UK borrows less than expected in June in boost for Burnham

Figure of £16bn from ONS comes after new prime minister revealed plans to cut VAT on electricity bills

• https://www.theguardian.com/global/live/2026/jul/21/burnham-cuts-vat-electricity-bills-uk-borrowing-debt-economy-news-latest">Business live – latest updates

The UK government borrowed less than expected in June, in a boost for Andy Burnham as he set out plans to https://www.theguardian.com/politics/2026/jul/21/burnham-announces-plans-to-cut-vat-on-electricity-bills-as-first-cost-of-living-move">cut VAT on household electricity bills and promised a new direction for the British economy.

The https://www.ons.gov.uk/economy/governmentpublicsectorandtaxes/publicsectorfinance/bulletins/publicsectorfinances/june2026">Office for National Statistics (ONS) said public sector net borrowing – the difference between government spending and income – was £16bn last month, £7.9bn less than in June 2025.