Showing posts with label current deficit. Show all posts
Showing posts with label current deficit. Show all posts
Monday, 25 October 2010
Euro External Deficit Cut To 37.1bn
The EU27 had an external current account deficit of 37.1bn euro in Q2 2010 from 42.1bn euro in Q2 2009 and 31.8bn euro in Q1 2010. The trade in service balance was 19.3bn euro and the balance was -1.2% of GDP. In the euro area (EA16) the deficit was 23.1bn euro the balance of trade in services was 11.9bn euro and the balance as a percentage of GDP was 1%.
Wednesday, 15 September 2010
Euro Services Growth Slows Deficit Growth
The external current account of the EU27 recorded an external current account deficit of 50.8bn euro for Q2 2010. In Q2 2009 the deficit was 44.7bn euro and in Q1 2010 it was 34.8bn euro. There was an external trade balance of 18.6bn euro in services compared with 16.4bn euro in Q2 2009 and 10.8bn euro in Q1 2010.
Wednesday, 21 July 2010
Budget Deficit Higher Than Last Year
The most recent estimates of public sector finances from the ONS say that in June 2010 there was a current budget deficit of £12.6bn but if the financial interventions are excluded from the figure the current budget deficit is £13.3bn, £1.1bn higher than in June 2009.
Public sector net borrowing (PSNB) was £14.5bn compared with £14.7bn in June 2009. If financial interventions are excluded PSNB for June 2010 was £15.2bn, £0.3bn higher than June 2009. On a financial year basis PSNB was £40.3bn April-June 2010 compared with £40.9bn in the same period in 2009. Public sector net debt (PSND) was £926.9bn or 63.9% of GDP but without the financial interventions the PSND was £813.7bn or £56.1% of GDP from £664bn at the end of June 2009 which was equivalent to 47.7% of GDP. Public sector net investment of £1.9bn compared with £2.8bn in June 2009.
The public sector net cash requirement was £20.9bn, £0.7bn higher compared with the requirement of £20.2bn in June 2009. Central government borrowing was £15.3bn compared with £19bn in 2009. Total current receipts were £37bn, current expenditure was £49.3bn and with depreciation at -£0.6bn the current budget was -£12.9bn. Local government borrowing was £0.1bn compared with -£0.1bn in 2009.
Public sector net borrowing (PSNB) was £14.5bn compared with £14.7bn in June 2009. If financial interventions are excluded PSNB for June 2010 was £15.2bn, £0.3bn higher than June 2009. On a financial year basis PSNB was £40.3bn April-June 2010 compared with £40.9bn in the same period in 2009. Public sector net debt (PSND) was £926.9bn or 63.9% of GDP but without the financial interventions the PSND was £813.7bn or £56.1% of GDP from £664bn at the end of June 2009 which was equivalent to 47.7% of GDP. Public sector net investment of £1.9bn compared with £2.8bn in June 2009.
The public sector net cash requirement was £20.9bn, £0.7bn higher compared with the requirement of £20.2bn in June 2009. Central government borrowing was £15.3bn compared with £19bn in 2009. Total current receipts were £37bn, current expenditure was £49.3bn and with depreciation at -£0.6bn the current budget was -£12.9bn. Local government borrowing was £0.1bn compared with -£0.1bn in 2009.
Wednesday, 23 June 2010
Budget 2010
The main budget announcements from the five-year plan set out by Chancellor of the Exchequer George Osborne yesterday set out actions to reduce the budget deficit, to introduce a 'fairer' tax system, encourage enterprise and support long-term growth in the economy. The Coalition Government's three core values of responsibility, freedom and fairness are the basis for the Budget intentions to help rebalance the economy and provide conditions for sustainable growth.
In order to reduce the deficit the Chancellor has set a fiscal mandate to achieve a current balance by the end of the five-year period 2015-16; a target for debt to ensure sustainable public finances; spending reductions of £31.9bn/year by 2014-15 and tax increases of £8.2bn; £29.8bn of savings from current expenditure and £2.2bn from gross public investment; increase in VAT to 20%; indurance Premium Tax to 6%; a two year pay freeze on public sector pay (except those on less than £21,000pa who will get an additional £250).
