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The UK has borrowed too much money, has a massive debt - £105 billion goes on paying our debt interest

331 replies

cakeorwine · 24/03/2025 08:14

A good visual guide from the Guardian

https://www.theguardian.com/uk-news/ng-interactive/2025/mar/24/visual-analysis-how-the-markets-boxed-in-rachel-reeves

But basically, the UK has had to rely on borrowing money as it spends more than it brings in.

It has borrowed money at low interest rates - but these rates have increased.

£105 billion on servicing debt interest. When you are borrowing a lot of money, even a small change in the interest level will massively increase the actual amount of money we need to pay on interest

Some context from the OBR on the budget

https://obr.uk/forecasts-in-depth/brief-guides-and-explainers/public-finances/

Income: £1149 billlion
Spending: £1276 billion
Of which £104 billion is on interest payments
Deficit: £127 billion

We need either more income, less spending and reduced interest payments.

The UK has borrowed too much money, has a massive debt  - £105 billion goes on paying our debt interest
The UK has borrowed too much money, has a massive debt  - £105 billion goes on paying our debt interest
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WhoMeMissYesYouMiss · 27/03/2025 07:38

EasternStandard · 27/03/2025 06:39

I don’t agree with this. @Ggfksshas a point.

Apart from the fact thar their PM said they got it wrong. Their elderly paid the price for their choices.

EasternStandard · 27/03/2025 06:39

NattyTurtle59 · 26/03/2025 23:27

There are a lot less people in Sweden, so even though no lockdown they were still not crowding each other. They also don't appear to be quite so entitled, and more likely to follow suggestions to mitigate risk to others. Therefore they could take the risk of not locking down and losing too many people.

Of course lockdowns harmed the economy, as they did everywhere but really there was no alternative for places like the UK, rammed with people.

Edited

I don’t agree with this. @Ggfksshas a point.

NattyTurtle59 · 27/03/2025 00:05

Ggfkss · 26/03/2025 23:33

Those who were vulnerable could have chosen to stay at home whilst the rest of us got on with our lives.

Whatever. I live in a country where we locked down early and had comparatively few deaths - feeling grateful.

It's in the past, you need to let go and move on - it can't be changed.

marmaladeandpeanutbutter · 26/03/2025 23:56

Unproductive society? We’re producing enough for the richest to grow their wealth, so don’t stress.

Ggfkss · 26/03/2025 23:33

NattyTurtle59 · 26/03/2025 23:27

There are a lot less people in Sweden, so even though no lockdown they were still not crowding each other. They also don't appear to be quite so entitled, and more likely to follow suggestions to mitigate risk to others. Therefore they could take the risk of not locking down and losing too many people.

Of course lockdowns harmed the economy, as they did everywhere but really there was no alternative for places like the UK, rammed with people.

Edited

Those who were vulnerable could have chosen to stay at home whilst the rest of us got on with our lives.

NattyTurtle59 · 26/03/2025 23:27

Ggfkss · 26/03/2025 21:41

What do you mean?

There are a lot less people in Sweden, so even though no lockdown they were still not crowding each other. They also don't appear to be quite so entitled, and more likely to follow suggestions to mitigate risk to others. Therefore they could take the risk of not locking down and losing too many people.

Of course lockdowns harmed the economy, as they did everywhere but really there was no alternative for places like the UK, rammed with people.

WhoMeMissYesYouMiss · 26/03/2025 22:43

TankFlyBossW4lk · 26/03/2025 19:23

This.

This is the biggest problem we have. Thatcher sold our assets. She one of our most popular PMs. We've loved the Tories. Voted them in mostly. Fools who've no hope of benefitting from a Tory government have lapped it up. People voted for Brexit, again mostly by those who have most to lose. Here we are. We voted for this. This is the consequence of poor voting.

You are forgetting an unproductive society, Some people are earning more in benefits than they would be paid if they were getting a fair market rate for their skills.

Mischance · 26/03/2025 22:01

Theunamedcat · 26/03/2025 20:45

OR we could hire within our borders first THEN source from outside we have unemployed doctors and nurses in the UK and we are hiring from overseas? Why are we not prioritising our home trained staff

Because if someone's qualifications and performance at interview are better, then they must have the job, regardless of race, skin colour, where they were trained etc.

Ggfkss · 26/03/2025 21:41

NattyTurtle59 · 26/03/2025 20:21

Maybe look at the population of Sweden compared to the UK? Also the general nature of the Swedes themselves - do you really think it would have worked?

What do you mean?

Theunamedcat · 26/03/2025 20:45

Mischance · 26/03/2025 16:54

"Mass immigration" - this loaded phrase does not help look at the realities. I have been in hospital several times over the last year and without these immigrants I would be dead now.

Lockdown cost a load and was totally essential. In fact it was too little too late.

I am all for government borrowing more and spending more - how else will we have the services and infrastructure we need?

OR we could hire within our borders first THEN source from outside we have unemployed doctors and nurses in the UK and we are hiring from overseas? Why are we not prioritising our home trained staff

Theunamedcat · 26/03/2025 20:43

Cumberlandsausagedog · 24/03/2025 08:28

This is a large part of why disability payments at the current level are unaffordable and borrowing to give people benefits is the wrong answer. This is what all of those people who think Labour are evil for tackling the soaring benefits bill fail to comprehend. The country is totally economically f’d.

