IEA responds to July 2021 public sector finance figures
20 August 2021
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In the Media
In the Media
Professor Len Shackleton writes for The Telegraph
22 August 2021
Economic Theory
Commenting on the public sector finance figures, published by the ONS today, Julian Jessop, Economics Fellow at free market think the Institute of Economic Affairs, said:
“Today’s data on the UK public finances make the point that the best way to get the debt burden down is to grow the economy, rather than hike taxes or slash spending.
“Monthly borrowing is continuing to undershoot the OBR’s latest forecasts as the economy recovers more quickly than expected.
“Public sector net debt was actually lower at the end of July as a share of national income (98.8%) than June (99.7%). This measure of the debt burden is at least as important as the figure in billions of pounds.
“The ONS estimate of the debt-to-GDP ratio topped 100% in May 2020 and then again in July last year, before being revised down. These revisions also reflected stronger economic growth.”
ENDS
Notes to editors
Contact: Emily Carver, Head of Media, 07715 942 731
IEA spokespeople are avaialble for interview and further comment.
“Today’s data on the UK public finances make the point that the best way to get the debt burden down is to grow the economy, rather than hike taxes or slash spending.
“Monthly borrowing is continuing to undershoot the OBR’s latest forecasts as the economy recovers more quickly than expected.
“Public sector net debt was actually lower at the end of July as a share of national income (98.8%) than June (99.7%). This measure of the debt burden is at least as important as the figure in billions of pounds.
“The ONS estimate of the debt-to-GDP ratio topped 100% in May 2020 and then again in July last year, before being revised down. These revisions also reflected stronger economic growth.”
ENDS
Notes to editors
Contact: Emily Carver, Head of Media, 07715 942 731
IEA spokespeople are avaialble for interview and further comment.
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