It seems like UK might default

[Mrbuck]

If nothing improves a lot then UK might default.
Given on current situation no way UK can keep paying bonds/ gilts to holders.
Also the usa trump tarifs don't help either If it falls then someone need to bail out.

[Usdcboss]

If nothing improves a lot then UK might default.
Given on current situation no way UK can keep paying bonds/ gilts to holders.
Also the usa trump tarifs don't help either If it falls then someone need to bail out.

UK is interesting to watch...but i think they should make higher taxes and cut off spendings so they can serve their debts.

Perfect for UK would be take greenland there is a lot resources wich they can use to re-balance or offset their huge debt. Or simply...wich they all ready do is war with russia so they can win russia and get resources.

But all see that everybody is educated and knows that uk want to get desperately on hold the world.

[franky1]

scare story that bond holders wont get paid is just to get bond holders to sell their bonds.. this is because the elites are on a mass buying spree of bonds

[Fortify]

If nothing improves a lot then UK might default.
Given on current situation no way UK can keep paying bonds/ gilts to holders.
Also the usa trump tarifs don't help either If it falls then someone need to bail out.

It's fascinating to see the indepth research and thorough analysis that you put into this. Your endless list of referenced material and opinions from experts is surpassed by none. Oh wait, you never offered a single shred of evidence or useful insight into why you think the UK, which hasn't defaulted for a very long time and is able to get some rather generous returns by selling government debt compared to other countries, is about to default. I'm guessing you've seen the recent sell off in the bond market, which happened weeks ago and I'll give it to you - was an excellent buying opportunity at the time, but those jitters have subsided and people who bought at the bottom at now sitting on excellent value but they're definitely not concerned about a default.

[STT]

Last talk I heard about fears was the gold market and fears over demand not satisfied, London being center of the world gold price set every day and also I think 2nd largest depository for the world and its banks.

There is definitely stress in the system but UK isnt alone in a large amount of debt payable.   I think UK has cards to play so isnt boxed in like the Greece situation ended up and even that took some time with alot of hedge funds targetting that market.   

Easiest thing now is UK needs a good trade deal, that'd be enough to turn the tables on speculators.  There is no real failure but a lack of growth is clear which brings fears of future stress from too much government spending.
    All modern in debt governments should run a surplus and repay their debt and none of them ever seem to do that, common sense is not where politics exists sadly so its hard to predict the outcome as obvious.

[alani123]

The UK is one of these countries that would rather starve its citizens than default.

It's funny because in the 20th century the west made a mockery of the supposed communist they had installed in Romania who had a play to repay the loans the country had by following strict austerity to find the money.

Now, in the 21st century, austerity for the many has become the favorite tools neoliberals have to pay off state loans. Working people get paid less and are taxed more, just so the rich don't have to. Greece became testing grounds for this economic model, and although it failed, we've kept seeing it.

It got applied to Germany, Austria along many European states and more recently Argentina as well, with catastrophic results. And yet the big magazines owned by media moguls are speaking of "economic success" just because the rich pay less tax... Now we'll see the same experiment in the U.S. thanks to Trump. If the UK economy nears default be certain that austerity will follow instead of a default, although the latter might have been the only democratic option. Democracy doesn't count in our current system when it comes to advancing the interests of the rich.

[Mrbuck]

The UK is one of these countries that would rather starve its citizens than default.

It's funny because in the 20th century the west made a mockery of the supposed communist they had installed in Romania who had a play to repay the loans the country had by following strict austerity to find the money.

Now, in the 21st century, austerity for the many has become the favorite tools neoliberals have to pay off state loans. Working people get paid less and are taxed more, just so the rich don't have to. Greece became testing grounds for this economic model, and although it failed, we've kept seeing it.

It got applied to Germany, Austria along many European states and more recently Argentina as well, with catastrophic results. And yet the big magazines owned by media moguls are speaking of "economic success" just because the rich pay less tax... Now we'll see the same experiment in the U.S. thanks to Trump. If the UK economy nears default be certain that austerity will follow instead of a default, although the latter might have been the only democratic option. Democracy doesn't count in our current system when it comes to advancing the interests of the rich.

If country have problem with debt then solution is war.
Its been always like that trough our history

scare story that bond holders wont get paid is just to get bond holders to sell their bonds.. this is because the elites are on a mass buying spree of bonds

Upcoming Maturity Dates and Interest Payments As of February 2025, there are indeed gilt bonds that will reach maturity soon. The UK Debt Management Office (DMO) regularly publishes a calendar detailing upcoming gilt maturities and interest payments. For instance, certain short-dated gilts may be maturing in the next few months, with specific dates often falling in March or April.

That's why UK enrolled evisa system wich travelers need to pay in order to visit UK.
So they can  collect money to meet their debt obligations.
Just right time

[moderator's note: consecutive posts merged]

[cryptosize]

Everyone will default eventually. That's the endgame of constant debt expansion.

