Britain’s public debt reaches unprecedented levels!
The UK’s public debt has risen to levels not seen since 1961, according to official data.
The Office for National Statistics data showed that net public sector debt, excluding state-owned banks, stood at $3.47 trillion, equivalent to 99.8% of the country’s GDP in May, compared to 96.1% in the same month a year earlier, as statistics shows that this is the highest level since March 1961.
A think tank has warned that the next British government will face a major challenge in closing a fiscal deficit of up to $42.2 billion, unless it decides to take tough new austerity measures.
The Decision said the debate between Labor and the Conservatives over funding for electoral pledges was far from reality, with campaign promises relying on cuts that could be difficult to implement.
Both major parties are committed to reducing the debt-to-national income ratio within five years, but challenges such as increased debt interest payments, slow productivity growth and $12.7 billion in compensation costs for the contaminated blood scandal will make that goal more difficult to achieve.
