THE UK ECONOMY UNSPUN! Let’s get started…
THE UK ECONOMY UNSPUN!
Let’s get started…
According to the government our economy…
According to the government our economy…
According to the government our economy…
is on the mend thanks
to their austerity policies
However, that’s not entirely true
However, that’s not entirely true
Let’s start unspinning…
27500
28000
28500
29000
29500
30000
30500
31000
They say: “There are a record number of people in work”
Number of people in work
27500
28000
28500
29000
29500
30000
30500
31000
They say: “There are a record number of people in work”
Number of people in work
This is technically true but…
27500
28000
28500
29000
29500
30000
30500
31000
…there are also a record number of people!
Number of people in work
27500
28000
28500
29000
29500
30000
30500
31000
…and here’s how many jobs we’d need just to keep pace with the rising population!
Number of jobs needed to keep up with 2008 employment
Number of people in work
…there are also a record number of people!
86
88
90
92
94
96
98
100
102
Mar
-08
May
-08
Jul-
08
Sep-
08
Nov
-08
Jan-
09
Mar
-09
May
-09
Jul-
09
Sep-
09
Nov
-09
Jan-
10
Mar
-10
May
-10
Jul-
10
Sep-
10
Nov
-10
Jan-
11
Mar
-11
May
-11
Jul-
11
Sep-
11
Nov
-11
Jan-
12
Mar
-12
May
-12
Jul-
12
Sep-
12
Nov
-12
Jan-
13
Mar
-13
They say: “Rising GDP is
a sign of recovery”
GDP
86
88
90
92
94
96
98
100
102
Mar
-08
May
-08
Jul-
08
Sep-
08
Nov
-08
Jan-
09
Mar
-09
May
-09
Jul-
09
Sep-
09
Nov
-09
Jan-
10
Mar
-10
May
-10
Jul-
10
Sep-
10
Nov
-10
Jan-
11
Mar
-11
May
-11
Jul-
11
Sep-
11
Nov
-11
Jan-
12
Mar
-12
May
-12
Jul-
12
Sep-
12
Nov
-12
Jan-
13
Mar
-13
True, after a slump, GDP is on the rise again…
GDP
They say: “Rising GDP is
a sign of recovery”
86
88
90
92
94
96
98
100
102
Mar
-08
May
-08
Jul-
08
Sep-
08
Nov
-08
Jan-
09
Mar
-09
May
-09
Jul-
09
Sep-
09
Nov
-09
Jan-
10
Mar
-10
May
-10
Jul-
10
Sep-
10
Nov
-10
Jan-
11
Mar
-11
May
-11
Jul-
11
Sep-
11
Nov
-11
Jan-
12
Mar
-12
May
-12
Jul-
12
Sep-
12
Nov
-12
Jan-
13
Mar
-13
GDP GDP Per Head
…but growth has been boosted
by a rising population
…and GDP per head is still lower than in mid 2010
0
10
20
30
40
50
60
70
80
They say: “We need to slash spending as the national debt is so large”
Government Debt/GDP (%)
0
10
20
30
40
50
60
70
80
They say: “We need to slash spending as the national debt is so large”
But, historically, it’s been much larger…
Government Debt/GDP (%)
0.0
50.0
100.0
150.0
200.0
250.0
300.0
1855
-56
1859
-60
1863
-64
1867
-68
1871
-72
1875
-76
1879
-80
1883
-84
1887
-88
1891
-92
1895
-96
1899
-190
0 19
03-0
4 19
07-0
8 19
11-1
2 19
15-1
6 19
19-2
0 19
23-2
4 19
27-2
8 19
31-3
2 19
35-3
6 19
39-4
0 19
43-4
4 19
47-4
8 19
51-5
2 19
55-5
6 19
59-6
0 19
63-6
4 19
67-6
8 19
71-7
2 19
75-7
6 19
79-8
0 19
83-8
4 19
87-8
8 19
91-9
2 19
95-9
6 19
99-2
000
2003
-04
2007
-08
2011
-12
In reality, the UK has had much higher debt/GDP in the past…
They say: “We need to slash spending as the national debt is so large”
Government Debt/GDP (%) Government Debt/GDP since 1990, as shown on previous graph (%)
The UK economy is finally starting to grow again but the recovery has come three years later than hoped for.
The UK economy is finally starting to grow again but the recovery has come three years later than hoped for. The longest squeeze on incomes looks set to continue and we won’t get a real recovery until people see their real wages rising again.
We need investment in growth and jobs
We need investment in growth and jobs
not complacency & spin!
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