Menu
25/08/2008
UK Ecomomy Slump 'Could Drag On For Some Time'
A leading financial figure has warned that the current economic slow down could "drag on for some considerable time".
The Bank of England's new Deputy Governor, Charles Bean, says the downturn was "at least as bad as in the 1970s" and that everytime the markets began to rally, "another grenade" exploded.
However, Mr Bean said that growth should pick up and inflation fall next year, "if oil prices and credit markets stabilised".
The Deputy Governor was speaking at the annual conference of the world's top central bankers in Jackson, Wyoming.
He described the mood at the conference as of "considerable caution for the next year".
"We've got our fingers crossed that things will improve. But there is the recognition that there is still a long way to go yet," he said.
He added that it would be "foolish to believe" that the conditions of 1970 could be prevented from happening again.
Mr Bean said he believed he and his colleagues are facing the "biggest financial challenge of the last 40 years".
"Household real income is very low. That will make it difficult for households and there are difficult social issues that will arise.
The Office for National Statistics released figures last week, which showed no growth in the first quarter of this year.
Mr Bean said that "the most important message" was that "the crisis would come to an end".
"This is just a transitory period of subdued growth and we will get through the other side and the growth will resume to more normal levels."
Mr Bean took over as Deputy Governor earlier this year.
Bank of England governor Mervyn King has already warned that that the UK economy is in for a "difficult and painful period".
The credit crunch has already cost thousands of jobs in the financial services industry.
(DS)
The Bank of England's new Deputy Governor, Charles Bean, says the downturn was "at least as bad as in the 1970s" and that everytime the markets began to rally, "another grenade" exploded.
However, Mr Bean said that growth should pick up and inflation fall next year, "if oil prices and credit markets stabilised".
The Deputy Governor was speaking at the annual conference of the world's top central bankers in Jackson, Wyoming.
He described the mood at the conference as of "considerable caution for the next year".
"We've got our fingers crossed that things will improve. But there is the recognition that there is still a long way to go yet," he said.
He added that it would be "foolish to believe" that the conditions of 1970 could be prevented from happening again.
Mr Bean said he believed he and his colleagues are facing the "biggest financial challenge of the last 40 years".
"Household real income is very low. That will make it difficult for households and there are difficult social issues that will arise.
The Office for National Statistics released figures last week, which showed no growth in the first quarter of this year.
Mr Bean said that "the most important message" was that "the crisis would come to an end".
"This is just a transitory period of subdued growth and we will get through the other side and the growth will resume to more normal levels."
Mr Bean took over as Deputy Governor earlier this year.
Bank of England governor Mervyn King has already warned that that the UK economy is in for a "difficult and painful period".
The credit crunch has already cost thousands of jobs in the financial services industry.
(DS)
Related UK National News Stories
Click here for the latest headlines.
24 July 2012
Oxfam Sales Rise To £90m Despite Recession
Oxfam has reported a sharp increase in sales from its high street shops, with a growth of 5% taking its retail sales last year to £90m. While much of the high street stuggles, Oxfams growth highlights changing habits amid the bleak economic conditions.
Oxfam Sales Rise To £90m Despite Recession
Oxfam has reported a sharp increase in sales from its high street shops, with a growth of 5% taking its retail sales last year to £90m. While much of the high street stuggles, Oxfams growth highlights changing habits amid the bleak economic conditions.
03 August 2004
Euro 2004 hangover hits retail sales, says CBI
The end of 'Euro 2004' football promotions and the impact of interest rate rises have been blamed by retailers for the unexpected slowdown in sales during July, according to the Confederation of British Industry (CBI).
Euro 2004 hangover hits retail sales, says CBI
The end of 'Euro 2004' football promotions and the impact of interest rate rises have been blamed by retailers for the unexpected slowdown in sales during July, according to the Confederation of British Industry (CBI).
12 September 2006
Increase in UK inflation in August
Consumer Prices Index annual inflation rose to 2.5% in August, an increase from 2.4% in July, according to the latest figures from the Office of National Statistics.
Increase in UK inflation in August
Consumer Prices Index annual inflation rose to 2.5% in August, an increase from 2.4% in July, according to the latest figures from the Office of National Statistics.
14 February 2013
Report Finds School PE 'Not Strenuous Enough'
A report from education inspectors Ofsted has said there is "not enough strenuous activity" in many of England's PE classes. The report on primary and secondary PE adds that teachers tend to talk too much in sessions and often lack specialist training and highlights that only a minority of schools play competitive sport at high level.
Report Finds School PE 'Not Strenuous Enough'
A report from education inspectors Ofsted has said there is "not enough strenuous activity" in many of England's PE classes. The report on primary and secondary PE adds that teachers tend to talk too much in sessions and often lack specialist training and highlights that only a minority of schools play competitive sport at high level.
03 January 2013
2012 Second Wettest Year On Record
New data released by the Met Office has revealed 2012 to have been the second wettest in the UK since records began. The total rainfall for the UK during 2012 was 1,330.7mm (52.4in), just 6.6mm short of the record set in 2000.
2012 Second Wettest Year On Record
New data released by the Met Office has revealed 2012 to have been the second wettest in the UK since records began. The total rainfall for the UK during 2012 was 1,330.7mm (52.4in), just 6.6mm short of the record set in 2000.
-
Northern Ireland WeatherThis Evening and Tonight:Another cloudy and mild night with the odd spot of light drizzle. More widespread outbreaks of rain will spread southeast into western parts of Tyrone, Fermanagh and Derry late in the night. Minimum temperature 8 °C.
