Saturday, March 03, 2018

Outstanding Osborne...

It looks a bit blurred; click to enlarge for clearer view...
Britain is now running a current budget surplus. OK, I know it wasn't all George Osborne but credit where it is due. An outstanding achievement, albeit slightly later than originally forecast. And guess what, the BBC are actually reporting it, although not on their Home Page, nor main News page and already a long way down the list on the UK Politics page. And, as it is the BBC, with the twist of the knife in the headline link "Cameron and Osborne hail austerity plan" giving it the 'evil' look that allows Labour fools in with such ridiculous comments: "Labour accused them of 'egotistical boasting' while families suffered." FFS, can't think why cuts in spending were necessary, can you, Labour Party? And the plan was NEVER 'austerity' anyway, merely cutting back gross excess and trimming. And when they claim local authorities are closing libraries due to nasty Tory austerity cuts ask them why the same Councils have gambled with public money (hundreds of millions in savings in Icelandic banks revealed after the crash, by 2014 they had most back) and are currently spending hundreds of millions on "punting like drunken sailors" on "hedge fund-style activity". [2017 FT, requires registration]

Anyway, [edited] research published by the International Monetary Fund "Climbing Out of Debt, A new study offers more evidence that cutting spending is less harmful to growth than raising taxes" [LINK] [PDF] said Britain set an example for other countries to follow in slashing the deficit by cutting public spending, rather than raising taxes. [DT] "Our conclusion runs against the basic Keynesian message, which implies that spending cuts are more recessionary than tax increases"... "On the contrary, our study confirms that expenditure-based plans generally were less harmful to growth than tax-based plans.".

Well done David Cameron, well done George Osborne and team. Well done the Conservative Party.

Despite Brexit :-)

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