Tuesday, August 26, 2008
Back to the 70s
The new Deputy Governor of the Bank of England warned that the financial situation was at least as bad as that of the 1970s. Charles Bean said that the slowdown may "drag on for some considerable time" and that social problems could be caused by the squeeze on household incomes. Vince Cable, the Liberal Democrat Treasury spokesman, said that the economy was in "free fall". A survey published by the price comparison website uSwitch warned that disposable incomes had fallen in cash terms for the first time since 1997, dropping by 15 per cent since last year to an average of £14,520.