I’m not a financial expert by any means. But it seems the World saving chancellor has got it wrong. Throwing money at banks and car manufacturers does not seem a solution to the current problems. We are told that banks are very short of money so wont lend it. So if you give them big lumps of money they still wont lend it because its now too risky and they need it to cover their bad debts.

    Car manufacturers why gve them money? Well what are they going to do with it, make more cars which no-one wants to buy, because the banks wont release the money for them to buy it with. Surely the solution lies in enabling people to buy more things. Then more money goes back into business and the banks, so the economy gets moving again.

    So the solution is very simple. Give every householder, who’s income is under £50,000 p.a., a lump sum payment of £1000. Cost to the chancellor £25 Billion (not a lot compared to handouts already given). This will give a real stimulus to the economy. Some people will pay it into the banks, some will use it to help clear there debts, some may buy cars. So by giving money directly to the people who need the money, and spend the money, you help all areas of the economy and the recession is over in a very short time.

    Using the existing strategy it is now estimated the recession will last at least 3 years (this may not be an accurate guess, remember its the same people who thought, give loans to anybody and we will all make lots of money).

    This may seem a crazy solution, but is it any more crazy than what the so called experts are doing. Will it work? Well what’s working so far. Nothing the government have done.