Public Sector
November: £13.0bn current budget deficit
The public sector showed a deficit on current budget of £13.0 billion in November 2008, compared with a deficit of £8.1 billion in November 2007.
Concentrating on one month in isolation can give a distorted picture as movements can be erratic. Focusing on the financial year to date generally provides a better overview. Between April 2008 and November 2008 of the financial year 2008/09, the public sector recorded a deficit of £39.4 billion. At the same stage of the 2007/08 financial year, a deficit of £18.0 billion had been recorded.
More generally, the public sector recorded deficits between 1991/92 and 1997/98 before moving into surplus in 1998/99. Deficits have been recorded since 2002/03.
An alternative measure of the public sector fiscal position is public sector net borrowing. This additionally takes account of capital investment. In November 2008, there was net borrowing of £16.0 billion, which compares with borrowing of £10.7 billion in November 2007. The Pre-Budget forecast for 2008/09 is net borrowing of £77.6 billion.
Public sector net debt, expressed as a percentage of Gross Domestic Product (GDP), was 44.2 per cent at the end of November 2008, compared with 43.1 per cent at end of November 2007. Net debt was £650.0 billion at the end of November, compared with £617.1 billion a year earlier.
The most recent figures for public sector net debt excluding financial sector intervention are for September 2008, when net debt was £562.6 billion (38.3 per cent of GDP).
Source: Office for National Statistics
Note: The format summarises the public sector finances presentation in the Budget Report 2008 (HM Treasury, 12 March 2008). The statistics are used to monitor progress against the Government's key fiscal rules.
printer-friendly
Public Sector Finances Press release