FX.co ★ UK Public Borrowing More Than Expected

In October 2025, the UK public sector net borrowing, excluding public sector banks, decreased to £17.4 billion from £19.3 billion the previous year, though it surpassed market predictions of £15.2 billion. The rise in total public sector spending by £4.5 billion was primarily due to increased expenses related to public services and benefits, which was somewhat counterbalanced by a reduction in interest payments on central government debt. Concurrently, total receipts saw a boost of £6.3 billion, fueled by increased central government tax revenues and National Insurance contributions.