Higher debt interest payments pushed UK public sector borrowing up last month to much higher levels than economists were expecting, laying bare the challenges facing the next prime minister.
Public sector net borrowing was £20bn in September, £2.2bn more than in the same month last year, and the second highest September borrowing figure since monthly records began in 1993, according to data published by the Office for National Statistics on Friday.
The figure was much larger than the £14.8bn forecast in March by Office for Budget Responsibility, the UK’s official watchdog, and was also higher than the £17bn forecast by economists polled by Reuters.