Gordon Brown under fire again : "...the careers of a few politicians are nothing compared with the d

Discussion in 'UK Finance' started by Crowley, Feb 14, 2006.

  1. Crowley

    Crowley Guest

    Will Chancellor Brown pay the price for his economic incompetence
    ?...............

    Credit crunch awaits Brown

    14th Feb 2006

    http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2006/02/14/ccom14.xml

    British household debt grew at a frightening 10.2pc last year, while
    the economy as a whole managed a piffling 1.8pc. We hear a lot about
    our trade deficit and our budget deficit but it is the underlying
    personal sector deficit which is the real horror show in the UK economy
    at the moment.

    Our revelation in yesterday's paper that personal debt at £1,158
    billion for 2005 was more than £30 billion higher than the nation's
    entire £1,127 billion economic output has caused widespread
    consternation among many people except, that is, with the one person
    who ought to be more worried than most - Gordon Brown.

    Our collective debt has been likened to an economic iceberg. Many
    consumers are going to founder on this financial hazard which,
    bizarrely, remains almost completely submerged from most people's view
    in a mist of myopia, including the Chancellor's it would seem.

    At a time when the consumer sector is holed below the water line and
    rapidly listing to starboard, Mr Brown seems remarkably sanguine about
    the state of the nation's finances. So relaxed is he that he spent
    yesterday talking about the Government's security measures, ID cards
    and a new law to ban the glorification of terrorism as he prepares for
    what he no doubt believes will be a glorious promotion to succeed Tony
    Blair when the Prime Minister hands over the keys to 10 Downing Street.

    However, the decade of debt, which the naughties have turned into, will
    not only catch up with those consumers who have been profligate with
    credit cards, store cards, excessive mortgages and equity withdrawal
    and every other form of hock that the financial services industry can
    dream up. It will also catch up with Mr Brown and be the ruin of his
    political career.

    It is not only consumers who are now drowning and no longer waving. The
    public sector's finances are also out of control, the only fix being an
    increase in taxes or a cut in spending, or both.

    But add to this the impact on the economy of a consumer slow down and
    you have a slump the likes of which we have not seen for more than 15
    years. All the signs are there. Rising bankruptcies, rising
    repossession, an increase in business failures plus a sharp slow down
    in high street spending in January and figures from the City that show
    a big increase in the demand for savings. It's all one way traffic down
    bad news boulevard at the moment.

    Mr Brown's legacy will be this ugly fall out from the decade of debt, a
    legacy that will undermine his premiership, should he get one, and give
    his own successor an impossible job.

    But the careers of a few politicians are nothing compared with the
    damage about to be visited on the United Kingdom from its debt-fuelled
    spending binge.

    http://www.housepricecrash.co.uk/forum/index.php?act=SF&s=&f=22
     
    Crowley, Feb 14, 2006
    #1
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  2. Crowley

    Crowley Guest

    Credit card ?
     
    Crowley, Feb 14, 2006
    #2
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  3. Crowley

    Guest

    Benefits payment?
     
    , Feb 14, 2006
    #3
  4. Crowley

    allan tracy Guest

    Nah, they'll get it for free.
     
    allan tracy, Feb 14, 2006
    #4
  5. Crowley

    abelard Guest

    you mean we'll buy it for them...
    can't possibly attenuate the backhanders...

    regards...

    --
    web site at www.abelard.org - news comment service, logic, economics
    energy, education, politics, etc 1,552,396 document calls in year past
    --------------------------------------------------------------------------------
    all that is necessary for [] walk quietly and carry
    the triumph of evil is that [] a big stick.
    good people do nothing [] trust actions not words
    only when it's funny -- roger rabbit
    --------------------------------------------------------------------------------
     
    abelard, Feb 14, 2006
    #5
  6. Nope. They will make the new ID cards double as a credit card. The cost of
    your card will be added to your "Balance." Then everyone can buy one!

    Martin
     
    Schrodinger's Cat, Feb 14, 2006
    #6
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