+ + + GDP in Q2 2011 Grew by 0.2% + + +

Not good, but not the contraction or complete stagnation that some commentators were predicting and Labour were praying for.

No doubt Balls will be warming up in Millbank right about now anyway. Except on VAT, his solution isn’t the correct one. Ignore the cries for a Plan B, what is needed Plan A+: Cut VAT as suggested by IMF, raise income tax threshold to £10k immediately, and actually start cutting the size of the state, rather than slowing down the rate of its expansion.

It’s going to be a long day of bickering…




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