Public sector net debt amounted to 95.8 percent of gross domestic product in the United Kingdom during the 2024/25 financial year, or 90 percent when the Bank of England is excluded. UK government debt is at its highest levels since the early 1960s, due to a significant increase in borrowing during the COVID-19 pandemic. After peaking at 251.7 percent shortly after the end of the Second World War, government debt in the UK gradually fell, before a sharp increase in the late 2000s at the time of the global financial crisis. Debt not expected to start falling until 2029/30 In 2024/25, the UK's government expenditure was approximately 1.28 trillion pounds, around 44.7 percent of GDP. This spending was financed by 1.13 trillion pounds of revenue raised, and 151 billion pounds of borrowing. Although the UK government can still borrow money in the future to finance its spending, the amount spent on debt interest has increased significantly recently. Recent forecasts suggest that while the debt is eventually expected to start declining, this is based on falling government deficits in the next five years. Government facing hard choices Hitting fiscal targets, such as reducing the national debt, will require a careful balancing of the books from the current government, and the possibility for either spending cuts or tax rises. Although Labour ruled out raising the main government tax sources, Income Tax, National Insurance, and VAT, at the 2024 election, they did raise National Insurance for employers (rather than employees) and also cut Winter Fuel allowances for large numbers of pensioners. Less than a year after implementing cuts to Winter Fuel, the government performed a U-Turn on the issue, and will make it widely available by the winter of 2025.

Historical dataset showing U.K. debt to gdp ratio by year from 1990 to 2023.

Key information about United Kingdom Government Debt: % of GDP

• United Kingdom Government debt accounted for 101.1 % of the country's Nominal GDP in Sep 2024, compared with the ratio of 100.9 % in the previous quarter.
• UK government debt to GDP ratio data is updated quarterly, available from Mar 1966 to Sep 2024.
• The data reached an all-time high of 107.5 % in Mar 2021 and a record low of 28.3 % in Dec 1990.

CEIC calculates quarterly Government Debt as % of Nominal GDP from quarterly Government Debt and rolling sum of quarterly Nominal GDP. The Office of National Statistics provides Government Debt in local currency. The Office for National Statistics provides Nominal GDP in local currency.


Related information about United Kingdom Government Debt: % of GDP

• In the latest reports, UK National Government Debt reached 3,810.9 USD bn in Sep 2024.
• The country's Nominal GDP reached 786.4 USD bn in Mar 2023.

In September 2024, the national debt of the United States had risen up to 35.46 trillion U.S. dollars. The national debt per capita had risen to 85,552 U.S. dollars in 2021. As represented by the statistic above, the public debt of the United States has been continuously rising. U.S. public debt Public debt, also known as national and governmental debt, is the debt owed by a nations’ central government. In the case of the U.S., national debt is owed by the federal government to Treasury security holders. Generally speaking, government debt increases with government spending, and can be decreased through taxes. During the COVID-19 pandemic, the U.S. government increased spending significantly to finance virus infrastructure, aid, and various forms of economic relief. International public debt Venezuela leads the global ranking of the 20 countries with the highest public debt in 2021. In relation to the Gross Domestic Product (GDP), Venezuela's public debt amounted to around 306.95 percent of GDP. Eritrea was ranked fifth, with an estimated debt of 170 percent of the Gross Domestic Product. The national debt of the United Kingdom is forecasted to grow from 87 percent in 2022 to 70 percent in 2027, in relation to the Gross Domestic Product. These figures include England, Wales, Scotland as well as Northern Ireland. Greece had the highest national debt among EU countries as of the 4th quarter of 2020 in relation to the Gross Domestic Product. Germany ranked 13th in the EU, with its national debt amounting to 69 percent of GDP in the same time period. Tuvalu was one of the 20 countries with the lowest national debt in 2021 in relation to the GDP, while Macao had an estimated level of national debt of zero percent, the lowest of any country. The data refer to the debts of the entire state, including the central government, the provinces, municipalities, local authorities and social insurance.

