Prime Minister warns of 'Years of pain ahead'

thescouselander

kabayiri wrote: »

So far the pain has been completely uneven.

Ask anyone who worked in private sectors hit, who have had to take pay cuts. I know mine has been down for several years now.

Ask savers who receive minimal interest now.

It's more a case of spreading the pain out to other areas now.

Well I just asked my OH and she reminded me that her pay rise this year was 7% and her bonus was the biggest ever. The private sector isn't doing as bad as is being made out I think.

worldtraveller

George Osborne is planning to eradicate Britain's budget deficit by emulating Canada, where borrowing was brought under control within just three years by spending cuts of 20 per cent.

The Chancellor will announce a "once-in-a-generation" revolution in public spending inspired by Canada in the mid-1990s, when the government turned a budget deficit of nine per cent of GDP into a surplus.

Canada brought public spending under control guided by the principle that people should ask "what needs to be done by government and what we can afford to do".

Mr Osborne and his Liberal Democrat deputy, Danny Alexander, will attempt to bring about a similar change of mindset in Britain.

The ambitious plan will be welcomed by those who believe swift and decisive action is necessary to bring Britain's budget deficit and spiralling national debt under control quickly.

However, it is likely to prove controversial with those who believe it could tip Britain back into recession and public sector workers who face losing their jobs.

David Cameron will warn today that the scale of the problem is worse than he thought and the potential consequences even more critical.

The Prime Minister will say that the "momentous" decisions he will take will have "enormous implications" that will affect everyone.

Telegraph.co.uk

novazombie

wymondham wrote: »

... I hope the 'pain' is spread out as evenly as possible. We've all got to pay for this.

As usual its the middle class who suffer the most.

If you are right at the bottom living off the state you will have an even better quality of life by comparison if you see what I mean.

Degenerate

worldtraveller wrote: »

David Cameron will warn today that the scale of the problem is worse than he thought and the potential consequences even more critical.

It's an interesting political strategy, given that the final deficit figures came out better than expected, for the prime minister to just state the opposite and hope no-one notices he's lying.

Old_Slaphead

thescouselander wrote: »

Well I just asked my OH and she reminded me that her pay rise this year was 7% and her bonus was the biggest ever. The private sector isn't doing as bad as is being made out I think.

Maybe you should contrast that with many areas of manufacturing who've seen will below inflation increases for years. My business has seen total rises of 4% (and no bonuses) in past 5 years - but at least we've managed to keep 100% of people in jobs throughout. I know of many SMEs with not dissimilar pay structures.

donaldtramp

Degenerate wrote: »

It's an interesting political strategy, given that the final deficit figures came out better than expected, for the prime minister to just state the opposite and hope no-one notices he's lying.

Better than expected?????????
It's a lot worse than that. The debt isn't £156 billion. The budget deficit is £156billion, which means we are currently living beyond our means to the tune of £156billion per annum.

Actual Debt is closer to one trillion, built up over years of increasing budget deficits.

Try to actually understand what is behind the numbers please before you rec posts eh?

HAMISH_MCTAVISH

donaldtramp wrote: »

Better than expected?????????
It's a lot worse than that. The debt isn't £156 billion. The budget deficit is £156billion, which means we are currently living beyond our means to the tune of £156billion per annum.

Actual Debt is closer to one trillion, built up over years of increasing budget deficits.

Yes, but what you doomers fail to understand is that nobody actually cares.

We were losing 100,000 private sector jobs a month at the start of last year in redundancies.

To now lose 100K a year from the public sector for a few years, almost all through natural attrition, is peanuts by comparison.

As for cuts, most of it will be in real terms with nominal freezes, much of it will be through eliminating waste, and rebalancing society and the economy towards the private sector rather than public sector, which is a good thing and has to be done.

But the reality is that most people won't even notice it's being done, the cuts involved are that small in percentage terms.

So by all means keep thwapping yourselves into a frenzy over it, but the rest of us will continue to be underwhelmed.....

Wookster

Degenerate wrote: »

It's an interesting political strategy, given that the final deficit figures came out better than expected, for the prime minister to just state the opposite and hope no-one notices he's lying.

I suspect Cameron is referring to the portion of the deficit that is structural rather than cyclical.

I suspect that pie in the sky (over optimistic) treasury forecasts feature in their somewhere as well.

Graham_Devon

donaldtramp wrote: »

Try to actually understand what is behind the numbers please before you rec posts eh?

Figures don't matter here. It's a labour supporter trying to spin that cameron is now lying.

donaldtramp

nobody actually cares.

That'll be the thick and brainless you are refering to.
The very people that the rest of us have to carry on a daily basis by paying out taxes in the fiirst place and allowing them to live off benefits and not worry about anything except claiming their "entitlments".

Glad a lot of it is gonna be swept away.