Osborne’s Bumpy Ride
Though both the IMF and the Treasury are quick to stress that deficit reduction is the right thing to do, it’s not going to be as pleasant as the Chancellor will have us believe. Ronald Reagan asked to be judged on whether you were richer at the end of his medicine or before, but George will probably want to avoid that particular campaign slogan, given the IMF warn that British households will apparently be £1,500 worse off each year of the slowing recovery.
It’s still steady as we go though, unless the UK experiences “a prolonged period of weak growth and high unemployment”, when an additional plan could be called for. Not the one Labour drone on about though, with a slow down in cuts, but Plan A+, with added tax-cuts to complement the state trimming…
Which isn’t the worst idea Guido has ever heard…
complement, and the story du jour is surely NOTW asking for emails to be deleted? *very* naughty.
http://news.google.co.uk/news/url?sa=t&ct2=uk%2F0_0_s_2_0_t&ct3=MAA4AEgCUABgAWoCdWt6AWg&usg=AFQjCNE9fNvpSGv1-oFDIUs6RyLpIx0YWQ&did=c8bfbca433e47488&sig2=WpUXBkP4ZZ3jcFCDXEPyTA&cid=8797733495834&ei=Ua43ToCjHsSJjweB3oqEAw&rt=HOMEPAGE&vm=STANDARD&url=http%3A%2F%2Fwww.metro.co.uk%2Fnews%2F871084-phone-hacking-scandal-it-firm-deleted-news-of-the-world-emails-nine-times
Actually this article is about the Chancellor taking a different view to the one spouted by Balls, and followed for so long by Obama to such wondrous effect.
Thank fuck the Tea Party in America now has enough power to stop Obama completely fucking things up. Although they have only managed to buy themselves a little bit of time, perhaps rational heads will prevail yet. Much more radical cutting required.
The spending implemented by Obama pales in comparison with W.
Nobody seemed to mind it then, though. “Deficits don’t matter” remember….
Or “spendng implimented …”
Guido, Neo or Original Flavour, your posts would be a lot more authoritative if you learned a bit about spelling, grammar, syntax, shit like that.
For God and Country! Obviously not for Britain but I srael and not for God but G_d. Now, Lady Serena promised me oodles of young boys.
Mah fellow Amurrikins. Ah brought you Obamacare. Ah brought you the fiscal stimulus. Ah brought you bin Laden’s head on a platter. And ah brought you debt. Ah came that you might have debt, and have it more abundantly. And I say to you this day, I will not stray from the path of Debt, no, not though it rise to ten trillion dollars, twenty trillion dollars, an hundred trillion dollars! A-men!
Obama says: August 2, 2011 at 9:57 am
Why haven’t you controlled the banks? Sooner you and the idiots we have in UK go the better it will be for the two countries.
Obama’s $8bn to Bush’s $4bn?
Pull the other one.
8 Trillion, 4 trillion… sh1t, such big numbers.
75% of it will be bought by Federal Reserve and Federal Reserve is owned by US government, it is not actual debt.
“It’s not actually debt”
Oh, so no interest is paid taken from the productive economy and destroyed purely by the fact that the money has already been spent and only a fraction invested that will never create the returns even to cover the interest itself.
That’s the lunacy of Keynesian economics. It’s always about demand, never investment, always about scarcity never about prices.
That’s why the US is screwed and so is the UK.
Federal reserve is privately owned
It is not owned or controlled by the us government
Bank of England (BOE) owns 25% of UK debt, 6% of US debt, etc. BOE also own large amount of private sector debt.
As BOE is owned by the government, once you net these debts off with UK national debt there is hardly and debt left.
Both Labour and Tory governments wants to keep super rich rich and every one else poor. BOE gives banks money at 0.5% interest and these banks give it to public at 5% plus. These super profits are used to give massive bonus, it doesn’t even go to share holders.
“Both Labour and Tory governments wants to keep super rich rich and every one else poor.” – works for me:)
I remember writing at the time of the GW Bush Presidency that his administration was NOT a conservative administration, but a lefty neo-con con. NO republican administration worthy of the name would have created the biggest biggest state bureaucracy in America’s history.
The republicans were taken over by the neo-cons who ran the country for the benefit of their corporate cronies and the massive war machine. They ran up the debt as fast as they could. There is no real difference between the Bush and Obama administrations. Both are continuing the wars, Both spend a fortune and increase the debt, Both are continuously eroding the liberties and freedoms of the American people. Obama carried on directly from where Bush left off.
The only real conservatives left in the republican party are the Tea Partiers.
Its not a real debt, its money printed by Fed and given to US government. If banks go down again they will print more money to save the banks.
