The Double Dip

Christmas was bad for retail. Yes the supermarkets saw a few percent rise - but this reflected that much of their competition was wiped out in 2009. They should have seen a 20% rise.

There was a lull in December leading to some weird statistics but now the Second Recession is about to start. Here are reasons why it could be worse than the first :

1. QE : 200 Billion. Result : short term bubble to hide the true recession. Then huge inflation and value of all our money goes down. So our savings are worth less and our spending power is reduced with all the knock ons.

2. Companies have waited the full year of 2009 before taking action on job cuts. The next wave of job cuts is about to start - Cadburys is just the tip of the iceberg.

3. Tax rises and Government Cut. At least 100K people will be out of work by end of 2010 from these cuts. Councils and Government are planning massive cuts.

All these things will lead to many small businesses going under.

The National Debt is also looming.....