GDP figures fail ‘feel good factor’ test

The latest GDP figures show an economy that is fragile in the extreme, said UNISON the UK’s largest union today.  The union is warning that for the vast majority of people the small amount of economic growth fails the feel good factor test.

Dave Prentis, General Secretary of UNISON said:

“Today’s figures fail the feel good factor test.  In reality they make no tangible difference to families still struggling on wages that are failing to keep pace with inflation.

“If George Osborne is so sure that the figures are a ‘boost for the economic security of hard-working people’ why doesn’t he raise the cap on public sector pay and give a real boost to workers including millions of nurses, paramedics, social workers and home carers?

“Instead, one of the first announcements the Chancellor made in New Year was for more drastic government cuts and that means more pain to come for millions of workers. 

“Behind this economic growth is a property boom in London and the south east which is ultimately pricing new buyers out of the market and raising rents.  Elsewhere across the country there is a very different picture.

“There is also an increase in consumer spending which is largely based on credit card debt as wages have failed to keep up with inflation. This is not the basis for a long term, sustainable economic strategy.”