UK government borrowing exceeds expectations at £18.3bn in August

The UK government borrowed £18.3 billion in August, exceeding expectations and increasing pressure on Chancellor John Healey before next month’s budget, according to figures from the Office for National Statistics reported by The Guardian. Public sector net borrowing measures the difference between government spending and income. The August figure was higher than anticipated, making the government’s task of reassuring unsettled bond markets more difficult.

The reported data comes as Healey seeks to calm jittery markets ahead of the budget. The supplied material does not state what borrowing level economists had forecast, nor does it explain which spending or income changes produced the monthly result. The report also says public sector net borrowing was £2.9 trillion higher last month than in August 2025.

That figure is presented in the supplied material without further clarification, including whether it refers to a revised comparison or a different measure of public finances. The figures put borrowing under renewed scrutiny before the budget, but the available report does not outline the government’s planned response. It also does not include a statement from Healey, the Treasury or market participants on the latest data.

The Office for National Statistics released the figures on Tuesday. The supplied material does not provide a revised forecast for the rest of the financial year or say how the August result could affect budget decisions.