Conditions for enterprise and sustainable growth were also set out to make UK more competitive by reducing regulation and providing tax breaks. Corporation tax rates will be reduced from 28% to 24%; the small profits rate will be reduced from 21% to 20%; NICs holiday for new businesses in certain areas; an increase in the Enterprise Finance Guarantee and a new Enterprise Capital Fund; a Regional Growth Fund in 2011-12 and 2012-13 for increases in business employment and growth.
The deficit reduction burden will be shared, the Budget says, by refocusing the tax and benefit framework and 'protecting the most vulnerable in society'. The Government want to encourage people to take personal responsibility, work hard and save responsibly. The personal allowance for under 65s will be increased by £1,000 to £7475 in 2011-12 taking 880,000 out of income tax; capital gains tax increase from 18% to 28% for higher rates and an extension of the 10% rate for entrepreneurial activites from first £2m to first £5m of qualifying gains made over a lifetime; a council tax freeze; a levy on banks balance sheets from January 2011. The basic State Pension will be uprated by a triple guarantee of earnings or 2.5% whichever is highest, from April 2011; reduction in tax credits for those with household income over £40,000 from £50,000; reducing annual allowance of pension tax relief; indexing benefits to the CPI instead of the RPI to reflect more fairly benefits claimants experiences.
The Government added that the Budget measures will pay for the past and plan for the future. They represent a first step in the transformation of the economy, rebalancing growth and lead to sustainable, private sector led growth.
In order to reduce the deficit the Chancellor has set a fiscal mandate to achieve a current balance by the end of the five-year period 2015-16; a target for debt to ensure sustainable public finances; spending reductions of £31.9bn/year by 2014-15 and tax increases of £8.2bn; £29.8bn of savings from current expenditure and £2.2bn from gross public investment; increase in VAT to 20%; indurance Premium Tax to 6%; a two year pay freeze on public sector pay (except those on less than £21,000pa who will get an additional £250).
Conditions for enterprise and sustainable growth were also set out to make UK more competitive by reducing regulation and providing tax breaks. Corporation tax rates will be reduced from 28% to 24%; the small profits rate will be reduced from 21% to 20%; NICs holiday for new businesses in certain areas; an increase in the Enterprise Finance Guarantee and a new Enterprise Capital Fund; a Regional Growth Fund in 2011-12 and 2012-13 for increases in business employment and growth.
The deficit reduction burden will be shared, the Budget says, by refocusing the tax and benefit framework and 'protecting the most vulnerable in society'. The Government want to encourage people to take personal responsibility, work hard and save responsibly. The personal allowance for under 65s will be increased by £1,000 to £7475 in 2011-12 taking 880,000 out of income tax; capital gains tax increase from 18% to 28% for higher rates and an extension of the 10% rate for entrepreneurial activites from first £2m to first £5m of qualifying gains made over a lifetime; a council tax freeze; a levy on banks balance sheets from January 2011. The basic State Pension will be uprated by a triple guarantee of earnings or 2.5% whichever is highest, from April 2011; reduction in tax credits for those with household income over £40,000 from £50,000; reducing annual allowance of pension tax relief; indexing benefits to the CPI instead of the RPI to reflect more fairly benefits claimants experiences.
The Government added that the Budget measures will pay for the past and plan for the future. They represent a first step in the transformation of the economy, rebalancing growth and lead to sustainable, private sector led growth.
Thursday, 18 March 2010
Public Sector Finances For February
The public sector finances bulletin from the ONS says that there was a current budget deficit of £6bn in February 2010, net borrowing of £12.4bn and net debt of £857.5bn at the end of February 2010. This compares with a current budget deficit of £2.5bn, net borrowing of £8.8bn and net debt of £712.4bn in February 2009.
