Our cousins across the pond are jumping head-first into a massive austerity program to salvage what's left of their flailing economy. The axe is falling everywhere, and social programs will be hard-hit. I expect that many unemployed immigrants will leave for greener pastures. somewhat easing the drain on Britain's purse. That's a good thing. Starting in 2020, the retirement age will be 66. Another good thing.
Also on the national chopping block are 500,000 government jobs. It seems like a great idea on the surface; who isn't sick of a bloated federal government? But my question is this: where will they work?
If Britain's happy-axe doesn't fall on restrictive regulations and trade policies, if they don't encourage businesses to create something tangible, they'll be looking at unemployment numbers like ours. Their current rate is 7.7%. Adding half a million people to the benefit roles will not only boost that number, but eat up much of their cost savings.
At least they're trying.
Well here is me off to the rescue!
ReplyDeleteI'm in Toronto on business today and tomorrow then flying off to Blighty after work tomorrow night.
So I'll do what I can to pump money into the British economy LOL!
I'm posting from the hotel business centre right now as I can't use my work laptop for fun stuff. Hope to check in from my sister's every now and then.
ReplyDeletePoor Matt's left at home to fend for himself but I know all the lovely ladies of the table will take good care of him.
Fay, I hope you have a wonderful visit! We'll try to keep Matt entertained while you're gone...we'll dazzle him with differential calculus or electromagnetic phenomena or something. 8-}
ReplyDelete...we'll dazzle him with differential calculus or electromagnetic phenomena or something.
ReplyDeleteOoooh, Lady Red. I love it when you talk like that!
Is lady red talking sexy math again? Countdown for lewy...4...3...2...
ReplyDeleteFay, have a wonderful trip! I was just thinking about SBJ and going to ask for pictures! Maybe when you get back?? How long are you going to be in Merry Olde England? Inquiring minds want to know!
I wish you guys lived closer, we'd feed Matt for sure. Anyway, the invitation always stands. Have fun, Fay :-)
...we'll dazzle him with differential calculus or electromagnetic phenomena or something.
ReplyDeleteOr kittens. There's always kittens.
I snipped this from the FT's Lex column (subscription only). It gives some perspective on the cuts:
The negatives are the various reductions: in the number of government employees (the 490,000, over four years), in spending on welfare (£7bn or 0.5 per cent of gross domestic product annually by 2015) and in a raft of departmental budgets. It is all very radical by the standards of the modern state (even with real growth in the spending on health care), but government spending will still rise by a total of 5 per cent over the next three years.
Emphasis mine.
So the British government is still going to grow. Just not quite as much.
I will be very, very interested in Fay's observations about how this is going down with the general public in Britain.
I'm a spoiled brat really, flew over in First Class...Champagne before take off...lie flat beds...smoked salmon and filet mignon for dinner.
ReplyDeleteArrived at Heathrow at 6.15 am and am just waiting until it's late enough to call Matt before I take a nap. It's a really beautiful day here sunny and blue skies.
I'll be spending the next few days interviewing the man on the street so that I have the info needed to write my report for lewy.
/kidding.
First class! Wow, how very cool!
ReplyDeleteI'll be spending the next few days interviewing the man on the street so that I have the info needed to write my report for lewy.
:)
/kidding.
:(
lady red - all we have to do is scrounge up another first class ticket for Fay (and have flo cook for Matt) and I'm sure she'd head right back to take on the assignment... :)
ReplyDelete