Public sector net debt in November as Q3 GDP growth revised to 16%. 31.6 billion Business News

Public Sector Net Credit in November. 31.6 billion – the third-highest loan in any month since records began in 1993.

This means that the public sector net debt for the first eight months of the fiscal year (April-November) was estimated at $ 240.9 billion. This is $ 188.6 billion more than the same point last year, with the highest public sector borrowing in the period from 1993 to April-November.

It was announced on Tuesday that the economic recovery in the third financial quarter was slightly faster than previously thought.

Office for National Statistics GDP grew by 16% between July and September – up from 15.5% in the previous estimate.

However, this did not offset the 18.8% drop seen in the April-June quarter, when most of the economy was shut down to control the spread of the corona virus.

The ONS said additional funding was needed to support the government’s corona virus support programs, coupled with reduced cash receipts and a slump in GDP seen at the beginning of the crisis, pushing debt to a level not seen since the early 1960s.

At the end of November 2020, public sector net debt (excluding public sector banks) was approximately 1 2.1trn, equivalent to 99.5% of GDP.

President Rishi Sunak said: “As part of our work plan, we have invested $ 280 billion to secure millions of jobs and businesses across the UK.

“It’s the right thing to do to protect lives and livelihoods during this acute phase of the crisis. When our economy recovers, it is appropriate to take the necessary steps to keep public funds more stable so we can respond to future crises the way we did this year.”

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