UK public borrowing has fallen by more than half since its peak during the pandemic, but debt servicing costs are rising rapidly, official figures showed this morning
Borrowing for the first 11 months of the 2021/2022 financial year was £138.4 billion the Office for National Statistics said.
This is 52% below the record £290.9 billion borrowed between April 2020 to February 2021, when the public finances bore the brunt of the COVID-19 pandemic.
Borrowing for 2021/22 is comfortably on track to undershoot the £183 billion or 7.9% of gross domestic product forecast by the Office for Budget Responsibility, largely thanks to stronger-than-expected tax revenue.
But Sunak, in response to Tuesday’s figures, said he wanted to take a “responsible” approach.
“With inflation and interest rates still on the rise, it’s crucial that we don’t allow debt to spiral and burden future generations with further debt,”
