By Bruce Devile of the Bank’s Monetary and Financial Statistics Division and Stephen Senior of the Bank’s G10 Financial Surveillance Division.
The nominal value of public sector net debt outstanding fell by 9.9% during the financial year to end-March 2001. At end-March 2001, the net debt represented 31.6% of GDP, the lowest figure since 1992 and 5 percentage points lower than at end-March 2000. This article analyses the financial liabilities of the public sector, and considers the implications of the current level and structure of UK government debt, including in the context of analysing the national balance sheet as part of the Bank’s financial stability assessments. Bank’s G10 Financial Surveillance Division.