You are here: Home - Saving & Banking - News -

UK recovery is not helping ordinary people, says TUC

0
Written by:
03/09/2013
The UK's economic recovery is far behind schedule and is doing little to boost ordinary people's living standards, according to the Trades Union Congress (TUC).

The TUC, the umbrella body for the trade unions, said that had growth risen in line with the Office for Budget Responsibility’s (OBR) original forecasts the economy would have grown by 7.9% since 2010 instead of 4.2%, a difference in cash terms of £60bn.

Average earnings in mid-2013 were more than 25% (£780 a year) lower than the OBR predicted when the government took office, the TUC said.

Its analysis also revealed that UK exports are down 20% on OBR forecasts costing the economy £33.2bn and the unemployment rate of 7.8% is higher than the OBR’s prediction of 7.3%, equating to 158,000 more people out of work than expected.

The TUC said any growth so far has been “too little too late”, and the recent improvements in the economy have done little to address people’s living standards, with UK workers still enduring the longest wage squeeze since the 1870s.

TUC General Secretary Frances O’Grady said: “The government has been quick to proclaim recent growth as proof that its economic plan is working.

“However, a look behind the headline figures shows that our recovery is way behind schedule and that austerity has acted as a huge drag across the economy over recent years. The government’s mess has cost us £60bn, with the economy growing half as fast as expected.

“We need a far stronger and more sustainable recovery if the huge squeeze on living standards over the last three years is to be reversed. We also need a new approach to make sure that as growth comes its rewards are fairly shared – for now the slowest recovery in a century still isn’t delivering for working families.”

 

Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Seven ways to get help with energy bills this winter

We knew today’s announcement was going to be painful, but it’s still a shock to the system. When this kick...

Flight cancelled or delayed? Your rights explained

With no sign of the problems in UK aviation easing over the peak summer period, many will worry whether holida...

Rail strikes: Your travel and refund rights

Thousands of railway workers will strike across three days this week, grinding much of the transport system to...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week