June 21st, 2013

Osborne Borrowed More Last Year

Turns out government borrowing actually rose last year. Revised ONS figures show public sector borrowing for 2012-13 was £118.8 billion, up from £118.5 billion the year before. This week’s Speccie cover article gets to the point:

“When the Chancellor stands up to present his spending review next Wednesday it will be with the reputation of a crazed axeman. Much of the country, whether it thinks it a good thing or not, subscribes to the belief that George Osborne is shrinking the state year-on-year, slicing here, chopping there. In a recent poll 58 per cent of respondents agreed with the proposition that Osborne’s ‘austerity drive’ is ‘harming the economy’… Osborne is no mad axeman but a bodger blundering around with a blunt chisel.”

Osborne wants to portray himself as a responsible, sound money Chancellor making tough choices, streamlining an overbearing state and making government more efficient. The truth is borrowing, and as the graph below shows, spending is still going up:

The Treasury is pushing the fact that borrowing fell last month year-on-year, which is encouraging. But to say they are not doing enough is an understatement…

See also: Tale of Two Austerities


95 Comments

  1. 1
    Jeffrey says:

    Calm down dear

    I am just tring to catch up with Banzai Balls

    They call be crash bang Puffery in the Treasury now…

    Like

    • 2
      Jeffrey says:

      me, sorry

      Like

    • 7
      CarryHole is a porcine homunculus says:

      George OsBrown?

      Like

    • 36
      Liar.Politicians says:

      George Osborne is a lefty, he loves his Keynesian economics. No wonder the UK is totally screwed, MPs top degrees, PPE, law, history have no relevance to the real world at all, a handful only ever studied real HARD sciences (physics, chemistry, biology, engineering – like David Davis did).

      Like

      • 74
        National Socialist says:

        Please define your idea of what a “lefty” is.

        He’s certainly no national socialist as most of the 42 points in the last blog, national socialist would ascribe to.

        So that would possibly make him and INTERNATIONAL socialist i.e. the cosmopolitan type. That would surely explain a lot, wouldn’t it?

        And lastly I whole heartedly agree with your view on economics not being a real science. The cosmopolitans got that Nobel prize added via the “back door” well after poor old Nobel set up the foundation. So you then strangely go on to denounce Keynesian economics… why not all economics???

        Are you really a Hayekian economics (Austrian/Frankfurt Schools) so beloved of the cosmopolitans. At least Keynes was English FFS!!!

        Like

  2. 3
    The EU has failed says:

    It has always been stated by the government that borrowing would grow in total. It is mind-blowing how people can not understand this. And this talk of ‘austerity’ is therefore complete bollocks.

    Like

    • 11
      Up shit creek says:

      And no paddles left

      http://www.debtbombshell.com/

      Like

    • 23
      How to get growth and turn the EU into a good thing says:

      i) Decapitation strike: Hellfire or JDAM’s via drone delivery on Strasbourg / Brussels.

      ii) Carpet bomb the more developed parts: But not France – G’erman industrial towns would be good.

      iii) Manage the finances for rebuilding.

      Done.

      Like

  3. 4
    Mr Gove. says:

    What sort of trendline is that supposed to be.
    Please see me.

    Like

  4. 5
    Witty Moniker says:

    The talk of austerity does more damage than the (non-)austerity itself.

    Like

    • 9
      CarryHole is a porcine homunculus says:

      The lack of austerity, and the response of borrowing and ruination of savers is causing ALL the damage.

      Like

  5. 6
    Here we go again says:

    Nuts whole hazelcuts

    And so on…

    Like

  6. 8
    8illy Kebab says:

    oh yes, that is what we thought

    Like

  7. 10

    The only thing that has been cut, at the very time when cuts were vitally necessary, were the cuts themselves.

    Like

    • 15
      Emo Kid says:

      You are talking my language.

      Like

    • 18
      The BBC causes serious mental illness says:

      The main thing which was cut was inward investment.

