The Bermuda Government pulled in $8.4 million more in revenue in the first quarter of this financial year than the same period last year.

The first quarter figures released today showed that income totalled $223.2 million — a 3.9 per cent increase on 2014 figures.

The main reasons for the increase were said to be higher customs tax collection, up $4.4 million, increased payroll tax collection, which netted $2.7 million more than the previous first quarter and $2.3 million hike in stamp duty receipts.

A report on the figures said: “When compared to Budget estimates, total revenues are tracking slightly higher.”

But the cost of servicing the Island’s $2.185 billion debt went up year on year by $2.1 million to $42.4 million for April to June — attributed to higher debt levels than the year before.

A total of $29.4 million went on interest payments, while $13 million went to Government’s borrowing sinking fund, around 25 per cent of the $52.3 million annual contribution.

And current expenditure, excluding debt service, went up to nearly $232 million — $2.9 million up on to the first three months of the 2014-15 financial year.

Total Government expenditure for the first quarter of 2015-16 was $5 million higher (1.8 per cent) than the corresponding period last year.

The report said the increase was “mainly due to the furlough initiative not being extended, partially offsetting all other Budget reduction measures taken in the 2015-16 Budget.”

Capital expenditure — which stood at $9.25 million — is in line with the first quarter of the last financial year.

The report said: “In general, current expenditures are presently tracking on par with Budget estimates,”

The deficit for the first three months stood at $60.4 million, which was financed by withdrawals from the sinking fund.