Responding to the public sector finance numbers released by the Office for National Statistics today (Friday 19 August 2022), Alison Ring OBE FCA, Public Sector and Taxation Director for ICAEW, said:
“The latest numbers highlight the extent to which the fiscal outlook is worsening as the cost of borrowing rises, with record high energy costs, rapidly increasing prices and an economy close to recession expected to further drive up public spending in this and the next financial year.
“The UK’s deteriorating fiscal situation will make it hard for the new Prime Minister to deliver on promised tax cuts, invest in energy resilience and support struggling families and businesses over the winter, without breaching fiscal rules intended to ensure the long-term health of the public finances.”