POST Online Media Lite Edition



 

UK public finances improve less than expected in January

Staff writer |
Government finances improved at the start of the year, buoyed by the typical January rise in tax receipts, albeit by slightly less than economists expected.

Article continues below






Public sector net borrowing for the financial year-to date, excluding public sector banks, fell by £10.6bn to £66.5bn in the current financial year-to-date, according to the Office for National Statistics. The financial year runs from April 2015 to April 2016.

In January, public sector net borrowing excluding public sector banks was in a surplus to the tune of £11.2bn; that was £1.0bn more than a year ago and the most for that month since 2008.

Nonetheless, that was a tad lower than the -£12.5bn economists had anticipated.

Britain's net debt, excluding the public sector lenders, was left standing at £1,581.6bn, equivalent to 82.8% of gross domestic product; which was an increase of £52.7bn when compared with January 2015. At this time last year net debt stood at 82.9% of GDP.

The so-called central government net cash requirement decreased by £19.7bn to £41.6bn in the current financial year-to-date compared with the same period in the previous financial year.


What to read next

UK November borrowing higher than expected at £12.6bn
Moody's downgrades UK's credit rating
Public finance reform inevitable for some oil exporting economies