Scandal-hit Brazilian oil company Petrobras received £250 million from the UK taxpayer last year, extending its credit line to over £1.1 billion. While loans to companies buying British goods is fairly standard practice, the government decided to extend Petrobras’ line of credit after it became embroiled in a huge corruption and bribery scandal that led to the impeachment of President Dilma Rousseff. What’s worse, the state-owned company has had a plummeting credit rating in recent months, with Moody’s giving them a rating of B3 and the Wall Street Journal calling them “the World’s most indebted oil company”. What could go wrong?
New figures from the Office for National Statistics show that – shocker – Osborne has missed his borrowing targets again. The 2015/16 financial year left a budget deficit of £74 billion, that’s £1.8 billion more than the ONS’ £72.2 billion forecast. Net public sector debt is just shy of £1.6 trillion.
Osborne has missed every single deficit target he has set himself. He asked us to judge him on how well he tackled the deficit, well he missed his borrowing target for 2015/16, he missed his balanced budget target for 2015, he’ll miss his new adjusted target for 2016 and his overall balanced budget target for 2020.
The Treasury are focusing on the fact that March saw the lowest public borrowing in a decade. A mere £4.8 billion…