Its a con to transfer more money to super rich from every one else.
What faith you have.
So if the TPers get more power they won’t get manipulated and lobbied by the same old interests, or engage unwise populist measures to keep their % of votes up.
In the time Obama has been president, he hasn’t controlled the banks.
I think you will find the banks own Obambi’s arse and call all the shots.
@ sp4. I think you will find that the TP-ers austerity program is a populist measure, certainly in fly-over america which is comparitively untainted by the socialism virus.
I am just sorry that they capitulated to Obamarama. They should have stuck to their guns.
Chuka should have arrived by now to give them the benefit of his wisdom.
It will only be solved when goods and services are given for goods and services. Printed money is the problem, people are giving some thing valuable to some thing worthless.
Out of the EU NOW. We can not afford to be in it. The govt can not even tell us what our contribution is each year. ONS and govt can not agree a figure. £42 billion trade deficit last year, people in the EU buy what they want irrespective if the country selling the goods is not in the EU. MEPs corrupt little bunch who are profiteering from the EU scam.
Westminster like the EU have one set of laws for politicians and another set of laws for the public. Jim Devine, Chorley and the rest are getting away with the proceeds of their crime. Why was his second home not taken from him under the Proceeds of Crime Act??? Why is he allowed to keep the goods he stole from the taxpayer. The first consideration for punishment is restoration to the victim ie us the taxpayers.
Come on Guido, start asking and publicising the travesty of this situation. Any other thief in this position would have the goods taken away from them- why not a thieving MP when he was found guilty!! FFS.
last five Democratic Presidents (Bill Clinton, Jimmy Carter, Lyndon B. Johnson, John F. Kennedy, and Harry S. Truman) all reduced public debt as a share of GDP, while the last four Republican Presidents (George W. Bush, George H. W. Bush, Ronald Reagan, and Gerald Ford) all oversaw an increase in the country’s indebtedness.
http://www.angrybearblog.com/2007/12/republican-party-and-national-debt.html
* Small state
* Low taxes
* Minimum interference in the economy by the Government
Third way neo-socialists like rusty Dave & Osbourne just dont get tried & tested Conservative values.
Blue Labour out.
Trillions and f*cking trillions. OMFG!!!
Just look at what trillions looks like.
http://usdebt.kleptocracy.us/
According to the beeboid Toady programme this AM, it costs £3,000 pounds a week to send young scrotes with a drug problem to a live in treatment centre , I’ll repeat that, £3,000 a week.
Why not just send the little darlings on a bursery to public school ? It would be a third of the cost and they’d have a chance of learning something useful, and meet a better class of drug user.
It would only cost £100 each to give them all one pure shot – net saving of g’zillions and a boost for manufacturing and services (coffins & undertakers)
Or just restart this: a harm reduction program in Widnes during the 80s and 90s, also known as the British system operating between the 1920s and 1960s. Saves money on police, courts, drug centres and just about everything else.
http://www.runcornandwidnesweeklynews.co.uk/runcorn-widnes-news/runcorn-widnes-local-news/2010/08/19/dr-john-marks-talks-about-the-controversial-harm-reduction-drug-treatment-programme-in-widnes-55368-27086372/
Political Knackers are working for the State, and Not stopping the excesses of it. How did we get into this State of affairs? I suggest LIMP WRIST WEAK INDIVIDUALS, and Politcal compliance and aggreement. IRAQ, was a blatant LIE and the People Knew, Why didn’t the Poltical Class, or did they and they just liked to comply. Did they forget why we voted for them.
Capitalism as done what it is supposed to do, and that is make the minority of the already rich richer and to fail the vast majority of the poor to make them poorer!
The horrible state of the world today in economic and ecological terms is because of the massive failure of the uncivilised capitalist system that is thrust upon us dictatorially!
U.S. total debt $1,027,496 – per tax payer
http://www.usdebtclock.org
But there is no story there. It says there was nothing unusual. Don’t you delete your old emails?
Even local authorities weed all their files after 5 years.
Which is handy if you have been pouring over £2m of public money into a corruptly run money-pit like O-Regen in Waltham Forest since 2003: a place so shoddy that even Hackney Council called the police in when they had done ‘business’ with them. No arrests yet, of course.
Are you seriously suggesting there is endemic corruption and cronyism in local Government ?
The best bit of Private Eye is “Rotten Boroughs”
Its truly depressing
i’m pissed. up to me neck in rent boys. dreaming of the z ionist hero dish ABB.
“worse off each year of the slowing recovery.”
They need to cut public spending, better to pay a lesbian condon advisor £50 a week on benefits that 50K a year to spout crap.
