Monday, March 10, 2008
Let's make no mistake about it. The UK economy is in trouble. Our prosperity of the last five to 10 years has been built on a housing bubble, which in turn has been built on banks being willing to offer cheap debt to anyone with a pulse.Falling house prices mean people feel poorer and can't borrow money against their home to spend on flat-screen TVs. That means no more consumer boom and no more good times for retailers. Then it's just a matter of time before the job losses start to clock up.