It is astonishing how many people are willing to claim that the UK would not be facing a cost of living crisis if Brexit had not happened, or if the Tories were not in power, and that the Chancellor has done nothing to help. This is – to use a technical economics term – cobblers. … Continue reading Tough times ahead, but Britain is still doing better than the EU
In his Spring Statement speech the Chancellor made the eye-catching claim that ‘in the next financial year, we’re forecast to spend £83 billion on debt interest’. This £83 billion figure was widely understood to be the amount that the government would actually pay out in interest in 2022-23. This has prompted lots of unfavourable comparisons … Continue reading Is the UK government really about to spend £83 billion on debt interest?
Here’s something you might not expect to read: ‘chapeau’ to the French economy, which has been one of Europe’s star performers since the pandemic. But what, if anything, can we in the UK learn from this? First, some numbers. The French economy has bounced back relatively quickly. GDP was about one per cent higher in … Continue reading Some French lessons for Rishi Sunak
Spare a thought for the staff of the Office for Budget Responsibility (OBR), beavering away on a new set of economic and fiscal forecasts for the Chancellor’s Spring Statement on 23rd March. The fallout from the Russian invasion of Ukraine has made a difficulty task almost impossible. It makes sense to present a range of … Continue reading Too soon to write off the recovery – or raise taxes