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27/10/2008
Prime Minister Defends Higher Borrowing Plans
Britain's Prime Minister has defended plans to increase Government borrowing in order to head off the worst of the current financial crisis.
Responding to criticism of Britain's plans to "spend" its way out of the economic downturn, Prime Minister Gordon Brown has insisted higher borrowing is the "responsible" thing to do.
The PM has come under attack for plans to borrow to fend off the recession and tackle the economic downturn, with senior economists warning he has already committed the country to high debt levels.
However, speaking to business leaders today at Imperial College London, Mr Brown said the government was acting in a "responsible" manner to increase spending at this time to "support economic activity".
He added: "We will and can allow borrowing to rise and help restore demand and to come to the aid of workers, businesses and homeowners.
"We have already combined targeted support through the tax system - such as the temporary increase in stamp duty thresholds, the freeze in fuel duty and the £120 tax rebate for basic-rate taxpayers - with a commitment to maintain the necessary government investment to enable Britain to benefit from the upturn."
Mr Brown continued: "Through our actions we are both supporting families and businesses now and helping them prepare for the future. That is why the responsible course is to borrow now to maintain growth and output and to reduce borrowing as a proportion of GDP as the economy recovers and tax receipts rise again."
A group of senior economists, however, have criticised the Government's "misguided and discredited" plans, and have instead recommended tax cuts as an alternative.
Mr Brown's comments came during further drops in the worldwide stock markets, as the FTSE 100 index fell almost 4% in London, and news house prices in the UK will not reach the levels they peaked at last year, until 2013.
(JM)
Responding to criticism of Britain's plans to "spend" its way out of the economic downturn, Prime Minister Gordon Brown has insisted higher borrowing is the "responsible" thing to do.
The PM has come under attack for plans to borrow to fend off the recession and tackle the economic downturn, with senior economists warning he has already committed the country to high debt levels.
However, speaking to business leaders today at Imperial College London, Mr Brown said the government was acting in a "responsible" manner to increase spending at this time to "support economic activity".
He added: "We will and can allow borrowing to rise and help restore demand and to come to the aid of workers, businesses and homeowners.
"We have already combined targeted support through the tax system - such as the temporary increase in stamp duty thresholds, the freeze in fuel duty and the £120 tax rebate for basic-rate taxpayers - with a commitment to maintain the necessary government investment to enable Britain to benefit from the upturn."
Mr Brown continued: "Through our actions we are both supporting families and businesses now and helping them prepare for the future. That is why the responsible course is to borrow now to maintain growth and output and to reduce borrowing as a proportion of GDP as the economy recovers and tax receipts rise again."
A group of senior economists, however, have criticised the Government's "misguided and discredited" plans, and have instead recommended tax cuts as an alternative.
Mr Brown's comments came during further drops in the worldwide stock markets, as the FTSE 100 index fell almost 4% in London, and news house prices in the UK will not reach the levels they peaked at last year, until 2013.
(JM)
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29 September 2010
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The Bank of England has said UK consumers repaid more unsecured debt than they took out in new loans during the month of August. Since November 2009, net consumer credit, including overdrafts, personal loans and credit card borrowing, fell substantially by £120m.
UK's Unsecured Debt Being Repaid
The Bank of England has said UK consumers repaid more unsecured debt than they took out in new loans during the month of August. Since November 2009, net consumer credit, including overdrafts, personal loans and credit card borrowing, fell substantially by £120m.
06 November 2003
UK interest rate rises 0.25%
The Bank of England has announced a quarter-of-one-per cent rise in the UK base lending rate. The first upward movement in interest rates take the UK rate to 3.75% as the Bank's Monetary Policy Committee (MPC) seek to cool the housing sector without placing pressure on beleagured manufacturers.
UK interest rate rises 0.25%
The Bank of England has announced a quarter-of-one-per cent rise in the UK base lending rate. The first upward movement in interest rates take the UK rate to 3.75% as the Bank's Monetary Policy Committee (MPC) seek to cool the housing sector without placing pressure on beleagured manufacturers.
23 April 2013
Slight Fall In Government Borrowing
The amount of borrowing by the UK Government has fallen to £120.6bn over the last financial year, the Office for National Statistics has said. Borrowing also fell in the month of March, from £16.7bn in 2012 to £15.1bn in 2013, as spending cuts across various Government departments began.
Slight Fall In Government Borrowing
The amount of borrowing by the UK Government has fallen to £120.6bn over the last financial year, the Office for National Statistics has said. Borrowing also fell in the month of March, from £16.7bn in 2012 to £15.1bn in 2013, as spending cuts across various Government departments began.
07 April 2010
Electioneering Goes Nationwide
Great Britain's three main political parties today stepped up their national election campaigns on the second day of official canvassing. Gordon Brown held his final Prime Minister's Questions in the Commons, before the House dissolves next week.
Electioneering Goes Nationwide
Great Britain's three main political parties today stepped up their national election campaigns on the second day of official canvassing. Gordon Brown held his final Prime Minister's Questions in the Commons, before the House dissolves next week.
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Northern Ireland WeatherToday:After a dry start this morning rain will spread from the northwest across all parts. This afternoon will be dull with some patchy rain and drizzle. Becoming much milder through the afternoon. Maximum temperature 11 °C.Tonight:A cloudy evening and night with a little light rain or drizzle, perhaps some clear periods developing along the east coast. A very mild night everywhere. Minimum temperature 10 °C.
