UK borrowing hits £24.5bn as inflation rises to 3.5%
Briefing by News4U · First published
September borrowing exceeded forecasts and inflation reached 3.5%, tightening constraints for Chancellor John Healey ahead of the 28 October Budget.
UK government borrowing for September rose to £24.5 billion, above forecasts, while the headline inflation rate hit 3.5% and is expected to climb further, according to the final major economic data before the 28 October Budget. [1] [2]
National debt has topped £3 trillion for the first time. Higher inflation will lift welfare payments and the state pension next April, while rising borrowing costs add pressure on public finances. [2]
Sources
- UK government borrowing rises to £24.5bn ahead of Budget
Financial Times · · Summary only
- Faisal Islam: Inflation and borrowing figures illustrate chancellor's Budget challenge
BBC Business · · Full text