UK borrowing hits record highs

UK borrowing reached the highest levels since records began in 1993.

In February, the UK government borrowed £19.1bn according to figures from the Office for National Statistics

“Governments around the world are borrowing eye watering amounts to keep their respective economies afloat as the lockdowns have stifled growth and the UK is no different,” said David Madden, market analyst at CMC Markets UK.

“Earlier this month, Rishi Sunak, Britain’s Chancellor of the Exchequer, revealed various schemes to provide much needed assistance to the economy, so the national debt is on track to keep on increasing in the months ahead.

“Debt levels make interesting headlines but in reality, the sums involved are unlikely to impact the pound. Bond yields have been in focus lately and should the yield on the 10-year gilt top 1%, that could attract negative attention for sterling,” he added.