Inflation is up, car production is down and living standards are now declining. It is a measure of the government's failure that the scrappage scheme has lifted car production in December, bringing forward future sales. Car production rebounded by 15.7% in the second half of the year and commercial vehicle output rose 15.6% in December. After the fall in sterling and the savage decline in production, it would be astonishing if there was no rebound to a level of growth.
One bright spot on the horizon is the debate about banking reform begins to steer away from peremptory and savage regulation undertaken for populist support by the Americans. A moronic hitch on the Obama bandwagon was soon abandoned by the Conservatives after they realised the level of economic damage attached to the proposal. Whilst politicians cluck in public about the need for international agreement, the inaction of the G20 is becoming a useful figleaf to lever regulatory arbitrage for Britain's advantage. Such profitable opportunities would only be enhanced if we took a semi-detached view of the EU.