Increase fuelled by weak tax receipts means chancellor may have to unveil further cuts or raise taxes to meet targets in time for 2015 election
The chancellor is on course to miss his deficit-cutting target this year, according to the latest figures, giving him a headache in the run up to the 2015 election when the economy takes centre stage.
Weak tax receipts pushed borrowing to £11.6bn in August excluding bank bailouts, £700m more than a year earlier according to the Office for National Statistics. Borrowing in the fiscal year so far, from April to August, was £45.5bn, £2.6bn higher than the same period last year.
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