UK Government debt increases to almost £2 trillion.
UK Government debt increased in May 2020 and now stands at just under £2 trillion.
What are the numbers?
Talking about the value of UK Government debt means thinking about some really large numbers!
Total borrowing by the UK Government is now £1,950,100,000,000. Put another way, that’s £1.95 trillion.
That number is equal to an entire year’s worth of UK economic activity across the private and public sector. (Called GDP or Gross Domestic Product). We have to go back as far as 1963 to find the last time that happened.
It works out that total UK Government debt is now worth roughly £29,500 for every person in the UK*.
Recent borrowing has broken records
- Total debt increased by 20.5% compared to a year ago, a record annual increase
- Monthly borrowing for May was £55 billion, a record amount for monthly borrowing
- Annual borrowing for the current financial year is already £103 billion, a record for the year so far
The ONS stated;
“The coronavirus (COVID-19) pandemic has had an unprecedented impact on borrowing. The £55.2 billion borrowed by the public sector in May 2020 is the highest monthly total on record… (records began in January 1993).
Latest published figures …suggest that borrowing in the current financial year… could be £298.4 billion, around five times the amount borrowed in the latest full financial year…”
Notes and Sources
- Full details from the ONS. ONS are the official UK statistics provider. https://www.ons.gov.uk/economy/governmentpublicsectorandtaxes/publicsectorfinance/bulletins/publicsectorfinances/may2020
- * simply divide the total debt by the number of people in the UK, so total debt is £1.95 trillion divided by the UK population which is roughly 66 million.
- Some numbers rounded to make the article easier to read.