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UK borrowing rises to £20.2bn, putting pressure on Rachel Reeves

April figure more than expected and comes despite increase in employer national insurance contributions

The UK government borrowed more than expected in April, underscoring the challenge for Rachel Reeves to fix public services and grow the economy while meeting her fiscal rules.

With the chancellor under pressure on Labour’s tax plans, the Office for National Statistics (ONS) said public sector net borrowing rose to £20.2bn in April, £1bn more than the same month a year earlier. City economists had forecast borrowing of £17.9bn.

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