A recent report by AXA has suggested that there is a possibility of a slide into recession, as the global slowdown continues. Growth in the US is declining as its manufacturing index is slowing down.
It is believed that the economy in China may have peaked while Europe and Japan are slowly losing momentum.
Our view
All World Economies move in cycles. Labour have benefitted from an extended stable period in the UK and this has little to do with Gordon Brown, despite what he would tell you.
Let us see what his answers are when the UK does slow down. This is a fundamental rule of economics, the laws of supply and demand. We move in cycles, the same as any other. We certainly expect a slow down in the UK economy. This will be governed by mortgage and property slow down and Oil prices affecting business.