Britain’s national debt stands at £1.7 trillion and grows at a rate of £5,170 per second, which is equivalent of burdening each taxpayer with a massive £49,215. Despite these horrific figures, Chancellor Philip Hammond plans to borrow even more money in a last-ditch attempt to stimulate the UK economy.
During his first Autumn statement Mr Hammond told parliament he would need to borrow an extra £122 bn. The concept of the UK economy balancing the books before 2020 appears farcical. The conservative government appears to be in tandem with Donald Trump who has promised to increase the governments national debt and spend big on infrastructure projects.
Over the last 20 years’ governments embraced central bank independence and promoted their ability to steer the global economy. After eight years of money printing and zero percentage interest rates central banks have clearly failed to reignite the global economy. With conventional central bank Keynesian methods now exhausted it appears governments now want to take center stage.