The UK government is reportedly not planning to overhaul the student loan system in the Autumn budget to cut the cost of living for graduates, the i Paper reports
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BofA (w/e 26th Sept) Total Card Spending +5.6% Y/Y (prev. +6.9%); notes that after a brief reversal last week, lower-income spending growth again outpaced higher income
UK S&P Global Manufacturing PMI Final (Sep) 51.9 vs Exp. 52 (prev. 51.7)
The UK government is reportedly not planning to overhaul the student loan system in the Autumn budget to cut the cost of living for graduates, the i Paper reports
French PM reportedly aims for EUR 43bln in new savings in the budget, BFM TV reports; The government intends to reduce the deficit to 5% of GDP by 2027
Japan is aiming to speed up its USD 140bln data centre development with Dell (DELL) and Jera, the FT reports
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Context
Pre-budget briefing season produces a steady flow of reports on what will not be in the statement as much as what will, and this sits in that category: a denial rather than a measure. Student loan terms have been adjusted repeatedly over the years, and each change has tended to shift the fiscal arithmetic more than the high street, since the loan book sits in the public accounts while write-off costs feed through to borrowing over long horizons. For gilt markets the relevant channel is the debt management remit and the OBR scoring that will accompany the budget, not the policy detail itself; briefings of this kind historically matter only insofar as they signal the government's appetite for revenue measures versus spending restraint. The tell ahead of the budget is whether similar kite-flying stories cluster around particular tax levers, a pattern that in past cycles has narrowed expectations well before the dispatch box. On its own, a single-sourced report of an absent policy carries no market content beyond fleshing out the shape of the statement.
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