Prime Minister warns of 'Years of pain ahead'

StevieJ

donaldtramp wrote: »

Cameron isn't lying. When he speaks of things being worse than expected he is talking about the big picture. NOT just the budget deficit. No matter how many halfwits like you try to twist it that way.

There is a national crisis, which was caused by Labour (as is always the case) and it is worse than expected. Brown has devastated us for decades.

So why brainbox is the bigger picture worse than expected?

ChiefGrasscutter

The annual budget defecit is just part of the problem.

The REAL problem is the accumulated national DEBT on which we are paying a simply vast annual interest bill.

The budget defecit will reduce with growth - though a part of the defecit (referred to a the structural defecit) which is not related to or dependent on growth occuring will not.

The Accumulated DEBT however simply gets bigger each year - you need to run an annual budget surplus to even start on paying down the debt:

However all we ever hear about is a discussion aobut how much fractionally smaller the annual defecit will be this year...........

kabayiri

StevieJ wrote: »

So why brainbox is the bigger picture worse than expected?

My view , and one thing I do share with Hamish, is that growth is very important to turning around our finances in the mid/long term.

We need growth to reduce unemployment, which is set to grow.

The lower growth figures from the OBR are cause for concern. I hope we can engineer real growth by redirecting some of our finances into the wealth generating parts of the economy.

StevieJ

kabayiri wrote: »

My view , and one thing I do share with Hamish, is that growth is very important to turning around our finances in the mid/long term.

We need growth to reduce unemployment, which is set to grow.

The lower growth figures from the OBR are cause for concern. I hope we can engineer real growth by redirecting some of our finances into the wealth generating parts of the economy.

Why? that is just a pre-budget guess (and IMHO not a very good one), the problem is not that growth figure but the actual growth when they plug in Georgie's budget cuts this year and next year.

donaldtramp

Stevie, It's not about being a brainbox, it's simply being bright enough to grasp basic facts as eloquently explained by Chiefgrasscutter above.
The scary thing is that huge percentages of the population(shown by the number of chummy, empty-headed thanks on this forum) don't understand these very basic concepts.
If we don't get this debt under control by implementing cuts the UK will end up simply working and paying tax to service DEBT!. We will end up paying more in debt interest than we do on the ENTIRE schools budget for England and Wales.
I have a suspicion that the same people who don't get this, are the same people who will have no idea how to use credit and end up with debt problems in their own lives.

Grasscutter's post once again, for the hard of thinking...........

ChiefGrasscutter wrote: »

The annual budget defecit is just part of the problem.

The REAL problem is the accumulated national DEBT on which we are paying a simply vast annual interest bill.

The budget defecit will reduce with growth - though a part of the defecit (referred to a the structural defecit) which is not related to or dependent on growth occuring will not.

The Accumulated DEBT however simply gets bigger each year - you need to run an annual budget surplus to even start on paying down the debt:

However all we ever hear about is a discussion aobut how much fractionally smaller the annual defecit will be this year...........