Overview
- IMF data published Monday show the UK's net debt-to-GDP ratio climbed from 30.4% in 2001 to 95.5% in 2026, a 65 percentage-point rise second only to Botswana in the fund's 25-year comparison.
- An IMF inspection team described government debt as "highly elevated" at about £2.9 trillion, roughly 94% of GDP, highlighting the scale of liabilities approaching a £3 trillion threshold.
- ONS figures for April show borrowing was £4.9 billion higher than a year earlier and interest costs hit a record April high, reflecting higher yields on government bonds.
- Market analysts report growing nervousness in the gilt market as investors demand higher returns for UK bonds, a trend that raises borrowing costs for households and public services.
- Political debate has hardened with opposition figures blaming current fiscal policy and commentators, including Ken Rogoff, warning there is an increased chance the UK may need IMF technical support by 2030.