United Kingdom UK: Central Government Debt: Total: % of GDP data was reported at 116.856 % in 2016. This records an increase from the previous number of 106.728 % for 2015. United Kingdom UK: Central Government Debt: Total: % of GDP data is updated yearly, averaging 44.132 % from Dec 1990 (Median) to 2016, with 27 observations. The data reached an all-time high of 116.856 % in 2016 and a record low of 29.195 % in 1991. United Kingdom UK: Central Government Debt: Total: % of GDP data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s United Kingdom – Table UK.World Bank.WDI: Government Revenue, Expenditure and Finance. Debt is the entire stock of direct government fixed-term contractual obligations to others outstanding on a particular date. It includes domestic and foreign liabilities such as currency and money deposits, securities other than shares, and loans. It is the gross amount of government liabilities reduced by the amount of equity and financial derivatives held by the government. Because debt is a stock rather than a flow, it is measured as of a given date, usually the last day of the fiscal year.; ; International Monetary Fund, Government Finance Statistics Yearbook and data files, and World Bank and OECD GDP estimates.; Weighted average;

Government debt in the United Kingdom reached over 2.8 trillion British pounds in 2024/25, compared with 2.69 trillion pounds in the previous financial year. Although debt has been increasing throughout this period, there is a noticeable jump between 2019/20, and 2020/21, when debt increased from 1.82 trillion pounds, to 2.15 trillion. The UK's government debt was the equivalent of 95.8 percent of GDP in 2024/25, and is expected to increase slightly in coming years, and not start falling until the end of this decade. Public finances in a tight spot With government debt approaching 100 percent of GDP, the UK finds itself in a tricky fiscal situation. If the UK can't reduce it's spending, or increase its revenue, the government will have to continue borrowing large amounts, increasing the debt further. Adding to the problem, is the fact that financing this debt has got steadily more expensive recently, with the government currently spending more on debt interest than it does on defence, transport, and public order and safety. Can the UK grow out its debt? After the Second World War, when the national debt reached over 250 percent of GDP, the UK managed to reduce its debt-to-GDP ratio, due to the economy growing faster than its debt over a long period of time. This is certainly the hope of the current Labour government, who are seeking to avoid significant tax and spending adjustments by strengthening the economy. Overdue investments in infrastructure and increased capital spending may eventually achieve this goal, but the government's declining popularity suggests they may not be in power by the time these policies might eventually bear fruit.

Historical dataset showing U.K. national debt by year from 1990 to 2023.

United Kingdom UK: Central Government Debt: Total data was reported at 2,294,247.000 GBP mn in 2016. This records an increase from the previous number of 2,015,806.000 GBP mn for 2015. United Kingdom UK: Central Government Debt: Total data is updated yearly, averaging 494,806.000 GBP mn from Dec 1990 (Median) to 2016, with 27 observations. The data reached an all-time high of 2,294,247.000 GBP mn in 2016 and a record low of 185,954.000 GBP mn in 1990. United Kingdom UK: Central Government Debt: Total data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s United Kingdom – Table UK.World Bank.WDI: Government Revenue, Expenditure and Finance. Debt is the entire stock of direct government fixed-term contractual obligations to others outstanding on a particular date. It includes domestic and foreign liabilities such as currency and money deposits, securities other than shares, and loans. It is the gross amount of government liabilities reduced by the amount of equity and financial derivatives held by the government. Because debt is a stock rather than a flow, it is measured as of a given date, usually the last day of the fiscal year.; ; International Monetary Fund, Government Finance Statistics Yearbook and data files.; ;

Government debt as a share of gross domestic product has risen for almost all of Europe's largest economies since the mid-20th century. While until the 1970s it was common for European countries to have debt levels of less than 20 percent of their GDP, with the onset of economic crises related to international financial instability and oil price shocks, the long-term slowdown of economic growth in Europe, and the substantial public spending burdens which states had incurred due to the expansion of welfare and social services, European governments began to amass significant amounts of debt.

