Philip Shaw: UK economic recovery weak

The UK government borrowed £120.6bn in the financial year to April 2013, slightly lower than the amount it borrowed the previous year.

The amount was just £0.3bn lower than the previous year's total of £120.9bn.

A Treasury spokesman said the government was fixing the country's economic problems. Labour said the government's deficit-reduction plan was now "catastrophically off course".

Philip Shaw, Chief Economist at Investec said the Chancellor would be more relieved than happy by this latest news.