Pound flat as UK public finances show January surplus
Currencies Direct February 22nd 2013 - < 1 minute read
The pound’s currency
exchange rate is flat today (February 22nd), after official
figures yesterday found the UK’s public finances recorded a surplus
for January.
According to the Office for National Statistics, last month’s
surplus was £5 billion higher than during the same month the year
before at £11.4 billion, but corporation tax receipts were lower by
13.5 per cent.
January often sees a surplus on account of an influx of tax money
from self-employed people and businesses and so economists
highlighted the fact it will still be difficult for the chancellor
to meet his borrowing target for the year.
Nevertheless, the month’s borrowing figures exceeded expectations,
but were complemented by a £3.8 billion windfall which the
government received from the Bank of England under a new agreement
that sees interest earned by the central institution on holding
government debt transferred back to the Treasury.
At 08:30 GMT, sterling was mostly flat in trading, slipping
marginally to 1.154 EUR and inching to 1.537 USD.
Written by
Currencies Direct