howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
No Howard - the course is set for deficit reduction, that is Plan A and I predict he will stick to that.
Indeed he has no choice, there is just no other option as if the markets sense any weakness towards that then we will face the kind of crisis of confidence we are seeing in the EU and the government would soon be paying 7.5% on bonds (as is Italy) rather than 2.4% as the UK is now, if we are lucky. Imagine the impact of that when it works through to domestic mortgages as it would and a trebling of mortgage rates.
That does not mean there is no room in other respects, as long as he sticks to his deficit reduction course, which is Plan A and the only viable plan.
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
Here is a very interesting article by Bruce Anderson I have just seen.
He sets out the dilemma perfectly for George Osborne and it is pretty much what In said above but he also goes on to 'the elephant in the room' which threatens us all, the Euro. Makes a good and entertaining read as well as being a better assessment of the situation we face than most journalists write.
http://conservativehome.blogs.com/thecolumnists/2011/11/bruce-anderson-george-osborne-must-satisfy-both-the-markets-and-the-public-in-his-autumn-statement.html
The corpse of the Euro is starting to stink, how much longer will the Germans stay with it let alone the weaker countries?
Guest 640- Registered: 21 Apr 2007
- Posts: 7,819
There was an interesting Andrew Marr yesterday because both the big names in political economics were on show. They even chatted together in very amiable fashion towards the end of the programme as they listened to a violinist, or prior to listening to the violinist. I speak of course of George Osborne, Chancellor, and his Labour shadow Ed Balls.
But as Marr said, with Osborne's new cash injection plans there seems only a whisker between the two parties now. They argue bullishly to keep their supporters satisfied but essentially there is little different in the thinking. The current plan up until now isnt particularly working, it isnt particularly doing anything one way or the other, so it looks like George has shifted somewhat towards Labour's view. Heavens!!...there is almost a concensus.
We need to get the overall burden of debt down but we dont need to strangle the life out of High St UK plus while doing it.
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
barry
when i suggested that measures for growth are needed, hence spending you said that it was not the answer.
this is exactly what george is now doing by pumping money into infrastructure projects.
the sting in the tail is that 5 billion quid in spending cuts is included.
we will wait with interest as to where these cuts will come from.
Guest 716- Registered: 9 Jun 2011
- Posts: 4,010
Apparently we are on Plan `G`..........Did I blink and miss ....B,C,D,E & F ?
Tax Credits will take a hit .........Joe Puplic picking up the bill again!!!!....We are all in it together!!!!!
Ollie is putting on Ball`s clothes.........it is all getting to confusing for Cleggy ....He does not know which bed to jump in?
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
that is the rumour going around, working peoples tax credit to be targeted.
i am surprised they have not cottoned on to that before.
Guest 696- Registered: 31 Mar 2010
- Posts: 8,115
Osborne wants to squeeze us dry in order to go ahead with mass building projects. If his plans went ahead, it would mean just more misery, and the economy would risk going into a trebble recession.
It's sheer madness.
It's a slap round the face directed at the public. People are going on strike to protest against pension cuts, and Osborne just promises even more cuts in people's pockets, taking the money here, there, everywhere.
If he starts rubbing off working tax credits for people on low wages, then many might just give up and go and sign on.
What's the point? There is none. Sheer madness.
In the end, people receiving the state pension, low-wage earners, those in need of particular services oowing to their health condition, public sector workers, the unemployed, will realise that there is no future other than sheer misery.
It's just a matter of time before the masses give up and don't bother working at all.
It's like when the DDC planning department think that growth points status will bring investment to Dover from the State. And when so many other district planning offices think the same.
So, where do they think all the money comes from to finance all these new houses, schools, roads, and whatever else they plan to build at the State's expense?
NOOO!!! Not from trees! It comes out of our pockets!!! WE pay for it, be it from pensions, working-tax credits, har-earned wages, more taxes....
But did anyone ever explain this to them? Well today Osborne decided to explain it. So now they know. We all know. Growth point status will cost us dearly!
And the more vulnerable people are the very first to be sacrificed.
Oh, and each year they will increase the measure, and always take a chunk more out of people's pockets.
Well then, Happy Growth Points Status!
(or was that supposed to be happy christmas.)
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
Howard - no. Measures for growth are needed but not necessarily by spending more taxpayers dosh overall. If more money is to be spent in one direction then savings must be made in another.
What is important here is that he sticks to his deficit reduction plan.
I would prefer that he accelerate it personally as I have always said he is not being ambitious enough.
I have substantial doubts as well about the value of large capital infrastructure projects. Their effectiveness will not be a great as some suppose, not in a modern economy. Yes, they can be on some benefit but it is so easy to exaggerate that as many do. There is more of a window dressing political value to them for Osborne than anything else.
Guest 640- Registered: 21 Apr 2007
- Posts: 7,819
Latest cartoon just in..
Dave Brown of The Independent
*************************************************
Might need to make Plan A on the fig leaf a bit more prominent?
Brian Dixon
- Location: Dover
- Registered: 23 Sep 2008
- Posts: 23,940
with reports of a double dip resession next year,osbourne needs plan b despretly.
Guest 640- Registered: 21 Apr 2007
- Posts: 7,819
Yes indeed Brian the OECD, a famed economic organisation, has indicated that very thing today... forecasting a double dip recession for the UK. A truly horror scenario ahead for the UK is a double dip recession. George Osborne might have seen it coming.. because there was/is a waft of new initiatives this week/last week.
Has panic set in at Number 11 ?
Brian Dixon- Location: Dover
- Registered: 23 Sep 2008
- Posts: 23,940
not so much panic,but maybe a change of under ware might be the case.
Guest 716- Registered: 9 Jun 2011
- Posts: 4,010
Forget the underware.................................it`s hit the fan!
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
There is no plan B and wont be.
The Plan A deficit reduction must not be watered down or then there really will be panic and a crisis of confidence. Better in fact to speed up public spending cuts if anything to enable tax cuts and encourage growth. As I have said many times, Osborne is doing the minimum needed by the markets anyway.
It is a fantasy to think that you can carry on borrowing at the present rate without market consequences. We have seen what is happening in Europe and even Germany now is having problems with bond funding.
Some of you like to pretend there are no consequences to profligate and irresponsible government spending and need to wake up to the nightmare Brown has left us with.
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
i wondered how long it would be before gordon would get a mention.
the double dip recession is on its way, i would prefer a chancellor that moved with what is happening not on what he decided was the right course 18 months ago.
the world is changing by the day, george and his team must think on their feet.
Guest 716- Registered: 9 Jun 2011
- Posts: 4,010
Totally agree Howard.................but our right winger is partially correct..........the colour is Brown!
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
That is a complete farce.
How on earth can you imagine he can change his deficit reduction plan and get away with it.
Has not the seriousness of the financial hole Brown (and to be fair other spendthrift European leaders) have dug us into not sunk in on your conciousness yet?
Even Germany has problems now in the markets.
Abandon the deficit reduction and the problems of funding will escalate and we could find ourselves with a serious meltdown in confidence and massive interest rate rises. We will be right firmly back on that track to ruin.
I am astonished that you can be so weirdly in denial of the consequences of what you say. Mad, utterly mad.
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
who are you referring that rant to barry?
Brian Dixon- Location: Dover
- Registered: 23 Sep 2008
- Posts: 23,940
i dont know howard but somthing has got up his nose,maybe realalaty is setting in.
