UK Debt Increases As The Possibility of Recession Increases
Figures released this morning have shown thet the UK’s debt is far more than predicted and up considerably from last month coming in at a staggering £16.747bn. This shows how much debt the UK government currently holds and as it is such a high figure it is likely to place more pressre on Sterling and also could increase the likelihood of the UK being in recession. While Thursday’s GDP figures are still likely to be the most important for this month any negative data such as this mornings Public Sector Net Borrowing can have a detrimental impact on Sterling exchange rates. The fact that this morning’s figures were collated from last month also means that this increase in debt could count towards the chances of the UK being in recession. Things in the UK seem to have got so bad that even the Archbishop of Canterbury has commented that it will take something “very very major” to get the UK out of its current economic depression. It seems that the economic problems we are facing is the talking point for many and are likely to remain in the headlines for some time to come and while the media focus on the negatives it is possible that Sterling exchange rates will remain under pressure.
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