Canadian Banc Corp T.BK

UK debt reaches 100% of GDP

[deisman03]

This could be a dire warning orrr?

Rachel Reeves was yesterday urged to stop talking the economy down – as figures showed Britain's debt pile climbed to 100 per cent of gross domestic product (GDP).

Debt now stands at £2.77trillion and is at its highest level as a percentage of GDP since 1961.

The grim milestone revealed by the Office for National Statistics (ONS) deepened fears that the Chancellor will announce painful tax increases in next month's Budget. But leading economists said that growing the economy was the best way to mend the UK's public finances – and urged caution over potentially damaging tax hikes.

Mohamed El-Erian, chief economic adviser at asset manager Allianz, said the Government would need to take measures 'that will be painful for some'.

But he told the BBC that the only 'good' way out of debt was economic growth.

[flamingogold]

BK doesn't hold UK banks. Sounds like a attempt to knock this down based on your admitted strategy of selling pre-distribution and buying back ex-div.

[deisman03]

Not hardly, but you just keep right on ignoring the things that have an effect on banks.  GLTA the good folks here. 

[flamingogold]

Global debt is certainly a concern. I have no idea at all where this will be in a few years. But, in the near term I would argue that with rates coming down the weight of all that debt is certainly lifting.   BK is mostly Canadian banks, some US and nothing in the UK. If we want to talk about what will likely have the greatest effect on them then I would say the recent mortgage changes by

[deisman03]

Those all have substantial effects, but outside influence from offshore banks and nations have much more effect than most people realize.  Many of the issues you list are a result of monkey see, monkey do and it's led to what is felt by some to be a "crisis finanacial situation" in a nation which has very much influence on Canada, financially and politically.  Example

[flamingogold]

I would like to see Carney get back into politics and take the job over from Freeland, even better get Trudeau to step down and run for PM.

[deisman03]

Really? Now that's forward thinking, especially considering he was the Finance Minister of the UK that led them into their present predicament.  Maybe you want him to do the same here? GLTA the good folks here

[flamingogold]

The UK like many nations around the globe saw their debt grow substantially during covid. Carney left politics before covid. His resume is impressive unlike Freeland who is an author more than an economist. My opinion of course, but Canada stands a better chance forward with an economist and banker heading our finances than the current one.

[kurtwalter]

Eminent outsiders that are parachuted by the Liberals into the Canadian political scene have not done well - what was the name of the last one brought in from Harvard?

[deisman03]

Carney is Canadian born and served as the Gov of the Bank of Canada from 2018-2013, if memory serves.  It was a rather short appointment, and maybe used as a stepping stone to more influential and powerful positions, when he resigned to take up the BOE offer.  Rumor has it that he's backing PM Trudeau as the next Sec Genereal of the UN GLTA the good folks here

[navgod]

He was the govenor of the Bank of England not the finance minister quite a difference

[flamingogold]

True, but he has the creds to lead in that capacity moreso than what we currently have. I believe he would give the Libs a fighting chance in the next election and JT knows he this. Question is, does Carney even want to come back? Financially, he is better off remaning at Brookfield.

[deisman03]

Not the Finance Minister but as the Gov of the Bank of England, he proposed and advised the Finance Minister on all of the financial policies that came about after he took the position, until he left for greener pastures. The vast majority of UK financial results are where they are because of his influence.  GLTA the good folks here. 

[navgod]

I really hope your knowlege of markets is better than how the UK political system works. I think something called Brexit had a lot more influence than Carney.  LMAO

[deisman03]

Funny how they both happened at the same time and just look at the results.  GLTA the good folks here. 

[flamingogold]

Implying Brexit was Carney's doing is ludicrous. It was a vote by the people, that was the choice they made now they must live by it. And imo it was a poor decision. The UK is an island and while they have autonomy now, they will pay more for it as opposed to being part of a union of countries. The country made that choice freely, now they must own it and stop putting the blame on a few people

[deisman03]

Good Grief, is that all you've got???? Nobody implied that Carney even had anything to do with BREXIT.  However, he didn't handle it nearly as well as was expected and now we're seeing the results.  UK 100% GDP goes to debt.  GLTA the good folks here. 

[flamingogold]

As I said before, the people cast their vote. Their decision, so they need to take ownership of that. People often get pickled in debt and then blame someone else for it.

[deisman03]

Or they're forced into debt by POOR GOVERNANCE.  GLTA the good folks here. 

[flamingogold]

When rates fell to their lowest in generations how wise was it for people to gorge on debt thinking rates would never rise again? They need to own that mistake. As investors, if we buy a stock and it drops we lose. No smypathy for us. We own it. Same should hold true for those in debt.

[deisman03]

That's not the same thing and you know it.  Mortgages didn't create UK NATIONAL DEBT.  Now you're relying on WOKE biased political opinions and inuendoes to use as an argument.  The same reason the UK debt takes up 100% of its GDP GLTA the good folks here

[NoShoesNoShirt]

Yes Carney could be a good prime minister. Poliever has shades of trump with denying reality so I could never vote for him. Maybe he'll stop emulating trump after Harris wins.

[rixpix]

"An attempt to knock this down"" Sorry FLGold but this is funny.  Do you really believe one person posting on the SH board can bring down BK's SP because they said something you disagree with? With all due respect, only someone naive and gullible can believe something like that. GL.