LONDON (Reuters) - Lower-than-expected British government borrowing in the last financial year was almost completely explained by cyclical factors that will disappear as the economy recovers, the Office for Budget Responsibility said on Thursday.
Government borrowing for the 2013/14 financial year came in 12.1 billion pounds lower than the OBR's forecast made in March 2013.
"The ... overestimate of borrowing in our March 2013 forecast for 2013/14 was almost entirely explained by the cyclical component of borrowing being lower than expected," the independent budget watchdog said in a review of its forecasting record.
"In other words, (this is) the element that will disappear as the economy recovers."
(Reporting by Andy Bruce, editing by David Milliken)