Economic Buzz: UK public debt rises to 95.1% of GDP amid higher spending

The UK?s public sector net borrowing increased to ?23.3 billion in May 2026 from ?17.9 billion a year earlier, marking the second-highest May borrowing figure on record. Higher spending on debt interest payments, public services, investment, and benefits drove the increase. While public sector receipts rose ?3.7 billion to ?94.8 billion on stronger tax revenues, total spending climbed ?9.1 billion to ?118.0 billion. Meanwhile, public sector net debt reached 95.1% of GDP at the end of May, up 0.4 percentage points from a year ago, underscoring ongoing fiscal pressures.

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