BULLET: UK Data: August Borrowing Underwhelms; YTD Remains...>

UK Data: August Borrowing Underwhelms; YTD Remains at 16-Year Low  

-UK August PSNBX Stg6.753bn Vs Stg4.345bn August 17  

-UK August Debt Ex-BOE 75.2% of GDP Versus 78.9% in August 2017 

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Borrowing (PSNBX) in August rose to stg6.8bn, stg2.4bn more than in 

August 2017 and markedly above analysts' expectations of stg3.5bn. There 

was no one-off factor at play to explain the y/y overshoot, according to 

the ONS, who put the result down to weaker growth in receipts and higher 

EU budget contributions. August self-assessment receipts, off a strong 

July, were level with Aug 17, while taxes on production also fell on the 

year, with lower alcohol, tobacco receipts offsetting VAT. Compunding 

this was a larger payment to the EU budget, up stg0.6bn versus last 

year's unusually low outturn and back to the level seen in 2016. Despite 

this, year-to-date borrowing held firm at a 16-year low, helped by an 

approx stg1.0bn upgrade to the July 2018 surplus.