[Closed] Economic Growth?*

figures are out - flatlined is a good description 0.2 % growth. Growth forecast for the year downgraded again. there is no alternative from Osbourne. cable wants to pump some money into the economy.

So is that a double dip? I was promised one.

TUC: "Cuts are hurting but not working"

TUC: "Cuts are hurting but not working"

Hard to draw any other conclusion TBH

How many times will we hear -

Its all labour's fault
Its the long-term growth we need to be looking at
Considering whats going on in Greece and potentially in US we're in a strong position

So is that a double dip? I was promised one.

Plan A hasn't really brought the country out of the first one... thank god George has been working on Plan B... oh.

How many times will we hear -

Its all labour's fault

By my reckoning, another 3 or 4 years until the next election that's around 1400 days so let's go for a nice round 10,000 more times 😉

Well I'll tell you what I haven't heard for a while...

"We're all in this together"

There you go clubber 😉

[img] [/img]

Ah well.. at least it's ticking over.. however I agreed with Labour's approach at the time and I agree with it now.

it's all down to an extra bank holiday, a warm April and the Olympics 😕

flatlined is a good description 0.2 % growth

0.2% is "flat", but -0.2% is the end of the world recession eh TJ?

Do you round your height down as well? 😉

Office for National Stats are blaming The Royal Wedding, an unseasonably hot Spring and the Japanese tsunami for a bit of a dip.

Winter was too bloody cold. Spring was too bloody hot.

This is feeling a bit like Goldi-frickin'-locks and the flipping bears.

0.2% is quite a bit lower than we were told...and "No alternatives" Osbourne is clutching at straws.

The problem is no-one really knows what the answers are. We are in a mess (as is much of the Westernised world) and these people are doing what they think is right, just as Labour did what they thought was right beforehand.

It is all starting to sound a bit 'dog ate my homework, honest sir!' isn't it?

I'm predicting the wrong kind of leaves for Autumns appalling figures

cant see how the olympics could be supressing growth. It's keeping me very busy indeed...

'dog ate my homework, honest sir!'

Sorry sir, I dropped the economy in a puddle on the way to school and it's ruined!

🙂

the low growth means even with his cuts, tax in does not equal expenditure.

I still maintain that in years to come, people from all sides of the political divide will celebrate Brown and give him the credit he deserves for saving this country.

I don't think Osbourne will be discussed in quite the same way.

me

me

me

Typical tory...

Apparently his latest proposal to stimulate economic growth is to abolish the 50% tax rate for high earners. Brilliant idea George! Totally inspired! That's bound to sort it all out! You're an economic genius!! Truly a guru

*headbutts keyboard*

I don't think Osbourne will be discussed in quite the same way.

Au contraire, I fancy people will be talking about Osbourne with disgust for [i]many[/i] years to come.

me

Quite right darcy. The Olympics have been created solely to feather my nest.

During the ‘big build’ on the Olympic
Park and Athletes’ Village, more than
30,000 workers have been employed
so far, with many people working
through the supply chain up and
down the UK. This exceeds our
original forecast.
So far, over 426 apprentices have
worked on the project, exceeding our
target of 350, and more than 1,400
previously unemployed people have
been placed into work through the
Olympic Delivery Authority’s (ODA)
‘Jobs, Skills, Futures’ Brokerage
programmes.
The ODA has now successfully placed
3,451 people into traineeships,
apprenticeships and work placements.
As a result, this was the first initiative of
its kind to be awarded National Skills
Academy for Construction (NSAfC)
status. The ODA has also encouraged
its contractors to pay the London Living
Wage and promote diversity among
their workforces, improving recruitment
practices within the construction industry.

To fuel the fire!

How do folk on here suggest the problem should be solved?

Genuine question - in that the problem(s) are far from just the UK...

Raise taxes, pump money into the economy, thus stimulating growth. grow our way out not cut the way out.

This means paying people to do things not to sit about on the dole

Quite right darcy. The Olympics have been created solely to feather my nest.

And the rest of your post...thanks for making my point for me.

And I haven't time to read the link. Pressé if you're not too busy thanks.

The banks needed sorting out too. We've bailed them out, we own half the ****ers, and yet they're still a law unto themselves

They will only lend money to business at massively prohibitive interest rates, despite base rates having been 0.5% for 2 years. How are business's supposed to expand, grow and subsequently employ people in this situation

They're making money for themselves while strangling the 'real' economy. Someone in government needs to get a grip. Fat chance of it being a tory 🙄

How many times will we hear -

Its all labour's fault

cut VAT to 15%.
Increase basic rate of tax to 21-22%
Reduce contribution to IMF
Phased employment sponsorship programmes - a bit like a negative National Insurance premium. Private, not public sector, companies paid upto 25% of wage and with 0% NI to add to workforce.

