cleggercon double dip here we come!

ninky_2

with clegg going for jobs for the boys over policy or principles it seems that big cuts in public spending are sure to happen. how can this not create a double dip?

how are the people who lose their jobs as a result of spending cuts going to service their mortgage? and what about the business generated from public spending. what is going to replace that?

they've announced an 'emergency budget' in 50 days. let's hope it's a good summer. because winter is looking like it will be harsh.

Blacklight

There was far too much spending on the public sector by Labour. Bloated departments full of no-jobbers teaching other no-jobbers outdated American management styles from textbooks printed in the 80's, thinking they were doing something new and revolutionary.

All these people who worked in large private companies were sacked (rightly so) during 2008. Police, councils, the NHS haven't seen these cuts yet and the no-jobbers and sitting around taking a fat wage and a final salary pension at the cost of £165bn a year.

What's needed (as Cameron has identified) is a shift from government spending on these leeches to jobs in an expanded private sector.

The effects are twofold - less government spending and more tax receipts from the private companies.

The plan is not to replace anyone in backroom jobs (lazy no-jobbers) and create a larger workplace for their would-be successors to find employment in. Privately run council services and schools is a start.

In short there won't be any massive job cuts like there would have been under Labour. Nor will there be any economic decline. Sorry.

ninky_2

Blacklight wrote: »

In short there won't be any massive job cuts like there would have been under Labour. Nor will there be any economic decline. Sorry.

great. that's a relief.

DigitalJedi

Public spending was going to be cut anyway whichever of the parties got into power. The only questions were how and by how much.

The root of the problem is that New Labour has been spending money faster than we've earned it. Now they've done what I think is an incredibly smart thing and left someone else holding the check.

Its a bit like having a joint account with someone who's spent like a looney for 13 years and now have p***ed off leaving you to make up the overdraft.

It is inevitable that some will lose their jobs but who's to blame? The guy who made the overdraft or the guy who has to pay it back?

nicko33

ninky wrote: »

how are the people who lose their jobs as a result of spending cuts going to service their mortgage?

Maybe they could get another job.
Or maybe all the Labour voters in the country could club together, and just give them the money.

Jonbvn

Just think of all those outreach coordinators quaking in their boots this morning.

Guess the gruaniad jobs pages will be sparse from now on.

Spartacus_Mills

ninky wrote: »

with clegg going for jobs for the boys over policy or principles it seems that big cuts in public spending are sure to happen. how can this not create a double dip?

how are the people who lose their jobs as a result of spending cuts going to service their mortgage? and what about the business generated from public spending. what is going to replace that?

they've announced an 'emergency budget' in 50 days. let's hope it's a good summer. because winter is looking like it will be harsh.

Your first comment is rather thoughtless. You do not know the policy detail, it has not been published. All there are is snippets. From what I have seen in said snippets Nick and his team have got some very good gains from it and, quite frankly, it is far better to be in a strong and stable government exerting influence than it is to sit on the backbenches sloganising. David Laws is an extremely capable and able Politician. He will have applied a forensic thought process to the negotiations. The Rainbow alliance was never viable and would not have worked. Labour MP's were appalled by it.

As for the hard times to come that will be the legacy of that shambling Scottish buffoon who drove off into the sunset last night leaving a real mess for the incoming government. If you want to blame the firemen for the fire instead of the arsonist then feel free.

Look at Greece and see what the consequences are of not dealing with debt/deficit. We are about 5 years away from it at the moment if we do nothing. Oh, and you can also thank Gordo for the PFI legacy too.

ninky_2

DigitalJedi wrote: »

The root of the problem is that New Labour has been spending money faster than we've earned it. Now they've done what I think is an incredibly smart thing and left someone else holding the check.

the root of the problem is we had to spend billions bailing out the banking system.

what's happened to the robin hood tax the lib dems were all for? why is it public services have to be the first to pay for bank bailouts?

Spartacus_Mills

ninky wrote: »

the root of the problem is we had to spend billions bailing out the banking system.

You are confusing cause and symptom. The bail out of the banks was a symptom of the wider malaise which was caused by incompetent financial regulation of the banks by the FSA. The FSA being set up by one incompetent Chancellor called James Gordon Brown. The same FSA, nicknamed by Private Eye the Fundamentally Supine Authority, which gave Northern Wreck a clean bill of health a month before it went under. The BOE when it regulated were far stricter. Remember BCCI (probably not) and the same James Gordon Brown was, as recently as the 2007 Mansion House speech, proclaiming how wonderful light touch regulation was. It was not. We also have the PFI disaster lurking around the corner.

When Brown took the Chancellors job on he made a very smart decision in giving the BOE independence on interest rates but he also made a very stupid decision on regulation.

tomterm8

So, why is it that America, Spain, Germany, Greece, Iceland, Ireland, France, Latvia, Lithuania, and dozens of other nations all had systemic banking crises if it was all caused by James Gordon Brown's banking regulations?

Really2

My view on it.

Really2 wrote: »

going in to the crash with a YOY deficit caused the problem, that always meant massive cuts on spending would have to be made to get the debt paid back.

Anyone could work that out it is like saying having your wages cut by 6% made you go bankrupt, even though for the last 8 years you have been spending more than you earn.

The truth of the matter is they spent more than they earnt for years, that is the cause of any cuts not the recession.
If they had built up a surplus we could of got through without cuts.

So basically any one blaming the current government for cuts is wrong and ignorant. The problem is all of labours doing.
8 years of deficit meant there was no surplus to cushion the recession. Cuts had to happen whoever won, doing it earlier means they will most probably not have to be so deep later on.