The public sector net borrowing figure is represented by net investment of £6.3bn and the current budget deficit of £6bn compared to the £2.5bn deficit of 2009 accounts for the change in the borrowing figure. The components of public sector borrowing are central government at £11.3bn, local government at £2.2bn and public corporations at-£1.1bn. There is quite a difference in borrowing between April-February 2008-9 and 2009-2010 with an increase of £69bn in central government borrowing accounting for the vast majority of it.
Net borrowing excluding financial interventions for Q3 2009 was £49.4bn and net debt excluding financial interventions at the end of December 2009 increased to £741.6bn from £596.9bn in the previous year.
Total current receipts were £42.6bn in February 2010 comapred with £41.1bn in 2009. Total current expenditure was £48.6bn in February 2010 compared with £42.3bn in 2009. The public sector net cash requirement was £7.7bn, £3bn more than in February 2009.
The public sector net borrowing figure is represented by net investment of £6.3bn and the current budget deficit of £6bn compared to the £2.5bn deficit of 2009 accounts for the change in the borrowing figure. The components of public sector borrowing are central government at £11.3bn, local government at £2.2bn and public corporations at-£1.1bn. There is quite a difference in borrowing between April-February 2008-9 and 2009-2010 with an increase of £69bn in central government borrowing accounting for the vast majority of it.
Net borrowing excluding financial interventions for Q3 2009 was £49.4bn and net debt excluding financial interventions at the end of December 2009 increased to £741.6bn from £596.9bn in the previous year.
Total current receipts were £42.6bn in February 2010 comapred with £41.1bn in 2009. Total current expenditure was £48.6bn in February 2010 compared with £42.3bn in 2009. The public sector net cash requirement was £7.7bn, £3bn more than in February 2009.
Friday, 19 February 2010
Higher Borrowing Lower Budget Surplus
In January 2010, public sector net borrowing (PSNB) was £4.3bn which is £9.6bn higher than in 2009 when there was net lending of £5.3bn. The current budget surplus was £1.2bn, but it is a lower surplus than January 2009 when it was £10.2bn. Public sector net investment was £5.5bn. Central government borrowing was £2.96bn and local government was £1.96bn, public corporations reported a negative borrowing figure of £591bn giving the £4.3bn PSNB figure. The public sector net cash requirement was -£11.770bn compared to the -£24.853bn net cash requirement of January 2009. Public sector net debt was £848.5bn, equivalent to 59.9% of GDP compared to 50% GDP last year and 61.4% last month.
The financial interventions made by the government affected public sector net debt and public sector net borrowing because public sector banks, the special liquidity scheme and the asset purchase facility transactions with the financial sector were excluded from the PSNB statistics. There were a number of public sector bank transactions with the government, equity and capital injections and depositor compensations included in PSNB.
The central government account shows total current receipts were £50.5bn, total current expenditure was £49.5bn and depreciation was -£0.6bn giving a current budget £0.4bn. Taxes on income and wealth made the largest contribution to central government receipts with £19.45bn followed by taxes on production with £13.6bn and compulsory social contributions with £8bn. The largest contributors to central government current expenditure were net social benefits with £13.99bn and 'others' with £31.23bn according to the ONS statistical bulletin on public sector finances.
The financial interventions made by the government affected public sector net debt and public sector net borrowing because public sector banks, the special liquidity scheme and the asset purchase facility transactions with the financial sector were excluded from the PSNB statistics. There were a number of public sector bank transactions with the government, equity and capital injections and depositor compensations included in PSNB.
The central government account shows total current receipts were £50.5bn, total current expenditure was £49.5bn and depreciation was -£0.6bn giving a current budget £0.4bn. Taxes on income and wealth made the largest contribution to central government receipts with £19.45bn followed by taxes on production with £13.6bn and compulsory social contributions with £8bn. The largest contributors to central government current expenditure were net social benefits with £13.99bn and 'others' with £31.23bn according to the ONS statistical bulletin on public sector finances.
