A quarter of all British families will have no disposable income in 2009

[balantz]

Consumer cash crisis turns the screw on the high street

By Mark Leftly
Sunday, 4 January 2009

http://www.independent.co.uk/news/business/news/consumer-cash-crisis-turns-the-screw-on-the-high-street-1223894.html


A quarter of all British families will have no disposable income in 2009, dealing yet another blow to the beleaguered retail sector.


In November, a survey by Nielsen, the market research firm, and trade body the British Retail Consortium (BRC) found that 21 per cent of families had no spare cash left after essential living expenses. However, sector insiders expect this to grow to at least 25 per cent by the spring.

A PricewaterhouseCoopers (PwC) survey last week showed that six in 10 people believe they will have less disposable income in 2009 than they had last year. Those in the lower socio-economic DE classifications were particularly gloomy, with nearly 70 per cent convinced they would have less money to spend on the high street.

Stephen Robertson, director-general at the BRC, said: "A fifth of all families had nothing left to spend and I think that will get worse during 2009."

A leading retail figure predicted that the next Nielsen/BRC survey, due in May, will show at least 25 per cent of families lacking the cash needed for minor luxuries.

Andy Garbutt, director of retail at PwC, added: "The increase in unemployment and the falling level of bo-nuses mean it would be no surprise that about a quarter of families would not have disposable income."

-snip-

[Double T]

1. Got to hand it to the Brits; at least THEY don't candy coat the bad news.

In the USA we'd never get the straight real numbers about anything. Remember when the 'Great Communicator' Ronnie
told US that there was no such thing as a homeless person in America.

[RaleighNCDUer]

6. That depends on when St Ronnie said it -

at the beginning of his term (very nearly true) or the end of his 8 horrific years (decidedly untrue).

Emptying the mental hospitals by Reagan virtually created the homeless problem, and we've been saddled with it ever since.

[LeftishBrit]

8. Similar policies in Britain (ironically termed 'care in the community')

contributed significantly to our own problems of homelessness.

[geckosfeet]

2. Why is it that they frame this as a "blow to the beleaguered retail sector"?

Has everyone lost sight of the family unit? The millions upon millions of homes and households that are the fundamental building blocks in contemporary social structures?

Give them decent jobs. Make sure that they have food, housing and health services. Protect their interests with effective regulation of financial services. Make sure that Wall Street leeches, parasite mortgage companies, crooked investment houses and the like don't suck their life blood.

The family unit will buoy the "beleaguered retail sector", as well as the rest of the economy.

Pumping billions into Wall Street firms is wrongheaded in so many ways.

[jwirr]

3. I think I know what "disposable income" is but enlighten me?

[soothsayer]

4. money left over after you pay all your essentials. fun money.

that you can buy stuff with. stuff you want but don't absolutely need.

[jwirr]

5. That is what I thought. I am one of the ones with none. However, I am

surviving.

[RaleighNCDUer]

7. The $20/mo I spend on used DVDs every month.

If I have it.

[Viva_Daddy]

9. Thanks Maggi Thacher and Ronnie Reagun

It is the "conservative" policies promoted by these two that have lead America and Britain to this end.