Officially in recession

chucky

wotsthat wrote: »

I've skimmed through the ONS release and it's difficult to find any positive news. There's clearly no pressure for increasing bank rates to prevent the economy overheating anytime soon.

It's going to be a struggle to continually keeping on using the excuse that it's the fault of the people previously in power as we have an economy that is 2% points smaller than in crisis year 2008. That's pretty unique compared to other major economies.

michaels

Cos like for example our structural govt deficit wasn't several percentage point sof GDP worse than these other countries going in to the recession and our finance industry as a share of GDP wasn't a whole lot larger?

Still I can't see any possible reason why the UK should have performed differently to other economies, can you? Luckily most of our European competitors are not in recession now either...oh hang on a minute. Would you rather have the UKs problems or those of Eire, Italy, Spain, Portugal or Greece?

chucky wrote: »

It's going to be a struggle to continually keeping on using the excuse that it's the fault of the people previously in power as we have an economy that is 2% points smaller than in crisis year 2008. That's pretty unique compared to other major economies.

kabayiri

I know its only the radio, but callers from places like the Midlands and one from Manchester were relatively upbeat, contrasting with the official figures.

It seems there is still life in the manufacturing sector.

Somehow, we need to wean ourselves off complete dependence on the S.E/London.

Oh, and a plea . When we start relying on the weather influencing the UK economy then we are in a bad state. I heard the economist Graham heard, blaming the mild winter. I'm sure the same economist would have blamed an icy winter for seizing up transport. British weather has always been unpredictable. We should be used to it by now.

chucky

michaels wrote: »

Cos like for example our structural govt deficit wasn't several percentage point sof GDP worse than these other countries going in to the recession and our finance industry as a share of GDP wasn't a whole lot larger?

Still I can't see any possible reason why the UK should have performed differently to other economies, can you? Luckily most of our European competitors are not in recession now either...oh hang on a minute. Would you rather have the UKs problems or those of Eire, Italy, Spain, Portugal or Greece?

The reason the UK has performed differently to other economies is because of the current economic policy or should we blame the current economic policy on somene else and not George?

suburbanwifey

Oh good! Does that mean they will lower the ludicrous VAT level back down to 15%, mortgage companies will now lower rates rather than putting them up, they'll freeze all council tax rises (some have risen this year) and take measures to ensure more money is in OUR pockets as they did when we first went into recession? seems to me all the cuts, rises and other 'austerity' measures have driven this country back into recession. Thanks Govt.

Graham_Devon

suburbanwifey wrote: »

Oh good! Does that mean they will lower the ludicrous VAT level back down to 15%, mortgage companies will now lower rates rather than putting them up, they'll freeze all council tax rises (some have risen this year) and take measures to ensure more money is in OUR pockets as they did when we first went into recession? seems to me all the cuts, rises and other 'austerity' measures have driven this country back into recession. Thanks Govt.

What austerity measures please?

Can you name some?

suburbanwifey

Graham_Devon wrote: »

What austerity measures please?

Can you name some?

Well, I assume raising VAT to a ludicrous 20% would be classed as that no? I assume you are here to nitpick again. My point is, we would get out of recession quicker if the Govt stopped grabbing every penny from us all, VAT, petrol prices etc ... is it any wonder we are back in recession when a lot out here in the UK are just struggling to GET BY? where are they supposed to get the money from to prop up businesses by buying things (our consumer society remember)

Anyway, I'm not here to argue, I made my point as its how I feel. Not in the mood for another of your question and answer sessions, sorry. Go play mind games with someone more interested.

Graham_Devon

suburbanwifey wrote: »

Well, I assume raising VAT to a ludicrous 20% would be classed as that no? I assume you are here to nitpick again. My point is, we would get out of recession quicker if the Govt stopped grabbing every penny from us all, VAT, petrol prices etc ... is it any wonder we are back in recession when a lot out here in the UK are just struggling to GET BY? where are they supposed to get the money from to prop up businesses by buying things (our consumer society remember)

Anyway, I'm not here to argue, I made my point as its how I feel. Not in the mood for another of your question and answer sessions, sorry. Go play mind games with someone more interested.

I only aksed for an example of what you specifically stated dear!

I actually agree with you with the high cost of living. The government however needs to raise money in order to keep confidence in the UK. Theres no point in the government simply hemorraging money and reducing intake. We'll be in a worse recession within months.

kabayiri

Graham_Devon wrote: »

I only aksed for an example of what you specifically stated dear!

I actually agree with you. The government needs to raise money in order to keep confidence in the UK however. Theres no point in the government simply hemorraging money and reducing intake. We'll be in a worse recession.

It seemed a fair question you asked. The austerity program has still a long way to go, if it has really started in earnest, that is open to debate. We are still spending more state-wise than last year.

I did notice a stock response from the government was to 'blame Europe'. Predictable.

If our European market is set to shrink, it's important we go find other ones.

Do you remember last summer, Dave C 'celebrated' a £1.5bn export deal with China. Days later Germany signed deals worth over 10bn. We have a lot to do to catch up.

HAMISH_MCTAVISH

You can't have a sustainable recovery in the UK economy without a sustainable recovery in the UK housing market.

When house prices are still down markedly from peak people don't feel comfortable spending money ( the "wealth effect"), when house sales transactions are down massively from normal levels (even pre boom levels) there is a knock on effect into associated services such as home goods retail, etc, and when there is little mortgage or development finance available and we build only a fraction of the houses we need, then the construction industry is stuffed as well, unemployment is higher, etc etc etc.

How many times have I mentioned this....