Its not a closed loop economy, though is it? A lot of the cost are things that have to be paid for in other currency. The more you print/borrow, the lower the value of your currency, so the more you print and borrow.
It is a closed loop in terms of government spending. Every £ govt injects into the economy, except those that are saved (by you and I and everyone else) will return to the Exchequer via taxation. Govt spending creates £s, taxation deletes £s. Sterling (£s) never leaves the Sterling Area.
I agree, some things need to be imported (there's plenty we can do about that if we wanted to) but, as far as the NHS goes I'd guess(?) it's a tiny proportion of what's expended.
The 'print/borrow' narrative is a false representation of how things actually work.
Government doesn't 'print' £s when it spends, it's all digital, via BoE.
The UK government never needs to (and doesn't) borrow its own currency, it creates it as necessary. Only the UK govt (and it's licensed agents) are legally allowed to create it.
The argument 'the more £s exist the less they are worth' is simplistic and reductive. You only have to check historic inflation rates alongside govt deficits in the same period. If that doesn't convince you, have a look at the 'poster child', Japan.
fullfact.org
Truss has one thing correct - they all do. The economy needs to grow and in the right way. Pretense of growth is no good at all. The only other way of raising more taxation is changing rates or trying to do something about avoidance. Labour aim to have a close looks at avoidance.
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