Blog & Articles

IM_money exchange

Getting from economic bingo to a growth plan

Date: 3. November 2011
Gavin Kelly and

This post originally appeared on Gavin's New Statesman blog

The last week has produced a bumper crop of economic reports and statistics - resulting in a form of daily economic bingo - which will define the political and economic debate for the rest of the autumn and set the scene for the run into 2012. It's a week that has sharpened the economic and political challenge on growth - not just for the Coalition, but for Labour too.

It kicked off with Incomes Data Services grabbing the headlines with their finding that this year there has been a near 50 per cent increase in total remuneration for FTSE 100 directors - a hike that dwarfs the 2.3 per cent increase in average earnings, or the 4.5 per cent annual rise in the FTSE 100.

read more


Think the cuts are biting? The pain has hardly begun

Date: 21. April 2011
Gavin Kelly

Buoyed by a run of bank holidays and balmy weather, optimistic families may think that, having absorbed the changes announced in April's Budget, the worst is behind them. Sadly, that is a false hope. Plenty more pain is in the pipeline.

To see why, just look at what is coming in terms of cuts, wages, and interest rates. The cuts that kicked in on "Worse-off Wednesday" accounted for a mere 10 per cent of the total savings arising before 2015 from changes to tax credits and child benefit. The pain is "back-loaded"; over 40 per cent of these cuts kick in in 2013.

For many, the biggest threat to living standards does not arise from what George Osborne has done but from the impact of higher prices and stagnant wages. This is not a new problem – disposable income has been falling in every region outside London since 2003 – but it is a worsening one. The current wage squeeze is expected to continue until at least 2013, when average real wages are expected to fall to under £25,000, over £1,800 lower than in 2009.

read more


new statesman logo

Wanted: a new purpose for British capitalism, New Statesman

Date: 18. February 2011
Gavin Kelly and

Gavin Kelly asks how Britain can avoid going down the US path where for the last generation the majority of the gains from growth have gone to the richest.

If ...

read more


Share this

Filters

Rss Feed

Archive

Tag Cloud

Gavin Kelly Resolution Foundation living standards childcare James Plunkett Housing inflation wages tax credits Squeezed Middle tax Vidhya Alakeson coalition inequality Matthew Whittaker minimum wage new statesman Debt Spending Review female employment low pay Squeezed Britain Universal Credit autumn statement growth Labour USA welfare women work incentives Budget 2012 employment generation rent giselle cory household income IFS institutional investment labour market living wage low to middle income politics social mobility affordability Audit budget 2011 cameron Commission on Living Standards distribution earnings economy Ed Miliband education fiscal choices interest rates living low pay commission older workers recovery skills social care spending round sr2013 unemployment zero hours Affordable Housing America budget child benefit child poverty cost of living David Cameron debt target degree Guardian income jared bernstein joe coward lee savage Lib Dems living costs measuring poverty middle class Obama pay poverty recession tax cuts uk 10p arrears benefits borrowing Commission cpi cuts david willetts debt forgivenes dilnot Donald Hirsch fiscal forbearance gearing George Osborne great stagnation household household debt housing market huffington post income tax ippr Ipsos MORI jobs gap lane kenworthy Low earners matthew pennycook mortgages Nick Clegg pension Pensions personal allowance personal allowances polarisation precarious work prices prospect q2 growth regional renting rpi shared ownership social housing social mobility foundation Sophia Parker standards sutton trust tax changes tax relief think tank think-tank underemployment Wage squeeze 2013 Work working poor zero hours contract 'Annual Survey of Hours and Earnings' 'earnings squeeze' 'squeeze' 'wage stagnation' #ows £10000 2011 2012 50p 99% a matter of time Alan Johnson Alex Hurrell allowance andrew haldane Anna Vignoles apprenticeships ASHE assets Australia bank of england below minimum wage benefit freezes borgen Boris Johnson budget 2013 cap care assistant centreforum chancellor childcar choices CiF citizens UK Coalition politics Conor D'Arcy conservatives Cost of Motherhood costs council tax council tax benefit CPIH daniel chandler datablog de-coupling debt peril deficit department for education dependency election election 2015 enforcement equity release family felicity dennistoun Financial Times first-time buyers food prices full employment gap GDP gender gingerbread good life gregg growth without gain HELP Committee higher rate higher rate tax relief hmrc holmes homeownership hourglass household finances household spending illegal in work income inequality incomes increase Independent indignados international jobs John Van Reenen jrf Labour Party Left Foot Forward liberal democrats living wage foundation LMIs low middle earners Low Pay Britain low pay threshold low to middle income earners low wage low wage work machin marginal tax rate marriage tax allowance matt whittaker matthew hancock mayhew median real wage median wage Mervyn King Middle Britain miminum wage minimum income standards missing out mobility monetary policy Montague mortgage market mothers national minimum wage netmums new statesman blog new year newby newham niesr nil hours number paid below minimum wage nursery world OBR occupy occupy wall street OECD older ons over 50s paul gregg pay and pensions pay progression pensions relief personal personal finance pledge cards policy politicans poll population precarious employment predistribution prescription charges priorities private rented private rented sector private sector growth progression prs public sector public services public spending ratios reduce credit card reform Regions Rented Sector resolution foudnation retirement robin wales robots routine jobs RPIJ rss savings Senate shared shereen hussein social society southern cross spending cuts squeezed state state pension age statistics steve machin tax and benefit changes tax and benefits Tax Benefits technology The Spirit Level threshold tories travel time Treasury trends unison university US election van reenen VAT voters voting wage wage growth wage inequality Welfare Debate welfare state White Paper workers Working part time lower skilled job young people Youth unemployment youth wages