Taxes give Treasury a £14.9billion surplus

BOOMING tax receipts handed Philip Hammond a record budget surplus last month in a welcome boost ahead of Brexit.

In a sign the economy continues to prosper, the Office for National Statistics said the Government raked in £14.9billion more than it spent as taxes flooded in.

It was the largest January surplus on record and £5.6billion bigger than in the same month last year. The coffers were swollen as an army of workers submitted their selfassessment returns before the January 31 deadline.

The figures will be welcomed by the Chancellor ahead of next month’s Spring Statement when he will give an update on the economy.

Analysts said Mr Hammond was now on course to beat the Office for Budget Responsibility’s forecast for borrowing of £25.5billion this year.

Borrowing hit a record £153.1billion under Labour in 2009- 10 but had fallen to £ 41.9billion last year. The Institute for Fiscal Studies said the deficit was on course to hit £22billion this year, the lowest since 2001-02.