Is the UK Economy REALLY on the Brink of Collapse?

6th September 2025

It’s been another bad week for the UK economy, with UK bond yields rising to the highest level for 30 years.

Not only that, but the Pound has had a bumpy ride. A falling Pound and higher yields are a toxic combination.

If you want to paint a picture of the UK economy on the brink of collapse, you can easily point to widespread pessimism and grim economic data.

But is the UK really facing an economic meltdown or is it just a self-reinforcing cycle of bad news and persistent panic about the next tax rise, fiscal black hole and government u-turn?