Need to cut fuel duty, 30p a litre please
On and scrap the TV tax, save us all £150 a year
Paul Condon, former Met Commissioner?
Quite. Listen Georgie Porgie. It’s very fucking simple. CUT TAXES AND GOVERNMENT SPENDING NOW! As you say better to pay the 6m odd redundant state ‘workers’ fifty quid a week on the dole than fifty k a year to do fuck all.
But Boy Dave wouldn’t like it, simply because the LidDems would cry foul, take their ball home and sulk. And Boy Dave hasn’t got the backbone to tough it out.
where’s my fucking £600 a year for watching Santander race Vodafone and a drinks company? i need the extra cash as the daughter’s on the breadline, as she’s just bought her first house – America’s richest, at $108 million.
shalom.
Pleased to see the ‘ Fifth Columnists ‘ commie
Charidee industry is starting to get the hammer.
Bout time. Another sector completely hijacked
by the Blair and Brown horror.
I’ve beaten Billy Bowden to the first post !
Eat my shorts.
billy is probably still hungover from the cricket – hitting a man when he is down – easy target
Cut NI to offset the cost to employers of forthcoming automatic enrolment to pension schemes.
If you want to be a real big Pig Farmer, you have to think big (and real).
Real cuts have yet to start. Coalition spending is higher than when the Brown shirts were ejected.
The real question is – will the real cutting ever start?
According to the BBC they started straight away. The BBC have been fearmongering 24/7/365 about tory cuts since Cameron first put his feet under the desk at No10 and yet they still occasionally come out with, “When the cuts really start, then people will really begin to hurt”
“Plan A+, with added tax-cuts”
So you don’t care about the deficit level then.
Guido
You show Christine Lagarde in your photo
She made her reputation doing this
True…!
It looks like a Meeting of the G8 Finance Ministers…
Are they waving or drowning?
Practising going arse over tit.
Lovely backsides…better than Pippa…
Good God
I did not think there were any heteros left in Britain…
Keep it up connaisseur…if you know what I mean…
http://www.assappreciationsociety.com/pippa-middleton-bikini-photos-from-ibiza/
Pippa’s ass here for comparison…
Having 25+ years in an international law firm came in handy too.
Bloody hell. a politician that had a successful career outside politics.
Lagarde is just another bent lawyer, with erm, interesting ideas regarding convicted criminals and thoroughly abhorrent ideas such as robbing taxpayers, to bail out banks.
From your choice of name it appears you already know …
No matter how bent you think she is, she’s got nothing on your average career politician.
I think no less of her for being a formation swimmer.
Better an athlete than a porky trade unionist or a horse-faced CND traitoress. She also seemed to have the French Finance brief under control.
I see blue skies here
Wesign!
too far too fast…too far too fast…too far too fast…too far too fast…too far too fast…too far too fast…too far too fast…too far too fast…( ooh, nosebleed )
The trouble with socialists is they want everyone to be equal except them.
We are suffering too much already…
1. Sacking Huhn and ditching his self destructive policies would save a fortune.
2. Not borrowing money to give in aid to nuclear powers or the corrupt (that’s most of Europe too of course)
3. Don’t give billions to the EU so it’s unelected politburo can redistribute it to it’s chums whilst being ungrateful to those bad Europeans in little Britain that coughed up.
4. Drop the 50p rate.
5.And do some other clever stuff.
He lost me the moment he said nobody on benefits should be on more than £26.000 a year.
+1
It’s fucking INSANE that benefits supplicants can receive more than professionally qualified graduates do.
And the (admittedly infrequent) stories of families receiving £100,000s a year under the present rules is an affront.
I wonder if the elegant lady standing beside GO should be considered a sinister presence. One of the gatekeepers of the NWO if ever there was one.
The NWO is collapsing before our eyes…
Just look at the Dollar, the Euro and the IMF flairing incoherently on the sidelines as the markets and the Asians dictate policy…and 10 years of austerity for the US and Europe now…
Not what the NWO was supposed to be….
I’m off to Shanghai then…
So am I…
Nate, are you coming with me ?
Good riddance. The Chinks know how to deals with crooks…
Bullet in the back of the head. And a disbursements recharge to the relatives.
Give them cushy jobs and execute a convenient underling?
Do you think we can sell some titles to the Chinese at the same time, Mandy ?
I was first!
Oh no, my brain my brain. I read the headline, saw the photo, and thought of yesterdays “chattes” email.
Mme Lagarde does indeed look a bit bumpy.
Be grateful it’s Mme Legarde in that pic and not McRuin
The implications of that would be horrendous.
oh….. um… so I am not. Sorry.
