

NEW PODCAST: Helen Thompson on Britain's Next Crisis
10 snips Jul 22, 2025
Helen Thompson, a political economy professor at Cambridge University, discusses Britain's looming fiscal crisis. She reveals the reasons for the urgent economic concerns and predicts potentially drastic changes ahead. The conversation highlights the complexities of current monetary policies and their historical parallels, particularly how past crises can inform future decisions. Thompson warns that the government's attempts to avert disaster may ultimately be futile, pushing Britain toward a necessary recalibration of its economic priorities.
AI Snips
Chapters
Transcript
Episode notes
Imminent Bond Market Concerns
- Britain's bond markets currently show high yields, indicating investor concern over fiscal sustainability.
- Fiscal constraints and political challenges raise the risk of a financial crisis soon.
Britain’s Unique Vulnerabilities
- Britain's inflation and structural balance of payments deficit elevate its economic vulnerability.
- Becoming a net energy importer since 2004 worsens fiscal pressures and currency stability.
Legacy of Liz Truss Crisis
- The Liz Truss mini-budget crisis entrenched perceptions of UK as a political fiscal risk.
- Chancellor Rachel Reeves embraces a cautious fiscal policy to avoid repeating previous market shocks.