Are we poised is to see the third leg of the credit crunch crisis?
After the initial credit crunch hit the US and began to spread around the world there was a period when many observers believed concerns had been overdone and the markets and economies around the world would return to "normal". However, we then saw a second leg which impacted upon the worldwide financial sector, stock markets, government budgets and other vital elements of "everyday life". However, there are growing concerns that we could be poised to see the third leg of the credit crunch hit the worldwide economy!
Earlier this week we saw concerns appear regarding the Greek economy, which has struggled due to the downturn, with a massive increase in the Greek government budget deficit. There is also the ongoing situation in Dubai which, despite government claims that it is "under control", still has some way to go before it is totally resolved. As a consequence, there is growing fear in the money markets that more governments around the world will struggle to raise funds needed to see them through the short to medium term, a time when the worldwide economy and local economies should start to turn the corner.
The danger is that if economies are starved of potential financial investment in the short term we could see a sharp U-turn and a further lurch downwards. This could literally push the worldwide economy into a depression, never mind a recession!
Public finances go from bad to worse
News that the usually lucrative month of October has seen the public purse pushed further into debt for the first time in 14 years has sparked serious criticism of Gordon Brown's recent policy. October is historically one of the better months for the Treasury with various tax renewals and large amounts of income collected.
While there is no surprise, to those following the economy c...
What does the future hold for the UK economy?
As the Office for National Statistics issues yet more revisions regarding the performance of the UK economy during the first quarter of 2009 there are concerns about UK government forecasts for the future. The UK government is forecasting economic growth of 1.25% in 2010 although the Organisation for Economic Co-operation and Development believes that the UK economy will show no growth and effecti...Read More
Car Insurance “11pc cheaper than a Year ago”
New research has suggested that motorists are experiencing car insurance renewal prices that are 11pc lower than this time last year, as the insurance industry succumbs to increased competition between insurers. Many companies throughout 2012 have adopted the strategy of offering new customers reduced rates in the hope to secure their money, while hiking the renewal prices of their current custome...Read More
Alistair Darling slashes Isle of Man budget
Chancellor Of The Exchequer Alistair Darling has announced plans to slash the budget of the Isle of Man by 24%, knocking off £140 million from the islands £572 million annual budget. He has broken ranks with a 400 year old customs revenue sharing agreement as he continues his battle against so-called tax havens around the world.
This is a major blow for the Isle of Man government...
Interest rates expected to remain unchanged
Analysts are predicting a decrease in interest rates - but not until February at the earliest.A poll of experts has suggested that the Bank of England's monetary policy committee (MPC) will not lower the base rate when it announces its monthly decision this month, with most people expecting it to keep interest rates at their current level.Last month, the MPC lowered the base rate by 0.25 per cent...Read More