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Anyone Like To Guess What Is The Only Area In The Uk Economy Growing

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http://www.guardian.co.uk/politics/2011/feb/25/public-sector-cuts-economy-gdp

• GDP reduced by 0.6% in final quarter of last year

• Pleas for government to rethink spending cuts

Pressure is mounting on the government to reverse the most harmful public sector spending cuts after figures showed the UK economy shrank more than previously thought in the last three months of 2010.

Opposition MPs and trade unions called for ministers to find "a plan B that doesn't send the economy over the edge" after official figures showed GDP contracted by 0.6% in the final quarter of last year, compared with the original estimate of 0.5%, which itself was regarded as very grim.

Hopes that the harsh winter weather in December would account for most of the fall in national income were dashed by the Office for National Statistics, which said it contributed 0.5 percentage points to the decline, so without the snow GDP would still have shown a slight fall.

The shadow chancellor, Ed Balls, described the government as reckless in its pursuit of cuts despite the increasingly dire economic data.

Brendan Barber, the TUC general secretary, warned the UK risked losing hundreds of thousands of jobs and vital services if the Treasury persisted with its plan for the most severe spending cuts since the 1970s.

The ONS said all areas of the economy dipped from October to December except the public sector, which grew by 0.7%.

Analysts described the figures as worse than expected. Many said a reliance on public sector growth showed the economy was even more precariously balanced on the edge of recession and a strong recovery would be delayed until next year.

James Knightley of ING said: "The detail shows that government spending was the only positive growth driver. This is fairly worrying given we know about the wave of fiscal austerity that is now starting to hit the UK economy, meaning that we will soon be starting to see negative figures for this component."

The Bank of England is expected to view the figures as another reason to resist calls for a rise in interest rates until the summer and possibly next year.

A steep jump in inflation to 4%, twice the rate targeted by Threadneedle Street, led to calls for early rate rises with many in the City betting on a first move in May.

Three of the nine-strong monetary policy committee have voted in favour of an immediate rate rise. The other members have argued the weakness of the economy means a rate rise could trigger a full-blown recession.

A rise in base rates above the current 0.5% would pose a dilemma for the chancellor, George Osborne, who has relied on cheap mortgages to boost household incomes.

A joy to read, apparently it's just been Osborne relying on cheap mortgages to boost spending. I'm amazed Labour never thought of this!

So the only thing holding up GDP figures is govt borrowing! So the guardian numpties want the govt to continue spending money it hasn't got. Can't see any flaws in that plan at all....

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http://www.guardian.co.uk/politics/2011/feb/25/public-sector-cuts-economy-gdp

A joy to read, apparently it's just been Osborne relying on cheap mortgages to boost spending. I'm amazed Labour never thought of this!

So the only thing holding up GDP figures is govt borrowing! So the guardian numpties want the govt to continue spending money it hasn't got. Can't see any flaws in that plan at all....

No, seems flawless to me too. Did someone say Sovereign Debt Default? [Rubs Hands]

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No, seems flawless to me too. Did someone say Sovereign Debt Default? [Rubs Hands]

Yes frankly Sovereign Default would suit me too,(I'm a Yenbug) I'd stop it if I could though as too many cats would be hurt I fear.

So no rubbing hands here, semi facepalm in fact.

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Didnt you hear?

Borrowing 13.5% of GDP to deliver 0.1% growth is good economics, prudent, even, as one eminent man once said a lot.

What more, its also sustainable. At least for a year or two. Then we sh1t bricks. But it will all be sorted by then.

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Clampers.

Cash Convertors.

Debt Counsellors.

Obesity Counsellors.

Ambulance Chasers.

Burger Joints.

Arms manufacturers.

Car resprayers.

Glaziers.

One hell of a scooped out country we got ourselves. Took about 10 years.

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......."The shadow chancellor, Ed Balls, described the government as reckless in its pursuit of cuts despite the increasingly dire economic data.".....all the more reason to cut Labour waste and overspend on "bells and whistles"....balls to Balls...... :rolleyes:

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  • 311 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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