Brexit uncertainty hits plans to cut budget deficit

Figures show government has overshot forecasts, casting doubt on Osborne's aim to achieve surplus by 2019-20

George Osborne's plans to slash public borrowing by a quarter this year have veered off track, according to official figures, after the government's finances were hit by Brexit worries in May.

The government's spending deficit was just 0.4bn lower than the same month last year, leading to a 9.7bn deficit, which analysts had expected to be no more than 9.5bn.

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