UK Plunges Into Debt Danger Zone After Labour’s 10-year Borrowing Binge, Says Finance Watchdog!

• The United Kingdom will go down in flames when the Eurozone tanks. The only reason it appears to be ok is because the UK can print its own UKP. But the sheeple will come to the realization that the UKP is also a worthless fiat currency backed by thin air!
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  UK plunges into debt danger zone after Labour’s 10-year borrowing binge, says finance watchdog
  By Hugo Duncan, http://www.dailymail.co.uk/
  – Debt in Britain grew faster than any other major economy
  – The country must ‘get to grips’ with future spending on health and pensions
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  Britain’s debt levels are dangerously high and are damaging the economy, according to one of the world’s leading financial watchdogs. Debt in the UK grew faster than in any other major economy in the last decade to £180,000 per household.
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  It means the country is in the danger zone following a ten-year borrowing binge under the last Labour government, a hard-hitting report from the Bank for International Settlements has revealed.
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  Its chief economist, Steve Cecchetti, said: ‘Beyond a certain level, debt is bad for growth. At low levels, debt is good. It is a source of economic growth and stability. But at high levels, private and public debt is bad, increasing volatility and retarding growth.’ The BIS said government, corporate and household debt in Britain jumped from 223 per cent of gross domestic product in 2000, or £2.18trillion, to 322 per cent, or £4.68trillion, in 2010. That is the equivalent of £180,000 per household.
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  The 99 percentage point increase was the biggest of any leading economy and left Britain deeper in the red than any country in the Group of Seven industrialised nations except Japan. The watchdog warned that debt levels in
  Britain ‘will explode’ unless it gets to grips with future spending on health
  and pensions as the population gets older.
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  ‘The debt problems facing advanced economies are even worse than we thought,’ said Mr Cecchetti, who is based at the BIS headquarters in Basel, Switzerland. ‘As public debt rises and populations age, growth will fall. As growth falls, debt rises even more, reinforcing the downward impact on an already low growth rate.
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  ‘The only possible conclusion is that those with high debt must act quickly and decisively to address their looming fiscal positions. ‘The longer they wait, the bigger the negative impact will be on growth, and the harder it will be adjust.’
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  …. for the full article click here!

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