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Osborne Is Going To Run A Surplus

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Because the expansion of private debt will be so big. Probably also forecasting a huge surge in overseas buyers to London on the back of rising prices.

New public debt is virtually the mirror image of private debt with the external account the balancing factor.

Then boom, inflation rises pushing interest rates up and the whole thing collapses causing needless uncertainty and pain for thousands of regular folk whilst the financial sector and government make out like bandits.

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http://www.dailymail.co.uk/news/article-2438641/Chancellor-George-Osborne-Battle-turn-Britain-over.html

'Battle to turn Britain around is not over': Osborne's warning as he vows to get a grip on nation's finances and freeze fuel duty

Chancellor cautions that family finances will not improve overnight

He rejected Labour's dangerous plan to 'fix prices and confiscate wealth'

No rise in fuel duty before election if savings can be found

New £300m 'work for the dole' scheme to launch within 6 months

Benefits claimants will have to do 30 hours a week in a work placement

The irony lost on him with trying to "fix" house prices then?

I'm interested to know about the battle to turn Britain around, is he saying the last 30 or 40 years have been a political failure?

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By doing what we did before The Cretin Brown took over?

The budget was in surplus while Gordon Brown was Chancellor.

UK-budget-deficit-and-par-008.jpg

http://www.theguardian.com/news/datablog/2010/oct/18/deficit-debt-government-borrowing-data

It is overall debt (public and private) along with interest repayments that are key. It doesn't matter who resides at number 11 Downing Street.

Edited by 98% Chimp

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Hes talking absolute waffle, remember he is the election strategist, all he is doing is trying to maneuver labour, in the publics eye, into the old role of the party that does not" fix the roof whilst the sun is shining" remember that meme before the last election?

Cheap shot, from a 2nd rate chancellor that routinely gets his economic predictions wrong.

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The budget was in surplus while Gordon Brown was Chancellor.

Erm, doesn't that chart show The Cretin Brown running a deficit from 2002 onwards? And that was during the middle of an epic credit bubble.

Also bear in mind that it's the direction of travel that matters. Spending decisions made today won't really show up until 2016/17.

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Erm, doesn't that chart show The Cretin Brown running a deficit from 2002 onwards? And that was during the middle of an epic credit bubble.

Also bear in mind that it's the direction of travel that matters. Spending decisions made today won't really show up until 2016/17.

That's good because Gidiot Osborne's doing his level best to engineer an even bigger credit bubble than Brown's.

http://www.telegraph.co.uk/finance/personalfinance/houseprices/10344481/UK-house-prices-to-rise-by-a-quarter-with-London-average-to-hit-500000-by-2018-CEBR.html

A think tank has upgraded its forecasts in figures that will trigger yet more concern about the long-term effects of the Government's Help to Buy cheap credit scheme to kick-start the property market.

The Centre for Economics and Business Research (CEBR) said prices across the country will rise 2.9 per cent to an average of £225,000 this year, followed by a 3.9 per cent jump in 2014. Between now and 2018, the average UK price will jump 23.7 per cent to a record of £278,000.

In London house prices will leap 43.5 per cent by 2018, pushing average values in the capital up to a staggering £566,000.

The figures came as the Bank of England revealed the number of mortgage approvals hit their highest level for five-and-a-half years in August and estate agent Haart predicted housing transactions will rise by up to 15 per cent over the next 12 months.

CEBR economist Daniel Solomon said the Government's Help to Buy scheme had provided a "shot in the arm" to the market. But he insisted that talk of a house price bubble was "premature" and that a housing shortage was a bigger factor.

He said: "This is not a case of houses being built on sand. The housing market recovery we are seeing rests on firm economic and demographic foundations. At least for now."

