Sommerauer71 wrote:In the UK, whilst we have the 'credit crunch' and things have become expensive, we are not in a recession here, we will be, but not yet.
Since living in Austria, where there is a better standard of living for less money, and being back in the UK for the summer, I have noticed that petrol, food has increased in price, but food has been cheap for many years. The UK economy relys on the housing market, the banks have given mortgages to sub prime customers, for many years, people have borrowed up to 125% of the property value, then bang, the banks have no money, the Bank of England push up the interest rate, people cannot pay their mortgages, and we have a problem.
Small businesses here have been affected badly, our taxes are high, corporation tax has hindered small business when Gordon Brown as chancellor abolished the tax threshold without announcing it, jobs are lost because people go out of business.
My job is secure, thank goodness, but I feel for those who are not so secure, I work for an American business in Salzburg, we are tucked away there with little interference from the outside world.
The mood in the UK, I have noticed is one of constant worry, young families unable to buy homes, elderly people who are struggling to pay their fuel bills, it is a nation of doom and gloom.
Its nearly as bad here in Ireland. People can't afford to buy property and there is also a property slump to. Builders are finding it hard to sell property and to top it of there will a 5 - 10 cents increase in a pint of Guinness.