LONDON- Britain recorded the largest budget deficit for any February since at least 1993 when monthly records started, swelled by government spending on energy bill support programs, official data showed on Tuesday.
The Office for National Statistics said public sector net borrowing, excluding state-owned banks, was 16.68 billion pounds ($20.43 billion) in February.
The figures are not adjusted for inflation.
A Reuters poll of economists had pointed to public sector net borrowing, excluding state-owned banks, of 11.4 billion pounds.
The ONS said it was the highest borrowing for any February since monthly records began in 1993, reflecting “substantial” spending on energy bill support programs.
Spending on these schemes totaled around 9.3 billion pounds in February, the ONS said.
“Borrowing is still high because we’re determined to support households and businesses with rising prices and are spending about 1,500 pounds per household to pay just under half of people’s energy bills this winter,” finance minister Jeremy Hunt said.
Published with his annual budget last week, forecasts from the Office for Budget Responsibility (OBR) showed an improved outlook for the public finances compared with its previous report in November, with borrowing about 10 billion pounds lower in each future financial year than previously predicted.
The OBR said this reflected a less pessimistic economic outlook than four months ago. – Reuters
