Government borrowing rises but stays below forecast

Public sector net borrowing in July 2023 reached £4.3 billion, £3.4 billion more than in July 2022 and the fifth-highest July borrowing since monthly records began in 1993, the Office for National Statistics (ONS) has announced.

In the financial year to July 2023 borrowing reached £56.6 billion, £13.7 billion more than in the same four-month period last year, but £11.3 billion less than the £68 billion forecast by the Office for Budget Responsibility – raising the possibility that the government might still try to introduce populist tax cuts ahead of the next general election, which is expected to take place in 2024.