The UK’s public borrowing rose to another record high last month as a result of the mounting cost of the government’s energy support schemes and soaring debt interest.
According to the latest figures released by the Office for National Statistics (ONS), UK public sector borrowing reached £27.4 billion in December 2022, the highest December figure since monthly records began in January 1993.
The figure was £16.7 billion more than the same month a year earlier, largely driven by a sharp rise in spending on energy support schemes and an increase in debt interest.
To protect British households against high energy prices exacerbated by the Russian invasion of Ukraine, the UK government launched the Energy Bills Support Scheme, which is paying out £400 to households over a six-month period, and the Energy Price Guarantee, which has capped annual energy costs to £2,500 for a typical household….