Brown confident about economic policies
Huge debts, a housing bubble and the heavy reliance on the financial sector have left the British economy...
Huge debts, a housing bubble and the heavy reliance on the financial sector have left the British economy more vulnerable than other developed nations, according to economists.<?xml:namespace prefix="o" ns="urn:schemas-microsoft-com:office:office"?>
However, British Prime Minister Gordon Brown expressed confidence in his policies for a strong economic recovery despite a dire prediction made regarding the <?xml:namespace prefix="st1" ns="urn:schemas-microsoft-com:office:smarttags"?><country-region w:st="on"><place w:st="on">United Kingdom</country-region>’s economy.
The International Monetary Fund suggested that <country-region w:st="on"><place w:st="on">Britain</country-region> would be the hardest hit by the current global recession in comparison to other developed nations.
The IMF’s grim outlook indicated the <country-region w:st="on"><place w:st="on">UK</country-region>’s economy was shrinking by 2.8% in 2009 which was more than previous estimates.
Shadow Business Secretary Ken Clarke believed that the report brought a sense of reality to the country’s economic prospects.
“We have a big proportion of our economy in these financial services which were so unsuccessfully regulated. We had a bigger housing bubble than anybody else in the western world and during the good times Gordon Brown ran, I think the public financials in a very reckless fashion. So we start with a huge burden of debt,” Clarke remarked.
Clarke also blamed the government and Prime Minister Gordon Brown for burying the country in a big financial hole.
“We tried to make constructive proposals and we tried to stop the government just going through panic stricken measures pilling up more an more debt which is not only weakening us but, is going to make it slower and more difficult to recover,” Clarke said.