LONDON: UK government borrowing fell in April as easing virus curbs buoyed economic activity, but remains elevated owing to emergency Covid support, official data showed Tuesday. Public sector net borrowing slid to £31.7 billion ($45 billion, 37 billion euros) last month, the Office for National Statistics said. However, borrowing still stood at the second highest ever level for the month.
And it compared with a record £47.3 billion in April 2020 when at the height of the Covid crisis. "The public finances started fiscal year 2021/22 with a large shortfall in April as the economy continued to receive... support," noted financial services giant EY in a note. "However, the deficit was well below the record level seen in April 2020 when the double-digit economic contraction had a significant impact on (tax) receipts." The ONS revised down slightly its estimate for last year's total deficit.
Borrowing still ballooned to a record £300.3 billion in the year to March, the highest level since World War II.
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