Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

The City roundup video: Osborne facing £16bn black hole

Video: Alex Lawson provides a run-down of the day's major news from the City

Alex Lawson
Friday 21 November 2014 14:10 GMT
Comments
British Chancellor of the Exchequer George Osborne visits the Relish cafe to meet with local people (unseen) on October 24, 2014 in Beeston, England.
British Chancellor of the Exchequer George Osborne visits the Relish cafe to meet with local people (unseen) on October 24, 2014 in Beeston, England.

Don't miss out on the goings on in the business world, with our daily round-up of the biggest news from the City.

Economists warned today that George Osborne's target of cutting the deficit this year looks impossible.

It comes as new figures show the Treasury borrowed £7.7 billion in October. So far this year the Government has racked up £3.7 billion more debt than it has this time last year - well-ahead of forecasts.

So why is Osborne still borrowing too much? While the economy has recovered over the past few years, wages haven't kept pace, meaning the Government hasn't been able to collect as much tax as hoped.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in