U.K. Budget Deficit Swells as Recession Hits Tax Revenue

July 8 (Bloomberg) -- The U.K.’s Office for Budget Responsibility will propose as much as 50 billion pounds ($77 billion) in further spending cuts or tax increases to stem public debts, the Sunday Telegraph reported, without saying where it obtained the information.

The budget office will release its annual Fiscal Sustainability Report on July 12, the newspaper said. The report will show that unless further action is taken, by 2060 the national debt will rise to 120 percent of gross domestic product, from the current 65 percent, and the deficit will return to about 7 percent, the newspaper reported.

To contact the reporter on this story: Makiko Kitamura in London at mkitamura1@bloomberg.net

To contact the editor responsible for this story: Dick Schumacher at dschumacher@bloomberg.net