Government borrowing at its lowest rate since the financial crisis of 2008

Figures have fallen

In the year to the end of March, government borrowing managed to fall by £20bn to £52bn, this is according to official data.

The Office for National Statistics said this figure is also the lowest since the financial crisis of 2008.

The Office for Budget Responsibility (OBR) had forecast the deficit would be slightly lower at £51.7bn.

The OBR believes that government borrowing will rise again this year due to a fall in tax receipts.

The Chancellor, Philip Hammond has said he would like to cut the deficit at a slower rate than his predecessor George Osborne.

John Hawksworth, an economist at PwC, said: “It is good news that the deficit is coming down, but it is too soon to be complacent about the state of the public finances.

“As the OBR said last month, a number of one-off factors relating to the timing of tax receipts and spending flattered the deficit figures for 2016-17 but are likely to be reversed in 2017-18.”

“So, while the deficit is now approaching a more sustainable level, there will still be some tough choices ahead on tax and spending for the next government,”