| Labour Bankrupting the Country? ---
18 Feb 2010
"The government borrowed another £4.3bn last month to plug the growing hole in the UK's finances, figures show.
It is the first time the government has borrowed money in January - usually a bumper month for income from tax receipts - since records began in 1993.
Andrew Goodwin, senior economic adviser to the Ernst & Young ITEM Club, called the figures "pretty ghastly".
The UK's total borrowing for the financial year now totals more than £122bn.
January's borrowing figure, released by the Office for National Statistics, came as surprise to many economists.
They had expected to see a surplus in January's budget, allowing it to repay around £2.8bn of its debts.
But levels of income tax and capital gains tax received by the government were significantly lower than in previous years, the ONS said.
Tax receipts dropped 11.8% compared with January last year, when the government was able to repay £5.3bn.
Major challenge
"These are pretty ghastly figures and come as somewhat of a surprise," said Andrew Goodwin, senior economic adviser to the Ernst & Young Item Club.
"January usually yields a healthy surplus due to receipts from corporation tax and, even in the current climate, it is surprising to see the government rack up a deficit."
He added that the challenge of balancing the country's books was now even more apparent.
Chancellor Alistair Darling recently came under pressure from a number of leading economists to act more quickly in cutting the size of the budget deficit.
The government expects public sector borrowing to peak at £178bn this year - equivalent to 12.6% of GDP.
Mr Darling has pledged to halve that deficit in percentage terms over the next four years, but argues that making cuts sooner could harm the UK's recovery from recession.
The economy emerged from recession at the end of last year, growing by just 0.1%
Shadow chief secretary to the Treasury Philip Hammond called the latest figures "appalling", adding that total UK borrowing so far this year was equivalent to £4,800 for every British family"
It makes a depressing read and the only light at the end of the tunnel is that with the election only weeks away, the country has a chance to get rid of these idiots that currently run this country.
Vote Labour and vote for bankrupting the country!
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