UK chancellor announces 3 percent Green Book discount rate
Britain will cut the discount rate used in the Treasury's Green Book from 3.5 percent to 3 percent, Chancellor John Healey said in a speech Monday.
The rate sets how much weight government appraisals give to benefits and costs that arrive years later. A lower rate gives more weight to long-lived effects.
Healey also said business cases will add an economic potential analysis, assessing places on what they could become. He named South Yorkshire, Liverpool City Region, North-East England and Cardiff Capital Region as new National Wealth Fund strategic partners.
No project was approved by the speech.
The lower rate makes long-term benefits count for more in central government business cases. It does not guarantee funding.
The document: Chancellor John Healey's Growth Speech 2026.
