We're spending less for the first time in 10 years

halight

We're spending less for the first time in 10 years



Read more: http://www.thisismoney.co.uk/news/article.html?in_article_id=519084&in_page_id=2#ixzz16n8WkIkw

Family Spending, the annual report from the Office for National Statistics, found that in 2009 the average weekly household spend was £455, down from £471 in 2008.


Read more: http://www.thisismoney.co.uk/news/article.html?in_article_id=519084&in_page_id=2#ixzz16n8x6G3W

How do you Think this will affect the recovey if this trend carrys on into 20011 ?

As far as i can tell we are spending more each month as the cost of Food and heating aswell as the clothes for our twins girls has gone up and carrys on going up. We have cut back in other areas .

Thrugelmir

People have less disposable income allowing for the effects of inflation.

Only time this has occurred since 1945 for 2 consecutive years was 70 /71. Though 09/10/11 may well create a 3 year period of declining disposable incomes.

amcluesent

Probably true for me. I spent big in the winter of 2008/9 on once-in-a-generation bargains from distressed sellers so TBH don't need anything much at the moment.

halight

Thrugelmir wrote: »

People have less disposable income allowing for the effects of inflation.

Only time this has occurred since 1945 for 2 consecutive years was 70 /71. Though 09/10/11 may well create a 3 year period of declining disposable incomes.

Thanks mate, Thats good info

smeagold

Recovery? welcome to fantasy land. There is no recovery its a fraud, 200 billion in QE bought us a year but the inflation side effect is a real killer huh? Now the patient has had his fix but it's wearing off and he's slipping back into a coma, look at house prices, mortgage approvals, todays consumer confidence numbers. Another fix is being prepared for Q1 2011 another £50 billion at least just to keep the patient alive.

3 years of declining income? try 20

amcluesent

>3 years of declining income? try 20<

Actually it's for ever. Uncounted billions in QE to keep the Euro alive, as no-one has the stomach for fiscal and political union which is a pre-requisite for monetary union!

Then we're past peak oil, ageing demographics, dumbed-down kids, ££Trillions in debt, Jihadist fifth-column revelling in it's ever growing powers.

FACT - These are the 'good old days'. By 2030, the standard of living will be back to the 1930's. Scrimping, tripe for dinner, tin bath in front of the fire, rickets, dead at 50.

smeagold

amcluesent wrote: »

>3 years of declining income? try 20<

Actually it's for ever. Uncounted billions in QE to keep the Euro alive, as no-one has the stomach for fiscal and political union which is a pre-requisite for monetary union!

Then we're past peak oil, ageing demographics, dumbed-down kids, ££Trillions in debt, Jihadist fifth-column revelling in it's ever growing powers.

FACT - These are the 'good old days'. By 2030, the standard of living will be back to the 1930's. Scrimping, tripe for dinner, tin bath in front of the fire, rickets, dead at 50.

Ah! someone that gets it. anyone else waking up yet?

[Deleted User]

smeagold wrote: »

Ah! someone that gets it. anyone else waking up yet?

I think alot of people are waking up,most people i speak to are reigning in their spending even for christmas,and whilst the high street may appear busy its only due to january type sales in the first week of december,even M&S have halfed priced xmas cards already.
So whilst volume sales will be badly hit this end of the year so will turnover and profitability,watch out for some big name casualties in the first Q of 2011.

Loughton_Monkey

smeagold wrote: »

Ah! someone that gets it. anyone else waking up yet?

I think most of us woke up years ago.

For 15 years, balance of payments has trended even more negative, while the Government insist on using GDP as the prime measure. This has been 'good' in the past since (a) an awful lot of people have been living on increasing credit, and (b) all these service industries to compete diddly-squat to the economy as a whole (other than provide a few more 'jobs' in sandwich shops and the like that do not add a single ounce of extra wealth to the country.)

Now, for obvious reasons, more people are living within their means.

The only thing that's going to pull us through is some sort of "Buy British" campaign. But that's rather difficult since we don't make much any more, and even if we did, it would be uneconomic because of:

- minimum wage
- Health & Safety
- crippling business tax
- dearth of business loans
- Requirements to prove 'diversified' employment
- new pension contribution legislation
........

benb76

This data is a year old people! It tells us that we spent less per week in 2009 than we did in 2008, hardly surprising given that it includes monthly mortgage payments (with interest rates being around 5% for most of 2008), and considering we were in recession during 2009. It's been 11 months since then, and it's likely the 2010 figures will show that we spent more than the previous year again.

Epic fail to all those who think that this is bear food.

Butterfly_Brain

As benb76 says the figures are a year old. But I think the trend will be downwards because of the VAT rise in January coupled with job losses and lack of job security people will go bargain hunting early and then tighten their belts more - EXCEPT THE BANKERS THAT IS !