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Realistbear

U K Debt Hits Record Of £799bn

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http://news.bbc.co.uk/1/hi/business/8160614.stm

Tuesday, 21 July 2009 11:58 UK

UK debt hits record of £799bn

The chancellor forecast new borrowing of £175bn this year

Total outstanding government debt in the UK has risen to a record £799bn, or 56.6% of UK GDP - the highest since records began in 1974.

New borrowing in June was £13bn, almost twice as much as a year ago, the Office for National Statistics said, after the downturn shrank tax receipts.

The figures also reflect the cost of bank bail-outs and higher spending on social security benefits.

One economist described the state of the public finances as "dire".

And its only just begun.

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£1311 for each person in the uk or

£2755 for each employed person in the uk

That's not bad really is it. Oh hang on I think you'll find there's a mistake in the calc :)

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I get it to about £13,000 per head of population (799bn / 62m)

BUT hang on a minute, I thought the budget forecast was for £703bn after the next three years !? If it is already past this, the budget forecast was way too optimistic.

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Wealth is debt so we are now all rich beyond our wildest dreams.

House prices can only go up with this news, I expect shares will still keep rising as huge debts can only mean we are getting richer.

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Wealth is debt so we are now all rich beyond our wildest dreams.

House prices can only go up with this news, I expect shares will still keep rising as huge debts can only mean we are getting richer.

What's a minus sign between friends.

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http://news.bbc.co.uk/1/hi/business/8160614.stm

Tuesday, 21 July 2009 11:58 UK

UK debt hits record of £799bn

The chancellor forecast new borrowing of £175bn this year

Total outstanding government debt in the UK has risen to a record £799bn, or 56.6% of UK GDP - the highest since records began in 1974.

New borrowing in June was £13bn, almost twice as much as a year ago, the Office for National Statistics said, after the downturn shrank tax receipts.

The figures also reflect the cost of bank bail-outs and higher spending on social security benefits.

One economist described the state of the public finances as "dire".

And its only just begun.

Any idea when we will get a run on sterling so I can short it a 100 quid a point :)

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http://news.bbc.co.uk/1/hi/business/8160614.stm

Tuesday, 21 July 2009 11:58 UK

UK debt hits record of £799bn

The chancellor forecast new borrowing of £175bn this year

Total outstanding government debt in the UK has risen to a record £799bn, or 56.6% of UK GDP - the highest since records began in 1974.

New borrowing in June was £13bn, almost twice as much as a year ago, the Office for National Statistics said, after the downturn shrank tax receipts.

The figures also reflect the cost of bank bail-outs and higher spending on social security benefits.

One economist described the state of the public finances as "dire".

And its only just begun.

Its the right thing to do

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I think you are a factor of 10 out.

At least a factor of 10. Personal debt is higher still per person. Even Babies owe thousands at birth and they cant get a credit card for a year or two.

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BUT hang on a minute, I thought the budget forecast was for £703bn after the next three years !? If it is already past this, the budget forecast was way too optimistic.

Yes, it was far too optimisitc, yet the bbc's ecnonomist in the article says,

http://news.bbc.co.uk/1/hi/business/8160614.stm

"The figures are modestly better than expected. It doesn't take away from the fact that the state of public finances is dire and that a considerable degree of fiscal tightening will be required," said Philip Shaw, chief economist at Investec.

"modestly better"? :rolleyes:

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Total outstanding government debt in the UK has risen to a record £799bn, or 56.6% of UK GDP - the highest since records began in 1974.

Worrying figs, granted, but still well below the Eurozone average of 69.3% of GDP (as of april 09, has to be worse by now).

http://epp.eurostat.ec.europa.eu/cache/ITY...42009-BP-EN.PDF

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Yes, but what's their personal debt? You can't take one figure in isolation.

To the extent that this gubbmint is going out of their way to rescue the feckless, my view is that it all goes back to public debt one way or the other.

In fact the same is happening all through the Eurozone.

Edited by VoteWithYourFeet

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I get it to about £13,000 per head of population (799bn / 62m)

BUT hang on a minute, I thought the budget forecast was for £703bn after the next three years !? If it is already past this, the budget forecast was way too optimistic.

