David Vance SubstackRead More
Once again, you would need to have a heart of stone not to laugh at the pathetic attempts of UK chancellor Rachel Reeves to pass off shocking economic statistics as “positive”!
“The UK economy returned to growth for the first time in three months, but the expansion was less than expected”
Can you please define this magical growth?
The 0.1% uptick in November was driven by trade for pubs, restaurants and the construction industry, after it shrank in October and September.
Ah, 0.1% is the “growth”! That sounds up like a convenient statistical rounding up by an ever obliging ONS to me. December was always going to show a tiny flicker of activity because of Christmas but does it support the narrative of an economy that is moving into growth mode? I think not!!
The figures come after recent turbulence in financial markets sent the UK’s borrowing costs to the highest level for several years and the value of the pound down. Rachel Reeves and those in government around her try to deflect this and suggest that the reasons for this economic stalling are to do international issues such as the eminent inauguration of Donald Trump. But I think this is fundamentally deceptive because the causes for the UK economic decline lie in Reeves disastrous budget from last October and no amount of a weasel words is going to disguise that!
The truth of the matter is that you cannot tax your way into economic growth. This is the most basic economic lesson and yet one that Rachel Reeves and her autobot leader Sir Keir Starmer seem unwilling or unable to grasp.
Views: 15
