The government is using Brexit as a scapegoat forits own failures
David Lammy, the Deputy Prime Minister, chose last week to reopen the issue of the UK rejoining the EU. Asked if we will go back into the customs union, Lammy not only refused to rule it out, but seemed enthusiastic about it. “That is not currently our policy. That’s not currently where we are. But […]
Investment can boost growth – if it comes with technological progress
The need to boost the UK’s rate of economic growth was a central theme of the first budget delivered by Rachel Reeves, the Chancellor. Reeves emphasised the importance of increasing the amount of investment which takes place in the UK. She sees this as the key way to raise growth. To this end, she announced […]
How will the bond markets react to the Budget?
For all the government’s promises of stability and hoped-for reductions in interest rates, UK yields on government bonds are now, in fact, very similar to the levels to which they rose under the ill-fated Truss government, says Paul Ormerod There has been a huge amount of speculation about the Budget. Later today we will of […]
If done right, Rishi Sunak’s towns fund will reap huge rewards and end decades of top-down strategies
Nurses’ pay has been one of the biggest flash points of last week’s budget. But, the Chancellor also stirred up lesser, but no less important, furores. One of these was the list of places which are set to receive money from a whole string of new initiatives for the regions. For example, under the Towns […]
Budget 2021: The political consensus on low taxes could be completely wrong
In the run up to most Budgets there is almost always one key question shaping debate: should the screws be tightened or the floodgates opened? This time round, a near unanimous consensus has arisen. Taxes should not go up, for fear of jeopardising the recovery. Even the Leader of the Labour Party has signed up to […]
The OBR’s forecasts should be taken not just with a pinch of salt, but with the contents of an entire mine
There has been a great deal of crowing in metropolitan liberal circles over the report of the Office for Budget Responsibility (OBR), published with the Budget last week. The OBR revised downwards its projections for GDP growth for each of the next five years. Annual average growth to 2022 is predicted to be just 1.4 […]
