Monday, August 8, 2011

One way to get the economy going again


I think I have thought of the reasons that the UK cannot get it's economy back on track.

I was thinking last night of a way that the UK Govt could get something back on track.
We have very little in the way of manufacturing now. i.e we sold Car making, Iron founderies and businesses,
we have sold the mobile communications, we have sold Utility companies, we have sold part of the National Grid.
These were fundamental years ago for the Govt to manage it's economy. Now it's gone!

So what have we left? Quite honestly very little, which is the crux of the problem.
So I thought last night that we could build more houses. We need them!
This will boost the construction trade. the carpenters, the brickies, Garden planners, shops for furntiure, décor etc.
This will be an excellent start.
I then thought about another fundamental problem. 95% of all builders on the Olympic site are foreign and mainly Polish.

This would counteract the solution above. Why?
Well the foreigners will send their money home and spend very little in the UK, which probably why we don't here countries like Poland,
Latvia etc having such economic problems, we are funding them!

So for this to work, we have to use common sense and go back to a bit of protectionism as these foreign countries keep, eventhough they are in the EU.

We should have the government build houses, but only use national craftsmen and builders.
The builds will have to be of a reasonable cost.
This will then attract first time buyers which will then get the market moving.
House prices will remain lower than rising due to not enough hosues available.
This takes people off the dole.
It keeps the economy in-house

So IF the government has an ounce of common Sense this is what they should be looking at.

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