Public spending on coronavirus reaches £190bn

New figures from HM Treasury indicate that public spending on the fight against coronavirus has risen to nearly £190 billion.

Following Chancellor Rishi Sunak’s Simmer Statement, in which he announced another £30 billion of support, Treasury figures show that direct spending on the crisis before the extra funding has reached £158.7 billion.

The Resolution Foundation said that the £190 billion cost is similar to the spend on the day-to-day running of our NHS, schools and colleges each year.

Including the new measures, the cost of the pandemic has risen by more than 40 per cent since last month, when the Office for Budget Responsibility estimated costs to be at £133 billion. The new funding is expected to push the gap between what the government spends and its deficit, being what it raises in taxes, above the OBR’s recent estimate of £300 billion.

Before the coronavirus crisis, the government was expecting a deficit of £55 billion.

Despite the high levels of spend, some sector responded to the statement on 8 July saying that they remain ignored. This concern was mainly voiced by UK airlines, as well as gyms and sporting facilities.

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