Osborne: No need for more U.K. fiscal tightening

FRANKFURT (MarketWatch)
British Treasury chief George Osborne on Wednesday said there was no need for further fiscal tightening by the British government as he presented a 2012-13 budget plan to the House of Commons that he declared to be "neutral" over the next five years
Osborne said the independent Office for Budget Responsibility now expects current-year public borrowing to total 126 billion pounds ($191 billion), or 7.6% of gross domestic product and around 1 billion pounds below the agency's November estimate
The OBR expects net borrowing to fall to 52 billion pounds by 2016-17
The OBR now expects the U.K. economy to grow 0.8% in 2012, up from a November estimate of 0.7%, he said
The OBR highlighted risks to the outlook from oil prices and turmoil in the euro zone, though overall risks to the U.K. economic outlook remain unchanged from November, he said