During the boom years, Brown boosted public expenditure dramatically. Between 2004-8, New Labour increased the budget by 28 percent. In 2005 alone, the budget increased by over 8.1 percent.
When the economy was growing at 3 percent, Brown could plausibly argue that these increases were affordable. Today, he has no such defence. The economy is shrinking, yet New Labour have just kept on spending. This year, the government plans to increase expenditure by a staggering 6.5 percent, while next year, it will grow by a scarcely credible 8.2 percent.
The UK economy simply can not afford these extraordinary increases in public expenditure. Something has to give, and come the next election, it is likely to be Brown. The UK electorate simply will not stand for this kind of wanton recklessness.
Ah yes, but don't you remember the dark days of 2004, when govt spending was £150 billion less than now - the starving orphans with no shoes begging in the street ... oh, hang on ...
ReplyDeleteThe private sector is suffering. How can it compete against a public sector flush with money. There's nothing stopping Jo-blogs in a high pressure job (e.g at a hi-tech company) going into a public sector role (e.g admin) and getting the same money? It's all madness and will end in tears and is not how to build a future. You end up with people in the wrong jobs being incorrectly rewarded.
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