Friday, 20 November 2009
Government Spending Up But Not As Much As Predicted
Public sector finances statistics from the ONS suggest the public sector had a current budget deficit of £7.7bn in October and net borrowing of £11.4bn, £11.3bn higher than 2008, when borrowing was £0.1bn. The deficit is £9.9bn higher than last year when there was a surplus of £2.2bn. Public sector net investment was £3.7bn in October 2009 as against £2.3bn last year.
Current receipts to central government totalled £41bn in October down 9.1% from £45.2bn last October. Receipts for the April to October quarter were also down on last year. So far this financial year receipts have been 10% lower than last year compared to the 7.7% predicted in the 2009 Budget. Current expenditure was up 10.2% to £48.6bn in October 2009 from £44.1bn in 2008 and were also up on the quarter. Spending so far this financial year is 6% higher than last year. The 2009 Budget predicted it would be 7.5% higher than last year.
The public sector net cash requirement was £5.9bn, £8.4bn higher than in 2008 when the cash requirement was £-2.5bn. Net investment for the financial year so far is 61% higher than last year at £18.7bn, the 2009 Budget predicted £43.8bn or 24%.
Current receipts to central government totalled £41bn in October down 9.1% from £45.2bn last October. Receipts for the April to October quarter were also down on last year. So far this financial year receipts have been 10% lower than last year compared to the 7.7% predicted in the 2009 Budget. Current expenditure was up 10.2% to £48.6bn in October 2009 from £44.1bn in 2008 and were also up on the quarter. Spending so far this financial year is 6% higher than last year. The 2009 Budget predicted it would be 7.5% higher than last year.
The public sector net cash requirement was £5.9bn, £8.4bn higher than in 2008 when the cash requirement was £-2.5bn. Net investment for the financial year so far is 61% higher than last year at £18.7bn, the 2009 Budget predicted £43.8bn or 24%.
Thursday, 27 August 2009
Government Receipts Down, Spending On Target
The latest public sector finances statistics from the ONS show that in July the public sector had a current budget deficit of £5.1bn and net borrowing of £8bn. At the end of July net debt was £800.8bn or 56.8% of GDP.
The public sector current deficit is £13bn higher than last year when there was a surplus of £7.8bn and the net borrowing is £13.2bn higher than last year when the public sector was lending net of £5.2bn. Latest figures for net debt without financial sector intervention are for June when net debt was £658.1 or 46.6% of GDP. Whereas last year the public sector made a repayment of £14.5bn the net cash requirement for July this year was £0.2bn an increase of £14.7bn. Comparing the net debt shows that last year the net debt was 43.5% of GDP at £627.2bn.
Government receipts were 15.3% lower than the same month last year and government spending was 7.5% higher. Net investment was £2.9bn compared with £2.6bn last year. The Institute of Fiscal Studies said that receipts of Corporation Tax and VAT collapsed to two-thirds of their July 2008 level more than the Treasury predicted in the Budget over the year. Spending is increasing as predicted. They also add that there are good reasons to expect a better performance in revenues over the next few months. The reversal of the VAT cut scheduled for the end of 2009 is one of them.
The public sector current deficit is £13bn higher than last year when there was a surplus of £7.8bn and the net borrowing is £13.2bn higher than last year when the public sector was lending net of £5.2bn. Latest figures for net debt without financial sector intervention are for June when net debt was £658.1 or 46.6% of GDP. Whereas last year the public sector made a repayment of £14.5bn the net cash requirement for July this year was £0.2bn an increase of £14.7bn. Comparing the net debt shows that last year the net debt was 43.5% of GDP at £627.2bn.
Government receipts were 15.3% lower than the same month last year and government spending was 7.5% higher. Net investment was £2.9bn compared with £2.6bn last year. The Institute of Fiscal Studies said that receipts of Corporation Tax and VAT collapsed to two-thirds of their July 2008 level more than the Treasury predicted in the Budget over the year. Spending is increasing as predicted. They also add that there are good reasons to expect a better performance in revenues over the next few months. The reversal of the VAT cut scheduled for the end of 2009 is one of them.
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