Independence drive for OBR

The OBR was set up in haste by the coalition government in May with a stated goal of it removing political interference from official forecasting by providing an independent look at the fiscal picture.

But accusations that it had changed job loss forecasts in a way that enabled ministers to put a more positive gloss on spending cuts has cast doubt on its credibility at a time when critics say major cuts could endanger economic recovery.

In a letter to Chancellor George Osborne, Alan Budd, the OBR's interim head, set out a detailed list of recommendations that include relocating it outside the Treasury and staffing the newly-formed body with more outside experts and civil servants on secondment.