§ 18. Mr. WallerTo ask the Chancellor of the Exchequer if he will make a statement on his policy in respect of the United Kingdom's public debt. [18539]
§ Mr. WaldegraveThe Government's fiscal objective is to bring the public sector borrowing requirement back towards balance over the medium term, and in particular to ensure that when the economy is on trend the public sector borrows no more than is required to finance its net capital spending. The ratio of government debt to gross domestic product is projected to fall over the medium term as the PSBR comes down. The UK's debt burden is already among the very lowest in the European Union. It is also lower than in any year under the last Labour Government. If the UK had continued to borrow at the rate seen under the last Labour Government, the debt burden would be double what it is now.