Does anyone think we are still going to avoid a recession?

shortchanged_2

Recent news releases;

http://www.bbc.co.uk/news/business-15073105

http://www.bbc.co.uk/news/uk-15120821


Just a little reminder to some who seem to have forgotten that many of the governments austerity measures are only now starting to bite.

A real slap in the face for many PUBLIC sector workers who have been risking their lives in defence of this country. Perhaps many people should look at themselves and their greedy nature which has helped contribute to the situation we are now in.

All in this together my ar*e!!

Really2

It is possible as it will officially require to negative quarters to be classed in on.

We have been and will be virtually in one until at least the end of next year though.

If we do go in to one I think it will be a bit of a mirror of growth, just slightly below 0% instead of slightly above.

A stagnant recession.

chewmylegoff

I too think we might not technically go into recession as we might get +/-/+/- a bit. Quite possible we could have the economy shrinking on an annual basis without two consecutive Qs of shrinkage.

However, I think it's more likely that we will be just bumping around at basically 0 growth for the next 2 years, and therefore whether or not we are technically in recession will be rather irrelevant as the substance will be stagnation.

IronWolf

Whatever happens, in the long term the UK will be fine, that I'm sure of.

Blacklight

They will just do a bit more QE to prevent it.

Thrugelmir

Blacklight wrote: »

They will just do a bit more QE to prevent it.

Next year the purchased gilts in the previous round start to mature. So the impact will that of replacement rather expansion if the course of action is pursued.

Also accrued interest is effectively diminishing impact of QE. The BOE took a very measured approach when deciding how to stimulate the financial system.

Carl31

the increase in minimum wage isn't going to help, i cant help but think this is the wrong time to bring that in

hallmark

shortchanged wrote: »

A real slap in the face for many PUBLIC sector workers

Yes, how dare there not be an endless magic pot of money to pay for everything.

Butterfly_Brain

We never truly came out of recession, you cannot believe Government figures and they are always adjusted within 3 months of coming out.
The truth is that things will get tougher from now on and if they don't look to growth it won't be a recession it will be a depression

Thrugelmir

Carl31 wrote: »

the increase in minimum wage isn't going to help, i cant help but think this is the wrong time to bring that in

Minimum wage serves a useful social purpose. Couple with a sizable increase in personal tax allowance. Will make work more attractive.

shortchanged_2

Carl31 wrote: »

the increase in minimum wage isn't going to help, i cant help but think this is the wrong time to bring that in

It's the classic private sector response. Bring back dirt cheap labour at £2 an hour and let the government top up their money to a living wage out of the public coffers.