News | Politics I would like to be emailed about offers, event and updates from Evening Standard. Read our privacy notice . UK state debt rose to levels not witnessed for more than 60 years in May despite lower-than-expected Government borrowing, according to official figures.
The data, which comes only two weeks prior to the General Election, underscores the financial challenge facing the next Government, with both Labour and the Conservatives pledging to cut debt. The Office for National Statistics (ONS) found that public sector net debt as a proportion to UK GDP (gross domestic product) rose to 99.8% for the month.
This marks the highest reading since March 1961, the ONS said. Both Labour and the Conservative parties have said in the run up to the election that they will meet a fiscal rule to reduce the debt-to-GDP ratio over the next five years. Prime Minister Rishi Sunak promised to reduce debt as one of his five pledges at the start of 2023.
It came as the statistics body also revealed that public sector net borrowing hit £15 billion for the month. Initial data found public sector borrowing – the difference between Government spending and income – was £0.8 billion higher than the same month a year earlier.
It was also the third highest May since monthly records began in 1993. Nevertheless, this was £0.6 billion below forecasts from the Office for Budget Responsibility (OBR), the Government’s official forecaster, and was also less than economists had predicted.
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