UK Budget Deficit Widens In December

(RTTNews) - The UK budget deficit more than doubled in December from the last year as increases in spending were much larger than increases in receipts, the Office for National Statistics said Wednesday.

Public sector net borrowing increased GBP 10.1 billion from the last year to GBP 17.8 billion in December. This was the highest December borrowing for four years and also above GBP 14.6 billion forecast by the Office for Budget Responsibility.

At the same time, borrowing to fund day-to-day public sector activities rose by GBP 7.3 billion to GBP 10 billion, the highest deficit for December in two years. Data showed that the interest payable on central government debt totaled GBP 8.3 billion in December. This was GBP 0.5 billion more than the GBP 7.8 billion forecast by the OBR.

Borrowing in the financial year to December was GBP 129.9 billion, which was GBP 8.9 billion more than at the same point in the last financial year.