(Buckle up) Recession for more than a year

Couple of years of inflation is great news for the government and why Sunak’s plan of cutting taxes in 2 years was much more sensible (if you believe cutting taxes is the priority, of course) than the Truss ‘plan’.
Tax revenues will shoot up and pay out will reduce as long as they increase benefits and public pay by less than inflation, which they will.

As with most economics, it’s more to do with events than any clever government policy. Of course, when it comes to growth, there are only 2 possible options, in a low unemployment economy. You either massively increase productivity, and given our relative lack of skills in technology solutions, and our unwillingness to invest in serious infrastructure projects, will be incredibly difficult (the NHS is the only area that has increased productivity year on year for the last 20 years), or you expand the workforce and we all know what that means!!
The problem with this government is that their reaction to world events is to bring in policies to make things worse than they need be.
 
Couple of years of inflation is great news for the government and why Sunak’s plan of cutting taxes in 2 years was much more sensible (if you believe cutting taxes is the priority, of course) than the Truss ‘plan’.
Tax revenues will shoot up and pay out will reduce as long as they increase benefits and public pay by less than inflation, which they will.

As with most economics, it’s more to do with events than any clever government policy. Of course, when it comes to growth, there are only 2 possible options, in a low unemployment economy. You either massively increase productivity, and given our relative lack of skills in technology solutions, and our unwillingness to invest in serious infrastructure projects, will be incredibly difficult (the NHS is the only area that has increased productivity year on year for the last 20 years), or you expand the workforce and we all know what that means!!
I've thought for a while now that the govt is quietly happy with the current state of things - inflation and fuel prices will be increasing the take in terms of duty/vat and if they keep wages down the suffering of the general population should sort the treasury coffee out. Just in time for big tax cuts just prior to a GE...
 
I've thought for a while now that the govt is quietly happy with the current state of things - inflation and fuel prices will be increasing the take in terms of duty/vat and if they keep wages down the suffering of the general population should sort the treasury coffee out. Just in time for big tax cuts just prior to a GE...
You’re now ”with the programme”….

Seriously though, there must be some sort of agenda in play here, as it looks like people are wilfully recking the economy.…
 
All part of the economic cycle. We had a 10 year bull market of sustained growth until recently. We have 18 months of downturn I reckon then it will bounce back again. Tough if you are or need to take your pension right now though. Just got to try and ride it out. The recession will be global so not much we can do but hang on in there.
Ten year bull market?
For assets maybe.
But not living standards of the average punter.
 
Ten year bull market?
For assets maybe.
But not living standards of the average punter.
If the average punter has been contributing to a pension scheme then he / she has benefited from the bull market also. Inflation, unemployment and mortgage rates have to been relatively low during this time so again a benefit for the vast majority of people.
 

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