People are beginning to realise - at long, long, last - that Gordon Brown was not a sound Chancellor but a hopeless, incompetent, tax-and-waster, and that, against some pretty stiff opposition, he has now shown himself to be the worst Prime Minister since the war. Roll on the general election!

Colin, Manchester,

Mervyn has got his new 5 year contract and he knows that Gordon is a dead duck, so Mervyn will do what he is paid to do and what HE wants to do - which is nothing. He has no wiggle room and with inflation due to double his parameters over the next 12 months, Base rates will still be at 5% at Xmas.

Alan Gooch, Honiton,

How can an American have a realistic view of anything else in the world. 99% never leave the country, elections are like travelling circuses and are money based (no substance). They think they are the police of the world when in fact they dictate and create more problems than they ever solve.

malachy, Newton Abbot, uk

Clive Stringer
"The seeds of our financial problems were planted by Thatcher and tended by Brown"

Oh Yes. Of course, I forgot that pre-Thatcher this country was in a marvellous condition - financial and industrial. That's why she was elected, I suppose.

Steve, Birmingham,

Funny how some people insist on linking economic problems with other issues that have practically nothing to do with them. And as far as leaders go, presidents/pm's get far too much credit when things go well and too much blame when they don't.

gb, Austin, USA

I fail to see how the Government could have regulated against the greed and poor business practices of the financil sector.
After all they were not doing anything illegal by buying subprime (NINA) loans from the US.
Brainless and short sighted maybe but illegal, No.

Howard Leech, Gdansk, POland.

The problem is this: As Europeans, like Germany,France, Italy and now the UK trend toward a more conservative style of government, America - in swinging left to the Democrat Party - are seeking to replace conservative government with the nostrums of the Nanny State that have failed Europe. No Win!

peter, miami, usa

Changing the leader might not fix the problems, but it gets rid of Brown.

Mike, Sydney,

Forget the effects; think about the causes of the present economic problems. They are geo-political: (1) very wealthy countries opposed to the US and its allies adventures in Iraq and Afghanistan have withdraw funds from money-markets (2) and are buying oil & other futures contracts mischievously.

Carl Marks, Gibraltar, EU

"UK juddering down a rockier policy path than the US"

Are we? The last time I checked the US was hundreds of billions of dollars in debt to the far east in order to pay for the Iraq war. We may not quite be balancing the books but it's nowhere that bad!

Owen, London, UK

It is worth having a depression in order to get rid of this discredited government, which should have saved resources for the hard times rather than spending them for little return.

William , London,

Why is a 25% fall in houseprices "Devastating" ? Aside from the feedbad factor for those in negative equity ?

Also, as he can't tax any more, the answer seems to be to reduce public spending to reduce the deficit,and reduce borrowing and to help inflation by reducing money supply that way.

Roarke, Wembley, UK

Ask your parents what the 70's were like, you'll be in a similar circumstance soon.
Obama and Cameron are not Reagon and Thatcher, so dobnt expect a fix anytime soon.

Dominic, Manchester, UK

GORDO has done what every Labour government has ALWAYS done. Tax everything and spend everything (on failed IT schemes, social engineering & Ministerial initiatives.
They want our money to spend (waste).
Now there is nothing left except a declining pound and property prices and unemployment

David Nammory, Liverpool,

The UK has struggled to meet the governments proposed build plans for new homes for many years. Most national housebuilders have moth-balled new sites, and with a continued influx of migrant workers from EU member states demand will remain for housing, albeit leasehold. It isn't all gloomy!

Darren Stacey, Cheltenham,

So long as "Great" Britain maintains its island mentality by refusing to be a fully paid up member of the European Union by joining the single currency, it will sink into economic decline. It is a choice between the long term benefit of the people or the selfish interests of the City

peter fieldman, paris , france

Recent events show Chancellor Brown's boasts of prudence and stability as unfounded. Now he's PM there's nowhere to hide from the fallout from years of mismanagement, and no strong personalities to divert attention from the Blair legacy of state control, illegal wars and sleaze. Labour are finished.

