A Borrowing Bounce, But at What Cost? The UK government's latest borrowing figures have brought a welcome surprise, with public sector net borrowing coming in below expectations.
The £16 billion shortfall for June was lower than City economists had predicted, but this minor reprieve shouldn't distract from the underlying concerns about the UK's public finances.
The Office for National Statistics attributed the lower borrowing to reduced inflation linked debt interest costs, which accounted for £300 million less than forecast by the Office for Budget Responsibility.