The I.M.F. has a good suggestion for Britain : to inject some capital into infrastructure projects. That would of course create or maintain lots of jobs, as well as upgrading the infrastructure.
There may be a good argument to bring forward the house-building at the racecourses, refurbishing houses in the deserted towns in the regions, and perhaps assisting people to move away from the main areas and into these new areas, which could create a lot of economic activity as well as giving people better housing, jobs (in a new town you would need doctors, nurses, cinema ushers, porters, teachers, traffic wardens, salespeople, double-glazing companies, solar panel engineers, builders, drivers, electricians).
The shale cracking or fracking industry could be a viable alternative, once safety concerns have been ascertained, creating jobs, lowering energy bills, making Britain an affordable place to live in, and attracting more people to consider making Britain their home if they are suitably qualified to add to the economic life here.
The lending requirements in the housing sector are of the order of a £100 billion, and yet Bank of England Guvnor Sir Merwyn King is only backed by 2 of the 9 MPC members for an additional stimulus of £25 billion. The other seven would probably like to keep Austerity measures, the snake that is squeezing life out of the European economies. As the IMF has suggested, growth would be the alternative, and a stimulus is the required cash flow mechanism that must be utilized. The U.S. quantitative easing policy has shown that it is a practical way to come out of recession, and both the U.S. and Britain are blessed in this regard in that they can issue their own legal tender. The MPC board members can hopefully see the sense of it, and give Sir Merwyn the vote to issue a further stimulus before he retires. It will be a blessing to the nation, and in time for the royal birth in June.
What should we have instead of Austerity? Well, of course, a jamboree and a celebration would be good, which will help people satisfy their reasonable demands of a growing prosperity. The quicker it is put in place, the earlier the cycle of wealth creation can continue, which in turn will bring money to address the deficit, and the only really practical way of growth. Can you imagine a shop-keeper without cash flow? Nor should the MPC board members see Britain in such a light.