This fiscal rule would leave governments free to borrow for infrastructure investments – but day-to-day spending would be paid through your and my taxes.
Posts Tagged: Deficit
Yes, some rises are inevitable. But they must be balanced by spending reductions elsewhere if economic policy is to be practicable and coherent.
The Secretary of State for Exiting the European Union cites the way in which the OBR repeatedly fails to predict the deficit as an example of inevitable modelling errors.
Lower interest rates and monetary manipulation have been presented as the solution to our economic woes. But increasingly they create them.
In the post-leave springtime, it will be worth considering what would happen if all three were abolished and replaced by a single Turnover Tax.
Whatever happened to the Big Society? 1) Steve Moore: It could have worked had spending been cut Canada-Style
We must keep asking: ‘what’s the right level to pursue social repair?’ The nation is too large; the individual is too small. The community remains the right place.
Which taxes should Tories cut? 3) Julian Jessop: Reduce sin taxes and property taxes to give the economy a fillip
The final article in our series argues that while the primary focus should be deficit reduction, there may yet be room to make life a bit easier, particularly for the poorest.
The Moggcast. “Russia is a rogue state”, and we should use “a Magnitsky-style law” to “target people close to the Kremlin”
Why he believes Brexit will make life harder for Putin. Plus: Can Hammond hold course in today’s Spring Statement? And how does faith fit into public life?
Nicky Morgan: It’s too soon to abandon fiscal discipline, but the Spring Statement is a chance to communicate our vision
Day-to-day spending being brought back into balance is good news, and it makes some spending decisions easier, but beware hype about the ‘end of austerity’.
However the Wyre Forest MP is less optimistic than some about the prospect of a ‘Brexit dividend’ which will further boost public spending.
“But we are still in the tunnel at the moment. We have to get debt down. We’ve got all sorts of other things we want to do.”
It’s later than Osborne planned, but good news nonetheless. Now Hammond must hold the course, and resist siren calls to start splashing the cash.
Economically, it could be transformational, as it has been in Norway, which established its fund back in the early 1990s. It is now worth over a trillion dollars.
It continues to clear the deficit, prepare for Brexit, and back our businesses with the support they need to boost productivity.
The Shadow Chancellor doesn’t know the current cost of debt interest.