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That's good because Gidiot Osborne's doing his level best to engineer an even bigger credit bubble than Brown's.

http://www.telegraph.co.uk/finance/personalfinance/houseprices/10344481/UK-house-prices-to-rise-by-a-quarter-with-London-average-to-hit-500000-by-2018-CEBR.html

CEBR economist Daniel Solomon said the Government's Help to Buy scheme had provided a "shot in the arm" to the market. But he insisted that talk of a house price bubble was "premature" and that a housing shortage was a bigger factor.

He said: "This is not a case of houses being built on sand. The housing market recovery we are seeing rests on firm economic and demographic foundations. At least for now."

Shot in the arm?! ..... just what the debt junkies need!

The UK is addicted to ridiculous house prices .... only a complete financial meltdown will stop this madness.

"Firm economic and demographic foundations"??!! Can I have some of the stuff he's smoking? The economy is still hooked on debt ... nothing substantial has changed since the last crash .....

Edited by DebtFree2011

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<br />Hes talking absolute waffle, remember he is the election strategist, all he is doing is trying to maneuver labour, in the publics eye, into the old role of the party that does not" fix the roof whilst the sun is shining"  remember that meme before the last election?<br /><br />Cheap shot, from a 2nd rate chancellor that routinely gets his economic predictions wrong.<br />
<br /><br /><br />

and don't forget, their only shot at power in 2015 will be via another coalition, so they can promise the moon and know they'll never have to actually make good on it, which is probably what they're doing

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....yeah...and his pet mouse is going to put a man on the moon ..there's delusional ..and then there is just plain 'out of touch' ...why take the pain when it was all Nuliebour waste which brought us to this point.......he'll need to get fracking and quick ...it would be less laughable if he told us how he was going to do it...but then ...maybe not.. :rolleyes:

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The budget was in surplus while Gordon Brown was Chancellor.

...no...just as he took over ...he soon trashed it to heights we have never been before and possibly unlikely to recover without major financial surgery and biting the bullet ..before it is too late.... :rolleyes:

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Running a budget surplus when they can't even get the deficit under £100bn? 'Delusional' doesn't even come close. Maybe they really do think the economic cycle is about to relaunch.

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Running a budget surplus when they can't even get the deficit under £100bn? 'Delusional' doesn't even come close. Maybe they really do think the economic cycle is about to relaunch.

Correct.

We're going through Recession now with Depression to come next.

450px-Economic_cycle.svg.png

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Running a budget surplus when they can't even get the deficit under £100bn? 'Delusional' doesn't even come close. Maybe they really do think the economic cycle is about to relaunch.

From what I heard today he seems to think it's just a normal economic cycle and that we're basically going through a replay of the early 1980s - and that a boom is about to start, keeping him in power for years to come.

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Running a budget surplus when they can't even get the deficit under £100bn? 'Delusional' doesn't even come close. Maybe they really do think the economic cycle is about to relaunch.

.. and turning the UK into the world's biggest offshore tax avoidance center ..

It's surprising that a policy of making small-but-unpleasant cuts that hit the worst off, whilst hiking pensions and legitimizing the wholesale avoidance of corporate taxation (see the most recent Private Eye for an excruciatingly detailed breakdown), is failing to close the deficit.

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From what I heard today he seems to think it's just a normal economic cycle and that we're basically going through a replay of the early 1980s - and that a boom is about to start, keeping him in power for years to come.

Someone had better tell him that the oil's gone and there is no room left for private credit expansion..

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Lets not forget all these deficit figures do not include the OFF BALANCE SHEET PFI schemes, which are still being paid for from the core cost structure...

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If New Labour didn't fix the roof whilst the sun was shinning, then Osboune and co are the ones intent on dismantling it altogether...

I'm frankly staggered the Tories still have their apologists on this board .. just like the new labour nutters before their death rattle.

Stunning.

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Lets not forget all these deficit figures do not include the OFF BALANCE SHEET PFI schemes, which are still being paid for from the core cost structure...

And, of course, he could just take that debt onto the government's books, thus paying 2-3% instead of 20% interest. Which would also mean that he could cut the deficit AND increase NHS funding in one go..

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