To worry that Britain is screwed financially

[Edenspirits]

There is a dispatches on Channel 4 on Monday that I am keen to watch called ‘Britain’s 400 billion covid bill’.

But it’s got me thinking about it and wondering what it’s going to be like when it all has to be paid back. Tax rises? Austerity? Interest rate rises? So many industries will continue to need bailouts and then there is the Brexit shit show on top which is already looking like an absolute disaster.

Aibu to worry that it’s going to take years to sort this mess out? And that it’s our kids that will pay ultimately. I worry for my kids future.
I am trying to be positive but no government can borrow the amounts that we are talking & not see real trouble ahead.

now we are all moaning about recession.
The reason I keep mentioning it because the government is keeping very silent about it; perhaps because they are in denial, or it won't affect them personally, or they don't want to be blamed for it; or maybe they're going to produce it like a rabbit out of a hat when they want to persuade us to accept freedom, having brainwashed us into accepting lockdown.

And yes, as others have said: the hypocrisy no money for schools, functional hospitals (not redundant Nightingale ones), social housing, the disabled; but for war in Iraq, the Olympics, HS2, lockdown, and all the other vanity projects, billions appear from nowhere.

What bit of the younger generations have find it harder to get on the property ladder or save for good pensions = everyone older had it easier & no older people are ever in poverty?

Brexit has its advantages too. Vaccine roll out bring one. I work with quite a few companies exporting to Europe quite successfully. And my latest contact is with a number of component manufacturers looking to re-locate or open facilities in the UK. So no, we are not screwed. Sorry if that doesn’t play to your agenda.

I contrast that with the conversations I have with some of my young team members now (pre covid). They eat out every weekend, often socialising in the week too. Several trips abroad a year. Take ubers everywhere. Yet they’re amazed they can’t get a deposit together.

Of course some do this but it doesn't mean that stopping this can mean they can afford a deposit. I mean actually add up what the above can cost. Plus statistically they are not the ones with the highest disposable income.

"the Resolution Foundation thinktank concludes that today’s 18- to 29-year-olds are also spending less on shoes and clothes, hobbies and travel in real terms than those at the same age in 2001 as housing costs have soared. Compared with people the same age at the turn of the millennium they are 7% poorer in real terms, after paying rent, or if they can afford it, mortgage dues. as people aged 65 and over have enjoyed a steep 37% rise in spending power compared with the same generation in 2001".

I think the furlough scheme overall was a good thing (not used it myself) & the investment in vaccines also needed.

I'm not particularly a fan of lockdowns as someone in their 30s with young dc but the vast majority of the population want them & plenty wanted tougher ones.

You do realise that the government are basically borrowing from themselves? The Bank of England.

I have great faith that there will be social change, driven not by us lot on here, but the generation who are currently sat at home playing Roblox, Minecraft and generally being bored into submission by lockdowns around the world. Huge world change often act as a catalyst for the generation born into them. We have had land, agricultural, industrial, digital revolutions. Watch out for the AI revolution. They will be handing us all our arse, cognitively speaking.

Yes op

The city is now no longer leading the way - banks and other financial institutions have moved ops to Amsterdam. It was one thing the uk was good at.

The arts - music, theatre, comedy etc - again, trashed by Brexit.

Job losses mostly in the 20-40 age group and mostly women. There will be more zero hour contracts.

@ThewhoamIquestion

You do realise that the government are basically borrowing from themselves? The Bank of England.

I have great faith that there will be social change, driven not by us lot on here, but the generation who are currently sat at home playing Roblox, Minecraft and generally being bored into submission by lockdowns around the world. Huge world change often act as a catalyst for the generation born into them. We have had land, agricultural, industrial, digital revolutions. Watch out for the AI revolution. They will be handing us all our arse, cognitively speaking.

I think the US is so far ahead of the UK in this area it’s laughable

China and India too to be honest. My husbands US conpany outsources IT development to India - why would they pay UK wages when the skills and work ethic are so good elsewhere?

Honestly if I was younger & renting I would move to another county if possible.

@DumplingsAndStew

What pisses me off is that the money was there to be found and to be borrowed when it came to offering their cronies multi million deals that they could never fulfill, yet there was no money there for those in need over previous years - for schools, disabled people, social care.

