Money Minute Friday 20 December: public sector borrowing in the UK
Today's Money Minute – the last of the year – looks ahead to the latest data on public sector net borrowing, which gives us a snapshot of government spending.
In the UK this morning, we get the latest data on public sector net borrowing.This gives a snapshot of government spending.
In the first seven months of this financial year, borrowing was 10% higher than last year.That's because while tax receipts were higher this year, government spending was higher still.
Given that the government wants to turn on the spending taps next year, the press might pay more attention to this release than usual.But ultimately, from a market impact perspective, it's not particularly consequential in these days of low interest rates.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Markets may one day start to care about high levels of government borrowing a lot more than they do now.If inflation picks up, it will become an issue.But there's little sign of the so-called "bond vigilantes" returning to haunt markets quite yet.
That's all from us here at Money Minute for this year. We'll return on Monday 6 January. In the meantime, have a wonderful Christmas and a very happy New Year.
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
How to invest in nuclear power
We need nuclear power to go green, says Dominic Frisby. But there is a better option than huge power stations
By Dominic Frisby Published
-
Chase slashes its easy-access savings rate – is it time to switch?
The Chase easy-access savings account has proved popular with savers thanks to its competitive rate and bonus deals. But, as the rate has dropped, has it lost its charm?
By Katie Williams Published