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August borrowing overshoots by £3.5bn, pushing deficit higher

By Drooid · Sep 22, 2026, 10:41 AM UTC · How we work

Summary

Story summary

Chancellor John Healey faces pressure after August borrowing hit £18.3bn, £3.5bn above the OBR forecast.
The overshoot pushed the annual deficit to £77.3bn.
Ten-year gilt yields rose three basis points to 5.232% and 30-year yields to 5.729%.
Debt-interest payments reached £8.8bn in August, the highest August level since 1997.
Conservative shadow chancellor Andrew Griffith said Labour lost control of public finances after the £8bn forecast miss.

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Story summary

Chancellor John Healey faces pressure after August borrowing hit £18.3bn, £3.5bn above the OBR forecast.
The overshoot pushed the annual deficit to £77.3bn.
Ten-year gilt yields rose three basis points to 5.232% and 30-year yields to 5.729%.
Debt-interest payments reached £8.8bn in August, the highest August level since 1997.
Conservative shadow chancellor Andrew Griffith said Labour lost control of public finances after the £8bn forecast miss.