What will happen when the stock market bubble bursts? - Richard Murphy

2nd November 2025

Global stock markets are at record highs.

Everyone knows it's a bubble, but no one wants to leave the dance.

In this video, I explain why AI hype, leveraged finance and shadow banking have created the biggest financial bubble since 2008 and why its collapse could wipe £1 trillion off UK stock markets.

More importantly, I set out how we can rebuild finance to serve society, not the other way round.

00:00 - What happens when a stock market bubble bursts?
01:10 – Global markets at record highs
02:35 – AI hype and irrational investment
03:40 – Understanding what a crash really means
05:00 – The pension fund fallout
06:30 – Impact on retirees and future income
07:40 – Bonds, interest rates, and recovery
08:50 – The hidden danger: debt-driven finance
10:10 – How £1 trillion could vanish overnight
11:25 – Banking contagion and loss of trust
12:30 – Lessons ignored since 2008
13:30 – Why the next crash will hit harder
14:30 – Rebuilding finance for public good
15:30 – The choice: repeat 2008 or rebuild justly