BCC: Disappointing progress in reducing public sector borrowing

David Kern comments on the public sector finance figures for May 2016, published by the ONS.BCC

Public sector net borrowing, excluding public sector banks, rose by £0.2 billion in the current financial year compared with the same period in 2015.

Public sector net debt, excluding public sector banks, at the end of May 2016 was 83.7% of GDP.

David Kern, BCC Chief Economist, said:

“Although borrowing fell marginally in May, the first two months of the current financial year point to disappointing progress in reducing the deficit, and our assessment remains that reaching a budget surplus by the end of the decade will be difficult to achieve.

The slow progress so far is not surprising given the difficult economic circumstances facing the UK, which is making it more difficult to generate tax receipts. Stabilising the public finances remains a critical task, without which it will be difficult to achieve sustainable long-term economic growth.”

Share This Post

More To Explore

Blogs

Spotlight on…Fraser Haddow

This month’s spotlight turns to our IT operations and development department with Fraser Haddow.  In what capacity did you join BiP? What role did you

Blogs

Spotlight on…David Stewart

This month’s spotlight falls on our BI Sales Division and David Stewart. A relatively new member of the team he has been at the company

Do You Want To Boost Your Business?

drop us a line and keep in touch