Thursday, 18 June 2009

The wheels are coming off the budget

Back in April, Alistair Darling presented to Parliament a budget in which he stated he would need to borrow £175bn net for the 2009/2010 financial year. Borrowing in April was pretty much in accord with this estimate.

But then in May he borrowed a net £19.9bn.

Yikes! Multiply by 12 and you get almost £239 billion - that's a £64bn over-spend compared to the £175bn in the budget.

We'd better hope that May is some kind of weird, exceptional month. If not the economic outlook is dire.

Link: BBC

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