A number of senior financial analysts including Howard Archer, the chief UK and European economist for IHS Global Insight, and Adrian Coles, the director-general of the BSA, have suggested that the housing market is likely to remain downbeat for the rest of this year and 2011. In the Guardian Mr Archer stated that he expects house prices to drop 3% this year and a further 5% in the next year. If prices drop as economists predict, a lot of people will discover that their financial investments bought at the height of the bubble are more of a burden, than an asset.

So what exactly is going wrong with the housing market? Well firstly consumer confidence is at an all-time low. A harsh recession, rising inflationary prices and the spectre of lay-offs and redundancies, together with a climate of public sector cuts and a massive government spending review has knocked the wind out of most consumers’ sails. When people are financial scared they tend to hoard, rather than spend, hence the hefty rise in gold and silver prices over the last two years.

The dearth of willing house-buyers and the abundance of sellers looking to get out at the right time has temporarily created an imbalance within the housing supply and demand chain. As desperation and insecurity within the market increases, sellers start lowering prices in the hope that properties shift quicker. Ideally this would create a buyers’ market, but unfortunately due to the financial crisis banks and mortgage lenders have been reluctant to lend and grant mortgages, the lack of which has only helped to increase consumer instability within the market.

With prices previously reaching anywhere from 5-10 times the amount of the average persons salary, clearly something had to be done about the unsustainable and spiralling costs of housing in the UK. The principle of allowing the free market to run riot with house prices is clearly an unsuitable model for Britain’s homeowners and prospective buyers. With prices predicted to drop over the next year or two it seems that the best plan for getting on the first step of the ladder is too stick your cash back into that instant access savings account for a little while longer. Unfortunately, for sellers things are a little bit trickier, looks like you’ll all have to hold on to that nest egg for a little while, at least until the market bounces …

However, in recent years things have started to change. Within the last decade the notion of a commercially viable greener, more environmentally friendly car or van, has started to gain ground within the industry. As country’s look to reduce their dependency on oil and foreign powers, governments are increasingly looking towards and promoting greener technologies.

The only real opposing factor to greener vehicles has always been due to commercial reasons. As soon as a large enough proven market opens up, retailers and manufacturers are more than willing to change their established habits. Governments often offer subsidies to initiate commercial shifts, and in-fact most of the major country’s producing cars and vans have already started offering manufacturer and consumer tax-breaks, in order to help boost the burgeoning industry.

But manufacturing an environmentally friendly car or van for sale is just the first part of creating a greener auto-industry. The real challenge with making the sector more eco-friendly involves reducing the CO2 footprint created during the manufacturing process. In a step towards a carbon neutral industry, Volkswagen, Europe’s largest manufacturer of cars and vans, is stepping up to the challenge by investing $1bn into the creation of a new zero carbon factory in Chattanooga, Tennessee.

The new 6,000-acre property will produce over 150,000 cars and vans a year. The company boasts that the factory will support 2,000 jobs and a further 9,500 more. A number of important environmentally friendly systems have also been installed within the factory including a water reclamation system, a new eco-friendly painting method and a pledge to plant trees throughout the site. The plant is due to start production in 2011.

Four days ago the annual monsoon rains began to fall in northern Pakistan. Unfortunately, for the country and the inhabitants of its northern province a record 312mm of rain fell in a single 36hour period. The amount of rainfall recorded would normally be witnessed throughout an entire month during the monsoon season, but this year within a day and a half the city of Peshawar was inundated with water, causing the worst floods for 80 years.

Aid workers and charity organizations estimate that up to 2.5m people have been affected by the torrential downpour. Over 1,100 people are already believed to have lost their lives during the Pakistan floods as bridges, roads and house were swept away by surging torrents and out of control currents. Large parts of the Khyber-Pakhtoonkhwa province in northern Pakistan are virtually unreachable, a massive relief effort led by the army has so far managed to rescue 28,000 people, but it is feared that another 30,000 are still cut off by the floods.

