Prudential borrowing in March 2011 was £117.9m at the end of the last Conservative Administration.
This was reduced in Labour’s 100 day budget to £93.70m
The equivalent figure as part of the base budget 2021/22 is now £465.054m
This budget proposal increases planned borrowing even further still to £563.794m which if all projects approved go ahead will be the position by 2025/26 less cash in hand and reserves.
Conservative Planned Debt £117.900m
Labour Planned Debt 2025/26 £563.794m
An increase of £445.894m
T&W argues that borrowing to invest is in some way “good borrowing” however the base budget 2021/22 includes £232.551m of borrowing that produces no income.
As interest rates and inflation are now moving upwards which leaves a heavy debt burden for future taxpayers to support. T&W has locked into long term rates, but eventually these will need to be refinanced.