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!
How much influence do voters have in the UK?
As we move towards the next general election, many people in the UK are starting to wonder about the role of UK voters and what influence they actually have over the political parties and government of the day. The last 18 months has seen a significant decline in the UK economy, billions of pounds of taxpayer's money poured into the financial system, a refusal to hold a referendum on Europe, incre...Read More
MG Rover report shrouded in controversy
The £16 million report into the collapse of car firm MG Rover is littered with controversial and potentially damaging statements for both the Phoenix Four and the UK government. The report seems to suggest that pay structures were "unreasonable" and even alleges that UK government ministers may have given misleading information at various press conferences.
Despite the fact that th...
Bank profits 'cost households £441 each'
Financial marketplace Zopa has estimated that the cost of HBOS and RBS' profits results in a bill to each UK household of £441, marking a ten per cent year-on-year increase.Recently, the banks made their profits known, with HBOS recording a £5.7 billion total and RBS achieving a £9.2 billion profit."The truth is that banks in the UK have let down their customers badly by failing to deliver agai...Read More
Alistair Darling and the £20 billion tax raid
Despite the fact that last week's budget was a fairly lacklustre affair, 6 April 2010 will see a number of previously announced tax changes come into play. In total it is believed that taxpayers in the UK will be around £20 billion a year worse off due to previously announced changes with an obvious target being those on higher incomes in the UK. So what can we expect? One of the major issues,...Read More
Money can't buy success in Dubai
If there is one state in the world which confirms the opinion that you can't buy success, at this moment in time anyways, it would have to be Dubai. Despite the fact that the Dubai economy has literally risen from nothing to become one of the former hotspots of the worldwide investment market this was done against a backdrop of ever-growing debt. The ruling State family have built up around $80 bi...Read More