OREANDA-NEWS. The authorities of the Unites Kingdom may sharply raise taxes to reduce the projected record budget deficit of 337 billion pounds sterling (414.8 billion US dollars) which has appeared due to the coronavirus pandemic.

In particular, the government intends to increase the income tax in the next few months, freeze indexation of salaries in the public sector for two years and limit pensions of civil servants.

The newspaper Financial Times reports with reference to Her Majesty’s Treasury that the kingdom may face a debt crisis in the absence of a quick economic recovery.

As for the experts’ estimates, they believe that the budget deficit in Great Britain may exceed the same figure after the crisis in 2008 by half.