Government borrowing binge undermining faith in OBR forecasts, says IFS
The TelegraphToo much government borrowing is undermining faith in official economic forecasts, the Institute for Fiscal Studies has warned. The think tank said a raft of unexpected and expensive policies rolled out by recent Chancellors had led to a surge in the size of the state and fuelled Britain’s deficit, while also making forecasts less accurate. The result is a “ratchet” of higher borrowing and a larger state, the economists said, as they predicted a further hike in the deficit beyond recent forecast from the Office for Budget Responsibility. The IFS said: “Government borrowing in 2027–28 should be 1.4pc of GDP higher than under the OBR’s central forecast.” If Chancellors had responded equally to good and bad news on finances, debt at the start of the pandemic could have been as much as 11pc lower than it is now, the IFS said.
History of this topic
Interest on national debt tops £100bn a year as a result of Labour's Budget borrowing binge
Daily Mail
Government borrowing costs rise further after Budget
The Independent
UK economic growth upgraded this year amid ‘temporary boost’ from spending
The Independent
Britain’s choice: spiralling debt, £40bn in spending cuts or tax rises every 10 years
The Telegraph
Worst debt burden since 1950s makes huge tax raid inevitable, warns IFS
The Telegraph
Rise in debt costs could dash Budget tax cut hope
Daily Mail
New UK leader to face highest government debt in 60 years
Associated Press
Rees-Mogg suggests Chancellor could ignore OBR forecasts
The Independent
Interest bill for UK's £2.4tn debt mountain more than DOUBLES to record £19.4bn in June
Daily Mail
Interest on government borrowing jumps to December record amid soaring inflation
The Independent
Borrowing cheer to prove short-lived for Chancellor, warns think tank
The Independent
Government borrows more than a billion pounds PER DAY during coronavirus crisis
Daily Mail)
British Public Debt Tops 2 Trillion Pounds for First Time Due to Covid-19
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