MNI BRIEF: UK November Borrowing Tops Expectations

UK public sector borrowing hit GBP17.384 billion in November, exceeding expectations of GBP16.0 billion, the Office for National Statistics said Tuesday. That’s below the the outturn of GBP22.249 billion of November 2020, but well above the borrowing of GBP12.391 billion in October (revised downward from GBP18.799 billion). That takes borrowing to 96.1% of GDP, the highest ratio since March of 1963, compared to 95.5% in November of 2020. November borrowing also exceeded the OBR monthly estimate by GBP 3.2 billion.

Debt interest payments hit GBP4.5 billion, while corporate tax receipts declined by 1.0 billion over the same period a year earlier. VAT receipts rose by 1.8% over the same period a year earlier to GBP12.8 billion.

Over the year to date, borrowing hit GBP136 billion, down 46% from the same period of last year. That’s GBP47 billion below the full-year OBR forecast of GPB183 billion.