Matt

Bonus tax, deferred awards, Basel 3 etc is pointless until there is some fundamental thinking about how countries want the financial system to work. As it is, we're just tinkering around the edges.

What are the facts that are so clear then? By the way, I dislike all of the main political parties.

I love how Danny is now resorting to the little one-line digs.

Not really I just don't have time to pick through Matts point. Which really isn't a point, more of a rant based on the idea that the Tories have ignored all sound economic advise to put into place a nefarious plan to dismantle this countries public sector at the detriment of the country as a whole....which is of course as ridiculous as it sounds. Like it or not a downgrade would have been a disaster because: A. The countries exchange rate would have been smashed meaning we would have had to pay back much more on our EUR and USD denominated debt B. The rate we borrow at would make interest cost a real burden on future spending Who cares if you can get a bond out if you are paying a 1000+bp spread on it? Of course the accumulated minds of Toontastic have got it right and the government working on the advice of some of the countries finest economists have it all wrong. Clearly a conspiracy against the north *scousetastic* Tories have not ignored sound economic advice, they have acted on one facet of it. You can't claim all the world's top economists say one thing because clearly there is massive division amongst economists themselves. There have been plenty of voices warning not to cut too deep too soon, but you have chosen to ignore the existence of these voices. I assume they received their qualifications after replying to an ad in the back of Razzle and therefore do not meet your standards. Only time will tell whether the course of action is the right one. I don't argue that government was bloated, that those in power were as smarmy and arrogant as the horrible bunch under Major in 1992, that considerable savings can be made across the board and that the UK needs considerable deficit reduction. Labour would have had to accept a retrenchment of state boundaries as part of a natural shift in political and economic reality, just as Cameron had to paint himself as a 'moderate conservative'. I simply don't agree that we should be swinging the axe left right and centre so quickly. The government have decided to act while still in the honeymoon period because it will prove less politically damaging first and foremost. I don't agree with the severity of what they are doing but it is their right as the government to act in this way. However I feel they are being duplicitous and making cuts beyond the levels truly necessary in order to satiate the small state zeal of many party members under the guise of unavoidable budgetary repair. The govt misleading the country is nothing new (the last lot did plenty of it) but I don't think that's any excuse just to accept it at face value. Going to AA would not end the nation, but it is a very serious event and we should be taking all reasonable measures to avoid it. However it should not be used as the ultimate trump card for every government intervention. Investors look at fundamentals as well as the label and will have priced the risks in accordgly already. However you must also recognise that economic growth prospects are as central to the ratings assigned to the UK as deficit repair. If we cut too far and growth is halted, we'll lose on both counts. I wasn't aware that the UK had significant issue in anything other than sterling, but would love to see the composition. And now onto a rant. What annoys me is so much of the country now thinks its OK that we can just slashing at education. It's the one thing that I personally believe should not be messed with. It is more important than any other function of the state. Education is pivotal to economic growth. I reject that it must suffer as everyone else should. BSF was not perfect and it may have been laden with red tape (what large financings, state or private are straightforward?) but the process was improving and ultimately, it delivered new schools which can teach the right skills in a modern environment. This government has accepted that teaching kids in blocks of shoddy prefabs is OK. It's not. Nor is this a northern issue- BSF has already benefited many inner-city Labour heartlands. It is hitting Tory regions and has quite rightly provoked a response from MPs in that area. Now we are likely to see the effective privatisation of university education via an arms-length funding vehicle charging commercial rates. I'm not fussed that the Food Standards Agency has closed. I am more concerned that cameron has barely made a dint on Brown's sizable arseprint in the No 10 hotseat and already we're seeing education under fire and seemingly, a lot of people think that it is OK and hark back to 'their day' when their school was a bit ramshackle and it didn't do them any harm. Well if we want to teach 20-th century skills we'll have a 20th century economy.

Credit ratings are relative. If the best credit in the world is BBB+, then the bidding starts there. It's simple demand and supply. That's why so many fairly dubious corporate credits have managed to get away bonds at skinny pricing- there was simply too much supply of cash and price contracted. A downgrade won't have been pretty, but it would not have been armegeddon. The idea that it's a good thing to heap widespread misery in order to please a bunch on analysts and Moody's, Fitch and S&P suggests the world has gone completely mad. We have to keep things in perspective. Russia got a govt bond away the other week, 1998 seems a long time ago now I guess. Don't forget Labour too was planning cuts. It was indeed inevitable. This is not in question- what is in question is using the economic situation as a trojan horse to go about dismantling the state in line with radical conservative dogma. It's not about saving money, it's about shrinking the state as a whole. I guess when you consider the pre-election rhetoric, which was entirely reasonable, and far more draconian actions since, they really have 'played a blinder'. Great to see Boris scampering over Crossrail as well. It's a brilliant project and a feat of engineering that will revolutionise transport in the capital. But if we're cutting back, then surely we're cutting back.....

Happy birthday!

Yes, we were all clamouring before. Fucking hell.

Bang on Tom, shrewd ownership, low net spend and a fantatic fan base has allowed us to spend. but as man city have shown, big spends dont guarantee success. However I fear they are going to get it together this season. Interesting to see if that can be sustained with the CL on board. We gave lovely big contracts to all of our mian players when we had managed a season in the CL, wages they were still on when we were rattling about on ITV4 on Thursday night against NK Nobodze. Not saying Spurs will do that, but there will be a point where they have to choose to push the boat out or not. They have done well do far on the wage bill up to now. Charging a small fortune for tickets has probably helped. Over a grand now isn't it?

Celebrating with a new flat!

