Andy Burnham and his newly appointed Chancellor, John Healey, received positive news as recent data from the Office for National Statistics indicated a significant decrease in government borrowing for the month of June. The figures revealed a £7.9 billion reduction compared to the previous year, with total borrowing at £16 billion.
The Office for Budget Responsibility’s forecast was exceeded by £300 million, attributed mainly to lower inflation-linked debt interest costs, according to the ONS. John Healey, the surprise appointee as Chancellor by Prime Minister Andy Burnham, emphasized the importance of fiscal responsibility in meeting fiscal rules and making life more affordable for working people across the UK.
The ONS reported that central government debt interest payments dropped to £11.8 billion in June 2026, down by £5.3 billion from the previous year but still the fourth highest June on record. Economist Nabil Taleb from PwC UK expressed cautious optimism about the latest figures, highlighting the need for economic plans that do not strain the public purse and urging for credible funding and control over borrowing to avoid financial pressure in the future.