Tuesday, July 21, 2009
Public finances - bad but not as bad as feared
Posted by David Smith at 10:30 AM
Category: Thoughts and responses

Maybe we are just getting used to very bad numbers but there was slight sense of relief that the June figures for the public finances were not even worse; they came out marginally better than expected. These things are relative, of course, there was a current budget deficit of 9.9 billion last month, compared with 5.8 billion a year earlier, and net borrowing of 13 billion, up from 7.5 billion. Public sector net debt has risen to 56.6% of gross domestic product and the old 40% ceiling seems like a distant memory. More here.