It's birthday season! Have a good un.

Cheers folks!

And exactly what's wrong with those companies profiting anyway- the projects simply wouldn't happen without the funding and commitment of those companies, as the govt would have to take the debt onto their own balance sheets, which it simply couldn't handle. Of course, shelving BSF makes perfect sense when you don't really want any Ss in the F and you would rather it was all in a 'free' (ie private) system.

Happy Birthday old man.

Was awoken by the shout of fellow housemate and Toontastic lackey Mr Fish and swiftly came downstairs to discover some pikey bastards had swiped our TV. We were supposed to be having people round for the game today but that's gone the distance (sorry Meenz) as we have to leave the room untouched waiting for the SOCO who could be any time today. Having spent all day yesterday getting the house looking fit for human consuption and done shuttle runs to asda for food and drink in temperatures akin to Baghdad all ready for one last summer shindig in the current location (moving in 2 weeks ffs), it's absolutely gutting. My main concern is that they can get in and come back for more, so I'm going to get the landlord to change the front door lock and put locks on the room doors. I'd had a cracking few days including securing a new job within the company I work for and was all going swimmingly...

I guess if they bring back 107% there'll be no pit-lane starts for cars who couldn't put a lap down in quali due to mechanical issues, or earlier crash (eg Alsono earlier on this year). Otherwise the slow cars simply wouldn't put in a lap time. I don't see the need to introduce it, the FIA brought in these new teams and now they want to kill them off.

They'll be paying tax for the 50-odd years after the 3 spent at university, you know. The Tories have it in them to ensure top universities become enjoyed only by the wealthy. Increase tuition fees, commercial rates of loans, present 18 year olds with a nice mountain of debt if they want to go to uni. That's right pleb, know your place and get yourself down to the production line.* Hope they prove me wrong. *Have to point out that Labour very nearly did exactly the same thing about 7 years ago.

While the UK simply isn't ready for the 'Free School' concept it looks like we're getting it. There is an element of truth that the worst schools had a disproportionate amount of money lobbed at them and think Labour's approach to education favoured remedial action for the worst cases rather than setting out a target of excellence and helping schools and pupils attain that. Hundreds of thousands (probably millions tbh) was spent on places like Westgate and Blakelaw but the dregs who attended the old schools were the same dregs who turned up at the next ones. Didn't one of them go back to their 'old branding' after a year and went through about 4 headteachers in as many terms? For me the concept will massively help kids who are unucky enough to live in shit areas and have their education and prospects ruined as the one-size-fits-all education system drags everyone down to the lowest common denominator. However at the same time it offers virtually no hope to those unlucky enough to be born to scumbag parents who couldn't give a toss where their kid goes to school as long as it keeps them out of the house. Education should be without doubt the tightest ringfence of all budgets. It is what will ultimately decide the fate of the country's future. However the mooted 'voucher system' (dressed-up privatisation), higher university tuition fees and commercial interest on student loans indicate that it's going to become a rich boy's closed shop again.

Na, it will still be there as although paid upfront, the income is earned next season so will count towards the bottom line. Cash long gone though.

Colo, Smith, Barton and Xisco cost us around £15m a year all-in, so I would say your wages estimate is very optimistic.

Had a pair of Chile 62s for a few years but they're fucked now. Love em. Only ones I've had better was the Folsom.

Banks do hire economists. Loads of em.

And todays theme is university education, now a 'drain on the taxpayer'. Worrying noises- I'll be interested to see what the final outcome is. Bullingdon ringfenced though.

I'm glad Northern Rock and B&B closed down their "casino" divisions, doing crazy things like mortgages and these exotic "ISA" things. The harsh reality is that bog-standard lending to Joe Bloggs did as much damage than anything- hence B&B and NR being fully nationalised. However, it's much easier to scare the public with tales of mind-boggling complexities and blaming it all on derivatives. The guy who wrote that article would simply have found himself with a lump of liabilities and no way to trade his way out of it. It really sells short the real problem underlying the whole economic situation. No-one can call it the 'crisis of 2008' because it has been in full swing well before that and some would say it's been coming since Bretton Woods. This was as much a liquidity crisis as a credit crisis- some banks relied too heavily on short-term funding and when that dried up, the business model withered. The credit losses may have finished others off, but it would not have caused imminent widespread collapse, this has been bourne out. The government provided this liquidity through QE which may not have stopped the crash, but at least acted to contain the impact. The idea of forcing banks to firesale assets is insane. With a collapsed banking system, UK investors would be in no state to buy those assets and we'd simply have sold what UK plc was owed for a fraction of its value to a delighted sovereign wealth fund. Sadly the view that this is a recent crisis that was spawned becuase banks collapsed (when of course, banks collapsed becuase they were lending beyond economic reality). Banks may or may not have collapsed, may have wobbled, may have survived unscathed- it would not have altered the underlying economic condition. Normally in crises, corporates wobble first, which then puts pressure on the banks. In the period from the early 90s to 08, banks levered theselves so that they were now closest to the sun when things turned sour, which then had an impact on corporates. Unsustainable growth will cause pain when it judders to a halt. Labour's economic crime was not in 2008, it was in the years before which further deregualted the financial sector and held it up to the world as a beacon of growth.

The Canadian model put 10 onto the average class size to 35- are we to increase ours to 40? There's a good article that looks at how realistic this aim really is: http://news.bbc.co.uk/1/hi/business/10254055.stm This whole 'following a model' thing sounds familiar. But will it be the Arsenal, Aston Villa or Wolves model next?

Make sure you've got safesearch on though.