John Hawksworth, chief economist at PwC commented on October's public finance data:
"Today's data contained mixed news on the public finances. On the one hand, borrowing in October was £2.3bn more than in the same month last year. On the other hand, estimates of borrowing in the six months from April to September have been revised down by £5.2bn, reflecting lower estimated government spending.
The net effect of these changes is favourable, with public borrowing in the financial year to date up only £4.3bn compared to the same period last year, rather than an estimated overshoot of just over £7 billion in last month's original data.
Nonetheless, growth in central government spending (3.4%) has continued to outpace growth in receipts (2.4%) and it still looks quite likely that the budget deficit in 2019/20 as a whole could be over £50bn.The deficit could rise further next year with the significant public spending increases being proposed by all major political parties."
At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 158 countries with over 250,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.
PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.
© 2019 PwC. All rights reserved
Manager, Corporate Affairs, PwC United Kingdom
Tel: +44 (0)7483 329628