UK hit hard
We will be world's worst off!
BRITAIN will be hit harder by the global financial meltdown than ANY OTHER country in the world, experts have warned.
Prime Minister Gordon Brown blames global factors for the economic meltdown. But economists warn Brits will be CRIPPLED by the credit crunch because they have been FAILED by the authorities in the past.
They say FAMILIES are drowning in debt and have little savings; GOVERNMENT borrowing has hit record levels and the coffers are empty; BANKS lent money recklessly; and REGULATORS failed to curb their risky behaviour.
Howard Archer, chief economist at Global Insight, said: "Britain is the most vulnerable country in Europe to the global financial crisis.
"The relative importance of the financial sector to the UK economy, the high consumer debt and the sharply deteriorating housing market make us particularly exposed."
Families face the slowdown crippled by huge debts. The total UK debt stands at a whopping £1,448 billion - an average of £30,255 per adult, according to charity Credit Action.
Paul Dales, UK economist at Capital Economics, said: "It's going to be very difficult for families. People will have to stop spending and start saving. The era of easy credit has ended."
Debt
The Wall Street crisis is spreading to our High Streets, clobbering families, workers and businesses as the economy grinds to a halt.
Mr Dales added: "Europeans are better placed to weather the storm because consumers have saved more and don't have as much debt."
And although the global crisis began in the US, its economy is likely to recover more quickly, while UK families will struggle for years.
Mr Dales explained: "The US market is very flexible. It typically goes into a recession quickly but recovers just as fast."
Tory Shadow Chancellor George Osborne said: "Because Gordon Brown arrogantly thought he had abolished boom and bust, he didn't prepare for when the bust came."
Unseen SuBo video
Floods UK in pictures
Winking lovely
VANDAL AGED 2 NICKED
Bullies suicide drive
Nurses to be sacked for carers
M&S boss's secret file on 'nutters'
This article has 5 comments
Not surprising really after 11 years of a government populated by shysters and con men
By Ralph. Posted October 5 2008 at 9:57 PM.
I can't believe we still have people blaming labour for the utilities being sold. Thatchers Government started the ball rolling and sold whatever they could sell.
By Iansheff. Posted October 5 2008 at 4:19 PM.
Europeans are better placed to weather the storm because their Governments dont allow the utilities companies to rip their people off. This Government has given more of our wealth away than any other and people are waking up to the Noo Labour property/wealth scam. People are realising that there was no coincidence between Labour spouting off about the "feel good factor" and property prices significantly rising almost over night as if by magic.
Everytime we've had champagne socialist in charge they have left the country with a mountain of debt........will we never learn!!!
By jonnyfatnuts. Posted October 5 2008 at 12:51 PM.
Couldn't Agree More!
By Kelly. Posted October 5 2008 at 10:48 AM.
Considering that we have borrowed more than anyone else it is highly likeley that we'll be worst off. The US is cutting taxes and already low interest rates to try and boost their economy. What do we get? High interest rates and tax increases from both main parties. Guess who'll get through it quicker.
By Simon . Posted October 5 2008 at 8:12 AM.