how safe is your money, page-10

The fact is the UK is the ultimate asset bubble financial economy if the financial industry contracts consumption will fall, unemployment will rise and real estate prices will fall which will further exacerbate the problems in the banking system. The tightening of credit within the banking system puts an economy that is so dependent on asset price appreciation in an extremely perilous situation, Once confidence is lost the economy will quickly shift into reverse, the run on nothern rock must be scaring the sh1t out of the powers that be. I cannot think of worse area of the world to be in during a credit crisis than the UK if confidence is lost massive social dislocation can be the only result. The bulls do themselves a diservice when they dismiss tightening credit and falling asset prices as being a problem in anglo economies imo. The UK economy is truly hanging by a string if the scenes from friday are any indication. Thank god that in this country we have some natural wealth to back our consumption binge of the last 20 years. Well might we say god save the queen because nothing will save the debt ridden pom.