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London Wealth Masks Northern Poverty In Two-Speed U.k.

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http://www.bloomberg.com/news/2014-09-02/london-wealth-masks-northern-poverty-in-two-speed-u-k-.html

The compass tattoo on his right arm suggests a life at sea, though John Rose never worked on the trawlers that once plied the waters off the northern English city of Hull. He hasn’t had a steady job for almost 30 years.

Now 52, Rose came of age about the time the fishing port that had sustained the city fell into decline. Life as a sporadic disk jockey began in the early 1980s, when he decided he had no hope of finding regular work. Rose’s days are spent playing vinyl albums inside a rented garage near the port. News of an economic turnaround sounds to him like a broken record.

“There’s never going to be a recovery,” Rose said, rolling an unfiltered cigarette with fingers tattooed with “J” and “R,” his music collection stacked around him. “Since the ’70s, back when I was a kid, it’s just gotten worse and worse.”

His home of Hull, with a population of about 250,000, has an unemployment rate of 13.5 percent, the second-highest urban rate in the country after Hartlepool, according to the most recent figures from the Office for National Statistics.

Hull and other northern cities are a dark spot in a country whose future is looking brighter: Britain’s economy may grow by 3.2 percent in 2014, fastest among the Group of Seven, the International Monetary Fund said in June.

The recovery masks a two-speed economy juxtaposing the affluent south and the post-industrial north. The most recent unemployment rate in the North East region, the highest in the U.K., is 9.4 percent, while in the South East near London it’s 4.4 percent.

..

Hull was the U.K.’s second-most-bombed city after London in the Blitzkrieg of 1940-1941. Many of its scarred docks are now closed, removed or silted over, though the Port of Hull still handles container and bulk traffic.

Cuts to national public spending have weakened cities in the U.K.’s north, together with record low wages. Weekly earnings in the Humber region around Hull are 490 pounds ($814) on average, second-lowest in the U.K. after Northern Ireland.

For Peter Clark, 60, a retired boiler maker turned city council member for the Labour Party, low pay identifies Hull with the long-ago past.

“If you’re earning anything over 14,000 pounds a year here, you’re lucky. That’s film-star money,” he said. “If you brought Charles Dickens back and came to Hull, he’d feel quite at home.”

But but low wages should make it a hot bed of investment with all that cheap labour readily available???

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http://www.bloomberg.com/news/2014-09-02/london-wealth-masks-northern-poverty-in-two-speed-u-k-.html

But but low wages should make it a hot bed of investment with all that cheap labour readily available???

Even that property bull vs bear video Cuddly encouraged me to watch yesterday, the bear James F, was telling investors to forget about SE and London for property investing, and look to the North.. Blackpool, maybe he said Hull too. That's what happens when you award victim status to every buyer at ever sillier prices and don't allow a hpc to rebalance.

Yes to jobs, but an honest rate of pay, against fair-valued housing - makes for conditions for higher employment and stable market. Not rentiers rubbing their hands looking to BTL and push up house prices/rents. Those wages, below, are fair in this global economy, in my opinion - especially if local housing is more reasonable in price/rental.

Cuts to national public spending have weakened cities in the U.K.’s north, together with record low wages. Weekly earnings in the Humber region around Hull are 490 pounds ($814) on average, second-lowest in the U.K. after Northern Ireland.

For Peter Clark, 60, a retired boiler maker turned city council member for the Labour Party, low pay identifies Hull with the long-ago past. “If you’re earning anything over 14,000 pounds a year here, you’re lucky. That’s film-star money,” he said. “If you brought Charles Dickens back and came to Hull, he’d feel quite at home.”

The town could alleviate its woes in 10 years if plans to attract investment and create jobs pay off, said Hull City Council Chief Executive Darryl Stephenson. The council is seeking to lure as many as 7,500 jobs within the next decade. In July, household products company Reckitt Benckiser Group Plc said it would invest 100 million pounds in a research center in Hull. [...] Germany’s Siemens AG and Associated British Ports are investing 310 million pounds to build a wind turbine plant on Alexandra Docks by 2017.

