Tag Archives: austerity

A year of good and bad times for the UK

2012 has been a mixed year for the UK with the two major London Olympic events creating a well earned diversion for the country from the unending economic turmoil. Success in both lifted the spirits of all and engendered enthusiasm for our younger generation in sporting competition. Unfortunately, the reality is continued economic uncertainty, low to no growth, austerity, cut backs in benefits, increased food, fuel and utility prices, likely a pattern to be repeated in 2013 for the majority of the population.

Christmas has also been a period in many recent years when excessive consumer credit spending has left a nasty hangover for the early part of the following year when paying off debt and the onerously high interest rates if payments are not cleared. It appears from initial surveys that a significant number of people have again used credit cards and short-term loans to pay for the festive celebrations so another delay in austerity that will eventually come home to roost during 2013. A happy new year ? 

Look to the East, look to the West…………..

The last two weeks has seen elections the two largest global economies with the USA re-electing Obama for a second term and in China, the once-a-decade major communist congress electing a new prime minister, new senior politicians and implementing the next 10 year plan. What does this mean for Europe? With Obama having to tackle the serious fiscal deficit in the $trillions focusing on the American people, and the Chinese looking to double GDP by 2020 and improve the income of all its population, will either country really be concerned about the trials and tribulations of the Eurozone economies, including the UK? It looks like a long hard struggle for the Europeans and unfortunately for their populations, austerity is set to continue for some time yet, confirmed by the latest quarterly GDP figures showing negative growth.