Callistemon213
Ladyleftfieldlover
I honestly think Rachel Reeves is genuinely very annoyed at the state of the country’s finances. I don’t think you can say that Labour don’t like pensioners! I’m sorry that some GNs will suffer because of the decision on fuel allowance being limited to those on various benefits. Sadly there has to be a line drawn and there will always be people caught just in the wrong place. Don’t despise Labour yet.
Liam Byrne left that note: ‘I’m afraid there is no money’ and when this has been mentioned on GN posters have been told that the economy does not work like that, it is not like a household budget and that the Government can create money for the building of infrastructure which will in turn stimulate the economy. Tax does not fund spending, so we are told.
Now we've been told we're over-drawn (like having a huge over-draft on the household budget) and have to tighten our belts because the Government can't afford anything.
The chancellor laid blame for her decisions on the previous government, accusing the Conservatives of having "let people down" by making "commitment after commitment without knowing where the money was going to come from"
But if the Government can create money which in turn stimulates the economy, what is the problem?
What am I missing, please?
You're not missing anything. It's Reeves who is 'missing''
I can't defend this in any way at all, but I've been saying for ages that I thought Reeves economic ideas were very suspect.
Austerity was the stupidest policy after 2010 but Labour doesn't seem to have learned any lessons from it.
IMO whatever 'hole' we have in the national finances is a consequence of years of running the economy for the benefit of the wealthy, the banks and big businesses, failing to tax back the excessive amounts of money that flows upwards to them from the poor and the 'middling' classes.
Labour painted itself into a hole with its ridiculous 'fiscal rules' and this is the result. As predicted by many. I only hope that the Autumn budget takes some of the sting out of this by unfreezing tax allowances and taxing sources of unearned income at the same rate as earned income.
I can't see her much vaunted relationship with businesses being much use if she makes the population too poor for it to be worthwhile for them to invest in the UK.