way, Labour would use the power of government and the skill of business to ensure we're creating high quality, well paying green jobs in towns like Oldham." 

Oldham East and Saddleworth MP Debbie Abrahams 

In a series of tweets, the Labour MP wrote: "Unfortunately for many in Oldham and Saddleworth, very little is positive for them. Their wages are 23 per cent *lower* now than 2010, prices are increasing from gas and electricity to food and rent.

"In April 2022 they will see the biggest tax hike since the end of World War Two. Of course these taxes were used to create the NHS, develop a modern welfare system, on a massive house rebuilding programme and to expand education. Where was the Levelling Up? Where was the doubling in dementia research?

"Why was Build Back Fairer reneged on? Levelling Up needs to be integrated into all policies and spending, targeting resources towards need, people and places. Without this, the move to a high skill, high income economy will continue to benefit some areas more than others."