Today’s figures for public borrowing reinforce the need to control spending. Public sector borrowing is up from £16.79 bn last year in November to a stunning £22.774billion this November. Tax revenues are up as well.
Professor Tim Congdon has recently pointed out that over the last year our financial service exports are down by £10 billion, or around one fifth lower. He thinks this is the price for the bank levy, the balance sheet tax and the other moves against the sector. If so, it could prove costly in terms of lost revenues.