Deficit to Be $1.58 Trillion This Year

The White House plans to announce the federal deficit is about $262 billion less than officials predicted earlier this year, in part because the administration has provided less aid than expected to bail out banks.

A White House official says the deficit will still be more than three times what it was last year. The official spoke on the condition of anonymity on Wednesday because the report is not set to be released until next Tuesday.

The official says the federal deficit this year will total $1.58 trillion. The report for the budget yet that ends on Sept. 30 predicts the government will spend $3.653 trillion this year.

The White House had been concerned that the August estimate from the Office of Management and Budget would dwarf previous numbers and infect the health care debate reports CBS News political consultant Mark Ambinder.