The reason there isn't any further deeper faster cutting as BarryW is calling for, as is Nigel Farage too as I heard late last night, is that George Osborne is above all...a politician. George, like his cronies around him, wants to be re-elected in 2/3 years time. Cuts above and beyond those being currently implemented would result in a chronic and unrecoverable poll rating. In other words extreme cutting would be a one way ticket to Palookaville. Palookaville in this case being the opposition benches..and for years to come.
When Gorgeous Georgeus rose to his feet yesterday..his first few words attempted to re-assure us that we were adhering to the master plan and all was on track. "To change course now would be a disaster" said George with aplomb. However the number crunchers on the BBC's Politics Today programme were none too sure. The more the speech went on the more bewildered those BBC's gurus Flanders and Peston looked.
The bad news, and there was lots of it, was that George has failed to hit his debt reduction targets. The original goal was to have the national deficit beaten by 2015 but this is now extended to 2018 which is grim news indeed. As it is only 2012 now, this indicates a long long road ahead of economic misery. Some of us will be dead before we see recovery at this rate !!?
Ah! hark back now with a sigh to those optimistic glory days of early Blairism.
Following this grim and gruelling news on the continuing austerity, team GB is now in imminent danger of losing its triple A rating on the international markets. Very bad news. We were rather patting ourselves on the back in recent times about how well we had held on to our triple A rating, while others all about us were losing theirs, but not any more. It hasn't happened as of yet..but there are grumblings so watch this space.
Searching around for a bit of good news one finds that Mr Osborne has abandoned all hope of raising fuel duty. The intended rise of 3p a litre has now been scrapped for good...not postponed but cancelled completely. The other good news is that the low earners have some more tax relief, they are allowed to earn £9440 now before the Tax Man cometh a-calling.
Benefits generally are cut, but this tax relief for those who go out to work should help the poorer paid.
Business generally should be a tad happier...with the reduction in Corporation Tax and the hugely increased tax relief on investment, and many businesses in freight etc etc will welcome the 3p fuel duty cancellation.
No sign of growth anywhere on the horizon alas, contraction is the order of the day for the immediate future.
PS: Mr Cameron was elected leader of the Conservative Party on this day in 2005
beating David Davis to the top job and coming from behind to do it.
Davis had been expected to win.