Public sector debt rises less than forecast in May

Suzie Neuwirth

PUBLIC sector net borrowing rose to £10.5bn in May, from £6.6bn in April, a smaller increase than economists’ forecasts of £13.8bn.

The news of less-than-expected expenditure comes ahead of the government’s Comprehensive Spending Review next week, which will set out budgets for the coming years.

The last spending review was held after the 2010 general election and saw a swathe of government cuts to departmental budgets.