McFall in response to the news that personal debt has fallen for the first time since records began in 1993, down to £1.457 trillion, said:
“People naturally feel under pressure, they want to feel a little bit safe, there is a natural tendency there.”Why is he making this out to be a bad thing? I really don't get it. What's good for individuals to have excessive access to credit that isn't actually theirs? This is precisely the reason that we got into the economic mess. The attitudes of spend spend spend has become so engrained in people and our society that the way we now measure the success of the markets is by how much debt people are in. Absolutely insane. We wouldn't say a business was doing well if it was in a lot of debt, quite the opposite in fact. So why is it any different for individuals?
This type of response to a reduction of consumer debt actually shows that we are far from moving on from the type of consumer driven attitudes and culture that lead to the economic crisis. I personally, would want people to see the reduction as a good thing for the economy, and good news for the hope that we may move away from the "what I buy is what I am" attitude.