What if the UK government admitted it already uses modern monetary theory? Would markets panic — or would we finally have the power to rebuild Britain?
In this video, I explain:
Why MMT isn’t a policy, but a fact.
How the “market panic” MMT would supposedly create is a myth.
How the UK could use MMT to invest, create jobs, and tackle inequality.
The truth is simple: the UK already creates money this way. The question is — how do we make that work for us all?
00:00 What if markets panic? The MMT “crisis” hook
00:28 MMT defined: description, not a policy choice
01:20 How government actually pays via the Bank of England
02:20 Tax and bonds: removing money and providing safe deposits
03:30 Why critics misunderstand MMT (and what that implies)
04:40 What MMT enables: jobs, investment, climate action
05:30 If markets sell gilts: what really happens
06:15 Bonds to cash/reserves: no disappearance of sterling
07:00 Prices down, yields up: short-term mechanics
07:35 Government tools: cut base rate
08:10 Pause new gilt issuance; flood banks with reserves
08:40 Halt quantitative tightening; stop paying IOR on reserves
09:20 Temporary central bank financing to stabilise markets
09:45 Opportunity: buy back cheap debt and cancel interest
10:30 Explain the plan: invest in housing, care, energy, skills
11:15 Go direct to savers: NS&I and regional investment funds
12:10 Channel ISA cash to productive uses
12:40 Reform finance to serve people, not markets
13:10 Reframing a weaker pound as a competitiveness boost
14:00 Exports, regional jobs, and broader prosperity
14:40 Multipliers and real growth crowding in investment
15:10 Reassuring investors: funding the future narrative
15:45 Stronger economy, less extremism, more stability
16:20 Austerity exposed as a political, not economic, choice
17:00 Call to action: recognise and use MMT to cut inequality
17:45 Wrap-up, poll, and next steps
Credit to : Richard J Murphy