Public finances hit by highest debt interest payments for any July

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Public finances hit by highest debt interest payments for any July
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Government borrowing came in lower than expected last month despite a hit from the highest debt interest payments ever seen for the month of July.

The Office for National Statistics said the interest payable on central government debt was £7.7bn while borrowing during the month was the fifth highest for the month of July on record.

That sum came in at £4.3bn - £700m lower, however, than economists polled by the Reuters news agency had expected. It took borrowing over the first four months of the financial year to £56.6bn, almost £14bn up on the same period in the last financial year. The public finances - soured initially by the effects of the COVID pandemic and government support for individuals and businesses - were later harmed further by the cost of living crisis.

Last year's energy price surge gave rise to a £40bn bill to cover off the worst of the rises in household and corporate gas and electricity costs which were mostly a consequence of Russia's invasion of Ukraine.

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Belgique Dernières Nouvelles, Belgique Actualités

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