Wednesday, Jun 18, 2008
Darling mentions the possibilities of a return to the 70's
BBC News: Darling calls for pay restraint
Chancellor Alistair Darling has called for restraint in pay settlements and said there is "no doubt" the UK economy is slowing.
Speaking to the BBC, he said it would be "disastrous" if we "allowed inflation to take hold".
Rising food and fuel prices would make is a "difficult year" for consumers, the chancellor said.
He was speaking a day after consumer inflation jumped to 3.3% in May, the highest level in 10 years.
"We have got to be vigilant in relation to all pay settlements, public and private," Mr Darling told Radio 4's Today programme.
"If we get back into that [inflationary] spiral, it will take years to get out of it," he said.
It could even herald a return to 1970s-style inflation, he said.
Posted by flintster1994 @ 08:58 AM (1120 views) Add Comment
12 Comments
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1. it_is_going_with_a_bang said...
Pay restraint except when it comes to MP's pay.
Then of course theycan debate it, have a vote and then walk off with whatever they want.
If inflation is over 3% and consistent then obviously pay deals will need to reflect that - however stupid Darling looks.
2. Ccamper said...
Surely any story about an MP asking for pay restraint should include details of the MPs own modest 21% pay demand.
3. inbreda said...
"Chancellor Alistair Darling has called for restraint in pay settlements "
with all due respect Alistair darling can go fugg himself.
4. Bananasplit said...
The goverment have proved they can run the economy like an average Joe, wasting money all over the place and not saving for a rainy day.
The Labour front bench have failed to manage the economy and after taxing all of us to the hilt, they expect us to buy value beans and battery eggs whilst wearing cheap jeans or supermarket suits and if you live in the country and have 3 kids you should squeeze into a 1.0 ltr small car and the passengers can get out and walk on the hilly areas. But because we are British and have a stiff upper lip we will not ask for a pay rise but will quietly sit in corner and let goverment and rich business owners walk all over us while they eat, drive and dress in 5 star style.
This type of economic downturn will highlight the haves and have-nots and show how the tax system favours the wealthy. The BBC have been suggesting that high income people will be shopping at Aldi's and Lidl's, I don't think so ! I cannot visualise the rich and famous using own label ketchup or toilet rolls.
5. whiteknight said...
"no sign of inflation pressures feeding through into wages or pay packet demands"
ha ha. arrives in a hurry doesn't it? Inflation. An awful hurry.
A lot of things arrive in a hurry.
6. whiteknight said...
I should probably add "inflationary effects" before some academic turns up.
Who was that chappie on the MPC who kept saying there was no sign of this?
7. montesquieu said...
Anyone remember a very early Steve Bell cartoon in the Guardian which showed the sinking of Jim Callaghan's government in 1979 .. famously Callaghan and the cabinet were drawn as Dinosaurs ... the speech bubble said 'ho ho six percent' a reference to the public sector incomes policy that finished him off ...
Bell went of of couse to catalogue the Thatcher years, famously drawing her cabinet as skinheads, later zombies ....
8. layers said...
As Catherine Tate might say "What a f****g liberty!".
It beggers belief that this idiot can publicly ask for wage restraints when the b****d politicians want 20% - are they taking the f****g p*ss or what? Shows their level of contempt for 'us' and their pandering to big business so that profits can still flow regardless of the economic situation.
Oh Darling you may be a tw*t, but business loves ya.
9. mark wadsworth said...
Back to the 1970s? Does he remember that bit about being booted out of office and staying in opposition for 18 years?
10. Jimmyb said...
This bloke has a nerve, so house prices rise to 10 times income and he expects buyers not to want more money in their wage packets. They should have thought of this before letting house price inflation hit 20% a year for 10 years. Did he seriously not think wages and everything else would not follow? How can we allow such stupidity to govern our country?
11. inbreda said...
Jimmyb - I beleive it happens through a mixture of 10 parts ignorance to 85 parts apathy.
12. Letsgetreadytotumble said...
Hang on, lets get back on track. If we want house prices to minimise, isn't it all going according to plan? And having Gordy and the Badger pratt conning the great unwashed, will help prices down even further?