The UK, however, is at least trying to toe the line, not provoking its creditors by thumbing its nose at fiscal caution. This absolutely must continue or the house of cards could collapse. For, be in no doubt, our gilt market is extremely fragile. Yields are low partly due to the eurozone mess, but mainly because the biggest purchaser of sovereign debt is the state itself, in the form of the Bank of England. Circular financing can work for a while, but eventually the music must stop.