Economics
How much will Brexit cost the UK? £75bn a year!
Ok we can’t be sure on this statistic, but if anyone could give us a decent estimate it would be the Institute of Fiscal Studies. They have calculated, that if we trigger Article 50 and leave the European project once and for all, the cost would be £75bn a year. This would equate to almost three grand per household, a huge figure. They believe that the country would be poorer by 4 per cent of GDP per annum. If the...
Duke’s £9bn inheritance tax dodge raises question of unfairness
This isn’t sour grapes, if I inherited £9bn I would be dead within the hour, I couldn’t be trusted with that amount of money, to be honest I am not sure who can. Well one young man, 25-year-old Hugh Grosvenor, has just been handed his late father’s (the Duke of Westminster) legacy of £9bn. Firstly, he must still be grieving at his father’s sudden death and certain groups have laid into him quite harshly. It isn’t his fault his father...
35 Economists say handing out cash to households will boost economic growth
A group of prominent economists have submitted an open letter to the Guardian, in which they claim literally handing out cash to British citizens will boost the economy. The academics believe that this is the best method to bring life back into the UK economy, which is in real danger of sliding into another recession. Mark Carney, has just dropped interest rates to a historically low 0.25 per cent, but these economists think that their theory would boost the economy...
Bank of England Drop Interest Rates And Hint At Further Cuts
The Bank of England has cut interest rates to 0.25 per cent and hinted at further cuts in the next few months. Interest rates haven't been cut since the financial crisis took hold in 2009 and now stand at a record low. The Bank also announced the biggest cut to its growth forecasts since it started making them in 1983 on the back of the economic uncertainty caused by Brexit. It has reduced its growth prediction for 2017 from the...
The cost of UK poverty is £78bn EVERY year
A new study has studied how much poverty impacts on the UK economy and the results are shocking. The Joseph Rowntree Foundation, who conducted the research, have reported that the national cost is £78bn, which costs each taxpayer a huger £1,200 a year. Poverty is categorised as living on an income which is less than 60 per cent of the median. The JRF looked at how these people’s needs create demand on various government services. Without even taking benefits into...
Consumer confidence in UK at 26 year low due to Brexit
More depressing Brexit fall-out news, as household and manufacturing confidence is the lowest it has been since 1990. The study was carried out by GfK, a market research company, and the index indicated the sharpest month on month drop for almost thirty years. Fears about the economic future of the UK post Brexit have dramatically damaged the confidence of UK manufactures and households alike. People are lot gloomier about their own personal finances and are less likely make big ticket...
UK bottom of wage growth league…with Greece
More depressing UK economic news has been released, this time in relation to wage growth. Britain has seen a larger decline in real wages since the 2007 credit crunch than any other developed country apart from Greece. It is feared that Brexit may have an even more negative impact on the wage growth, which could leave a clear gap between the UK and the rest of the OECD group of nations. The figures were discovered by the TUC who revealed...
UK economy at worst level since 2009 due to Brexit
New Data has indicated that the UK economy is really struggling due to Britain’s vote to leave the EU. The pound has fallen after additional claims the economy could contract by 0.4% in the third quarter of 2016. Data from Markit’s Purchasing Manager’s Index (PMI) shows a “dramatic deterioration,” in the economy. These levels have not been seen since the banking crisis, which saw the Government step in to save a number of the United Kingdom’s major banks. The PMI...
UK growth forecasts cut by IMF due to Brexit
The successful Leave campaign during the EU referendum has “thrown a spanner in the works” of the global economies recovery. The IMF (International Monetary Fund) has just cut the UK growth forecast for 2017 citing Brexit as the reason for the slow down in the British economy. During the lead up to the vote, the IMF was vocal in its support for Britain to remain part of the European project. The warnings about an economic downturn fell on deaf ears,...