UK' June budget deficit balloons to £7.2bBusiness | 19 Jul 2019 5:15 pm
Britain’s budget deficit has risen faster than planned, after the government was forced to borrow more than £7 billion last month to balance the books, The Guardian reports.
That was the largest deficit for a June in four years, and suggests that the UK’s fiscal position may be weakening ahead of the Brexit vote.
The increase in borrowing was driven by a large jump in public spending.
Total central government expenditure grew by £4.3 billion compared with a year ago, while government income (ie from tax receipts) only gained by £800 million.
That lifted the deficit by £3.8 billion, from £3.2 billion in 2018 to £7.2 billion in June 2019.
Borrowing in the current financial year-to-date (April 2019 to June 2019) was £17.9 billion, £4.5 billion more than in the same period last year; the financial year-to-date April 2018 to June 2018 remains the lowest borrowing for that period since 2007.