UK chancellor Alistair Darling will concede for the first time that the government will not recoup the full costs of its banking interventions and that the bill could be as high as £60bn. Following the US example, the chancellor will make a provision in the Budget for taxpayer losses from the banking sector, which will be added to last year’s public borrowing totals and public sector debt. The provision will come in a Budget likely to be dominated by forecasts of huge public borrowing, with the Treasury expected to project a peak deficit of £170bn-£180bn.

This entry was posted by Gwen Robinson on Monday, April 20th, 2009 at 4:56 and is filed under Capital markets, People. Tagged with Alistair Darling. Edit this entry.