Finally the price of Diesel fell to under the £1 barrier, that means that in the last year after the price risen by around 30%, but also fallen by the same amount. If the way the financial crisis is playing out then there might be some considerable fall still in the cost of a tank of fuel. Forget the empty gesture of the government reducing VAT by 2.5%, the general fall in the value of everything seems to be making a far bigger impact.
However is the drop in prices only occurring because people can’t actually afford to buy anything, has the economy stalled? What does it mean for the many people employed in the retail industry. Today Woolworth started there closing down sale, amidst claims from shoppers that the prices just weren’t cheap enough! Well these shoppers have obviously forgotten that the staff of wooly’s will probably be served there P45’s ready for Christmas, but I guess the bottom line for the cash strapped public is bargains, bargains, bargains. Was it that Woolworth’s just couldn’t compete with stores like Tesco Extra and other major supermarket chains, that basically sell what Woolworth’s and the rest of the high street shops do, but also sell all your food and clothing needs under one roof. Meaning that there is no need for a high street anymore.
Compounded by the credit crunch, is this a pattern that we should start to get used to, as the whole economy falls like a house of cards, first the banks, which have been rescued by the government for now, then business like the motor industry, retail, as each industry fails one after the other, where will it leave us? Has Capitalism Failed us? Will we be left with three supermarket chains?
Anyway for now I am relishing the sub £1 a litre fuel prices, despite the fact that there is a distinct lack of work about in a Snowdonia.