|    FM Home   |    FM News   |    FM Forum   |    FM Blog   |   
30th of December 2010
|    Banking  |   Insurance  |   Property  |   Mortgages  |   Economy  |   Investments  |   Credit Cards  |   Debt  |   Loans  |   Pensions  |   Companies  |  
December 18, 2008    

Public sector borrowing hits record £16bn

Bookmark and Share

by Kay Murchie

Figures from the Office for National Statistics have revealed that the UK’s public finances deteriorated sharply again in November, with net borrowing rocketing to a high of £16 billion.

The figure was far higher than analysts expectations who forecast £13.7 billion.

Borrowing for the first eight months of the financial year now totals £56.1 billion, compared with £29.2 billion at the same period in 2007.

However, as the economic downturn continues, it is likely that net borrowing could soar to £118 billion next year, according to Chancellor Alistair Darling.

According to analysts, the figures are worrying, particularly at such an early stage of the recession.

According to Howard Archer of IHS Global Insight, the deepening economic downturn is taking an increasing toll on tax revenues.

Furthermore, low housing market activity and a continued fall in house prices is affecting stamp duty receipts, added Mr Archer.

Discuss this in the Finance Markets forums

Story link: Public sector borrowing hits record £16bn

Financial Services:

Related financial stories to: Public sector borrowing hits record £16bn:
Previous: «
Next: »

Visited 1751 times, 2 so far today

No Comments »

No comments yet.

RSS feed for comments on this post.

Leave a comment

Tags: £16bn, , Chancellor Alistair Darling, , , , , ,