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UK Govt's Debt Costs Soar In January

UK DATA
MNI (London)
  • UK government debt interest payments were GBP6.1 billion in January 2022, the highest for any January since records begin in 1997, the Office for National Statistics said Tuesday.
  • Payments were GBP4.5 billion more than in January 2021, but lower than in June 2021 when interest payments were GBP9.0 billion.
  • The recent high levels of debt interest payments "are largely a result of movements in the Retail Prices Index (RPI) to which index-linked gilts are pegged," the ONS said.
  • In January 2022, the RPI uplift on index-linked gilts was GBP3.4 billion over and above the accrued coupon payments and other components of debt interest.

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