Darkness at the end of the tunnel

Labours road to bankruptcy choices, at 5% interest rate the UK national debt will double every 14 years, labour is spending more at this interest rates with its new home building plans as I have previously indicated with 1 million homes probably costing around 250,00 pounds each, for a total cost of 250 billion. This is only if they are low cost, if they are Net 0 ‘green’ they will cost around 500,000 each and 500 billion total. You can compare these costs to the national debt of around 3 trillion pounds on top of that Starma as agreed to spend 5% of GDP on the military following trumps instructions. 5% of GDP over 10 years is 50% of GDP or 1.5 trillion pounds. The labour party conference in Liverpool has not address any of these points. The UK is running out of other people money.

The UK is not alone, French’s 5th republic is seeking cuts in the welfare budget of around 40-50 billion Euros, which will require the creation of a 6th republic. Germany has plans to spend 500 billion Euros in a break from previously fiscally responsible management of the economy. For the EU as a whole GDP is 18 trillion and after 10 year of 5% per annum GDP spend the EU will commit 9 trillion Euros on defence on which it will donate most to Ukraine. Most EU countries already have debt to GDP ratios of 100% or higher, there is not enough money in the world to fund this madness and fund the social safety nets in each social democracy. Western socialism truly has run out of other peoples money.

Abandoning Net 0 will only scratch the surface of this massive spending commitment.

*Rule of 72 is the time taken to double an amount of money at an interest rate, for example, a 6% interest rate will double the amount borrowed in 12 years (72 divided by 6)

72 divided by 6 = 12 years

72 divided by 8 = 9 years

Onwards!!

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