Pickles delivers yet again! Another 10% cut in housing benefit to layabouts and scroungers. He’s the only member of the government who’s anywhere near effective. Go Eric!
10% is pathetic. The housing benefits cut does not effect the tenents – they never see the money. It is the Bentley-driving Labour councillors of Waltham Forest who need to be squeezed till the pips squeek. A quarter of all the Labour councillors in that corrupted borough make their money by manipulating the housing benefits system as landlords or agents for their relatives who are landlords.
The housing benefits fraud is a truly all party affair. That’s why they are all reluctant to really take any effective steps to end the blatent taxpayer theft going on across the entire country.
And that is why we in the UK pay rents that are double that of Europe. The market is artificial with the amount of state manoey going into housing benefit distorting the market.
How many houses you got Tony?
Time for Plan A+
Slash government spending by another 1% GDP.
Slash direct taxes by 1% GDP.
…and downgrade our EU membership to EEA status.
Also, revoke ooman rights legislation, cut benefits, stop wasting money on our beloved asylum seekers, Uncle Tom Cobley and all……
trim, trim, trim………
a nice, neatly trimmed bush, nothing better !!
Who’s the bloke next to Osborne?
Wasn’t she running in the 4.30 at Epsom?
Its Paul Whitehouse’s DJ character from Smashy and Nicey.
Bob Grant (On the Buses):
http://www.flickr.com/photos/25455263@N02/3472980275/
Any Chancellor in Georgie’s position is going to get slaughtered by Labour/BBC, so he may as well do some serious expenditure slashing rather than fannying about at the edges as at present.
A politically smart gesture would be to cut the reduced rate of VAT, currently applicable to domestic fuel, from 5% to 4%.
And then cut the BBC to the bone.
I’m coming up to my first anniversary without a licence (and a TV) – the best way to slash my BBC expenditure… by 100% in one fucking go.
Did anyone notice any difference in the ‘quality’ of the Beeb’s news output during yesterday’s strike? I didn’t.
No Fiona Bruce ‘acting’ the News. Brilliant
Except I believe that there is a minimum level of ‘reduced’ VAT – once again the EU ties his hands.
Oh, fuck ‘em. What are France and Germany going to do about it? Invade?
We could ask that fucking balloon Cameron to chuck a few billion of our money at the yanks, he gives it to everyone else.
Look, I’ve told you before, you have to feel ‘proud’ about your contributions to third world dictators personal wealth funds aka, aid payments.
It is your duty to work hard so we can tax you more and tinpot dictators can then buy lovely new shiny personal execuive jets, paid for by taking your tax and spunking it away like there is no tomorrow. Ok?
Rather than a right-wing government or left-wing government, Labour or Tory, liberal or conservative, Keynesian or Hayekian, I would settle for a competent government, one whose members woke up every morning repeating the mantra “I will not do anything stupid today. I will not do something easy that will cause great problems in the future.”
“I will not do anything that will lose votes today. I will not do something easy that will cause great problems next election”
You’d think that even politicians would realise that doing something easy that creates problems later is no advantage to them if they win the election, and then have to deal with the problems.
BBC 5 liars is doing a bit about the cost of going to football.
Football will be the next big crash
The game is awash with crooks, asset strippers and money laundering scams and has been for years. If one sport deserves to collapse entirely, it’s professional football along with, the overpaid oafs that infest it’s playing ranks and the crooks in the boardroom.
900 notes for a Liverpool season ticket, that will be sustainable when the Guardian decides its no longer ‘in’
it’s funny how the public can know the names and details of UKs top fraudsters below
http://news.sky.com/home/uk-news/article/16041566
although there appears to be a distinct lack of MPs on this list
that is because it will be illegal for the public to know which MPs are defrauding the country – nice one IPSA – shitheads
I know a lot of business owners, mainly small and medium companies, across may sectors
everybody, without exception agrees there is no incentive AT ALL to stick your neck out to expand
everything is fraught with legislation and extra cost – employing new people, eveing buying a company car
most people I know are keeping their heads down and paying off debt
Which in the medium to long term, will help the economy. Having companies that are cash-rich, or at least not mired to the eyeballs in debt, will be a competitive advantage for the UK when the global economy does start to pick up.
Doesn’t necessarily help much with the immediate crisis, except that it’s better for companies to tick over steadily than spend themselves into receivership when interest rates start to rise again.
So what’s to do. Borrow more and run up a bigger labour defecit, or take the medicine and reduce the borrowing.
We know what Miliband and Balls would say, but they, thank goodness, are not in government. Anyway labour speak, labour lie.
Cameron & Co, are spending more than shithead Brown. There have been no real term cuts at all.
