Ben Davies: The UK’s debt problem

Eric King interviewed Ben Davies recently about a recent presentation Mr Davies gave as a keynote speaker at the Gold and Silver summit in London. This presentation focused on the UK debt situation and the interview starts on the clock at 1:05 minutes:

Going much further than Martin Durkin did recently, on Channel4, Davies thinks that the UK government debt level stands at around £170,000 per man, woman, and child.  He discusses why this makes the UK a prime candidate for hyperinflation, particularly because of the government’s lack of gold ownership.

The interview is interesting because Davies predicts that if a G3 country experiences a sovereign debt crisis, within a cluster of such crises, then the fiat currency system could come to an end right there and then.

When answering Eric King’s usual questions about the medium and long-term price of gold, Davies sees $1600 dollar gold by the end of the year, but that gold will then trade in a highly volatile range from $1200 to $1600 for a period, but that its long-term fair value is still in the order of $4000 dollars an ounce.

You can find a PDF of the original presentation, here.