North Swindon MP Justin Tomlinson has welcomed news that the UK deficit has fallen to its lowest level in 13 years.
The Office for National Statistics released figures this week which show that the deficit has fallen to its lowest level since 2005.
The reduction has been fuelled by rising employment, which has led to growing income tax, capital gains tax and VAT receipts. Income tax and capital gains receipts have increased 7.5% compared with the same month last year, while VAT receipts increased 5.4% year on year.
Falling government spending has also helped reduce the deficit, with public sector borrowing is £6.25bn less than analysts predicted – according to independent statistics.
The reduction in the deficit means that the Government will be able to spend more money on public services, such as the NHS – helping the Government fulfil its pledge of a 3.4% increase in spending on the NHS
Justin Tomlinson MP said: “These are excellent figures, which show the Government’s balanced approach to the economy is working. With more people in work and growing confidence in our economy we can secure bigger tax yields – which can then be invested in public services, such as schools and the NHS.”
