The latest economic figures come after the Bank of England voted to hold interest rates on Thursday, stating it thought the UK economy had performed worse than expected, with no growth at all between October and December.
The Bank downgraded its growth forecast from 0.3% for the final three months of 2024, to zero growth.
The growth revisions were seen as a blow to Labour, which has made growing the economy its top priority.
Other figures released this week showed inflation hit 2.6% in the year to November, above the Bank’s 2% target.
Responding to the latest borrowing figures, Darren Jones, Chief Secretary to the Treasury, said the government had “inherited crumbling public services and crippled public finances” when it entered power.
“Now we have wiped the slate clean, we are focused on investment and reform to deliver growth,” he said.
Liberal Democrat deputy leader Daisy Cooper said lower November borrowing was “good news”, but added “the bigger picture remains deeply troubling”.
She said people were “still feeling the pain of the previous Conservative government’s economic mismanagement”, but added the new Labour administration needed “a far better plan to turn things around”.
At the Budget the chancellor changed the government’s self-imposed debt rules in order to free up billions for infrastructure spending, which she said would drive economic growth and create jobs.
“What will worry government is that recent economic indicators such as weak [economic] growth and rising inflation are flashing amber,” said Alison Ring, director of public sector and taxation at the ICAEW trade body for accountants.
“Money remains extremely tight and that is unlikely to change any time soon.”