Dave Hall, Stafford, UK

I have followed the "Peak Oil" websites since 2003. Many have predicted that peaking global oil production would cause global oil prices to escalate beyond anyone's wildest dreams, signalling the end of the "continuous growth" economic model and a collapse of the banking system.

RobertT, Watford,

'The UK deficit is closer to 3%'. Whose responsibility is this?

Maureen Dodds, Vibrac, France

The end is in sight, but the dollar is still the reserve currency of the world -the US is freer to print money without sending the greenback into freefall.
The UK doesnt have this advantage - if it cuts rates sharply the wholesale dumping of sterling would bring on a catastrophic currency crisis

rick, sydney,

There is an easy place to get some funds for easing of the petrol tax . Re-implement the rebate from the EU. A billion pounds could be useful for lowering tax on petrol. Low income people contribute to VAT, that goes to Brussels. The money could also be used to increase tax thresholds.

Hugo van Randwyck, London, UK

Good point about Gordon Brown not making any difference. However, the one thing the US and UK have in common is unsustainable consumer debt represented by record trading deficits. To correct this we have to cut consumption - not stimulate it with interest rate cuts.

Stephen Marchant, Broadhempston, UK

.... Government can do it's bit by slashing public spending and easing the tax burden to wealth creating enterprise and ordinary workers. The BoE should be left to target inflation, otherwise capital will flee these shores - the UK declining to a polarised authoritarian society (Police State!).

Stephen Marchant, Broadhempston, UK

The USA is its own master, while the UK was hugely constrained by the EU in its freedom to act to prevent catastrophe. We are wedded to absurd climate change obligations, eagerly endorsed by the Tories!
Brown and Cameron are little more than Punch & Judy puppets on an EU stage.

Harlan Leyside, Basildon, England

There's another similarity, the solution to the 10p tax rate fiasco is to throw money at the British consumer. Exactly what's happening in the US right now. It's just that the British giveaway is unplanned, less affordable and (as always) in micro.

Fred Keeling, Almunecar, Spain

What about the supply squeeze in the UK where new builds do not keep up with increasing immigrant population? USA has cheaper land and huge over supply of housing. Neither were UK loans given so carelessly as in USA. Brown's socialist control personality is THE major problem.

charles, London,

Like all the highly paid experts I am not to sure about the economics but I am sure that it will take more than a change of leadership to put Britain back in credit. The seeds of our financial problems were planted by Thatcher and tended by Brown, Who now will reap the harvest? The poor I suspect.

Clive Stringer, Eggesford, England

Strategic planning by government must be abysmal! Gordon Brown promised us there would be no more economic cycles. Did he sell our gold reserves at a knock-down prices? What has happened to North Sea oil profits? Why are UK fuel prices so high. Why weren't we warned in July 2007?

Brian Lewis, Manila, Philippines

Bernanke is something of a fool, mimicking Greenspan, who's prior actions were the very cause of our current problems.

The last thing we need is a weak central bank pursuing that discredited course.

The MPC must hold firm, and we must take out medicine. The alternative path leads to disaster.

Toby R, London,

Why does the media nearly always compares the UK to the USA? How do we compare to our neighbours in Europe?

Romans Seja, Billesdon, UK

Bear in mind that if interest rates were cut to low inflation would boost. Therefore they are walking on double edged razor.

If rates drop inflations sores; and if they don't do anything the economy will take ages to recover.

Alvaro, London,

When you are in a life raft who gives a monkey about global inflation. We are seeing the wholesale destruction of the financial services market. BofE needs to cut rates to 2% or this recession will last 10 times as long. Bernanke understood how to tweak it so why didn't King?

Will, Lincoln, UK

That's true, but we might now get our promised referendum

john, worthing,

The UK is now living off hope! Perhaps it is time for some soul searching as to how we all got in this mess. And perhaps we can stop lecturing others either in Europe or around the world as to how "great" we are and start listening to, and learning from, others!!

Richard, Plymouth,