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interestrateripoff

Uk Debt Increasing £6,017 Per Second

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http://business.timesonline.co.uk/tol/busi...icle6840749.ece

Britain is clocking up debt at a rate of £6,017 per second as the Government struggles to balance the books. With tax receipts plummeting because of the recession, state borrowing grew by £16.1 billion last month — almost twice the entire budget for the 2012 Olympics.

Net borrowing for the first five months of the financial year stood at £65.3 billion, compared with £26.1 billion at the same stage last year. Total borrowing soared past the £800 billion mark for the first time and total state debt as a proportion of national output reached 57.5 per cent.

Just to pay the interest on its ballooning debts the Government must find more than £30 billion a year — about £500 for every man, woman and child in the country.

The figures from the Office for National Statistics (ONS) show that tax receipts in August dived by 9 per cent compared with August 2008, while public spending rose by almost 3 per cent. The widening gulf was bridged by borrowing. Spending on benefits grew by £900 million to £13.5 billion as unemployment soared.

Taking fright at the figures, foreign exchange dealers sent sterling diving to a four-month low against the euro. The value of the pound fell by more than 1 per cent against the dollar.

Analysts said that the Budget forecast by Alistair Darling, the Chancellor, that additional borrowings would be £175 billion this year was not pessimistic enough and predicted that borrowing would be between £15 billion and £50 billion above that forecast.

John Hawksworth, chief economist at PricewaterhouseCoopers, said: “It seems likely that budget deficits will overshoot Treasury forecasts not only in 2009-10 but for years to come.â€

Philip Hammond, the Shadow Chief Secretary to the Treasury, said: “We used to worry about borrowing £16 billion in an entire year. Now Labour have done it in just one month. These shocking figures show the depth of Gordon Brown’s debt crisis and just how irresponsible he was to pretend that spending cuts weren’t necessary.â€

Finished reading it all, we've probably just added another £30k to the debt.

Thank god debt is wealth, unwise we'd all be worried!!!!!

Remember vote Labour because they are doing the right thing for hard working families. Unserviceable debt is the way out of this debt crisis, if Brown was really doing his best to solve this debt crisis we should be clocking up debt at around £12k a second.

Viva Debt.

Edited by interestrateripoff

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John Hawksworth, chief economist at PricewaterhouseCoopers, said: “It seems likely that budget deficits will overshoot Treasury forecasts not only in 2009-10 but for years to come.â€

The lasting legacy of Brown and his decade of imprudence. Thatcher saved us from such a state and poor man of Europe status and Brown has dropped us back into it.

Edited by Realistbear

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This still doesn't count for the world's biggest unfunded final salary scheme and the rip off that is off balance sheet PFI.

Haven't we gone from 40% GDP debt to 60% GDP debt in one year? And this 'official' only, can double it because of above.

And we are still behind the curve on property price bubble implosion that US, Eire, Spain etc have suffered. And our bubble was bigger than any of theirs.

And people dare to hang out on here with 'Bull' or 'Neither' on their status?

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The lasting legacy of Brown and his decade of imprudence. Thatcher saved us from such a state and poor man of Europe status and Brown has dropped us back into it.

I'm afraid that I would have to disagree with you on that one. Thatcher did not save us, she got lucky the North Sea oil bailed out the UK, she asset stripped the nation and gave the rich huge tax breaks with the money generated from the sales and failed to invest in the infrastructure this country needed to compete in the 21st century. I would also contend that a number of her govt reforms laid the foundations for this mess, the right to buy and the start of relaxing regulation in the financial sectors.

Labour merely came along and though more petrol and wood onto a already burning fire.

This country has been in a unsustainable position for decades.

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Guest Steve Cook
I'm afraid that I would have to disagree with you on that one. Thatcher did not save us, she got lucky the North Sea oil bailed out the UK, she asset stripped the nation and gave the rich huge tax breaks with the money generated from the sales and failed to invest in the infrastructure this country needed to compete in the 21st century. I would also contend that a number of her govt reforms laid the foundations for this mess, the right to buy and the start of relaxing regulation in the financial sectors.

Labour merely came along and though more petrol and wood onto a already burning fire.

This country has been in a unsustainable position for decades.

This is exactly on the nail

We have been poor for decades.

Debt has masked that poverty. That is all.

The debt has imploded. They are trying to keep it inflated. They will ultimately fail.

We are all about to find out how poor we really are and have been for a long time.

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I'm afraid that I would have to disagree with you on that one. Thatcher did not save us, she got lucky the North Sea oil bailed out the UK, she asset stripped the nation and gave the rich huge tax breaks with the money generated from the sales and failed to invest in the infrastructure this country needed to compete in the 21st century. I would also contend that a number of her govt reforms laid the foundations for this mess, the right to buy and the start of relaxing regulation in the financial sectors.

Labour merely came along and though more petrol and wood onto a already burning fire.

This country has been in a unsustainable position for decades.

Tend to agree with that analysis of Thatcher. Britain may have 'modernised', but it lost its soul.

Politicians have been letting us down and conning us for decades. One of the reasons Brown made a big deal of the BoE independence was the politicising of interest rates in the run up to elections. However, we have learned since that the BoE independence is but an illusion.

The continuation and deepening of Thatcherism (consumerism) under Labour merely made things much, much worse. To hear stock phrases of 'debt is wealth' and 'no more boom and bust' painted us into a corner of delusion. There was no debate, Gordon was right, and economic genius. How foolish we have been to fall for it. (Not us of course, but the masses and the media).

As Steve says, "We have been poor for decades... "

For the majority, it was always going to end in tears, because it was unsustainable, madness served up by incompetent, self-serving politicians.

The most remarkable thing was the lack of any debate or questioning of policy as we motored along towards the cliff edge.

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http://business.timesonline.co.uk/tol/busi...icle6840749.ece

Finished reading it all, we've probably just added another £30k to the debt.

Thank god debt is wealth, unwise we'd all be worried!!!!!

Remember vote Labour because they are doing the right thing for hard working families. Unserviceable debt is the way out of this debt crisis, if Brown was really doing his best to solve this debt crisis we should be clocking up debt at around £12k a second.

Viva Debt.

Instead of saying debt is wealth, you should start saying debt is dandy.

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It's got a nice ring to it.

1071368823_673919cc27.jpg

I just can't help thinking of this everytime I hear the word dandy, thanks to Mr Parry.

I really hope Mr Parry looks like the chap on the right. Is that DYIV at his side?

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