Government borrowing in April is predicted to have surged to £62.1 billion, the highest figure for any month on record, after heavy spending in the face of coronavirus.
The monthly figure is higher than the Government projected prior to the crisis for the whole of the year and its biggest contributor is £14 billion on the Chancellor’s Furlough scheme.
There has alsobeen a sharp drop in all the state’s main sources of revenue – income tax, national insurance, VAT and corporation tax coupled with a marked increase in spending.
The figure is £51.1 billion more than in April 2019, and economists are saying that this is just the tip of the iceburg. Borrowing this year could well be over £300bn.