Probably because, contrary to what many believed, they did have a Pandemic Plan and this was it! Money for vaccine development may well be the fastest way out of a pandemic.

It certainly fits with what Johnson is pushing for in the G7.

As for the economy, it will do what it will do. Globally there will have to be a shift in thinking, financial restructuring.

@gigity

I'm not particularly a fan of lockdowns as someone in their 30s with young dc but the vast majority of the population want them & plenty wanted tougher ones.

That’s because the U.K. only cares about old people and dogs (in respect of the former I think it’s because we have this rhetoric that they must have fought in the war, even though we’re past that generation)

It was only in 2015 that the Uk finished paying off the compensation to slave owners after the abolition of slavery in 1837. Long standing debts are nothing new. Yes, lots of us will be paying for many years to come.

@GobbieMaggie

Brexit has its advantages too. Vaccine roll out bring one. I work with quite a few companies exporting to Europe quite successfully. And my latest contact is with a number of component manufacturers looking to re-locate or open facilities in the UK. So no, we are not screwed. Sorry if that doesn’t play to your agenda.

Vaccination programme was nothing to do with EU. In fact, much of development was because of EU.

I am not so worried about the debt, but youth unemployment is already 15% and likely to rise, youth unemployment is scarring for employment and life prospects, the job market is going to be grim for the young.

Also female employment rate is falling, parents (but actually largely women) are just expected to drop their work and there is a big rhetoric that actually women should be looking after kids first and foremost.

£22 billion for a failed track and trace mismanaged by a Baroness with no relevant experience. The moon landing cost less.

Endless waste on crony contracts without proper procurement; no apology even despite high court ruling. No holding to account.

Unelected Brexiteer appointed as a minister.

Just appalling immorality and corruption. We are a rogue state. Yet people seem to accept this somehow.

Interest rates are really really low, won't that help people looking for a mortgage?

@ChocOrange1

In theory, but lending criteria is more strict now and will be for the foreseeable.

I'm more concerned that we have a financially illiterate government and despite the image, a very poor Chancellor of the Exchequer. So who will bear any burden, and that inequalities will increase even more.

Added to the cronyism and corruption.

@TableFlowerss

*Interest rates are really really low, won't that help people looking for a mortgage?*

@ChocOrange1

In theory, but lending criteria is more strict now and will be for the foreseeable.

And to get the low rates you need high deposit or high equity

The debt is huge, no arguing about that, but most countries are in the same situation.

And the U.K. has solid resources, a developed economy, a well educated work force, modern infrastructure.
The economy will bounce back and once everyone has been vaccinated (July?) GDP will recover.
After a year of restrictions, those in work will be keen to move forward and spend. This debt is more like war debt which is paid back over the long term, than a structure recession, where govt revenues are in deficit every month.

@TableFlowerss

*Interest rates are really really low, won't that help people looking for a mortgage?*

@ChocOrange1

In theory, but lending criteria is more strict now and will be for the foreseeable.

Ah OK I didn't realise that. We only had a 10% deposit for our house and have a pretty low interest mortgage (about 2% I think?) But we did buy 6 years ago so I guess we have some equity.

peak2021 I’m not convinced they are illiterate, sadly. Sunak is the richest man in parliament, isn’t he? You don’t get to be that by not understanding money.
JRM, like many others, has all his holdings overseas; he understands perfectly. They drove Brexit as a tax avoidance strategy not because of Blue passports.
There are undoubtedly some more honest Tory people in the House but those with power, who are muffling Parliament and the press are not financially illiterate. Quite the opposite, I think.

Plenty of money waiting to be spent, it seems...

www.theguardian.com/business/2020/dec/07/uk-covid-savings-haldane-bank-of-england

@CherryRoulade

We have about the worst financial impact of the developed world thanks to our inept and corrupt government. It hides Brexit effect for a bit though. The very rich will get richer just the same. The very poor will see the greatest impact, sadly.

And it's always been the same, apart from a few brief periods when we had Labour governments.

The thing I fear most is more attacks on welfare spending. Ten years of austerity has left the poorest in dire straits, I can't imagine the mess people will be in if there are more welfare cuts.

And again,

www.retailgazette.co.uk/blog/2021/02/uk-economy-to-reach-pre-pandemic-levels-if-brits-spend-125bn-savings/