Public Sector Borrowing Requirement

HC Deb 25 April 1985 vol 77 c983

11. Mr. Yeo

asked the Chancellor of the Exchequer when he expects the final outturn figures for the public sector borrowing requirement for 1984–85 to be available.

Mr. Peter Rees

The provisional estimate of the PSBR for 1984–85 of £10.1 billion — equivalent to 3.1 per cent. of GDP—was published on 18 April.

Mr. Yeo

Can my right hon. and learned Friend confirm that no less than one quarter of the public sector borrowing requirement last year was attributable to the effect of the Scargill coal strike? Does he agree that without that effect interest rates would be substantially lower, thus considerably benefiting all mortgage payers?

Mr. Rees

My hon. Friend is correct to draw attention to this dimension of our national affairs. The latest and best estimate of the cost of the coal strike is £2.75 billion. That has certainly had an effect on interest rates.