# UK economy to correct itself by 2014!



## Kalimera (Oct 19, 2011)

The Bank of England announced today that the UK economy will start to recover by 2014. *IF *this is the case then we will have been in recession for 6 years - but then again we have been told so many lies and false predictions before!

Do the fat cats in Westminster really know what they are doing? The banks are still not lending, fuel prices are too still high, tax is too high. I doesn't take a brain surgeon to figure out what needs to be done does it!

Quantitative easing, forget about that and give every UK tax payer £2,000 in vouchers to spend at UK businesses - this would kick start things! 

We are all getting sick of the excuses now Mr Cameron


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## Veronica (Apr 5, 2008)

The first thing the Uk government should do is stop paying benefits to all the immigrants. If they can't support themselves they should be sent back to where they came from. Cyprus, Spain ,Italy to name just a few don't pay benefits to foreigners until they have been in the country, working and contributing for a minimum length of time so why is the Uk government so stupid.


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## PeteandSylv (Sep 24, 2008)

Veronica said:


> ....... so why is the Uk government so stupid.


I've been asking this for most of my life in the UK.

Now I ask the same question in Cyprus.

Pete


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## Kalimera (Oct 19, 2011)

PeteandSylv said:


> I've been asking this for most of my life in the UK.
> 
> Now I ask the same question in Cyprus.
> 
> Pete


You think the government in Cyprus are as clueless as the one in UK. Do they blame the weather for their poor economy? 

They blame everything for the economy apart from themselves. They even introduce new taxes, get bombarded and then backtrack only a few months in to this new tax! 

They are just so far from reality it is untrue!


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## Kalimera (Oct 19, 2011)

Veronica said:


> The first thing the Uk government should do is stop paying benefits to all the immigrants. If they can't support themselves they should be sent back to where they came from. Cyprus, Spain ,Italy to name just a few don't pay benefits to foreigners until they have been in the country, working and contributing for a minimum length of time so why is the Uk government so stupid.


I agree but they are paying, roofing and feeding do many immigrants and if they stopped their benefits all hell would break loose.


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## virgil (May 3, 2012)

SWJ said:


> The Bank of England announced today that the UK economy will start to recover by 2014. *IF *this is the case then we will have been in recession for 6 years - but then again we have been told so many lies and false predictions before!
> 
> Do the fat cats in Westminster really know what they are doing? The banks are still not lending, fuel prices are too still high, tax is too high. I doesn't take a brain surgeon to figure out what needs to be done does it!
> 
> ...


>>give every UK tax payer £2,000 in vouchers to spend at UK businesses<<

Good idea for the economy - of China


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## Guest (Aug 9, 2012)

I dont think that stopping benefits will help much. And I dont think the economy will correct it self by 2014, and I really dont think anyone really think that. 

These problems will take many years to solv. The problems seem to spread instead of getting solved. Now it is France that is targeted. 

And next year there is parliament election here in Germany meaning that the ones who want to win it have to listen to the voters. And the voters more and more want the German handouts to all countries in need to stop. 

And if that happens, then all Europe, including UK will fall like a house built of playing cards.

Thats my view

Anders


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## PeteandSylv (Sep 24, 2008)

Vegaanders said:


> I dont think that stopping benefits will help much. And I dont think the economy will correct it self by 2014, and I really dont think anyone really think that.
> 
> These problems will take many years to solv. The problems seem to spread instead of getting solved. Now it is France that is targeted.
> 
> ...


If I refer you to:

BBC News - Eurozone debt web: Who owes what to whom?

You will see in graphical form what each country owes to each other. While overall Germany is the strongest of EU economies, the facts are that it is not simply Germany propping all the others up but a rather more complex pictures of inter-lending.

On this basis it could be argued that if Germany ceases further lending it's exports will suffer and its existing lending will be devalued thus weakening its own financial position.

I don't know whether your view or mine is the most likely, sadly nor do the so-called experts.

What I do know is that in the UK the investing in the US junk properties defied the taught rules of lending when I was in banking and also defied common sense. Equally Cyprus's level of investing in Greece defied common sense in the "don't put all your eggs in one basket" way.

What worries me most is that all these scenarios could occur again. I cannot trust the competency of the banks any more than I do their regulatory authorities which are run by politicians under the control of their egos.

Pete


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## Guest (Aug 9, 2012)

Ofc you are right. All this that has happened comes from one thing. Human greed. Banks, companies, real estate markets are all driven by greed.

Look at what company or bank directors get paid. The bigger risks they take, the better they get paid. Even if the company make losses, the management get huge checks. For me its disgusting.
Or the property market. People that normally should not get a mortgage can borrow 100% of the price to very low interest. And they dont even have to pay off the loan, only the interest. And when the interest go up 1-2 percent, everything collaps.
But before it collaps, because of these low interests more people are seduced to buy property and because of that prices skyrocket. And when it collaps, banks take over the property from the people that cant pay, and the people that have margins sit with houses they can never sell or sell with big losses. Resulting in that there is thousands of overpriced houses on the market only in Cyprus

Look at the real estate market in Cyprus. My honest opinion is that it will never again come back to the prices it once had. And perhaps that is also correct. It was overpriced and now it will soner or later stabilize on the reasonable value.

But as Pete say, you never know when it will all repeat it self again, because human greed will never disappear and it seems that we will never learn.

But that is only my view of it

Anders


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