A number of UK based charities have already swung into action across the worst hit areas of Pakistan. Oxfam the international agency has launched a rapid relief effort which intends to provide fresh water, sanitation kits and hygiene supplies to over 400,000 people. To donate to the Pakistan Flood appeal through Oxfam follow the link.

According to the BBC last minute package deals across the Mediterranean are being cut by up to a third. A standard last minute deal to Crete is now roughly 29% less and holidays to Turkey almost 24% cheaper. With the prices dropping across Europe, more and more Brits are reconsidering taking that all important summer break. According to the BBC poll short-haul holidaymakers were most likely to head to Turkey, Greece, Egypt, the Canary and Balearic Islands and mainland Spain.

The good news is that tour operators are not the only ones to benefit from the increase in tourism. With cheaper holidays across the continent and a strengthening pound, Brits are now able to spend that little bit extra on the hols which helps to boost car hire firms, hotels, local businesses, bars and restaurants. According to John McEwan of the travel company Abta “With prices having fallen in the eurozone and an improved exchange rate on last year, holidaymakers will get a pleasant surprise when they arrive in resort and head for local restaurants and bars.”

The resurging European economy is a welcome site for holiday companies and those who operate within the continents tourism trade. A number of events earlier in the year including, financial problems, the collapse of the Greek economy, Channel Tunnel problems, aviation disputes and the eruptions of Mt Eyjafjallajökull created a great deal of chaos, but fortunately it looks like the tourism trade is again back on its feet.

After winning the award for 2010 World Car of the Year Prof Dr Martin Winterkorn, Chairman for VW, stated “After the great triumph of the Golf last year, we are delighted to repeat this success with the new Polo. These automobiles have reaped numerous awards, winning well-nigh every prize the automotive industry has to award. This shows that Volkswagen is on the right track and is offering arguably the best range of products in its history.”

Volkswagen certainly appears to be pushing ahead with an expansive and impressive business plan. The company was virtually the only major car and vans manufacturer to have survived through the recession unscathed, in recent months Volkswagen has capitalised on this and announced a major investment plan which will see the company pump billions into the Asian market, in an attempt to displace Toyota as the world’s no1 automotive manufacturer.

As well as going for the manufacturer’s crown, Volkswagen is also stepping up its second hand car and used vans operations throughout Europe. In a recent statement the company announced its intention to boost its overall market share in the UK by 50%, from 10% to 15% within 5 years. The ambitious plan is just another aspect of Volkswagen’s growing dominance within the auto industry. Hold on to steering wheel folks and prepare to kneel at the wheel-arches of the the people’s car: The King of Autos…

The only silver lining of such measures will be felt within the private sector; individual transport and car hire firms may well receive a boost in business in the coming months due to rail and air strikes, but all in all it’s going to be a bumpy ride for anyone embarking upon a summer holiday this year. Already car rental firms are seeing a significant boost in sales due to proposed rail strikes in Greece, Italy and Spain. In the past few months rentals have also increased due to a number of cabin crew and air traffic control strikes across the continent.

Unfortunately, it looks like these occurrences will become more common as Europe’s austerity drive gets into full swing. In Spain, Madrid Metro workers have just finished a four day strike that caused chaos and gridlock for the nation’s capital. In Greece public outcry continues to grow apace, a number of rail strikes have already occurred and more are likely to follow. In Italy, ferries and airport workers are also due to go on strike as of today. All we need now is for the French to blockade Calais and the UK will be well and truly in trouble…

The sheer scope of the disruption is almost indescribable. Economists estimate that the loss to tourism could cost the continent billions. If you are intending on travelling on public transport this summer then be prepared to arrange alternative transportation arrangements, due to the strikes. Making new arrangements can also be problematic; car hire in Spain often sells out quickly due to the demand, holidaymakers are advised to keep up to date with the latest news and to book early if possible to avoid delays.

