Unlock the publisher’s digest free
Roula Khalaf, editor -in -chief of the FT, selects her favorite stories in this weekly newsletter.
The public finances of the United Kingdom took place in excess in January, propelled by record receipts for income and capital gains, but still failed the Chancellor of Boost Rachel Reeves to maintain her budgetary plans on the right track and launch the economy.
The public sector was in surplus of 15.4 billion pounds sterling in January, 0.8 billion pounds more than last year and the highest view of this month since 1993, the Office for National Statistics.
However, this was even smaller than the surplus in January that the Budget Liability Bureau was expected to publish forecasts for the last time in the October budget.
The loan for the exercise at January was more than a year earlier, totaling 118.2 billion pounds Sterling – 11.8 billion pounds more than at the same point during the year 2023-20 Budget responsibility was expected in October.
“The British budgetary position remains a concern,” said Dennis Tatarkov, principal economist at KPMG UK, adding: “If the Chancellor remains attached to her tax objectives, the spring declaration may have to contain more tax changes and expenditure. “
A surplus often occurs at the start of the calendar year, because the tax on income and capital gains in self-assessment dropped in late January.
The ONS said that the revenues of these taxes of 36.2 billion pounds sterling in January 2025, 3.8 billion pounds sterling more than a year earlier and the highest for January since the start of monthly files in 1999 .
It’s a story in development
