New data from the Office for National Statistics shows the UK’s budget deficit between April and July was around £11.4 billion less than the Office for Budget Responsibility (OBR) forecast in March’s budget, with the actual figure at £56.6 billion. In July, tax receipts were £3.4 billion higher than twelve months ago. The Chancellor again has more headroom to slash taxes than the OBR gods foretold…

Commenting this morning, Hunt said:

“As inflation slows, it’s vital that we don’t alter our course and continue to act responsibly with the public finances.”

As Julian Jessop points out, borrowing and debt are both still higher than they should be – the way out is to go for growth. The election is about a year away; tax cuts are needed now to lift growth…