      The one thing that probably should not have been cut.

      Like

    • 32
      Franklin Roosevelt says:

      Sounds like something I might have said.

      On the other hand, I never would have advocated for cuts; I brought the “fascism of the velvet glove” to America via the New Deal, remember?

      I believe you call it “Labour” over there?

      Like

      • 38
        CarryHole is a porcine homunculus says:

        I think you mean you extended the duration of the great depression massively.

        Like

        • 88
          FDR says:

          Well, I choked off the recovery of 1937 because, as a good Keynesian, I wanted to abolish “Boom & Bust.” I had just gotten re-elected in a landslide, everybody either had a job or a federal make-work boondoggle pay check, so they didn’t much care at that point, they were just glad the worst was over.

          In other words, I created a large bureaucracy and a benefits-client electorate. I saved the world. Just like Labour.

          Like

    • 91
      Old Blind Pugh says:

      Cat, possibly not continue glory projects and thing like them and then when we can afford them go ahead with them. That is what I would do, how many continuing jobs did the Olympic games create and the jobs that were created were taken by foreigners.

      Like

  8. 12
    The BBC causes serious mental illness says:

    So long as the country is lending enough to balance this, and possibly such that we are receiving slightly more income than expenditure, this is no problem.

    After Brown it is very wise not to trust the Chancellor. Darling gave us the first hint that all was stuffed. George is not as good as Darling.

    Like

  9. 14
    Ed Balls says:

    It’s all flat lines to me

    Like

    • 17
      Empty Ed says:

      Do shut up Ed and go back to the Coop

      Ton Baldwin says he should have a pussy riot

      Like

      • 21
        Lefty Unions and Harriet Harman are brain-fuck'd says:

        Surely Pussy Riot is off the menu as you cannot have a pussy riot if you are going to deny women the right to use their vagina’s to defeat fascism ?

        Or is it Communism ?

        One thing that is clear: Ed Balls is a total waste of space who probably gave them a laugh at the Bilderberg meeting with his singular lack of ‘anything’.

        Oh well – better go to Latam for some growth: The Euro-Loser-Zone is toast.

        Any news on that referendum to get out of it ?

        Like

  10. 16
    Snorting coke and fucking the UK in Canary Wharf says:

    Bovver’d.

    Like

    • 20
      Canary Wharf banker says:

      We had an overdose yesterday

      That’s why the market fell out of bed…

      We are trying to be serious today…

      But don’t forget to short the shit out of the bond market

      Like

  11. 19
    man v woman says:

    Like

  12. 24
    Calamity Clegg, Chief Cockroach says:

    I WILL N O T ALLOW OSBORNE TO CUT PUBLIC SPENDING !

    Like

    • 29
      Point of Information says:

      Day to day spending is going to be going up now as the investment which was cut and could have been put into projects to reduce overall spending and improve efficiency.

      This has probably left large chunks of government, in particular the bits which were modernizing IT in a state of expensive disarray.

      Knock on effect: Capital will now be mis-allocated, as instead of developing useful tech / processes etc., staff will now be hired on to push the paper around much as they were back in the 80s.

      Curiously this did not stop a lot of money being spunked on Siemens, pardon the pun. There must be some brown envelopes there if one looks hard enough.

      Like

      • 34
        Government auditor says:

        There are no white envelopes left in Whitehall since the New Labour Mob passed through

        It is all bung, deny it and run…surrounded by bent lawyers….

        Like

      • 43
        CarryHole is a porcine homunculus says:

        You don’t invest in government. Government metastasises. The only way to get efficiency in the extortion funded sector is for it to just do things that it’s good at.

        e.g. Defence.

        It certainly cannot do skuuls n ospitles

        Like

  13. 26
    Jimmy says:

    It’s almost as if cutting your way out of a recession wasn’t working.

    Who could have foreseen this?

    Like

    • 28
      Jimmy the Dhimmi says:

      Bring back Gordon’s Banana Republic !

