Carney: Growth remains sustainable
Mark Carney has insisted that Britain is not in the grip of a "debt-fuelled recovery", stressing the UK"s economic growth remains sustainable. The Bank of England Governor said private sector debt had come down substantially since the financial crisis, but warned that rising levels of household debt still posed an "indirect" threat to the economy. Household debt levels in the UK are expected to rise until the end of the decade, hitting 163% of GDP from current levels of 146%, according to the OBR. Meanwhile, separate figures show household debt has jumped by more than 40% in the past six months. Average family debt - excluding mortgage borrowing - stands at £13,520, up from £9,520 six months ago. The latest figure is the highest since the summer of 2013, when the average family owed £16,300, according to Aviva.
Source: The Daily Telegraph (13/01/2016)