\u201cThis is the chart that struck me most forcibly, both for what it tells us about the debts of the private sector, in particular the private finance sector; but also because of what the Treasury chose not to tell us: that the public debt to GDP ratio is tiny compared to private sector debt to GDP ratio.\u201d <\/em><\/p>\n Ann Pettifor \u00a0http:\/\/www.debtonation.org\/2011\/12\/my-graph-of-2011-along-with-top-economists\/<\/a><\/em><\/p><\/blockquote>\n In other words, the Brown government did not \u2018max out the credit card\u2019. \u00a0The increase in the debt to GDP ratio is the result of debt created by the financial sector, aka The City of London.<\/em><\/p>\n The UK\u2019s staggering debt is now nearly 1000% of GDP as the Morgan and Stanley chart below indicates\u2026 but it is notable that neither the UK government debt or personal household debt to GDP are very different from the other countries compared on the chart. \u00a0It is solely the size of the financial sector debt which pushes up the total.<\/em><\/p>\n It was also financial sector debt which brought down Ireland and Iceland. Privatisation of profits and socialization of losses.<\/strong> Unfortunately, under our present system, governments always end up having to rescue their financial sectors when they are about to fail from their risk-taking gambling \u2026 and that is the very good reason why our banks are unlikely to leave the UK in a mass exodus if they were properly controlled. \u00a0What country would want to take on the risk of bailing out the UK\u2019s financial sector?<\/em><\/p>\n![\"\"](\"http:\/\/thinkleftdotorg.files.wordpress.com\/2011\/12\/private_sector_debt_uk.png\" "\\"Private_sector_debt_uk\\"")
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