UK records greater-than-anticipated budget deficit in October

UK records greater-than-anticipated budget deficit in October

In October, the United Kingdom recorded a greater budget deficit than anticipated, as follows from first borrowing figures, since finance minister Philip Hammond pledged an end to austerity was over there.

October’s deficit went up to 8.820 billion pounds in contrast with 7.235 billion pounds in 2017. That’s what the Office for National Statistics uncovered.

By the way, a Reuters survey of financial analysts had pointed to an outcome of nearly 6.15 billion pounds.

While tax receipts kept soaring, government spending headed north in contrast with 2017.

The ONS pointed to substantial surge in expenditure on services and products, to say nothing of social benefits. As for interest payments on government debt, they went up too.

For the first seven months of the 2018/19 financial year, Britain’s budget deficit kept to 26.7 billion pounds, diving nearly 30% on the previous year as well as the lowest at this stage of the financial year for up to 13 years.

Moreover, Hammond uncovered tax cuts for UK households as well as the easing of welfare curbs for poor families and also a big leap in spending on the health services. However, the statesman also stressed that an end to the severe spending trims endured by numerous government departments since 2010 would depend on the UK securing a Brexit pact with the European bloc.

The previous week UK Prime Minister Theresa May managed to agree a draft withdrawal pact with Brussels. However, the pact is disliked by her Conservative Party, suggesting a probable failure in parliament.

Hammond is on the verge of steadily reducing the country’s debt as a share of GDP that he ascertains is extremely high to easily back a big jump in public spending during a future recession.

In October, public debt, without public-owned financial institutions and the Bank of England's stimulus program, kept to 1.5985 trillion pounds, which amounts to 75% of GDP.

 

Similar

The Last Volatile Week of 2022
The Last Volatile Week of 2022

The US Bureau of Labor Statistics will release its Consumer Price Index and many other critical events that will move the market this week!

Traders Should Know About These Releases
Traders Should Know About These Releases

The G20 summit and the US PPI release gave us a lot of volatility to trade on. Luckily, today’s markets may be even more volatile with new vital releases and geopolitical decisions. The daily news report will surely help you!

Gold Outlook Ahead of NFP
Gold Outlook Ahead of NFP

Good day for all traders out there! We prepared a gold analysis and a bunch of other news for you to enjoy! Here's what you should know:

Latest news

What Currency Will Overperform?
What Currency Will Overperform?

S&P Global, a private banking company, will release a monthly change in British Flash Manufacturing Purchasing Managers Index (PMI) on January 24, 11:30 GMT+2. The index is a leading indicator of economic health as businesses react quickly to market conditions, and purchasing managers hold the most current and relevant insight into the company's view of the economy.

Deposit with your local payment systems

Feel the Team Spirit

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera