Saturday, November 22, 2008

Light at the end of the tunnel fading.

Just when we thought there might be light at the end of the tunnel things change. Food costs seemed to have stabilised, Fuel seems to be coming back to pre-crunch levels and indications are that Energy costs would come down as well. First Mervyn King rocks the boat by cutting interest rates and making statements about possibility of zero interest rates, thus removing interest payments which are an essential part of this Families budget. Now The government is to shuffle the pack with Tax changes. I am not looking forward to Monday's announcement as I suspect that we will not gain anything in the short term and get hit by tax hikes in the medium term.

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