As Ukippers and Brexiters we should be armed with the facts that show what a dire state the EU is in financially. We should not be surprised that our politicians are covering up the possible financial collapse of the EU. “Covering up” is in quote marks because, I am not sure they understand the very serious implications, or that they do know, but just don’t talk about it and hope no one will wake up. But many financial experts are awake.
The national debt in some of EU member states is in the TRILLIONS! Here are just some of the figures in billions of euros: Italy 2302.35, France 2255.32, Germany 2071.42, UK 2016.05, Spain 1160.61, Belgium 468.08, Netherlands 412.34 and Greece 322.57. Note that Italy’s debt is 2.3 TRILLION! That is 2.300,000,000,000 euros! Note how our own UK debt is over 2 trillion.
There is another way of looking at these vast debts that should frighten every citizen – the amount of debt in euros for every man, woman and child in 2016: Ireland 42,451, Belgium 39,503, Italy 36,560, Austria 34,030, France 32,166, Greece 29,201, Euro-19 28,210, Germany 26,046, Netherlands 25,566 and Spain 23,833. Imagine having a debt of over £30,000! How is it possible that traditional politicians in governments over the years have gotten their countries into so much debt? Again the UK is also in that terrible position. Every citizen of the UK has a debt of 30 929 euros!
Some financial experts say that some of the EU countries will be unable to pay back their debts. To understand this claim you have to understand the often mention “gross domestic product” (GDP). The GDP is the value of the total of all goods and services produced by everyone in a country over a year. Even if some EU countries used ALL their GDP for a year they could still not pay off all their debts. That’s like saying if you sold your car, your house, other assets and used all your savings – you still would not have enough to cover all your debts! When a country’s debt is over 100% of its GDP, that’s what it means –the value of everything produce in one year will not be enough to pay the debt. These number may shock you. Greece’s debt to GDP ratio is 180.4%, Italy 133.4% , Portugal 126.4%, Belgium 106.3%, Spain 98.8%, France 97.7%, Cyprus 94.7%, Euro Area 86.8% and UK
In other words some countries in the EU are effectively bankrupt! What will happen if some of these countries cannot pay back what they owe to the bond holders, many of whom are pension funds? Why are our politicians not flagging up this dire financial state? Where are the financial journalists who understand what these numbers mean and telling people about it?
As you have seen, the numbers for the UK are not much better than those of other EU countries. That means that hard times are ahead of us. However, as Ukippers we can take some solace in the fact that EU will soon disappear as it descends into financial chaos and the Euro collapses.