      Like

      • 30
        Noose Watch says:

        Introducing the new ‘Brown Hemp’ : Designed for the larger gentleman and featuring new lamp-post-friendly grappling hooks.

        Chillax with a smoke and a swinging brownie.

        Like

        • 42
          The British Heavy Equipment Industry Association says:

          We should like to offer our services. We have cranes and bucket lifts you may find more satisfactory for the purpose.

          If you will pardon the expression, let us do all the “heavy lifting,” if you will, which this endeavour will require.

          Like

    • 31
      Cesspit City banker says:

      No one except for us

      We have managed to flummox all the economists

      We have separated the financial markets from the real economy

      We have separated our private interests from those of the banks themselves

      And everyone is fucked except for us and a few of our favoured clients

      And just to make you all happy, we tuck all our profit up in offshore tax havens, leaving the mountain of debts for you poor window lickers

      Like

    • 41
      Economist says:

      You are spot on Jimmy.

      Cutting Public Investment, but not cutting Public Expenditure is not a good way of getting out of a recession.

      However, the main cause of the recession is only domestic insofar as a large chunk of the country is overly dependent on government and largely unproductive. (Labour ** genius ** legacy…)

      The main impact of the recession, except for those who have had benefits that should never have been created in the first place cut, has been mainly psychological. Cutting personal spending and clearing old debts is not a bad thing on a personal level.

      Osborne’s handling is not great. The biggest failing though is government continuing to prop up the fiction of inflated UK house prices.

      That also is what is doing most damage to the economy at all levels right now.

      Like

      • 47
        CarryHole is a porcine homunculus says:

        “Public Investment”

        Bwahaha. RoI of state spending is negative. Effect of state spending on bureaucratic meddlers is negative for those who deal with the donkeys.

        Cuts to the extortion funded sector and the removing fecklessness rewards are the only way to get growth.

        P.S. Jimmy the tribal Labour monkey still believes in Magic Money trees.

        Like

  14. 27
    Jeffrey says:

    I don’t know why you are all getting worked up about this

    The Bank of England kindly buys most of my debt and is tucking it away for a rainy day

    And they continue QE

    Which we call queasing…

    If you think it sounds like a laxative, it is

    The markets go all runny and start letting out deafening sounds, followed by another noisy crash

    All very funny really

    Invest in property, farmland and equities and wait for Weimar is my only advice…

    Like

  15. 33
    Steve. says:

    German people falling out of love with the Euro, and German Euroskeptisism and Euroskeptic parties on the rise. Has to be good news for those of us who wishto see a Euroland demise.

    http://tinyurl.com/kawd957

    Like

  16. 35
    Owen Jones says:

    Turkey. Brazil. Primrose Hill. Neasden. People fighting for their rights is a beautiful thing

    Like

    • 55
      Living in 97.2% white Merseyside says:

      Brazil is a victim of it’s own success. So far this century 40 million have joined the middle classes and presumably many of those rioting haven’t.

      Then again it may be the middle classes protesting, like in Turkey.

      WTF is happening in Primrose Hill and Neasden?

      Like

      • 70
        Clapham News says:

        Moussa Koussa had a one man riot in his bedsit leaving his sex doll slightly singed around the pubic area.

        Like

  17. 37
    Mr Bone says:

    Mrs Bone says she is very happy

    Like

    • 51
      Andrew Bonar Law PM says:

      How wonderful for her.

      My wife, with whom I had six children, had no complaints, either.

      Like

  18. 39
    davidc says:

    from wiki

    Bodging is a traditional wood-turning craft, using green (unseasoned) wood to make chair legs and other cylindrical parts of chairs.

    in other words a skilled craftsman often but not exclusively found working in and around high wycombe

    on the other hand ‘botcher (poor workmanship)’ seems to adequately describe the Chancellors efforts

    Like

  19. 40
    Webwrights says:

    Yebbut, you haven’t adjusted for inflation. Thus borrowing is down.

