BBCNEWS BBC News June 4, 2024 15:12:00
Official forecast from the 0br suggests the economy is growing by a.2% this year but it is now in recession and will shrink by 1.a% next year. that means less tax rolling in from vat and income tax and the government will spend more in interest on its debt because interest rates are rising and more on benefits as the recession takes hold and unemployment goes up. it is worth remembering that rishi sunak borrowed £318 billion two years ago to cope with the pandemic. but it was manageable, partly because the bank of england were buying the bonds government issues when it borrows money. governme...