Friday, November 7, 2008

UK household debt to income 173%

Families in the UK now owe a record 173pc of their incomes in debts, official figures have shown. The ratio of debt to income is higher than any other country in the Group of Seven leading industrialised economies, and is sharply higher than the 129pc of incomes it was five years ago. In 2000, it was just around 90% The figures, published by the Office for National Statistics as part of its National Accounts, underline the scale of the coming slowdown facing the UK, economists warned yesterday. US househould debt to income ratio increased from 0.9 (7/7.8) to 1.3 (14/10.8) in Q2 2008. UK consumers are more indebted than US are. http://www.telegraph.co.uk/finance/2792372/British-household-debt-is-highest-in-history.html

2 comments:

alan said...

How can lowering interest rates help us? Is the treasury fighting fire with fire?

freda said...

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