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Uk Government Hits Borrowing Target In 2013-14 - Only £107.7Bn

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http://www.bbc.co.uk/news/business-27125024

The UK government borrowed £107.7bn in the financial year to April 2014, lower than the £115.1bn amount it borrowed the previous year.

In the Budget, the Office for Budget Responsibility (OBR) had estimated a deficit for the full year of £107.8bn.

The government wants to eliminate the budget deficit by 2017-18.

Borrowing in March fell to £6.7bn from £11.4bn a year earlier, excluding financial interventions, the Office for National Statistics (ONS) said.

Result only borrowing £107.7bn for deficit spending. Go GDP!

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What does excluding financial interventions mean?

I thought that ended years ago...are we in the financial black-ops era? I'll slip you a one trill note on the sly type stuff.

The bailout of RBS and Lloyds has been considered a 'temporary' liquidity provision for accounting purposes. This will change on September 1st when the obligation must be written down as debt under EU law. The other significant omission is interest on the national debt, currently running at c. £50bn/yr.

The suggestion that the financial position of the UK has improved in any way since 2010 is preposterous.

Edited by zugzwang

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remind me what we have sold in the last 12 months to bring in temporary cash?

Is that true, interest is not included?

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remind me what we have sold in the last 12 months to bring in temporary cash?

Is that true, interest is not included?

The Royal tour of Australia / NZ is doing wonders for online UK clothes retailers as 12 million women coo everything George / Kate are paraded in a new outfit :rolleyes:

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The Royal tour of Australia / NZ is doing wonders for online UK clothes retailers as 12 million women coo everything George / Kate are paraded in a new outfit :rolleyes:

ridiculous, but probably true.

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What about the coupon payments on Gilts held by the BoE being returned to the exchequer (or are the Govt just not even paying it in the first place now...)?

I'd bet that the reduction in costs due to having the central bank buy your own debt and effectively dodging paying any interest on it has helped lower the structural deficit by an appreciable percentage ....

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Seems only marginally down on last year. I forget the Obr forecast. I think they originally planned to have the deficit closed by election but now what 2017-18. Then start on the £1tn+ debt?

Are you serious? There's no way that Osborne or anyone else will balance the books in the next parliament. As soon as the credit impulse from HtB2 wears off the economy will be in trouble again. The briefest flirtation with deflation will be permitted and then the QE program will be vigorously expanded - this time to include MBS purchases and sundry crap the banking crooks haven't yet been able to run off their books. In effect, the UK equivalent of Abenomics (though naturally, that description will not be referred to ever) - an inflationary assault, perhaps combined with a gilt yield peg. Murderous financial repression that's a prelude to hyperinflationary default around 2020.

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http://www.bbc.co.uk/news/business-27125024

Result only borrowing £107.7bn for deficit spending. Go GDP!

still borrowing though.

running the country finances should be almost as straightforward as running the household finances.

if you have to resort to payday loans and wonga.com to keep the country afloat then you've got a problem.

so the people in charge are either:

a) incompetent and criminally negligent

b)genuinely spendaholic and need their credit cards cutting up

c) deliberate malfeasance.

d)all of the above.

perhaps it's to do with their "a-holic" philosophy that they still think it's ok to invite everybody round to the house for a party, to raid the fridge and the booze cabinet and create a racket, without their being some repercussions from those who actually have to LIVE in the house.

(and they ain't happy)

time to assert some basic house rules for these "guests" as to what behaviour is acceptable, and what is not.

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Are you serious? There's no way that Osborne or anyone else will balance the books in the next parliament. As soon as the credit impulse from HtB2 wears off the economy will be in trouble again. The briefest flirtation with deflation will be permitted and then the QE program will be vigorously expanded - this time to include MBS purchases and sundry crap the banking crooks haven't yet been able to run off their books. In effect, the UK equivalent of Abenomics (though naturally, that description will not be referred to ever) - an inflationary assault, perhaps combined with a gilt yield peg. Murderous financial repression that's a prelude to hyperinflationary default around 2020.

I mean in the forecast everything is rosy!

A comment at the link on the OBR forecast. I suppose the shortfall will all fall on spending cuts Rather than tax rises? I like the plan of setting the forecast high and then undershooting it but barely lower on the year on year.

http://www.publicfinance.co.uk/news/2014/04/government-met-2013-14-borrowing-target-ons-figures-show/

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Wow. £108bn defecit, £50bn of which is interest. F me.

In a two years the interest on the UK debt per year will be roughly the same as our entire infrastructure budget AND entire defence budget combined. Brilliant.

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