I don’t think we are in recovery just yet, the economy is very weak, and we are just about bouncing along on the bottom.
In the private world
I think that the bigger stronger business are saving their cash and doing what many households are doing, paying off debt to lower their exposure – new investment will wait until they can see a light at the end of the tunnel.
Smaller businesses are either in survival mode or are reducing their debts with any profits they are making. The weakest of businesses out there (if they are still going!) are simply on “life support” from their existing banks , and those banks don’t want to become the scapegoat for pushing them into administration – specially all at the same time!, plus politically, it would not look good right now.
In the public world
The possible next government (Conservatives) have announced that they will be making tens of thousands of state funded workers redundant.
Public sector workers who could be spending are nervous and putting money away in case it is them that are redundant next year.
What strange times we live in. There is a light at the end of the tunnel – honest!
