The unemployment rate has risen again, another 49,000 people are out of work, this now almost 2.5 million, a rate of 7.9%, but more worrying is youth unemployment has risen to 951,000 or 20.3%, the problem is that unemployment is up, employment is down and economic activity is too slow to generate enough jobs to reverse this trend.
Under Labour's job schemes 850,000 people were helped to find work or training, these schemes has been scrapped under this government and replaced with a government's new "work programme" this will actually help fewer people than the existing schemes that ministers are scrapping they expect 605,000 people to go through the scheme 2011-12 and 565,000 in 2012-13. At a time when unemployment is rising, this government is cutting back help to those who needs it.
At the same time of unemployment and no growth we are seeing higher inflation, today we saw inflation RPI 5.1% or CPI 4%, this due to the VAT increase, weakness of sterling and higher commodity prices. This at a time when the economy shrank by 0.5%.
Private sector pay is increasing at 1.9%.
What is interesting the Office for National Statistics says petrol is £1.27 a litre, but in Shepton it is a penny more expensive.
In terms of growth the American growth rate was .8%, the Germans .4%, the french .3% and the British economy shrank by .5%.
This series of economic data shows the rest of the world growing, whilst Britain falls back, unemployment rising faster than first thought, with inadequate government action.
If this trend continues, world commodity prices are likely to remain high, with concern of middle east unrest, euro zone uncertainty, with Ireland, Greece, Portugal, Spain and even Belgium likely to be hit by economic woes, countries like America and China that are growing economies; consuming more forcing prices up.
With Inflation moving increasingly higher, the Bank of England will have to rise interest rates, this will further choke of growth and cause pressure on property prices downwards.
With the weakening of the economy sterling will further decrease, this downward spiral, living standards will be further undermined.
And all this before the Austerity cuts are enacted, these cuts as Ken Clarke said people are unaware how deep they will be.
So higher inflation, higher taxes, lower pay rises and stagnent economy, not a pretty picture this is Plan A.