Which European countries are the most indebted? Italy stands out as the country in Europe which has experienced the largest secular increase in its government debt level, with the southern European country having debt worth 1.4 times its GDP in 2022. Spain, the United Kingdom, and France have also experienced long-run increase in their debt levels to between 90 and 100 percent in 2022. Germany and Turkey, on the other hand, have experienced more gradual increases in their public debt, with both countries having debt worth less than half their GDP. Russia stands as an outlier, due to the fact that its debt level has fallen dramatically since the 1990s. After the eastern European country's transition from communism and particularly after the financial crisis it experienced in 1998, the Russian state has severely cut back on public expenditure, while also having little need to borrow due to the state ownership of the country's vast natural resources.

Singapore Govt Debt: External Debt: UK Special Aid data was reported at 0.000 SGD mn in Dec 2024. This stayed constant from the previous number of 0.000 SGD mn for Sep 2024. Singapore Govt Debt: External Debt: UK Special Aid data is updated quarterly, averaging 0.000 SGD mn from Mar 1990 (Median) to Dec 2024, with 140 observations. The data reached an all-time high of 38.700 SGD mn in Mar 1990 and a record low of 0.000 SGD mn in Dec 2024. Singapore Govt Debt: External Debt: UK Special Aid data remains active status in CEIC and is reported by Singapore Department of Statistics. The data is categorized under Global Database’s Singapore – Table SG.F007: Government Debt.

United Kingdom Central Government Debt: SS: Long Term data was reported at 1,502,056.000 GBP mn in Jun 2018. This records an increase from the previous number of 1,470,883.000 GBP mn for Mar 2018. United Kingdom Central Government Debt: SS: Long Term data is updated quarterly, averaging 307,016.500 GBP mn from Mar 1987 (Median) to Jun 2018, with 126 observations. The data reached an all-time high of 1,502,056.000 GBP mn in Jun 2018 and a record low of 116,588.000 GBP mn in Dec 1990. United Kingdom Central Government Debt: SS: Long Term data remains active status in CEIC and is reported by Office for National Statistics. The data is categorized under Global Database’s United Kingdom – Table UK.F012: ESA 2010: Maastricht Treaty: Government Debt.

Since 2004, the median value of a mortgage advance for a home purchase in the UK has more than doubled. In 2024, the average mortgage advance stood at ******* British pounds. The increase has been a direct result of the overall rise of house prices in the UK.

United Kingdom General Government Debt: Securities other than Shares (SS) data was reported at 1,569,075.000 GBP mn in Jun 2018. This records an increase from the previous number of 1,538,866.000 GBP mn for Mar 2018. United Kingdom General Government Debt: Securities other than Shares (SS) data is updated quarterly, averaging 312,866.500 GBP mn from Mar 1987 (Median) to Jun 2018, with 126 observations. The data reached an all-time high of 1,569,075.000 GBP mn in Jun 2018 and a record low of 121,989.000 GBP mn in Sep 1990. United Kingdom General Government Debt: Securities other than Shares (SS) data remains active status in CEIC and is reported by Office for National Statistics. The data is categorized under Global Database’s United Kingdom – Table UK.F012: ESA 2010: Maastricht Treaty: Government Debt.

Großbritanniens Staatsverschuldung:% des BIP belief sich im 2024-09 auf 101.1 %. Dies stellt einen Anstieg im Vergleich zu den vorherigen Zahlen von 100.9 % für 2024-06 dar. Großbritanniens Staatsverschuldung:% des BIP werden vierteljährlich aktualisiert, mit einem Durchschnitt von 47.2 % von 1966-03 bis 2024-09, mit 235 Beobachtungen. Die Daten erreichten ein Allzeithoch in Höhe von 107.5 % im 2021-03 und ein Rekordtief in Höhe von 28.3 % im 1990-12. Großbritanniens Staatsverschuldung:% des BIP Daten behalten den Aktiv-Status in CEIC und werden von CEIC Data gemeldet. Die Daten werden unter World Trend Pluss Global Economic Monitor – Table: Government Debt: % of Nominal GDP: Quarterly kategorisiert.