£10BN SHORTFALL IN BROWN’S ACCOUNTS

by liamssoft | October 2, 2007 at 02:16 am

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Whilst most of the country are having to save money by cutting back on almost everything, the Government continues to spend money that they don't have.

TAXPAYERS could be hit with an average bill of £500 to help fill a looming hole in Britain’s accounts, a leading City think-tank has warned.

The UK economy is facing a drastic slowdown next year and the recent global “credit crunch” could yet bring more gloom.

But with Gordon Brown committed to huge budget increases in the public sector, taxpayers will have to fill the gap, says the Centre for Economic and Business Research (CEBR)

Economists believe that the shortfall could reach more than £10billion – equivalent to 3p on the basic rate of income tax or about £500 for an average taxpayer.

Economic data released last week shows that the Government has already borrowed about £3billion more than it expected in August, making a monthly total of £9.1billion.