UK public sector net borrowing (excluding public sector banks) rose to GBP 14.3 billion in February 2026 from GBP 12.1 billion in the same month last year, exceeding expectations of GBP 8.5 billion. This marked the second-highest February borrowing since records began in 1993, behind 2021. Public sector expenditure increased by GBP 10.8 billion year-on-year, driven by higher costs for public services, benefits, debt interest, and investment. Central government debt interest costs reached a record for the month of February. Meanwhile, total public sector receipts rose by GBP 8.6 billion, partly reflecting late payments of self-assessed taxes typically due on 31 January but recorded in February. For the financial year to February, borrowing stood at GBP 125.9 billion,