Highest government borrowing in September for five years

"Borrowing - the difference between public spending and tax income - was 20.2bn in September, up 1.6bn from the same month last year, the Office for National Statistics (ONS) said. The ONS said a rise in debt interest payments offset the increased amount the government had raised through tax and national insurance. Borrowing over the first six months of the financial year has now reached 99.8bn, the ONS said, which is up 11.5bn from the same period last year."

"Although tax income was significantly higher than last year, in part due to the increase in employers' national insurance contributions, spending also increased. This was partly due to pay rises and inflation increasing the government's day-to-day running costs, as well as inflation-linked increases to state benefits. Responding to the figures, Chief Secretary to the Treasury James Murray said the government would "never play fast and loose with the public finances"."

UK government borrowing in September was £20.2bn, up £1.6bn from the same month last year and the highest September level in five years. A rise in debt interest payments offset increased receipts from tax and national insurance. Borrowing across the first six months of the financial year reached £99.8bn, an increase of £11.5bn versus the same period last year. The September outcome continued a trend from August, which also recorded a five-year high for that month. The borrowing result was slightly below analysts' expectations and broadly matched projections by the Office for Budget Responsibility. Higher tax income partly reflected increased employers' national insurance contributions, while spending rose due to pay increases, inflation-boosted running costs and inflation-linked benefit increases. The government signalled a commitment to reduce borrowing to lower debt interest and redirect funds to public services such as the NHS, schools and police.

Read at www.bbc.com