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“There’s never going to be a recovery,” Rose said, rolling an unfiltered cigarette with fingers tattooed with “J” and “R,” his music collection stacked around him. “Since the ’70s, back when I was a kid, it’s just gotten worse and worse.”

Why not move? What keeps people like him stuck in places like that?

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Why not move? What keeps people like him stuck in places like that?

He gets enough in benefits to not have to work.

A few little sidelines will make him better off then most.

The press ought to do a story on how the standard of living is far higher in places around Hull then in Southern England if one has a job ... purely due to the cost of housing.

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Weekly earnings in the Humber region around Hull are 490 pounds ($814) on average, second-lowest in the U.K. after Northern Ireland.

So that's £25,480 per year which is near enough the national average - apparently about £26,500. Does the bloomberg figure include tax credits etc.

“There’s never going to be a recovery,” Rose said, rolling an unfiltered cigarette with fingers tattooed with “J” and “R,” his music collection stacked around him. “Since the ’70s, back when I was a kid, it’s just gotten worse and worse.”

It's fair to say that the economy needs rebalancing.

For sure Hull and the rest of the North have problems (as does London) and if you believe the official stats relatively high unemployment (likely far higher than they describe if everything was taken into account and likely all over the UK ) but reference to "Rose's" (if he's not just an invention of the journalist) unfiltered cigarettes and tattoos etc does not convince. It's too reminiscent of the stuff the media used to put out during Thatcher's days when people were more gullible to media manipulation.

There's no mention of house prices which is the real impoverisher in the UK.

Then the article goes onto all the investment that's going to the area as if Cameron's policies are working - just like the 80s and 90s.

For sure give it another 30 years and the likes of bloomberg will be writing about another Rose's unfilitered ciggies and tattoos and about how grim everything is there - if the LibLabCon government continues it's current policies and especially with regard to house prices and solving growth problems with massive debt. Actually in 30 years time it'll be far worse.

Edited by billybong

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So that's £25,480 per year which is near enough the national average - apparently about £26,500. Does the bloomberg figure include tax credits etc.

It's fair to say that the economy needs rebalancing.

For sure Hull and the rest of the North have problems (as does London) and if you believe the official stats relatively high unemployment (likely far higher than they describe if everything was taken into account and likely all over the UK ) but reference to "Rose' s" (if he's not just an invention of the journalist) unfiltered cigarettes and tattoos etc does not convince. It's too reminiscent of the stuff the media use to put out during Thatcher's days when people were more gullible to media manipulation.

There's no mention of house prices which is the real impoverisher in the UK.

Then the article goes onto all the investment that's going to the area as if Cameron's policies are working - just like the 80s and 90s.

For sure give it another 30 years and the likes of bloomberg will be writing about another Rose's unfilitered ciggies and tattoos and about how grim everything is their - if the LibLabCon government continues it's current policies and especially with regard to house prices and solving growth problems with massive debt. Actually in 30 years time it'll be far worse.

Rebalancing cannot occur until we subject importers to the same regulations we subject domestic production to...ie we stop protectionism against ourselves.

No party, not labour, not tories advocate that. Even Farage, who goes on about immigrations driving down wages doesn't see that offshoring has the exact same effect.

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Signs of life in Hull include The Picnic Basket, a sandwich shop on Spring Street that has been catering to locals since December 2013. It is one example of entrepreneurship that secured funding from a business allowance system through the town’s Jobcentre nearby. Jo Conlin, 55, the shop’s owner, says the economic recovery so far has been encouraging.

I mean come on - they're having a laugh.

(every success to The Picnic Basket though)

Edited by billybong

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I suggest Mayfair or Knightsbridge.

:lol:

Probably got his own place, and he can rent a man-cave for chilling with all his albums too.

Buy/rent that in London.

i0Fu12WIhkFM.jpg

John Rose, a freelance disk jockey, whose days are spent listening to vinyl music, poses for a photograph at one of his rented garages near the port, in Hull.

