Hertfordshire Chamber of Commerce & Industry : BCC: Good progress on public finances, but huge task still ahead

• In December 2015, public sector borrowing, excluding public sector banks, was £4.3 billion lower than in December 2014
• In the current financial year to date (April-December 2015) public sector net borrowing, excluding public sector banks, was £11.0 billion lower than in the same period in 2014
• Public sector net debt, excluding public sector banks, at the end of December 2015 was 81.0% of GDP

Commenting on the public sector finance figures for December 2015, published today by the ONS, David Kern, BCC Chief Economist, said:

'After November's setback, the marked improvement in December makes it likely that public finances will show an overall improvement in the current financial year, and there is a chance that the OBR's forecast made in the Autumn Statement will be met.

'There is still no room for complacency, and the task ahead remains huge. The weaker financial sector and depleted oil and gas output mean that the UK's ability to generate tax receipts has experienced a long-term decline, and we must adjust our public spending plans to this reality and do more to boost our tax base.'