I will wevolutionise Bwitain
Like my father and his fwend Tony Benn… my idols…
In fact – Ronald Reagan asked the American public in a 1980 presidential debate with Jimmy Carter, “Are you better off than you were four years ago?”
So your starting premise is bollox. Osborne has not promised to leave people better off – in fact he has only promised austerity.
The current economic circumstance and inheritance has nothing in common with America in 1980.
it was appropriate in 2010 – but of course in 2001 and 2005 thanks to spend spend spend and borrow borrow borrow the public DID feel better off. its that spending mania which means that we are now paying for.
So maybe Mr F you will amend your post accordingly
ha fat chance.
Its a great political stunt to say “are you better off”.
Many people get older, accumulate more stuff, pay off their mortgage, get promotions.
They said such things about 10 years of thatcherism, which was very true for me because in 1979 my personal wealth was limited to a few conkers, a goldfish, and a badly constructed airfix Gazelle.
I see what you mean sockpuppet when Thatcher was elected my personal Wealth consited of several “well thumbed” copies of “Fiesta” and “Whitehouse” .Ah the memories 1970′s bush mmmmmm
We keep telling you, tax cuts won’t be effected till nearer the next election, even though that may be way too late to have an economic effect.
Osborne does have a tricky problem, at the moment. Public spending significantly higher than tax receipts, inflation higher than desirable, American and European debt crises stagnating the world economy to the point where growth looks likely to be slow or non-existent for some time.
He needs to cut public spending (with the aim of eliminating the deficit), but cutting it faster than the private sector can take up the employment slack is undesirable. He needs to control inflation, but he can’t do much about world commodity prices, at least until the pound strengthens and reduces the cost of imports – but that would hinder exporters, who he needs to encourage now.
Tax cuts would help to encourage the private sector, but he needs all the tax revenue he can get at the moment. We know from the 1980s that reducing some tax rates can increase tax revenue by stimulating economic activity. A gamble – but a far better bet than trying to stimulate growth by increasing public spending.
Germany buying up Greece as it privatizes. Now there’s a surprise.
If at first you don’t succeed with guns…
Zunächst?
Forgive me for being a bit dim, while accepting deficit reduction is of paramount importance, what about DEBT reduction? Or doesn’t this matter any more?
Well, obviously you need a surplus to do that. Once the annual deficit is paid down (Ha!) then an annual surplus will be needed to actually eat into the debt. Can anyone see politicians of any hue allowing a surplus, instead of embarking on their next costly vanity project? Regrettably, I can’t.
True – but you can’t start to erode the debt until you’ve got the deficit eliminated.
Blessed are the wealth creators. Come on osbone cut empolyers NI
O/T not a whisper in MSM about the ‘dear Freddy’ letter. Was it a hoax or are our would-be masters keeping it under wraps?
It’s easy, a coward’s approach, to cut rather than be responsible & make good investment which leads to growth & prosperity for all. From a good education comes a better chance to earn & contribute more to growth. From affordable housing & “retirement villages” releases capital into the economy without locking it in back-breaking terrorizing mortgages & pensioners with nothing more than a roof to take care of them or relying on “charity” is a loser’s cause. From good, efficient, health care, prevention rather than cure, comes less sickness waste.
The knife is no long-term solution & will only severe some good ties & benefit a few who want something for nothing & that just won’t do in the 21st century.
If this were all true then the amount Brown spent in the last 10 years would have turned the UK into a paradise, its youth all leading scientists and geniuses, so why can’t half of them even read?
So where does all this ‘investment’ come from? High rates of tax on ordinary people and private sector companies, slowing their economic activity; or from borrowing – and we already have a debt crisis.
It’s a complete myth that public spending syimulates the economy. It stifles it. If you don’t believe me, go away and think about it.
Hmmm Tory tax cuts largely helped the rich get richer and shifted the burden of taxation onto indirect taxes which hit you and me unless we live in a hut and spend nowt. Labour of course with their complicated tax credits just squeezed the middle even more. Both parties have no agenda that helps your average Joe and Jolene.
Reagan eh Guido?
Would that be the same Reagan who increased govt spending for 7 of his eight years in office, grew the size of federal government, negotiated with islamic fundamentalist terrorists and lied about it, gave an amnesty to 2.8 million illegal immigrants and managed to double the US deficit during his time in power?
what great medicine that was…..
Guido,
I cannot see the guidance I gave you on the proper uses of ‘compliment’ and ‘complement’ on this page, though I notice you have corrected your initial error. You complain that others do not acknowledge their debt to you. Are you not in this instance guilty of the same offence? Please re-instate my original comment.