U.K. net borrowing rose to £16.6 billion ($21.59 billion) in September, the Office for National Statistics said Tuesday , up £2.1 billion from the year before.
Chancellor Rachel Reeves gives a speech at the Treasury on July 8, 2024 in London, England.
Reports suggest she may use the budget to change the way debt is calculated by the Treasury in order to create more room for capital expenditure.
The latest borrowing figures "highlight the limited scope the [Finance Minister] has to increase day-to-day spending without raising taxes," Alex Kerr, U.K. economist at Capital Economics, said in a note.
A change in debt rules would allow for borrowing for public investment by an additional £53 billion, Kerr added.
Persons:
Chancellor Rachel Reeves, Rachel Reeves, Alex Kerr, Kerr, Reeves, — Jenni Reid
Organizations:
National Statistics, Treasury, Labour, Finance, Capital Economics
Locations:
London, England