Joe.. I hate debt..Call me old fashioned!!Originally Posted by joebloggs
well the uk is not doing badly as other countries, Iceland, Greece, Baltics, and against some other euro countries, infact fred maybe you missed this..
http://news.bbc.co.uk/1/hi/business/8606499.stm
maybe things are looking
The UK public sector net debt was £848.5 billion. (or 59.9% of National GDP)
The Centre for Policy Studies argues that the real national debt is actually £1,340 billion, which is 103.5 per cent of GDP...Or was that 1.34 TRILLION??
Looking up you say?
“In an extreme situation a fiscal crisis could lead to some domestic capital flight, severe pound weakness and a sell-off in UK government bonds. The Bank of England may feel forced to hike rates to shore up confidence in monetary policy and stabilize the currency, threatening the fragile economic recovery,” they said.
Morgan Stanley said that such a chain of events could drive up yields on 10-year UK gilts by 150 basis points. This would raise borrowing costs to well over 5pc - the sort of level now confronting Greece, and far higher than costs for Italy, Mexico, or Brazil.
High-grade debt from companies such as BP, GSK, or Tesco might command a lower risk premium than UK sovereign debt, once an unthinkable state of affairs.
http://www.telegraph.co.uk/finance/e...s-in-2010.html
