Ben Chu is The Independent's economics editor. Previously he was the newspaper's chief leader writer. He is the author of 'Chinese Whispers: Why everything you've heard about China is wrong' (2013). Follow him on Twitter: @BenChu_. Contact him on email via firstname.lastname@example.org
Pessimists wonder how sustainable this is. They fret that the recovery has a glass jaw and that an increase in interest rates by the Bank of England could expose some over-stretched households and deliver a lethal blow to wider confidence.
The practical difference between an “LTIP” award and an annual bonus has eroded considerably. To get the full benefit from an annual bonus a banker would have to wait 3.5 years. For an LTIP the waiting period is 5 years.
On a rough estimate, the UK needs an additional 250,000 new homes each year to meet rising demand, as the population grows and more people choose to live alone. That works out as around 62,500 a quarter. Yet we’re still well short of that target.
London, which accounted for 22 per cent of output in 2008, contributed just 1 per cent of the total decline of GVA over the four years to 2012. Yorkshire & Humber, by contrast, accounted for just 7 per cent of output in 2008, but contributed 16 per cent to the overall decline.