Government borrowing falls in December

(Sharecast News) - UK government borrowing fell in December 2025, according to figures released on Thursday by the Office for National Statistics. Public sector borrowing declined to £11.6bn, down by £7.1bn or 38% on December 2024. Despite the drop, it was the tenth highest December figure since monthly records began in 1993, not adjusted for inflation.

Borrowing is the difference between total public sector spending and income.

Borrowing in the financial year to December was £140.4bn, down by £0.3bn or 0.2% on the same nine-month period of 2024, but still the third-highest April to December borrowing on record after those of 2020 and 2024.

ONS senior statistician Tom Davies said: "Borrowing in December was substantially down on the same month in 2024, as a result of receipts being up strongly on last year whereas spending is only modestly higher.

"However, across the first nine months of the financial year as a whole, borrowing was fractionally lower than in the same period in 2024."