Capital Issuance - July 2024

Key points

• Gross capital issuance by UK residents was £69.3 billion in July, compared to £55.2 billion in June and the previous six-month average of £65.1 billion (Chart 1).
• Net capital issuance was -£1.9 billion in July, compared to -£1.5 billion in June and the previous six-month average of £6.6 billion (Chart 1).
• The increase in gross capital issuance by UK residents was driven by gross commercial paper issuance which rose by £15.2 billion to £45.1 billion, the highest monthly issuance on record for this instrument.

In addition to the summary statistics contained within this release and the associated tables, the Bank publishes a number of more granular series; please see our Bankstats tables (E3.1) and the full list of series and interactive charts.

All sectors

• Gross capital issuance by UK residents was £69.3 billion in July, compared to £55.2 billion in June and the previous six-month average of £65.1 billion (Chart 1).
• Net issuance was -£1.9 billion in July, compared to -£1.5 billion in June and the previous six-month average of £6.6 billion (Chart 1).
• Year to date gross issuance was £459.8 billion, £70.9 billion higher than at the same point the previous year (Chart 2) and £138.1 billion higher than the previous four-year average.
• Year to date net issuance was £37.9 billion, £3.3 billion higher than at the same point the previous year (Chart 3) and £14.9 billion higher than the previous four-year average.

Bond issuance

• Gross bond issuance was £23.6 billion in July, compared to £25.1 billion in June and the previous six-month average of £31.1 billion (Chart 4).
• Net bond issuance was -£0.5 billion in July, compared to £2.1 billion in June and the previous six-month average of £7.8 billion (Chart 4).
• The decrease in net issuance was driven by a fall in issuance of £2.1 billion by the PNFC sector combined with an increase in repayments of £3.3 billion across the PNFC and MFI sectors.

Commercial paper issuance

• Gross commercial paper issuance was £45.1 billion in July, compared to £29.9 billion in June and the previous six-month average of £32.4 billion (Chart 5).
• Net commercial paper issuance was £1.8 billion in July, compared to -£1.5 billion in June and the previous six-month average of £0.6 billion (Chart 5).
• The increase in net issuance was driven by a rise in issuance of £12.3 billion by the MFI sector, partially offset by an increase in repayments of £8.9 billion by the same sector.

Equity issuance

• Gross equity issuance was £0.6 billion in July, compared to £0.2 billion in June and the previous six-month average of £1.6 billion (Chart 6).
• Net equity issuance was -£3.3 billion in July, compared to -£2.0 billion in June and the previous six-month average of -£1.8 billion (Chart 6).
• The decrease in net issuance was driven by an increase in buybacks of £1.2 billion and £0.5 billion by the PNFC and OFC sectors respectively.

Note:

In the July 2024 publication, data were revised in light of additional information on issuance and repayments. This impacts bond issuance in the PNFC sector for July 2019 where revisions caused an increase of £2.2 billion. Bond repayments were reduced across the PNFC and OFC sectors in June 2022 by £3.1 billion.

Key:

• PNFC = Private non-financial corporations
• MFI = Monetary financial institutions
• OFC = Other financial corporations
• “Other sectors” contains public corporations and non-profit institutions serving households
• CP = Commercial paper

Queries

If you have any comments or queries with regard to this release please email DSDSecurities@bankofengland.co.uk.

Next release date: 26 September 2024