For however Bloomberg spins it with 'low wages, and pic that looks grim like a come-down, he was peaking just before.. can't be all bad.

tumblr_mn5xxa75yn1rwkh34o1_1280.jpg

DJ ROSCOE in his garage. Very much looking forward to collaborating with Roscoe (aka John Rose)

May 21 2013

http://theicecreamvan.tumblr.com/page/3

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These northern employment wastelands are Labour hart-lands where everyone seems to have a chip on their shoulder and think employers owe them a living.

I've had bad experiences as a manger/employer with these people. The Scots are fine but the midlands and wales have been brain-washed into a pugilist and bigoted negativity towards employers and Southerners which make it impossible to open businesses up there and make them profitable.

Never again.

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But "wealth" in London does not come from local wages in productive employment. Working class wages are a negligible part of the equation these days.

It's a slight mystery to me where it does come from, however I would hypothesise taxes taken from the rest of the UK being spent there, plus rampant property inflation.

Edited by kzb

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Unfortunately for us, in the minds of Westminster politicians 'rebalancing' does not mean investment and jobs, but inflating a potential Northern house price bubble until a flat in York is as expensive as one in Hammersmith.

House prices are the economy.

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He gets enough in benefits to not have to work.

A few little sidelines will make him better off then most.

The press ought to do a story on how the standard of living is far higher in places around Hull then in Southern England if one has a job ... purely due to the cost of housing.

'John Rose, a freelance disk jockey, whose days are spent listening to vinyl music, poses for a photograph at one of his rented garages'

Poses in just one of his rented garages.

How many does he have FFS?

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But "wealth" in London does not come from local wages in productive employment. Working class wages are a negligible part of the equation these days.

It's a slight mystery to me where it does come from, however I would hypothesise taxes taken from the rest of the UK being spent there, plus rampant property inflation.

First users / recipients of newly created paper money - right from the point of its creation when banks get paid to launder the effluent out of the back door (now virtual) of the bankrupt fo england - a job that has a skill level that in nearly any proper industry would land you with the lowest admin grade computer data entry clerk job, but in london, under those circumstances gets you into the highest tax brackets. Then theres the stockmarket, a thinly veiled casino where the insiders are the real winners with the rest fo the public given the scraps, nepotism, insider trading, computer trading (faster than any connection you will ever be able to arrange) menas that the winners are pretty much pre-determined and self-selecting. When the going gets tough the marketing push shoves all the shit onto the public before it blows up.

Also, everything that tha flows on from there, servicing foreign crooks / criminals / laundering money for every tinpot dictator going and any oligarch that wants to swan in and out of the country at their whim as long as they have money and agree to have a fraction of it scrimmed off the top by previously mentioned financial actors.

You shove £10obn's at the top of that pile then some of it filters down, but mainly in terms of ponzi fiannced housing for your average amn on the street. The governmetn also shoves more into London than anywhere else.

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'John Rose, a freelance disk jockey, whose days are spent listening to vinyl music, poses for a photograph at one of his rented garages'

Poses in just one of his rented garages.

How many does he have FFS?

When you can buy a house for 25K id imagine a modern day giro would buy a few.

http://www.eastyorkshirepropertyauction.co.uk/properties.html?q=hu115ga&qll=%2853.86712%2C+-0.28930400000001555%29&ps=all&ob=price_asc&

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It's fair to say that the economy needs rebalancing.

Sadly in the UK 'rebalancing' means bringing Northern housing costs up in line with London, to make them attractive to foreign speculators.

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I noticed that 'one of his garages' too spyguy - but didn't know what to make of it.

But "wealth" in London does not come from local wages in productive employment. Working class wages are a negligible part of the equation these days.

It's a slight mystery to me where it does come from, however I would hypothesise taxes taken from the rest of the UK being spent there, plus rampant property inflation.

IMO...

People use their 'wealth' to buy assets but these assets no longer give decent yields. One day it'll all grind to a halt because a few people are rich on paper but no one has any money.

Edited by Venger

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He hasn’t had a steady job for almost 30 years.

One likes to be accurate and fair so isn't that part of the article just a misleading pack of lies. Then there's the question why Mr Rose. There must be plenty of people who are suffering hard times all over the UK - and including London and the South East.

Edited by billybong

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