Debt shockwaves

SMALL AND MID CAP

Aviva's Toby Belsom on the small- and mid-cap market, where a significant percentage of businesses are reliant on government contracts and spend

The financial implications of European sovereign debt have been felt across global stock markets and currency exchanges. In the short term, the Club Med countries have taken the brunt of these financial, economic and fiscal implications, however the implications for the UK Government and public are also starkly clear. The UK Government deficit is running in excess of £180bn. We are not likely to be able to grow out of the problem through increased economic activity and subsequent improvement in tax receipts, especially as Europe, our largest trading partner, has its own well-publicise...