Are We in a Wage Price Spirale?

Throughout the 1960s and 1970s, the United Kingdom was sometimes characterised as the 'sickman of Europe' due to industrial strife and poor economic performance compared to other European countries.

Today, inflation is once again rising and growth is forecast to slow considerably and economists predict that the UK could suffer a greater hit to living standards next year than any other major European country.

BBC economics correspondent Dharshini David asks just how hard the times ahead will be and how might we find a cure to avoid the mantle of 'sick man of Europe' once more?

Producer: Caroline Bayley Editor: Richard Fenton - Smith Sound Engineer: Rod Farquhar Production Coordinators: Maria Ogundele and Helena Warwick-Cross