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bond fund (Gl)<br />A fund established to receive the proceeds of a bond issue and to make subsequent disbursements. Such funds are often set up by local authorities.
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public sector borrowing requirement (H6)<br />The excess of expenditure over receipts of central and local government. In more detail, it can be regarded as finance provided to the public sector by borrowing to provide for current and capital expenditure and for lending to the private sector and overseas. The public sector borrowing requirement (PSBR) is reduced by either cuts in public expenditure plans or more stringent controls of existing spending programmes. The concept only became important to UK economic policy making in the 1970s, a period when the PSBR relatively increased: in 1975 it was 19 per cent of total government expenditure and 10 per cent of gross domestic product. Despite the central importance given to the PSBR by many Treasury ministers, it is difficult to achieve a target for it as there can be many changes in the components constituting both revenue and expenditure. UK government saving in the 1980s caused the concept to be replaced by PUBLIC SECfOR DEBT REPAYMENT.<br /> <br /><em>Reference</em><br />Peacock, A.T. and Shaw, G.K. (1981) The Public Sector Borrowing Requirement, Buckingham: University College at Buckingham.
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