European Economy: U.K. July Public Finances Better Than Expected
U.K. July public finances came in slightly better than expected. Net cash repayment to total Gbp 12.63 bln compared to a median estimate for 10.8 bln, and net cash requirement in June was revised down marginally to 15.34 bln from 15.46 bln. Net lending hit Gbp 4.84 bln in July (median 4.3 bln) but the June net borrowing reading was revised up to 9.59 bln from 9.16 bln. Overall, although slightly better figures than expected for July, U.K. public finances are still in a poor state and are likely to deteriorate further as economic growth slows.