Why the UK government can't borrow - and we should not pretend it does - Richard Murphy

17th August 2025

Politicians tell us the UK is "borrowing too much" and faces a "debt crisis."

That's wrong. The government creates the pounds it spends, and what's called "borrowing" is really just it accepting deposits — or savings — from the public and financial markets.

It's time to stop the scare stories and understand the truth.