The Government’s borrowing binge will see taxpayers stump up £750bn to service the national debt over the next six years.
The ‘shocking’ scale of the debt interest bill amounts to almost four years of spending on the NHS and social care, official figures from the Office for Budget Responsibility (OBR) show.
And it means households will pay an average of £4,370 a year to investors who have lent money to the Government.
It also represents billions of pounds that could be put to more productive uses, such as funding tax cuts or improving public services.
Shadow Chancellor Mel Stride said: ‘Rachel Reeves is spending money she doesn’t have, to spend more money on benefits and because she is too weak to control spending.’
Reeves launched a £26billion tax raid on the middle classes in her Budget last week to help fund more welfare spending.
Borrowing binge: Households will pay an average of £4,370 a year to investors who have lent money to the Government
She also plans to borrow an extra £16billion over the next four years, according to the OBR, the independent forecaster.
The borrowed money will be used to pay for lifting the two-child benefit cap, soaring sickness and disability claims and a U-turn on welfare reforms following a revolt by backbench Labour MPs.
Tory business spokesman Andrew Griffith said: ‘Debt interest of more than £4,000 per household is shocking.’
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