UK public sector borrowing reached £303.1bn within the yr to March, in response to the Workplace for Nationwide Statistics (ONS), the very best degree for the reason that finish of World Conflict Two.
The ONS mentioned that the coronavirus pandemic “has had a considerable impression on the economic system and subsequently on public sector borrowing and debt”.
It added that each tax receipts and Nationwide Insurance coverage contributions tumbled as public sector borrowing grew by an extra £28bn in March.
The massive sums that the Authorities has borrowed through the Covid-19 disaster have pushed the deficit to its highest level for the reason that finish of the Second World Conflict, in response to new figures.
This was 14.5% of gross home product (GDP), the very best degree since 1946, when the deficit hit 15.2% of GDP.
It’s a rise from a deficit of £57 billion within the tax yr ending March 2020.
It pushed public sector internet debt as much as £2,141.7 billion, which is 97.7% of GDP – the most important proportion for the reason that early Nineteen Sixties.