Are we in the UK in the start of a recession? and the government are just doing a good job of hiding it.?

Answer 1

According to the IMF Report on the UK economy for 2006 the UK is not heading for recession:

1. Macroeconomic performance in the United Kingdom remains impressive. The growth of investment, productivity, and output has rebounded from a softer 2005. Net immigration has spurred capacity growth, though inflation has risen and the current account deficit has widened slightly. Macroeconomic policy frameworks are supportive: they have contributed to the good performance and are guiding policies in ways that are responsive to the requirements for strong growth with low inflation. Financial markets too have performed well: London continues to grow as a global financial center with sound institutions and a good record of supervision. The near- and medium-term outlook is for continued strong and stable growth with a return of inflation to target.

Go to the Treasury website to read the full report.

Answer 2

A recession is defined (traditionally) as a decline in a countries real GDP for two or more successive quarters of a year.

The figures which independent forecasters are supplying the HM Treasury suggest that a recession by the above definition has either occurred in 2006, or will be already taking place.

It takes time to know whether a recession has occurred or not, as the statistics collected to define a recession refer to periods of up to a year or more in history. We will know about two years after the event, whether or not there was a recession in 2006.

Probably in 2009.

Answer 3

All the signs are there. There are about 50 repossessions a day' inflation is rising, the IMF is concerned about Govt spending and there is a black hole in the economy owing to Gordon Brown's high spending. Businesses are moving abroad and, despite being taxed to the hilt there is absolutely nothing to show for it. No money for the NHS, no money for pensions, no money for the troops desptie one war after another and no money to put more police on the streets. In 1992 at the start of the recession only some of these factors were present.

Answer 4

Yes, I think that you have put your finger on it. We have had an economy based on borrowed money and massively over inflated house prices. The government have been at the borrowing game as well and this will increase in future. They have fiddled the inflation rate ( or at least used an inappropriate rate)in order to keep interest rates low. This is a clever smoke and mirrors chancellor, with his stealth taxes and off balance sheet future commitments. I read that the Private finance initiatives alone have commited us to future costs totalling £500 billion pounds, together with a similar figure for future pension obligations. Truly staggering amounts, and yet, to read most of the pundits you wouldn't think there was a problem. The word 'Conspiracy' comes to mind.

They have been very good at buying time, but it is running out. Will we then be handed over to the EU as a basket case, with the traitors having fled the nest and nobody left to complain about.

Answer 5

Not yet,but be assured our recession wil begin before the rest of the globe.

Blair and Brown have been spending and taxing without restraint to paper over the cracks of apoor government.

We will be paying for the next 100 years the money frittered away buying votes and keeping the supporters obedient by employing half the population in the public sector.

No government has ever had it so easy , borrowing against the booming housing market and riding the global boom.yet ,still they manage to bankrupt us.

Answer 6

Well rest assured there is no one better at hiding it than Gordon Brown. Whilst we may not yet be in a recession why is it that our taxes are going through the roof? We in this country are taxed as never before and it appears most of the money is frittered away on needless bureaucracy rather than the essential services they are supposed to be running.

Answer 7

No9thing the country is up the creek. 2 cases, the position I artwork (im a truck mechanic) there are 9 mechanics over 3 shifts regardless of the indisputable fact that there are 13 place of work team,8 "sales" team(imagine we bought 11 automobiles very last 3 hundred and sixty 5 days)5 van aspects sales,2 workshop managers,6 aspects team,2 assure claims team,and about 3 in matches that no bugger is time-honored with of what they do. Thats 39 non effective team that should be paid from what the 9 mechanics herald then they were given to pay us besides.Then they ask your self why its going abdomen up. A mate of mine works for a huge haulage corporation,at the same time as he began there 12 years in the past there grow to be 60 drivers 2 shunters and three place of work team.He left very last week there are nonetheless 60 drivers nonetheless 2 shunters yet now there is fifty 4 place of work team.same volume of work or slightly a lot less rolling out the plant so why the decide on for yet another fifty one place of work team? Its not bloody immigrants dragging this u . s . a . down its making jobs that dont exist for ineffective pillocks who imagine the international ought to fall down with out them. How come they could continuously discover room for better bloody paper shufflers yet not in any respect discover adequate funds to provide a good pay upward push to those who actualy produce gross sales for the corporation? contained in the proper its all purely going to implode.

Answer 8

The whole of the economy is built on a massive foundation of debt. When interest rates start going up (and people can no longer service that debt), the number of bankruptcies will increase and then we will have a full blown recession.

Answer 9

A correction is definitely underway. We are also seeing greater financial control being applied to public institutions. It is much-needed but not a recession. We will see the private sector take off like nobody's business to counter this. Look at all the money flooding into the City.

Answer 10

yes were all on the way to a recession once the intrest rates go out thats it ur on ur way to recession. the yanks we feel it first then us then the french and germanys.
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