The Bank of England (BoE) governor might get a helping hand in his bid to limit the risks and stabilize the UK economy. Former Chancellor of Exchequer George Osborne became synonymous with the word austerity as he drove towards his goal to balance the UK budget by the end of the decade. But with a new government in place with a new chancellor of exchequer Britain may look forward to getting some fiscal support.

When we say the word fiscal stimulus it’s better to mention that the term is a relative one and it is still a conservative party government. So the broad policy lines are unlikely to change much. The fiscal deficit is seen as a source of weakness in the government and hence balancing will continue broadly but at a much slower pace. That is the reason that the new chancellor Philip Hammond, the former foreign secretary said that there is no need for an emergency budget but at the same time it is widely expected that there will be a lot to be cheerful about when the usual budget gets underway in the Autumn.