The UK government borrowing exceeds expectations

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According to the official figures, the UK government’s review is overwhelming expectations in February, according to official figures, which confirms the pressure on Chancellor Rachel Reeves while preparing for her spring statement next week.

The National Statistics Office said that the shortage of government and spending income was 10.7 billion pounds last month. This is compared to expectations of 6.5 billion pounds from the budget responsibility office, the government’s financial agency, and a similar projection in a Reuters poll for the economists.

In the fiscal year until February, the deficit was 132.2 billion pounds, about 14.7 billion pounds more than the same point in the previous fiscal year.

Reeves is preparing for Spring statement This will provide more pressure on government spending because it tries to maintain public financial affairs on the right track. The advisor pledged, according to its financial rules, to achieve a balance between the current budget, which excludes government investment, by 2029-30.

But it is expected that the weak state of the economy and public financing will indicate expectations from OBR indicating that further restriction of the spending is required. The government has announced plans to provide social welfare of 5 billion pounds annually, and is expected to reveal new pressure on the departments on Wednesday.

On S said that the net government debt ratio to GDP at the end of February was temporarily estimated at 95.5 percent.

Darren Jones, chief of secretary at the Treasury, said: “We are re -concentrating the public sector in our duties, and for the first time in 17 years, we go beyond every penny of taxpayer money, to ensure that it helps us secure the future of Britain through the change plan,” said Darren Jones, head of the Secretary of the Treasury.

“At the core of this urgent task, the proper public finances fall, based on our non -negotiable financial rules.”

Reeves came out of its first budget in October with the head hall against the rule of its current deficit of 9.9 billion pounds, but it was eliminated through high government borrowing costs and flat growth. The advisor will need to show reconstruction plans to persuade financial markets that they keep Public Finance In order.

She insisted that the announcement of next week will not constitute a major financial event, indicating that tax changes are outside the table at the present time. But economists, economic experts indicate that pressure, including the need to increase defense spending and reform public services.

“The reduction of costs can only go further, and like a sudden batch of UK growth this summer, we believe that walking long distances appear inevitable in the fall,” said James Smith, an Energy economist in Inge.