I really do find some of the economic news difficult to follow. Let's look at the two big issues in the headlines today. Firstly, there's the cut in Base Rates to their lowest level ever. I cannot see what difference this will make, while the banks resist bringing down the cost at which they lend to business. The banks remain determined to rebuild their balance sheets - and you really can't blame them. They are doing what they have not done for years - running their businesses responsibly. All the Base Rate cut is going to do is turn the screw on savers ever tighter, hitting people who were behaving responsibly when bankers and their like were stuffing their pockets with massive bonuses. And now I'm watching this MPC member on Newsnight calling on the Government to start printing money - which he calls 'Quantitative Easing'. I need to properly understand the difference between this new strangely named activity and what's been happening in Zimbabwe.
And then there's the loss of jobs at Nissan in Sunderland. Nothing much to do with Wales you'd think - but my interest always perks up when I hear my old acquaintance, Professor Garel Rees on the radio. He was incredibly gloomy today. No pick up in the motor industry until 2011, and not properly recovered until 2014. The 1,200 jobs at Nissan will mean thousands more at component supply businesses like Stadco Powys, where 106 jobs are programmed to go in April. And this is nothing to do with access to money. Its just that the market (which is mainly in Europe) has evaporated. And its going to get worse. Nissan are not going to sell many of the £107,000 sports car launched by the company in Japan today. But its chances of becoming a best seller are probably rather better than the likelihood of the Chancellor's prediction that the UK will exit recession by July will be achieved.