George Osborne will warn of “a cocktail of new threats” to the economy as he tells Britons to avoid complacency, weeks after he softened the scale of spending cuts over the parliament.
The chancellor will tell business leaders in Cardiff that he is concerned that there is “a sense we can let up and the good economic news will just keep rolling in”.
This comes fewer than three months after he announced a £27 billion improvement in the public finances in the autumn statement, which allowed him to soften Whitehall spending reductions, cancel tax credit cuts and shield police budgets.
The Office for Budget Responsibility warned yesterday that the £27 billion improvement could easily vanish in months.
Mr Osborne is expected to say that tough