Government coffers are looking very healthy after recording a £6.5bn surplus during July thanks to a massive jump in tax receipts, the Office of National Statistics has reported.

The news has given a major boost to chancellor Alistair Darling so soon after taking over from Gordon Brown. However experts warned that, despite the surplus, the government was falling short on its promise to cut back borrowing and spending.

The running deficit so far this fiscal year is £10bn, against £9.2bn this time last year.

The ONS figures showed that tax receipts rose 5.7% in the first four months of the year - lower than the 6.5% predicted by the Treasury.

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