Rishi Sunak insists debt is 'on schedule' to fall - despite mocking of minister Laura Trott who made same claim

Rishi Sunak has maintained that the national debt is on track to decrease, even though one of his ministers faced backlash for saying the same thing.

Laura Trott, who holds the position of chief secretary in the Treasury, was criticized for her lack of knowledge about her job's fundamental facts. This came after her repeated statements claiming that the debt is decreasing concerning gross domestic product (GDP).

She stated this despite the most current official predictions indicating that there will be a rise in debt within the next five years.

In November, the OBR reported that the national debt will increase from 89% to 92.8% as a proportion of the national income by 2028/29.

At the beginning of 2023, Mr Sunak offered five promises to the public, which included decreasing the debt, reducing the waiting lists in the NHS and putting an end to the arrival of boats.

During an interview on the PM programme by BBC Radio 4, Ms Trott was shown the OBR forecast and replied by stating that she had alternative data points.

According to her, the main commitment of the Prime Minister is that "the reduction of debt as a percentage of GDP should be consistent throughout the next five fiscal years", and she noted that this is being achieved.

The most recent political update: The Prime Minister has rejected what she called a "completely absurd" claim by Putin.

Ms Trott seemed unsure when questioned and quietly responded, "I'm not certain." The host, Evan Davis, expressed surprise at her response and remarked that the fact debt is increasing is a fundamental concept.

The minister responded by saying, "I believe I require the statistics. I possess varying numbers that... we simply require... umm."

On Friday, the head of the government spoke with broadcasters and seemed to offer support for Ms Trott.

When questioned about how individuals could trust the economy after the minister's statements, Mr. Sunak expressed, "The independent Office of Budget Responsibility assesses that debt will diminish as planned. They confirmed this at the previous autumn statement that was announced by the chancellor."

"Our strategy to boost the economy is paying off - the rate of inflation has decreased from 11% to 4%. Mortgage rates are beginning to decrease, salaries are increasing, and thanks to the positive economic climate, we have been able to reduce taxes for citizens."

I find it very alarming that these individuals hold positions of power.

According to the information Mr. Davis referred to, which was provided by OBR, there will be a decrease in debt in the coming years, but it won't happen until the second part of this decade. However, in the next five years, debt will still be greater than it presently is.

It's predicted that the amount of debt compared to the country's economic output will increase from 89% to 93.2% by 2026/27. However, it's expected to decrease in the last two years and reach 92.8% of GDP by 2028/29.

When reached out for a comment, a spokesperson from Downing Street pointed out that the government is making good progress towards their goal of reducing debt within the next five years.

In order to easily access the video player, we recommend using the Chrome internet browser.

In the past, Mr. Sunak claimed that the debt had already been reduced but now he has used a different language by saying that the debt is "on schedule" to fall.

He received criticism from the organization responsible for monitoring the accuracy of statistical data. They expressed concern that his statement could potentially cause confusion and damage public confidence in the government's use of statistics.

The government typically uses public sector net debt (PSND), which doesn't include the Bank of England (BoE), when assessing debt.

The amount of money the government owes is estimated to decrease by about 4% in relation to the total wealth of the country in the next five years. However, if you exclude the debt owed to the state bank, the actual debt is predicted to increase by around 4% during that same period.

According to projections, the Public Sector Net Debt (PSND) is expected to slightly decrease at the conclusion of the five-year forecast. It is predicted to go from 93.2% in the year 2027/28 to 92.8%. However, even with this predicted decrease, it is still higher than its current rate of 89%. It's important to note that the Bank of England is not included in this forecast.

Learn more: Rishi Sunak is likely to face difficulties in fulfilling his significant promise as the national debt continues to increase. It has been reported that the Prime Minister recently visited a dental practice to endorse his plan for economic recovery. However, it has been confirmed that this particular dentist does not provide services to NHS patients.

The Labour Party expressed their concern regarding individuals such as Ms Trott who are responsible for managing the finances of the country, describing it as a frightening situation.

Darren Jones, who is the chief secretary of the Treasury for the opposition party, stated that the current ruling party has caused the economy to collapse and caused the national debt to increase twofold over the past ten years.

Tonight, it came to our attention that Laura Trott, who holds the second position in Jeremy Hunt's team, is lacking fundamental knowledge about her role.

The idea that these individuals not only oversee the economic affairs of the nation but also believe they can give advice to others is frightening.