But we can afford someone else's war and a pay rise for the MPs

WhoMeMissYesYouMiss · 26/03/2025 20:41

Cumberlandsausagedog · 24/03/2025 11:01

Yes of course. Sorry to be blunt but it’s true that many pensioners are living in houses too big for their needs in this country. We need to tax behaviour that is bad for society. It is bad for society not to make most efficient use of housing stock.

Who get to be the arbiter what is bad for for society? What metrics are we using? Is it anyone who you perceive has more than you?

NattyTurtle59 · 26/03/2025 20:21

Ggfkss · 26/03/2025 12:27

Lockdown definitely made the economy worse and was way overblown. Just seen how Sweden avoided it

Maybe look at the population of Sweden compared to the UK? Also the general nature of the Swedes themselves - do you really think it would have worked?

TankFlyBossW4lk · 26/03/2025 19:23

hairbearbunches · 24/03/2025 08:57

This is why privatisation is such an abject failure. Any profits that are made with state owned infrastructure go straight back to the Exchequer, when they're privatised they go straight into shareholder profits whilst investment in said infrastructure is virtually nil.

We've been selling stuff for years to balance the books. It's a short term fix in the year it's sold because it makes the books look better. But after that, it gets a little bit shitter year on year.

Britain is unique among Western democracies in that regard.

This.

This is the biggest problem we have. Thatcher sold our assets. She one of our most popular PMs. We've loved the Tories. Voted them in mostly. Fools who've no hope of benefitting from a Tory government have lapped it up. People voted for Brexit, again mostly by those who have most to lose. Here we are. We voted for this. This is the consequence of poor voting.

mushroomshroom · 26/03/2025 19:03

You might be surprised how much looking after children in care cost.

Are these all orphans? 🤔

caringcarer · 26/03/2025 18:27

mushroomshroom · 24/03/2025 20:00

Yes because everyone knows spending on orphans is where most of the budget goes...

You might be surprised how much looking after children in care cost.

caringcarer · 26/03/2025 18:14

applegrumbling · 26/03/2025 08:15

Some people have jobs that tie them to an area or family they need to be around for. I could not move up north as I need to be near my elderly parents. We can’t all just pick up and move.

We were talking about young people in twenties wanting to buy a house not older ones who have elderly parents.

Mischance · 26/03/2025 16:54

"Mass immigration" - this loaded phrase does not help look at the realities. I have been in hospital several times over the last year and without these immigrants I would be dead now.

Lockdown cost a load and was totally essential. In fact it was too little too late.

I am all for government borrowing more and spending more - how else will we have the services and infrastructure we need?

mushroomshroom · 26/03/2025 15:48

Regardless our growth was crap before covid.

scalt · 26/03/2025 15:46

mushroomshroom · 26/03/2025 12:06

Some of us tried to point out that months and months of lockdowns (way beyond what was needed) would have very bad economic consequences. We were told to shut up and stop murdering grannies.

Many countries locked down. We had economic problems before covid.

Other countries didn’t string it out for months and months and months, and they didn’t slow the return to normality by frightening the pants off the public. We were an outlier for this.

Ggfkss · 26/03/2025 15:28

BurntBroccoli · 26/03/2025 13:43

We need immigration due to the falling birth rate. A lot of this is due to the extortionate cost of childcare (which is why we need capital investment into building state nursery schools that could be ran like the private sector (I.e. core hours completely free but a charge for wraparound and holidays. Any profits to be reinvested into education).

We don't need mass immigration. Even if the economic arguments are beneficial there's a negative impact on society and culture.

The Boriswave was a big mistake that happened under him

mushroomshroom · 26/03/2025 15:05

@EasternStandard would you have increased income tax instead?

BurntBroccoli · 26/03/2025 13:43

WomensRightsRenegade · 26/03/2025 07:52

It’s grimly fascinating to see how few people have mentioned the real elephant in the room - mass immigration. They’d rather shaft/ blame pensioners and the disabled than even mention the population explosion, which is the ACTUAL reason that housing is so limited and expensive. The real reason their kids are finding it impossible to move out.

In addition illegal immigration is costing us billions per year. The hotels these immigrants are being put up in cost around 14 million a day. That’s not a ‘right wing talking point’. It’s a fact.

Yet people on mumsnet will do anything to avoid talking about this. It’s astonishing that it’s more socially acceptable to target the disabled and elderly who have spent their whole lives here.

We need immigration due to the falling birth rate. A lot of this is due to the extortionate cost of childcare (which is why we need capital investment into building state nursery schools that could be ran like the private sector (I.e. core hours completely free but a charge for wraparound and holidays. Any profits to be reinvested into education).

GinAndJuice99 · 26/03/2025 13:33

Why is this in Am I Being Unreasonable?

BurntBroccoli · 26/03/2025 13:32

NattyTurtle59 · 25/03/2025 20:54

'Modernisation required throughout'????

What is wrong with the world? That house is perfectly liveable in, and when I was young people lived in houses that required far more 'modernisation' than that house, and did any work as and when they could afford it. I can't help but start to lose sympathy with the young people whining about not being able to afford to buy a house - often what they mean is they can't afford to buy the perfect house.

I'm renting myself, and my flat is a 70s flat with no 'modernisation' other than a new bathroom - which only happened this year due to a leak which required the bath to be removed. The flat behind me still has the original bathroom.

That was the Agent blurb not mine! I suspect there are major defects in the property and for once they are being honest!

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