Michael Burton 20 July 2018

Public finances perform better than expected

The public finances continue to perform better than expectations, although total borrowing is up year-on-year even before the promised increase in health spending, according to the latest figures from the Office for National Statistics.

Borrowing in the latest full financial year (April 2017 to March 2018) was the lowest for 11 years, making the deficit 1.9% of GDP compared to a peak of 10% in 2009/10.

The public sector borrowed £39.4bn last year, £6.3bn less than in the previous financial year (2016/17) and £5.8bn less than Office for Budgetary Responsibility predictions.

Of this total, £40.6bn was borrowing for capital spending on infrastructure while borrowing for day to day revenue activities was actually in surplus by £1.3bn for the first time since 2002.

However, total debt excluding public sector banks was £1,792.3bn at the end of June, equivalent to 85.2% of GDP, an increase of £33bn on June 2017 and the public sector continues to borrow, albeit at a reducing rate.

So far in this financial year, the public sector has borrowed £16.8bn, which is £5.4bn less than in the same period in 2017.

Again, this represents the lowest year-to-date borrowing for 11 years.

Of the £16.8bn borrowed by the public sector, £19.4bn was borrowed by central government while local government borrowing was in surplus by £2.9bn.

In June borrowing was £5.4bn.

For this financial year the OBR expects the public sector to borrow £37.1bn.

SIGN UP
For your free daily news bulletin
Highways jobs

Enhanced Senior Social Worker

Wakefield Council
Grade 10 - Grade 11, 37 hours, Permanent
We are seeking Social Workers to join our superb Locality Services. Wakefield, West Yorkshire
Recuriter: Wakefield Council

Streetworks Inspectors

Oxfordshire County Council
34434 - 37280
About Us Working within the Network Management Team, whose function it is to ensure that all Street working activity is appropriately managed within the boundaries of legislation and the County Council’s Permit Scheme and Lane Rental Scheme About the R Kidlington
Recuriter: Oxfordshire County Council

Maintenance Engineer

Wakefield Council
£28,598.00 - £31,537.00, Grade 6, 37 hours, Permanent
An exciting opportunity has arisen for a Maintenance Engineer to join Wakefield Equipment and Wheelchair Service. Wakefield, West Yorkshire
Recuriter: Wakefield Council

Wheelchair Therapist

Wakefield Council
Grade 7 - Grade 9, 37 hours, Permanent
We are currently looking for a forward thinking and enthusiastic individual Wakefield, West Yorkshire
Recuriter: Wakefield Council

Financial Systems Development Officer - WMF2603e

Westmorland and Furness Council
£38,220 - £39,152
You will be joining a friendly, welcoming and supportive Finance team. Cumbria / Various
Recuriter: Westmorland and Furness Council
Linkedin Banner