Spring statement: Loan numbers give Rishi Sunak a' turning point.'

An influential economist said the Chancellor had "places to move" to cope with rising living costs. Sir Charlie Bean says Rishi Sunak could have as much as £50bn "to play" ahead of Wednesday's spring declaration. The new official figures also show that the Government borrowed less than expected this year.

This comes with increasing pressure on Chancellor Rishi Sunak to take action to combat rising costs. Charities and politicians increasingly called on the Chancellor to address the mounting pressure on bylaws during Wednesday's spring statement, where he will present an update on economic developments and some policy updates.

However, Sunak said the priority is reducing the amount the Government has to borrow to bridge the gap between what it borrows and its income. The Office for National Statistics (ONS) said government borrowing was £138.4 billion in the financial year to February. This is the third-highest figure since records began in 1993, although it is still less than £21.2 billion of the Office for Budgetary Responsibility (OBR) estimate.

Sir Charlie Bean, who is responsible for economic forecasts at the Government's independent forecaster, the Office of Budget Accountability, told BBC Today that rising inflation and better tax receipts would mean the Chancellor had more "slack" in the spring could have a statement on Wednesday.

According to new data, the government took £53.7 billion in taxes in February, up more than £4 billion from a year earlier. He suggested it could mean Mr. Sunak could even have between £25bn and £50bn to 'play,' depending on how the Independent Household Auditor expects the cost of living to change over the next few years.

The government borrows the amount to cover the difference between what is spent and collected is called "net public sector borrowing." He borrows because he spends more than he earns, mainly from taxes such as VAT or income taxes. It does this by lending a bond - a promise to make payments to whoever holds it by a specific date - essentially an "IOU" with interest.

According to ONS data, rising inflation pushed government interest payments to a new record in February. Interest payments totaled £8.2 billion last month, the highest since February when records began in April 1997, up £1 billion year-on-year. 

In recent years the Government has borrowed billions of pounds to spend on measures designed to limit the impact of the Covid pandemic, such as B. holiday policies.