The UK is projected to have its national debt reach nearly three times its GDP in the coming years, raising concerns about public financial sustainability.
The significant increase in pension obligations due to an ageing population will strain tax revenues, creating a delicate balance between demographic realities and economic viability.
Transitioning to a net-zero economy will require substantial investments in energy and infrastructure, which poses a challenge alongside managing the impacts of climate change.
Rising defence spending commitments to 2.5% of GDP, driven by geopolitical tensions, are expected to exacerbate the UK’s already mounting debt challenges.
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