Government Borrowing Up 0.2%

The lastest bulletin on public sector finances from the ONS and HM Treasury tells us that the current budget deficit (excluding the temporary effect of financial interventions) in March 2012 was £11.1bn, £0.8bn higher than in March 2011. Net borrowing (PSNB) was £18.2bn, £0.2bn higher than last year. The borrowing total is made up of borrowing by central government was £8.8bn, local government £8.8bn,m public corporations £0.6bn. Net debt (PSND) was £1022.5bn or 66% of GDP compared with £905.3bn at the end of March 2011. Public sector net investment was £7.1bn.

An Increase In UK Foreign Currency Reserves

A recent press notice concerning official holdings of international reserves from HM Treasury and the ONS shows that in December 2010 the UK Government's net foreign currency reserves stood at $38,366m, up $976m. Gross reserves were up $2,836m to $78,801m. The Bank of England's net level of reserves were up $18m to $2m and the gross level of holdings was up $2,890m to $27,500m.

There were no intervention operations in December 2010 to support sterling by the Government of by the Bank of England to support their monetary policy objectives.