The Office for National Statistics (ONS) has announced that the governments rescue plan for the UK biggest banks could push national debt up by as much as £1.5 trillion. The ONS also said that because the Royal Bank of Scotland and the Lloyds Banking Group are partly controlled by the state, they should be treated as public companies.
The statistics office said it would take time to analyse the damage done to public sector debt, but estimated that in the current climate it could be between £1 trillion and £1.5 trillion, comparable to around 100% of Gross Domestic Product (GDP).
The Office for National Statistics figures also show that public sector net debt reached a record 47.8% of GDP. These figures also showed that the government’s finances worsened in January; typically a strong month when bonuses and corporation tax receipts boost government finances.
4 Responses
It was on the news last night that corperation tax is down.
Posted on February 20th, 2009 at 3:35 am
£1.5 Trilllion thats rather a large amount
Posted on February 24th, 2009 at 3:59 am
How can we lose 1.5 trillion.
Posted on March 3rd, 2009 at 2:29 am
That’s around £25,000 per person!
Posted on March 4th, 2009 at 7:53 am
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