The latest UK GDP numbers were better than expected, but it would still be dangerous to raise taxes in the March Budget. This would be far too soon after a year when the economy contracted by nearly 10% and with a renewed decline almost certain this quarter. To recap, UK GDP rose by 1.2% m/m in December … Continue reading Big freeze in GDP should keep tax hikes on ice too
Tag: Brexit
The UK government should still be cutting corporation tax, not raising it
Corporation tax hikes are apparently back on the agenda for the March Budget, with the Financial Times suggesting that the Chancellor believes it would be fair to ask businesses for more after taxpayer support during pandemic. This argument might score a few points with focus groups and play well on social media, but it is … Continue reading The UK government should still be cutting corporation tax, not raising it
A ‘thumbs up’ to the Brexit deal
The agreement reached between the UK and the EU is as good a deal as we were ever likely to get. I will leave others to comment in detail on the legal and technical aspects, but here are five key points (my personal views) on the economics. First, it important to be clear about the … Continue reading A ‘thumbs up’ to the Brexit deal
12 reasons to be more cheerful about the UK economy in 2021
I know 2021 will be another tough year for many people and businesses, but I’m aiming here to provide some counterbalance to the more negative commentary you can easily find elsewhere... 1. The household sector (in aggregate) has built up substantial savings during the pandemic that could be used to fuel a strong recovery in … Continue reading 12 reasons to be more cheerful about the UK economy in 2021
Plain-speaking Economics 