Britain's public borrowing reached a new record high in August, with massive spending to combat the coronavirus pandemic.
The budget deficit since the beginning of the current tax year has exceeded its peak for an entire year during the global financial crisis.
According to Arabiya Net, the British government has now borrowed 173.7 billion pounds ($ 221.8 billion) in the first five months of the fiscal year beginning in April, to exceed The record number of 157.7 billion in the twelve months ended March 2010.
and bodies that provide projections for the government budget warn that the deficit may reach 372 billion by the end of the tax year, which raises borrowing as a percentage of GDP to 18.9 percent, a level that has not It has been recorded since World War II and far exceeds the long-term debt sustainability rates.
On Thursday, Finance Minister Rishi Sunak said it was time to focus on restoring growth, not curtailing borrowing, but added that in the longer term difficult decisions would be needed. / p>
Despite this, Sonak has cut subsidies for those whose work remains at risk due to the pandemic.
borrowing in August alone jumped to 35.9 billion pounds, below analysts' average forecast of $ 38 billion in a Reuters poll, while the July figure was revised down by 11 One billion to 15.4 billion pounds.
Public sector net debt amounted to 2.024 trillion pounds, or 101.9 percent of GDP, the highest percentage of the economy since the 1960-1961 fiscal year.
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Britain suffered the greatest economic damage among any of the G7 economies as a result of the Corona virus in the second quarter of this year, as production collapsed 20 percent and the Bank of England estimates That production in the third quarter of the year will be about seven percent below pre-crisis levels.
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