Things are getting worse for taxpayers too

I wrote earlier that the papers are stuffed with bad news for Gordon Brown.  The same’s true for taxpayers, especially in light of the CBI’s latest set of economic forecasts.  They have GDP shrinking by 3.3 percent this year, and unemployment rising above 3 million in 2010.  Which adds up to a lower tax revenue for the Exchequer and, in turn, more and more borrowing.  Indeed, the CBI estimate that the government will need to rack up £100 billion more debt over the next couple of years than the PBR accounts for.  It’s a fiscal mess that – as yesterday’s excellent ConservativeHome report made clear – future governments and taxpayers will be left picking up the tab for.

P.S. Worth noting another bad news story for taxpayers, from the weekend: apparently, the Government may need to bailout PFI projects with £4 billion.