Government borrowing higher than expected in October

Government borrowing was overmuch higher than expected successful October, authoritative figures show.

Borrowing - the quality betwixt spending and taxation instrumentality - was £17.4bn past month, the 2nd highest October fig since monthly records began successful 1993.

The borrowing figures are the archetypal to beryllium released since Chancellor Rachel Reeves' archetypal Budget past month.

The Budget is acceptable to summation authorities spending by astir £70bn a twelvemonth implicit the adjacent 5 years, with fractional funded done higher taxes and the remainder coming done higher borrowing.

Jessica Barnaby, lawman manager for nationalist assemblage finances astatine the Office for National Statistics (ONS), which produced the figures, said: "Despite the chopped successful the main rates of National Insurance earlier successful 2024, full receipts roseate connected past year.

"However, with spending connected nationalist services, benefits and indebtedness involvement costs each up connected past year, expenditure roseate faster than gross overall."

The ONS figures showed that involvement payments connected authorities indebtedness deed £9.1bn past month, the highest October fig since monthly records began successful 1997.

Borrowing successful the fiscal twelvemonth to October has present reached £96.6bn, which is £1.1bn much than astatine the aforesaid constituent past year.

Chief Secretary to the Treasury Darren Jones said again that the Labour authorities had inherited a hard economical concern pursuing the General Election.

"At the Budget we addressed this, fixing the foundations and putting nationalist finances connected a sustainable footing to rebuild the country," helium said.

"This authorities volition ne'er play accelerated and escaped with the nationalist finances. Our caller robust fiscal rules volition present stableness by getting indebtedness down portion prioritising concern to present growth."