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UK Borrowing Drops to £11.6 Billion as Tax Receipts Surge

1/22/2026

22 4 Full Breakdown

Summary

Story summary

UK borrowing fell to £11.6 billion in December, from £18.7 billion a year earlier, according to the Office for National Statistics.
The decrease was driven by tax receipts, which were £7.7 billion higher than the previous year.
James Murray, Chief Secretary to the Treasury, said the government aims to cut borrowing more than any other G7 country.

History

Historical Context

In 2010, the UK government implemented austerity measures to tackle a national debt exceeding £1 trillion, which had surged due to the 2008 financial crisis. By 2023, the government reported a significant reduction in borrowing to £11.6 billion, aiming to decrease debt more aggressively than any other G7 nation, potentially reshaping the UK's fiscal policy and economic stability.

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Story summary

UK borrowing fell to £11.6 billion in December, from £18.7 billion a year earlier, according to the Office for National Statistics.
The decrease was driven by tax receipts, which were £7.7 billion higher than the previous year.
James Murray, Chief Secretary to the Treasury, said the government aims to cut borrowing more than any other G7 country.

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