Ideally Id like to see a tax on naked financial derivatives but it's very hard to do in isolation as banks simply move that function to a tax free environment so there'd be no net gain in tax revenue (actually a fall in tax as operational profits from such activities would be offshore).

How do folk on here suggest the problem should be solved?

By not making cuts, and letting growth come back - then making cuts when things are more secure.

You know in hospital dramas when they say they can't operate on the patient because he's too weak..? This is like that.

Oh and a bit more tax on the rich folk would help too. But only a bit, so they don't get fed up and take their money elsewhere.

They will only lend money to business at massively prohibitive interest rates, despite base rates having been 0.5% for 2 years

That's cos they are scared they won't get their money back, cos of the rocky times. Catch 22 of course, but there you are.

Pressé

Cassis OK? 😉

Praecis: case studies of people who've benefited from the apprenticeship and employment sponsorship programmes.

TandemJeremy - Member

Raise taxes, pump money into the economy, thus stimulating growth. grow our way out not cut the way out.

I don't understand your thinking. By raising taxes would you not be further increasing the incentives for a company to outsource UK based services as well as increasing the cost of our exports, making our factories less competitive against those based abroad?

Also as a direct response in the short term at least people would have less money in their pockets to spend, hurting retail (one area which has actually seen growth - has it not?)

There is an excellent analysis from Paul Mason on his Twitter:

1) Low but services are bouncing back; still leaves UK lowest growing of Western big econs

2) this is essentially product of falling real wages: not just inflation vs wage rises, but loads of downgrading in NHS, (BBC!)...combined with massive paying down of debt by consumers fearing moment mortgage payments rise and/or lose their jobs

3) Therefore the main impact of public sector self-inflicted recession yet to be felt. Nightmare for Coalition is what happens when it is...

4) However, for now the Coalition's rebalancing story is there in embryo: no consumer led recovery; forces switch to investment - BUT....it may need an extra bump from corporate tax cuts. And/or QEIII as per Vince on Sunday

5) UK looks like it will gradually claw its way out of near double-dip only to be flattened again in 2012, 13, etc by fiscal tightening.

6) The politics of #ukgdp - there is no economic feelgood factor and will not be for some time (years?); yet...

7) Argument within coalition is Vince vs George: but over timing of further monetary and fiscal (tax cuts) stimulus.

8) Labour strategists know their chance lies not in clever fiscal ideas (alt budgets etc) but in riding the wave of pain

9) However... still only embryo of rebalancing: absent an industrial policy, in world of industrial policy mortal kombat = no trousers

10) OBR predictions? Mmm... (cough) ... ahem. Er. Danger of becoming a bit unanchored to reality. But were are BoE's ...

Number 9 is the most significant imho. There is lots of talk about restructuring the economy and growing manufacturing, but no plan how that will be done.

Oops...spelling fail!

I know the limpics benefit everyone, I was merely pulling the piss...but you flipping knew that anyway.

gullible isnt in the dictionary.

What cuts are these you guys are talking about? We're still spending like sailers on shore leave.

Unfashionable as it may be to say it, on STW or anywhere else, every morning I thank my lucky stars that we have pretty competent government led by a guy who actually looks suited to the job.

every morning I thank my lucky stars that we have pretty competent government led by a guy who actually looks suited to the job.

Which country is it that you live in McBoo? Sounds great. Unfortunately, here we're lumbered with this idiot Call-me-Dave and George Osbourn

How do folk on here suggest the problem should be solved?

I dunno, what would it take to get you out spending again without worrying too much about where the next quid is coming from?

I love fraser Nelson. Id have his babies if he'd let me:
http://www.spectator.co.uk/coffeehouse/7122543/what-you-need-to-know-ahead-of-tomorrows-growth-figures.thtml

More graphs and tables that you can shake a stick at.
[img] [/img]

post fell in the hole.

[i]Number 9 is the most significant imho. There is lots of talk about restructuring the economy and growing manufacturing, but no plan how that will be done[/i]

production is in recession according to [url= http://www.statistics.gov.uk/pdfdir/gdp0711.pdf ]this[/url]

post fell in the hole.

I wonder if Gideon was hoping the eco figures would be the 40th piece of news this morning? 🙂

🙂