HM Government Borrowing, April 2020

Another month, guess what, take a lucky guess, it is the same old story, HM Government, spends more money than it receives via taxes and duties.
Now we are in a Covid 19 world. UK’s HM Government needs to fund many new demands.

Another deficit month, thus to bridge the gap, needs to borrow on the bond market In March 2020 , the HM Government had to borrow money to meet the difference between tax revenues and public sector expenditure. The term for this is The PSNCR: The Public Sector Net Cash Requirement. There were “only” 17 auctions of Gilts (UK Government Bonds) by the UK Debt Management Office to raise cash for HM Treasury:-

29-Apr-2020 1¾% Treasury Gilt 2049 £2,152.5000 Million
29-Apr-2020 2¾% Treasury Gilt 2024 £3,616.3750 Million
28-Apr-2020 0 1/8% Index-linked Treasury Gilt 2028 3 months £1,499.9990 Million
28-Apr-2020 0 7/8% Treasury Gilt 2029 £3,749.9990 Million
22-Apr-2020 1% Treasury Gilt 2024 £3,671.4760 Million
22-Apr-2020 1¼% Treasury Gilt 2027 £3,141.0000 Million
21-Apr-2020 0 5/8% Treasury Gilt 2025 £4,062.4990 Million
21-Apr-2020 1 5/8% Treasury Gilt 2054 £1,874.9990 Million
16-Apr-2020 1½% Treasury Gilt 2026 £3,648.7500 Million
16-Apr-2020 1¾% Treasury Gilt 2049 £2,499.9980 Million
15-Apr-2020 0 7/8% Treasury Gilt 2029 £3,676.2490 Million
15-Apr-2020 1¾% Treasury Gilt 2037 £2,313.7490 Million
08-Apr-2020 2% Treasury Gilt 2025 £2,750.0000 Million
08-Apr-2020 4¾% Treasury Gilt 2030 £2,092.5000 Million
07-Apr-2020 0 1/8% Treasury Gilt 2023 £4,062.5000 Million
07-Apr-2020 1¾% Treasury Gilt 2057 £1,562.4990 Million
02-Apr-2020 1¼ % Treasury Gilt 2041 £2,299.9970 Million

When you add the cash raised:-

£2,152.50 Million
£3,616.38 Million
£1,500.00 Million
£3,750.00 Million
£3,671.48 Million
£3,141.00 Million
£4,062.50 Million
£1,875.00 Million
£3,648.75 Million
£2,500.00 Million
£3,676.25 Million
£2,313.75 Million
£2,750.00 Million
£2,092.50 Million
£4,062.50 Million
£1,562.50 Million
£2,300.00 Million

Total: £48,675.09 Million = £48.67509 Billion

On another way of looking at it, is in the 30 days in April 2020, HM Government borrowed:- £1622.502967 Million each day for the 30 days.
That is £1.622 Billion A DAY.
We are fortunate, while the global banking and financial markets still has the confidence in HM Government to buy the Gilts (Lend money to the UK), the budget deficit keeps rising. What is also alarming, is the dates these bond mature 2024-2057. All long term borrowings, we are mortgaging our futures, but at least “We Are In It Together….”

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