UK economy 'skating on thin ice'
I still can't get my head around the concept of an economy both being strong, and being in record and increasing amounts of debt.
An influential forecast group is worried about the risks individuals, firms and ministers are taking with amounts borrowed. Ernst & Young's Item Club spring forecast said people are "overly relaxed about risk" and are "spending as if it was going out of fashion".
Club chief economic adviser Peter Spencer said: "The bottom line is that we are all living beyond our means."
"Ultimately we are all skating - not to say wobbling - on thin ice," he added.
The report highlights the current deficit in the public sector and expresses surprise that it built up at a time of economic strength and buoyant tax revenues.
"If the Chancellor is forced to borrow so much when the economy's so sweet, what will happen when it turns sour?" Mr Spencer asked.
Club chief economic adviser Peter Spencer said: "The bottom line is that we are all living beyond our means."
"Ultimately we are all skating - not to say wobbling - on thin ice," he added.
The report highlights the current deficit in the public sector and expresses surprise that it built up at a time of economic strength and buoyant tax revenues.
"If the Chancellor is forced to borrow so much when the economy's so sweet, what will happen when it turns sour?" Mr Spencer asked.
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