    Like

  20. 44
    President Arnie says:

    Chill out!

    Like

  21. 45
    Dave the Eaten Faggot says:

    Never mind this little local difficulty. I’ve done the really important task this last year and progressed Gay Marriage.

    Poodle Tit

    Like

  22. 46
    Fluffy Thoughts says:

    Nominal =/= Real.

    If you have to fix the spazzah-clowns’ (that Blair posited in Cardiff) original statements then of course the goal-posts will move (c.f. Wee-Timmy and his poor betting record). If – however – you discount the nominal £300-million rise in our over-draught and equate 2.4% CPI (or summinck posted back in April ’13) and – breathe – add in the 0.6% [real] growth that the t’Economist has for Q1CY2013 then the sums would suggest that nominal (and – real – percentage GDP) deficit-level has fallen.*

    But; what the feck; I’m wasting my time talking to youse who struggle with counting numbers that have more digits than your hands….

    :off-to-pub:

    * Unless you are an Al-Beeboid m0ng like – ahem – Al-Beebs ‘Economics-Editors’…..

    Like

    • 54
      CarryHole is a porcine homunculus says:

      Your massive overdraft (note speelin) isn’t a problem because you got a bit of a payrise this year (cos the company you work for borrowed some more money)?

      Like

      • 68
        Fluffy Thoughts says:

        Accounts (Year X):

        Income: 100
        Expenditure: 100
        Labour: 100
        Prices: 100
        Deficit: 118.5

        Accounts (Year x + 1)
        Income 103.1 ( ~= 100 + 2.4 + 0.6)
        Labour 100.6 ( ~= real growth)
        Prices 102.4 ( ~= CPI-adjusted year-x)
        Deficit: 118.8

        Now, boys-and-ghouls, get your calculators out and answer this question:

        Is (118.5 / 100)* and (118.8 / 103.1)** – and we are allowing for growth and infaltion – when equated as */** :

        a) a number greater than one,
        b) a number equal to one,
        c) a number less than one, or
        d) “give-me-my-dummy, mummy; man hurting empty space between ear-holes”…?

        Please fill your answer in and submit it to your next benefit-claim office….

        Like

    • 56
      Maximum Imbecile says:

      One eyed-men only see one goal post at a time…

      It helps…

      Like

  23. 50
    Confused, and outside the goldfish bowl says:

    So – to get this straight.

    If I want to get laid in the UK, according to the Unions and Labour, I should not look at mature tasty ladies of child bearing age.

    Instead, following the pattern of Harman and Savile, it is preferable to get a job with the BBC, dress like an idiot, be a total arse-hole and fuck children ?

    No wonder the kids in the UK are forming suicide pacts and jumping in front of trains.

    Wonderful country.

    Like

    • 59
      Living in 97.2% white Merseyside says:

      It’ll be even more wonderful when we have Maggie Thatcher Day!

      Talk about the Loony Right out-loonying the Loony Left.

      Palace of Westminster = World’s most famous loony bin!

      Like

    • 60
      Jobcentre says:

      Alternatively

      You can get a well paid well-pensioned civil service job as a harman in the House of Commons or Lords

      And get your arse felt up and occasionally assaulted…

      Guido could give you a recommendation, if that helps

      Like

    • 61
      Wear a fucking hibab then FFS says:

      I should have the right to wear a short skirt up to my arse crack and a top with a plunging neckline,exposing as much cleavage as said arse crack without men staring or commenting at all.
      The fact these type of clothes are totally impractical in every respect other than making a statement which is ‘look at me’ doesn’t give men the right to look.

      Like

    • 64
      The President of the BBC says:

      Why do you always attack us?

      We are guilty until proved innocent…

      (like Murdoch BTW, so there)..

      Like

  24. 52
    Incapable Vince, deputy Chief Cockroach says:

    I WILL N O T ALLOW OSBORNE TO CUT PUBLIC SPENDING !

