Jumat, 19 Maret 2021

UK government borrowing hits February record as virus impact continues - BBC News

Market scene in winter
Reuters

The government borrowed £19.1bn last month, the highest figure for February since records began in 1993, reflecting the cost of pandemic support measures.

The Office for National Statistics (ONS) said borrowing was £17.6bn higher compared with February last year.

The Chancellor, Rishi Sunak, said: "Coronavirus has caused one of the largest economic shocks this country has ever faced."

Loans and furlough payments have taken a heavy toll on government finances.

The latest ONS figures showed the government spent £3.9bn last month on job support measures alone.

They also showed a fall in tax income, notably from lower VAT, business rates and fuel duty, although they also showed money coming in from self-employed tax payments rose by £0.9bn from last year.

Borrowing for the year so far reached £278.8bn, a record for that period.

Total public sector debt has risen to £2.13 trillion, according to the ONS.

The ONS said: "Although the impact of the pandemic on the public finances is becoming clearer, its effects are not fully captured in this release, meaning that estimates of accrued tax receipts and borrowing are subject to greater than usual uncertainty."

Separately, the government said it would receive £1.1bn from selling part of its stake in NatWest Group.

The sale, which will complete on 23 March, will cut the size of the government's stake in the bank from almost 62% to 59.8%.

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2021-03-19 08:28:18Z
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