"To send out the best possible message, about long-term inflation and about stability and to be fair to public sector workers, one way forward is a move towards long-term public sector pay settlements.
"It means as people face mortgage bills and utility prices they know exactly what their income is likely to be.
Quite. As we slip into recession and interest rates inevitably start to head back up and financial institutions fend of the effects of a credit crunch by failing to pass on rate cuts, and foreign energy companies (aided and abetted by the Govt's failure to ensure key strategic industries remain in UK hands) will use the UK population as a cash cow and council taxes continue their inexorable upward trend against the trend of public service provision, Gordon's plans will at least mean that people will have transparency.
They will be able to guarantee that for the next 3 years they are likely to have less money and face the possibility of things only getting worse. But at least they will be able to see that coming for the next 3 years ahead. So that must be alright then.
