Gordon Brown Mistakes

Gordon Brown admitted today that he made a mistake over the boom and bust statement and then dismisses it with "Politicians make mistakes" as if his mistakes don't matter. I guess he says the same about selling the countries Gold on the cheap or being the catalyst to the demise of UK pensions. Well I think he and many other leaders are about to make even more mistakes. The problem that I see and that we experience is that our major expenses in order are Food, Council Tax, Petrol, Energy Bills - all of which are unavoidable. Forget about CPI and RPI, what we need is EPI Essentials Price Index i.e. take a basket of things people can't avoid and leave out the discriminative spending. An EPI index would be what effected most people especially the retired and those on low income. I am sure the EPI we have experienced over the last 12 months is way higher than CPI and RPI. I also don't see the high cost of essentials going away. Okay Oil has peak at around $140-$150 a barrel and is now back down to around $50, but its not going to drop to zero and inflation is still over twice the 2% target. Food remains stubbornly high. Okay we may see deflation in a lot of goods but I don't see it happening to food. I also don't see it happening to Oil now it has dropped back to around pre credit crunch levels. Energy will follow Oil and Council Tax is headed only one way - up.