The elite bankers want to usurp both public and private property ("own nothing, be happy").

https://www.youtube.com/watch?v=dk3AVceraTI

[franky1]

scare story that bond holders wont get paid is just to get bond holders to sell their bonds.. this is because the elites are on a mass buying spree of bonds

Upcoming Maturity Dates and Interest Payments As of February 2025, there are indeed gilt bonds that will reach maturity soon. The UK Debt Management Office (DMO) regularly publishes a calendar detailing upcoming gilt maturities and interest payments. For instance, certain short-dated gilts may be maturing in the next few months, with specific dates often falling in March or April.

That's why UK enrolled evisa system wich travelers need to pay in order to visit UK.
So they can  collect money to meet their debt obligations.
Just right time

yet the very website you describe that lists this stuff, shows that a couple days ago they sold off £13b of new gilt bonds (the highest amount yet in months) as a way to replace the ones expiring.. and last month another £8b and in september was another £8b along with many other inbetween which pushes back the deadline to way passed the next decade with enough bonds bought to swap from expired to new issue

defaults only happen when no one is buying new bonds with the value of old bonds(where no real money changes hands), where by then without a buyup of new bonds, the government has to pay out using actual real money from the treasury
but this didnt happen in january. so panic averted. the bond holders did swap and extend the deadline by swapping to new issue bonds

by doing replacement bonds with a new expiry, no real money swaps hands it just extends the expiry of the debt again. and this £36b due january 2025 wont now expire until 2035 at the earliest (crisis averted)

..
by the way the bond holding institutions didnt suddenly in january just say to the treasury "nah lets not continue, just gimme my money in full" because what you dont realise is these bonds are re-sold to by institutions to those institutions customers, so the institutions would have to say "sorry customers we are going to have to close your accounts because we want to flush and clear out of the bond market. please wait for bureaucracy to clear up the bankruptcy of a government which can take 6month-60months for you to get pennies on the pound"
instead they just continue on and do the swap for new-issued bonds with new expiry dates and just continue getting yearly interest

[Mrbuck]

scare story that bond holders wont get paid is just to get bond holders to sell their bonds.. this is because the elites are on a mass buying spree of bonds

Upcoming Maturity Dates and Interest Payments As of February 2025, there are indeed gilt bonds that will reach maturity soon. The UK Debt Management Office (DMO) regularly publishes a calendar detailing upcoming gilt maturities and interest payments. For instance, certain short-dated gilts may be maturing in the next few months, with specific dates often falling in March or April.

That's why UK enrolled evisa system wich travelers need to pay in order to visit UK.
So they can  collect money to meet their debt obligations.
Just right time

yet the very website you describe that lists this stuff, shows that a couple days ago they sold off £13b of new gilt bonds (the highest amount yet in months) as a way to replace the ones expiring.. and last month another £8b and in september was another £8b along with many other inbetween which pushes back the deadline to way passed the next decade with enough bonds bought to swap from expired to new issue

defaults only happen when no one is buying new bonds with the value of old bonds(where no real money changes hands), where by then without a buyup of new bonds, the government has to pay out using actual real money from the treasury
but this didnt happen in january. so panic averted. the bond holders did swap and extend the deadline by swapping to new issue bonds

by doing replacement bonds with a new expiry, no real money swaps hands it just extends the expiry of the debt again. and this £36b due january 2025 wont now expire until 2035 at the earliest (crisis averted)

..
by the way the bond holding institutions didnt suddenly in january just say to the treasury "nah lets not continue, just gimme my money in full" because what you dont realise is these bonds are re-sold to by institutions to those institutions customers, so the institutions would have to say "sorry customers we are going to have to close your accounts because we want to flush and clear out of the bond market. please wait for bureaucracy to clear up the bankruptcy of a government which can take 6month-60months for you to get pennies on the pound"
instead they just continue on and do the swap for new-issued bonds with new expiry dates and just continue getting yearly interest

Ok who is those buyers ? Its interesting to know who own  that bonds ? 🤔 Then they own UK

[slapper]

Default? Come on, it's not Argentina. The UK isn't going to "default" in the traditional sense. This isn't some banana republic, either, where they merely quit paying. They would only inflate their way out and print more money. Higher prices, reduced real wages, and stealth tax increases will stealthily force the debt load onto individuals. Indeed, Trump's tariffs are another blow, but they are only one element of the mess. The real issue is Labour already burned through its fiscal headroom; now, they either cut spending (which they won't) or increase taxes once more (which kills investment). This is why the markets are punishing them; investors see the trap ahead

Should things continue to slide, "bailout" will not be some IMF saving. More bond purchasing, more QE, more financial engineering will all be involved. The true losers? Regular Brits who get screwed with lower purchasing power

[franky1]

places like argentina have and would default multiple times, but again not due to any domestic bond market stuff, but debt due from some IMF/world bank deal becoming due, or incurring sanctions due to breaching terms of the international loan