US budget deficit to hit record $1.4trillion
Updated at: 1559 PST, Thursday, October 08, 2009

NEW YORK: The Congressional Budget Office (CBO) yesterday announced that the US budget deficit could hit a record $1.4 trillion (£877 billion) in the fiscal year to 30 September 2009. The previous record deficit was $459 billion - set last year. The CBO said the forecast federal deficit for the 2009 fiscal year was the highest shortfall since the aftermath of the Second World War. The deficit is due to a severe fall in tax revenues