Oh Dear or Doomed!

[HairyArsedBloke]

Thank you kind Sir. You are top banana. I was predicting a total drop of 8% so looks like I will be out......

It possibly has fallen that much. These are government figs and subject to 'correction' so as to make them 'look good'.

F***ty, f***ty, f***ty, f***ty, f*** f*** f***.

Indeed.

It ain't over yet... although I doubt it will drop that much. The expected rise in VAT will probably kick start some spending in December that should be enough to push us over the bar.

6% is still a hefty drop though...

Any extra spending in Dec will be taken from Jan / Feb. There is a story going round that VAT isn't going back to 17.5% either; it may be higher (some say a lot higher). However, I think that these figs may have put that plan on hold. I think they may hatch a plan to defer the rise for another quarter and then raise it to 20% or even 25%. (Maybe to come in just after the election?)

[centurian]

Any extra spending in Dec will be taken from Jan / Feb.

True, but if Q4 shows just 0.1% growth (or even 0% flat), then technically the recession is over, even if Q1 2010 goes back into negative growth again.

If growth occurs in Q4, Gordon's best chance is to call an election in March/April, before people realise it's a false dawn, and also before the 2010 tax rises kick in.

VAT isn't going back to 17.5% either; it may be higher (some say a lot higher).

Didn't the original Treasury plan state this before the spin doctors got hold of it

[Addanc]

Oh dear (TM)

You mean 33 economists may not have got it right? Shock, horror!

U.K. Economy Unexpectedly Shrinks in Longest Slump

Pseudo science. They use dice and chicken entrails.

HTH

[Tingles]

"If all the economists in the world were laid end to end, it wouldn't be a bad thing."

Peter Lynch