'Borrowing cost of economic failure' - Labour

The government is borrowing more money to "cover the cost of economic failure" according to Labour.

The coalition borrowed more than expected in July, traditionally a good month for tax receipts, the Office for National Statistics said.

Net borrowing was £600m in July, an increase of £3.4bn on the same month in 2011 when it repaid £2.8bn.

Labour MP Chris Leslie, who is a member of their Treasury Team told BBC News that the chancellor's plan of debt reduction was failing.