Budget 2016

michaels

Is George a long lost twin of Gordon?
Long serving Chancellor to popular PM: Tick
Ambitious to take over top job: Tick
No real grasp of economics and bases economic decisions on politics: Tick
Hyperactive approach (meddling) leads to many blunders which often have to be reversed, always at the expense of a larger deficit: Tick

Tromking

Mistermeaner wrote: »

Dont disagree... but wasnt the tax credit change undermined by the unelected lords. Arguably they are partly responsible now for a 27bil hole - should they be blamed then for nhs underfunding and a reduced expenditure on disability?

...and the Tories solve the democracy problem of the Lords by sticking loads more in there. I do recall more than Tory MP voicing their dissent on tax credits. This is a very weak Government.

Mistermeaner

i wouldn't say that it is weak I would say they have a very narrow majority and are treading a fine line internally between centre leaning members and more traditional right wingers.

Thrugelmir

mwpt wrote: »

The hole can be filled in by borrowing more. Nothing bad ever happens by borrowing more and rates are cheap, you'd be mad not to, claim big statists.

Borrow from whom though? The amount that the UK currently borrows every year exceeds the GDP of most of the countries in the world. Even the oil rich Middle East countries are running sizable budget deficits. Brazil is in melt down. Arguably storm clouds are brewing. Borrowing is not a sound financial strategy. As doesn't fix the hole in the roof permanently.

Interest is interest. Every year cost of debt servicing will increase. So will reduce the amount that can be spent elsewhere. Longer term will only lead to insignificant difficulties with real austerity being imposed.

Mistermeaner

i think he was being sarcastic

Moby

What an omnishambles! The dark clouds are gathering.?..earlier than I thought actually........only one year in to the parliament and the Euro referendum and leadership change to look forward to as well.

mwpt

Thrugelmir wrote: »

Borrow from whom though? The amount that the UK currently borrows every year exceeds the GDP of most of the countries in the world. Even the oil rich Middle East countries are running sizable budget deficits. Brazil is in melt down. Arguably storm clouds are brewing. Borrowing is not a sound financial strategy. As doesn't fix the hole in the roof permanently.

Interest is interest. Every year cost of debt servicing will increase. So will reduce the amount that can be spent elsewhere. Longer term will only lead to insignificant difficulties with real austerity being imposed.

I wonder if you missed the sarcasm in my post? Probably not.

In any case, the reply will be that this is the reason we issue bonds. UK debt is amongst the safest in the world and just look, look at our low interest rates, look at them. We'd be mad not to use this opportunity of low rates to borrow from the market and fund growth spending which will mean more growth and more easily able to pay back the debt. Anyway, we have a central bank, so we can never go bust. No nation with a central bank ever goes bust because we can print our own currency to pay back the debt.

Or something like that.

wymondham

Will we now get home brew kits to get around this? Bootleg lilt or the like!!

CLAPTON

Moby wrote: »

What an omnishambles! The dark clouds are gathering.?..earlier than I thought actually........only one year in to the parliament and the Euro referendum and leadership change to look forward to as well.

i thought leadership change was certain as cameron said he wouldn't go for a third term
or were you referring to the IRA loving Corbyn

Tromking

CLAPTON wrote: »

i thought leadership change was certain as cameron said he wouldn't go for a third term
or were you referring to the IRA loving Corbyn

No, he definitely meant the Saudi Arabia loving Cameron.