bbc Press
Government borrowing unexpectedly jumps in February
Images
UK government borrowing rose unexpectedly to ยฃ14.3bn in February to the second highest level for that month since records began, official figures show. The Office for National Statistics (ONS) said borrowing was ยฃ2.2bn higher than in February last year and much higher than the ยฃ8.8bn economists had expected it to be. An increase in government tax receipts was outweighed by a rise in spending and the timing of government debt interest payments, the ONS said. However, across the 11 months of the financial year to February, government borrowing was down. The figures, which measure the difference between total public sector spending and tax income, is for the month before the start of the US-Israel war with Iran. Government borrowing costs have jumped since the conflict began, which experts said will make it harder for the government to offer support for rising energy bills. The Treasury said it had the "right economic plan" and added "we are better prepared for a more volatile world". Nabil Taleb, economist at PwC UK, said the increase in borrowing for February "partly reflects the timing of payments, with some interest due at the end of January falling into February because of the intervening weekend". Green Party leader says thought of becoming PM is 'on his mind' and the aim of 30-40 MPs now feels "under ambitious". Will the pursuit of a closer relationship with the EU risk courting electoral disaster by alienating Brexit-backing voters? The knock-on effects of the war in the Gulf go beyond a hold on interest rates and are set to reverberate for months. Annual earnings grew at an annual rate of 3.8% in the November to January period, the Office for National Statistics says. UK Inflation has dropped back from record highs but remains above the Bank of England's 2% target.
Comments
You must be logged in to comment.