I'm pretty sure it's about 35k for every man, woman and child, that's the headline I remember seeing on one of the broadsheets a few months back.

Poorhouse UK, coming to a nation near you soon.

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It's a bargain compared to the $78,000 that every American owes for TARP.

but the official borrowing figure is make believe also. There are many things they do not include in the deficits, such as war costs. Since wars are extraordinary (apparently) they do not really count !

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As for personal debt in the UK, it's the highest of every nation in the world, Here's the figures from:

http://www.creditaction.org.uk/debt-statistics.html

Total UK personal debt

Total UK personal debt at the end of May 2009 stood at £1,459bn. This has slowed further to 1.4% in the last 12 months which equates to an increase of ~ £17.9bn (the increase was ~£116bn in January 2008).

Total secured lending on dwellings at the end of May 2009 stood at £1,226bn. This has slowed further by 0.2% to 1.3% in the last 12 months.

Total consumer credit lending to individuals at the end of May 2009 was £233bn. This has continued to fall to 2.3% in the last 12 months.

Total lending in May 2009 grew by £0.6bn; secured lending grew by £0.3bn in the month; consumer credit lending grew by £0.3bn (total lending in January 2008 grew by £8.4bn).

Average household debt in the UK is ~ £9,305 (excluding mortgages). This figure increases to £21,640 if the average is based on the number of households who actually have some form of unsecured loan.

Average household debt in the UK is ~ £58,360 (including mortgages).

If you add to this the 2009 budget figure for public sector net debt (PSND) expected in 2013-14 then this figure rises to £116,200 per household.

Average owed by every UK adult is ~ £30,480 (including mortgages).

The UK is f£cked!!!

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I'm pretty sure it's about 35k for every man, woman and child, that's the headline I remember seeing on one of the broadsheets a few months back.

Poorhouse UK, coming to a nation near you soon.

i make it about 27k per household (my favorite measure)

this is only the amount the government has borrowed, of course. if you include the debt taken on personally, then the numbers are even better.

Edited by Where is my pen?

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i make it about 27k per household (my favorite measure)

this is only the amount the government has borrowed, of course. if you include the debt taken on personally, then the numbers are even better.

Looks like it's in the middle at 30k per adult including personal debt from the figures I found above. However, that doesn't include the forthcoming burden from Afghanistan, PFI and the pensions crisis, not to mention sterling's imminent swan dive.

Which ever way you look at it, it's a clusterf*ck. Buy gold.

Edited by General Congreve

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As for personal debt in the UK, it's the highest of every nation in the world, Here's the figures from:

http://www.creditaction.org.uk/debt-statistics.html

Total UK personal debt

Total UK personal debt at the end of May 2009 stood at £1,459bn. This has slowed further to 1.4% in the last 12 months which equates to an increase of ~ £17.9bn (the increase was ~£116bn in January 2008).

Total secured lending on dwellings at the end of May 2009 stood at £1,226bn. This has slowed further by 0.2% to 1.3% in the last 12 months.

Total consumer credit lending to individuals at the end of May 2009 was £233bn. This has continued to fall to 2.3% in the last 12 months.

Total lending in May 2009 grew by £0.6bn; secured lending grew by £0.3bn in the month; consumer credit lending grew by £0.3bn (total lending in January 2008 grew by £8.4bn).

Average household debt in the UK is ~ £9,305 (excluding mortgages). This figure increases to £21,640 if the average is based on the number of households who actually have some form of unsecured loan.

Average household debt in the UK is ~ £58,360 (including mortgages).

If you add to this the 2009 budget figure for public sector net debt (PSND) expected in 2013-14 then this figure rises to £116,200 per household.

Average owed by every UK adult is ~ £30,480 (including mortgages).

The UK is f£cked!!!

surely if you are including mortgage debt, then you must subtract out the value of the houses also (160k). on that score, it looks more rosey, does it not?

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I'm pretty sure it's about 35k for every man, woman and child, that's the headline I remember seeing on one of the broadsheets a few months back.

Poorhouse UK, coming to a nation near you soon.

Don't forget the creditors will want compound interest added to this debt.

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