David Cameron: our plan to cut debt is failing

[cojohnle]

The warning comes as the global economy stands on the brink of a “chronic” debt-driven recession.

The Prime Minister on Monday conceded that tackling Britain’s debts was “proving harder than anyone envisaged”, raising the prospect that the Coalition would be unable to close the deficit by 2014-15.

That would rule out any significant tax cuts before the next election. It also raises questions about the Coalition’s fundamental purpose.

Departing from the deficit-reduction timetable could raise fears that Britain will face rising borrowing costs as bond markets take fright.

Debt is “a drag on growth”, Mr Cameron told business leaders. “We are well behind where we need to be,” he said.

Kenneth Clarke, the Justice Secretary, has warned that the global economy is “in a devil of a mess”, which is “bound to have an effect” on the Coalition’s plans to clear most of the deficit before the next election.

full article

[GostHacked]

This stuff is going to get real ugly real fast. Also reports of Hungary engaging the IMF for assistance.

[kactus]

It is failing because the whole system of governance under the labour is a sham and people are still paying for their mismanagement of economy. Its a fact of life that all these cuts were necessary. That said UK still enjoys a three star credit rating, has an interest rate at par with Europe's largest economy Germany. And all this despite a deficit 4 times the size of her GDP. My concern is this hole within the Eurozone that is dragging all other stronger economies into a quagmire...

Edited November 22, 2011 by kactus

[olp1fan]

Cameron promised Britain a referendum on leaving the EU ... France nor Germany respect them, time to give the people what they want Cameron

Apparently Germany has plans to stop Britain from leaving the EU...love to see them try