By Nick Mann | 24 October 2012

The combined government debt of both the 27 European Union member states and the 17 members of the eurozone increased in the second quarter of 2012, Eurostat revealed today.

Data published by the EU’s statistical service shows that the government debt-to-gross domestic product ratio for the EU as a whole stood at 84.9% at the end of June, compared with 83.5% for the previous quarter. At the end of June 2011, it stood at 81.4%.

For the single currency bloc, the debt-to-GDP ratio reached 90%, compared with 88.2% at the end of the first three months of the year. In the second quarter of 2011, it was 87.1%.

The figures provide further evidence of rising government debt levels in the EU, following annual data published on Monday that showed the debt-to-GDP ratio increasing for both the EU and eurozone between 2010 and 2011.

Today’s data shows debt increased for 20 of the 27 EU member states in the second quarter, with only Bulgaria recording a fall – down from 16.7% in the first quarter to 16.5%. Low debt levels were also reported by Estonia (7.3%) and Luxembourg (20.9%).

Among the European economies worst hit by the economic crisis, Spain’s debt ratio remained relatively low at 76% – up from 72.9% in the first quarter and 66.7% in the second quarter of 2011.

Greece remains the most indebted EU member state with a 150.3% debt-to-GDP ratio. This is higher than the 136.9% at the end of the first quarter, but represents an improvement from 158.8% recorded in the same period last year. High levels of debt were also reported by Italy (126.1%), Portugal (117.5%) and Ireland (111.5%).

Europe’s largest economy, Germany, saw its debt-to-GDP ratio creep up from 81.1% in the first quarter to 82.8%, while the UK was one of six nations to see its ratio fall – down from 86.1% to 86%.