Part of Britain’s touristic charm is its heritage, its numerous historical locations and its quaintness. There are thousands of such spots scattered up and down the country, from the Lake District to the coasts of Cornwall. But of course a visit to the UK wouldn’t be complete without a trip to old Londinium. It may not be the cleanest, or the prettiest of cities, but every nook and cranny is filled with life, culture and historical significance.

Travellers to our great capital are probably not given the best first impression of the city, as most flights to London land in the concrete shiny hellholes of Heathrow, Gatwick and Stanstead, but do not be disheartened because there is a lot more to London than meets the eye; here are three locations you really should take the time to visit.

Shakespeare’s Globe Theatre

Built in 1599 at the height of the Elizabethan Golden Age, the Globe Theatre is a must see for any visiting tourist. The theatre is of course associated with William Shakespeare, perhaps the world’s greatest playwright, and during its short lived history the theatre became a focal point for entertainment in London. The theatre burnt down and was even dismantled before it was finally closed and pulled down by Puritans in 1644. The renamed ‘Shakespeare’s Globe’ was reopened in 1996 after being faithfully reconstructed using historical and archaeological data. Plays are held regularly during the month of May-October and during the remainder of the year the building is used for educational purposes.

The Royal Botanic Gardens at Kew

Established in 1759 by Lord Capel John of Tewkesbury, Kew Gardens has overtime expanded from a simple exotic garden to a UNESCO World Heritage Site containing the world’s largest collection of living plants. Over 650 scientists are now resident at Kew conducting research and looking after 30,000 different types of flora. The herbarium at Kew contains over 7 million preserved plant specimens and the expansive library contains more than 750,000 volumes, including 175,000 illustrated prints and drawings. As well as the beautiful gardens you will also find a selection of museums, contemporary features and unique historical buildings such as the Great Pagoda and the Palm House, the largest surviving Victorian greenhouse.

The British Museum

The British Museum is clearly one of the greatest museums and that’s not just because it’s free! The museum was established in 1753 in Montagu House on the site of the current museum. In 1825 Sir Robert Smirke began constructing the museums now famous and easily recognisable neo-classical building. Over time the museum became home to some of the world’s most remarkable historical treasure, some pieces, like the Elgin Marbles, are now the subject of intense controversy due to the way that they were acquired. Aside from the various ownership disputes, the British Museum contains some of the world’s largest collections of Egyptian, Greek, Roman and Mesopotamian antiquities outside of their respective countries. Some of the most important artefacts hosted by the museum include the Cyrus Cylinder, the Lewis Chessmen, the Sutton Hoo horde, the Rosetta Stone and the Portland Vase.

While the rest of the world concentrates on the football, financial investment firms, bankers, politicians and media hacks will be focusing on one thing, and one thing only, namely Westminster. Anything the chancellor or a senior Downing Street official says regarding the financial sector will be closely monitored and scrutinised during the run-up to the budget.

Over the last month the coalition government has been on a media offensive, hoping to engender support amongst the electorate for the ‘savage’ series of cuts due to be announced during this parliament. One of the coalition promises was to enact a major restructuring of the financial sector, including the possibility of a separation between high street branches, business banking and the more risky venture capitalists.

A recent report commissioned by the consumer group Which and chaired by the former shadow Home Secretary, David Davis, argued in favour of a break up between investment and retail banks. Although the chancellor has been somewhat reluctant on this issue, it now looks like the notion of splitting up the banks may well become a reality. The main argument for going ahead with this is to protect current account holders and the safer, more traditional aspects of banking, from the riskier investment sectors of the financial industry which are prone to gamble upon stocks and derivatives.

As part of the new reforms George Osborne today announced that Bank of England would repatriate powers from the FSA and would be given more authority to help regulate the financial sector. Mr Osborne is keen to ensure that the country will not endure another unsustainable housing market boom. Another key part of the reforms will be a new bank levy which intends to reimburse taxpayers for the huge costs outlaid during the financial crisis. Undoubtedly the closer we get to the budget the more we will hear from Downing Street, more to follow…