UK Economy No Longer In ‘Lucky Years’ -- Report
There have been concerns about the state of the economy in many of the countries in Europe. A new report compares what it was like for the previous generation to make a living in the U.K. with that of the current generation that is struggling with lack of sufficient job opportunities and low wage growth.
According to a report by Bloomberg, the U.K. is no longer in its "lucky years." The report cites the example of a man who was hired in a retail store at the age of 16 and through his hard work reached to a management position. The man is reportedly now retired, drawing a pension that is more than his final salary.
The retired man, Steve Fryer, is said to be the owner of two houses and has reportedly paid off his mortgage on his house. Mr. Fryer has three daughters and he is helping his last daughter with buying a property. Mr. Fryer reportedly said that his achievements were because of his hard work but more importantly because he worked during the "lucky years" of the U.K. economy.
Mr. Fryer was pessimistic about what the future may hold for the younger generation. According to the report, this was one of the many cases across UK where people feel that the economy has not improved to great extent since the recession of 2008.
According to the report, real weekly earnings have dropped by 10.3 percent, after adjusting for inflation, from 2008 to 2014. The economic situation in the U.K. is expected to have an impact in the general elections of the country that is set to take place on May 7.
According to a report by Reuters, growth in the service sector of U.K.'s economy has slowed down in Dec 2014. According to the report a survey shows that a bulk of the economy's private sector has witnessed a slowdown in new orders and this has resulted in reduced employment opportunities.
According to the report, another survey by the Bank of England shows that there may not be a strong rise in loans taken by the corporate sector. The corporate sector is reportedly expecting the economic situation of U.K. to decline further in the near future.
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