• tal@lemmy.today
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    1 year ago

    I don’t know what he’s referring to when he references the health of the economy, because there’s no context, nor is the full quote present. But if he’s talking about debt as a percentage of GDP, it’s over 100% now, which hasn’t been the case since World War II debt was paid down past that point in the early 1960s.

    Reducing that ratio will probably mean spending cuts or more taxes or both. Both are already apparently happening now. At the end of last year:

    https://www.cnbc.com/2022/11/17/uk-finance-minister-announces-tax-hikes-and-spending-cuts-says-country-is-in-recession.html

    UK finance minister announces tax hikes and spending cuts, says country is in recession

    Finance Minister Jeremy Hunt, in his hotly anticipated inaugural Autumn Statement, outlined around £30 billion in spending cuts and £25 billion in tax hikes.