    Like

    • 82
      Vote LD for (as yet undisclosed) expenses claims says:

      But you’ll moan to the media that he is. Lying toad.

      Like

  25. 57
    Kebab Times says:

    If Vodaphone (and others) had paid their tax the figures would have been better.

    Like

    • 62
      Living in 97.2% white Merseyside says:

      I’ve been ordering books from Amazon like there’s no tomorrow these last few days.

      They pay little tax and I pay no VAT.

      Like

      • 69
        British consumer says:

        I use Vodaphone to contact Google to buy my books from Amazon

        None of them pay any real taxes

        Or course the country is fucked, and these companies are so “influential” that no Chancellor will any thing to stop it…

        It’s capitalism gone gangster…

        Like

        • 93
          CarryHole is a porcine homunculus says:

          The state is the gangster, not the companies providing you with a service!

          Like

  26. 66
    nellnewman says:

    Not far enough and not fast enough!

    Like

  27. 71
    Owen Jones says:

    The best way to put more money in people’s wallets is to leave it there in the first place – Owen Jones (Ubergruppenfuhrer.. Peoples Assembly)

    Like

    • 75
      British consumer says:

      Yeah…

      And leave the debt for some pussy fairy to pick up…

      It all makes sense…

      Like

  28. 73
    Discourse says:

    I read this site regularly. I concur with the comments condemning Labour corruption and hypocrisy and socialism in general, I find many of the comments very amusing (especially Bill Quango for his genuinely funny posts) but I’d just like to know why so many of you – or maybe it’s just a few who post a lot – are so fixated on gays and gay sex. The sheer volume of posts about it is just bizarre. Leaving aside the matter of protesting too much on the part of some of the commenters, why do other people’s sex lives concern some so much? Particularly those who regard themselves as libertarians, it’s not exactly a liberatarian stance to take. The relentless posts about buggery and “bum sex” reveal more about the poster than anyone or anything else. The frequent racist comments are also distasteful. That aside, as I said, many funny comments, particularly with regards to Gordon Brown.

    Like

  29. 78
    Cull time says:

    It’s simple. There are too many public sector workers.

    Like

  30. 84
    SFG says:

    Adjusted for inflation ?

    Like

    • 87
      Vote LD for (as yet undisclosed) expenses claims says:

      Oh gosh you don’t work for the Beeb do you? (knew it)

      Like

      • 94
        SFG says:

        No,
        I don’t wear sandals and don’t read the Guardian

        I can however look at a figure of £118.8 billion,and another of £118.5 billion and go through a thought process of

        1) Fuck that’s alot of money
        2) But the odd .3 Bn in 120 is hardly a rise, more like a rounding error

        then I also think that Inflation is running at what 3% so unless they have adjusted their numbers for this then that amounts to something like a 3% cut in real terms
        Hardly fireworks time but it’s going in the right direction and it’s miles from the run away increases of the last mob

        Like


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10 Years of Guido | Iain Dale


VOTER-RECALL
Find out more about PLMR


Rob Colvile reviews Russell Brand’s new book:

“Oddly, the person I feel sorriest for isn’t Brand himself – although he certainly comes across as a rather pitiable figure, projecting his own brokenness on to the world around him – but Johann Hari. Drummed out of Fleet Street for plagiarism, the former Independent columnist has washed up as “my mate Johann, who’s been doing research for this book”. For a genuinely talented polemicist, it would have been a humbling experience to have to treat this sub-undergraduate dross as the scintillating wisdom of a philosopher-king.”



Mycroft says:

Have you read the last bit of Animal Farm?

You know where the animals are looking through the Farmhouse window?

My TV screen was that window at lunch-time today.

Be careful, the sudden self-congratulatory tone, the slightly pudgy outline of indulgence and you become exactly what you should despise.

The jolly face of the Quisling Cameron poses for your camera has mesmerised and deceived you, you who were once not so deceived.

You were no firebrand, you were a damp squib in my opinion, sorry.

You need a damned good kick up the ahse!


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