The warning signs have been clear for some time, and yet George Osborne and David Cameron have chosen to ignore them. Now, even friends on the right are in despair over the economic incompetence of this shambolick government.
According to Philip Aldrick, the Daily Telegraph’s Economics Editor “George Osborne will be wincing this morning. Applauded internationally for his austerity programme, at home he’s facing brickbats. Forget the pasties and the Granny Tax, though: Britain has double-dipped. The Chancellor’s insistence that the best stimulus he could give the country was low interest rates, driven by market confidence, has self-evidently failed. The UK is in recession again.”
Here’s what Larry Elliot writing in the Guardian says:
“In the past, even during the 1930s, recoveries have been well under way by now. This time, despite the massive stimulus that has been chucked at it, four years into the deepest depression of the post-war era Britain is going backwards.”
Adding that “Output is more than 4% below its peak in early 2008, living standards are falling and there is no sign whatsoever of the much-heralded rebalancing of the economy.”
Here’s what the New Statesman’s Economics Editor David Blanchflower said about Osbourne’s emergency budget in June 2010: “I am now convinced that as a result of this reckless Budget the UK will suffer a double-dip recession or worse”.
However, Mehdi Hasan makes the point in the latest issue of the New Statesman that “the Austerians won’t give up without a fight. They seem to have two tactics. The first is to blame the lack of growth on anything other than the cuts – be it the Euro crisis, the weather, health-and-safety regulations, the family dog, etc, etc.”
It’s time for Osborne to change plan, listen to wiser heads and start dealing with the lack of growth in the economy. We can’t pay off debt if we aren’t putting people to work and generating income. The Tory handbag economics that insists that we run the country like a household budget is wrong, and will continue to do serious damage to the country.