In the 1980s, The UK introduced many supply side policies such as privatisation, deregulation, and reform of trades unions. The government also cut the higher rate of income tax from 80% to 40%. It was hoped that these supply side policies would create a productivity boom. The government argued this reinvigoration of the British economy …
In the past 12 months, UK house prices have once again started to rise, with house price inflation reaching 6%. Even the end of stamp duty in April, did not prevent prices rising by £3,000 in May, according to the Nationwide. It means prices have regained their previous peak of 2022. However, the rise …
Why are Bond Yields RISING FAST Everywhere?Watch this video on YouTube For decades, Japan had artificially low interest rates, but since 2022, bond yields have risen, and the pace of increase is getting steeper. And when you have debt at 270% of GDP, this is a big deal. Japan has a double crisis – rising …
Will Life Get Worse of Better for the Young Generation?Watch this video on YouTube Double-digit inflation, youth unemployment soaring, and a general sense of the UK’s economic decline. Is there any hope for the younger generation? Now here I’m not actually talking about 2025, that was the 1970s and early 1980s. It’s never been easy …
Will Printing Money and QE cause Runaway Inflation?Watch this video on YouTube After the First World War, the German government were left with huge debts and reparation payments to the Allies. Faced with striking workers the government began printing money to pay workers higher salaries. It gave the government a temporary breathing space, …
Will The Stock Market Crash Continue?Watch this video on YouTube Since the start of the year, the Dow Jones has fallen 10%, but this is more than a stock market correction. Bond yields are rising, the dollar is falling and price of gold is soaring. It is an unusual combination to have falling stocks and …
The UK was the first country to industrialise, but also one of the first to deindustrialise. UK manufacturing as a a share of GDP has fallen from 30% in 1970 to 8% in 2024. The UK is not unique in smaller share of manufacturing, but the decline has been relatively bigger than other countries. Manufacturing …
It’s pretty easy to talk about the problems with the UK economy – 18 years of low growth, stagnant real wages, low productivity, low investment, housing costs through the roof. The numbers don’t lie. If past trends had continued from 2007, average households would be at least £8,000 a year better off. If we could …