March 25, 2009

UK getting more into debt

Ever since the credit crisis began we have heard the term “Fiscal Aid” this where the government introduce fund into the economy like the funding of the banks and the cut in VAT, these investments are supposed to support the country’s finances.

However, the governor of the Bank of England, Mervyn King has issued a warning that the country’s finances are in a sad state already and any more investments of this kind should be put on hold.

This is not going to go down well in Downing St where the Chancellor of the Exchequer, Alistair Darling is already planning his budget; this is due on the 22nd April.

There are warnings being fired from all directions but will any of them be taken notice of, in around four week’s time we will know.

Source [Guardian]