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TheCountOfNowhere

Ifs Says Worst Of Uk Spending Cuts Yet To Come

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Yeah and it will ge sold as 'the right thing to do' And 'we can't pass the debt onto the next generation'. (Lulz)

The grey army will lap it up, secured from reality with their triple locks and £800k 5bed homes, prices preserved by younger wage slaves.

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Under current plans, the UK's fiscal consolidation over the next parliament will be largest out of 32 advanced economies, including austerity-hit Greece and Portugal.

Mr Osborne has perhaps not been quite such an austere Chancellor as either his own rhetoric or that of his critics might suggest. He has not cut spending in real terms as much as planned, as inflation has undershot," he said. "One result is that he or his successor will still have a lot of fiscal work to do over the course of the next parliament."

How much borrowing from FY2015-16 is the filthy shit doing, that's what I'd like to know. Off-balance until after the GE...

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Debt Tories are so obsessesd with

Debt interest historically low

What debt crisis?

RBS Economics ‏@RBS_Economics 42m42 minutes ago

Couple of interesting charts from @ifs Green Budget. Debt is up, but interest payments are historically low.

B8_ojvcIQAIiAki.jpg

Pity they won't argue for a smaller state from an economic and philosophical perspective inline with their core beliefs - but I guess it's politics "the art of the possible etc".

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Debt Tories are so obsessesd with

Debt interest historically low

What debt crisis?

RBS Economics ‏@RBS_Economics 42m42 minutes ago

Couple of interesting charts from @ifs Green Budget. Debt is up, but interest payments are historically low.

B8_ojvcIQAIiAki.jpg

The BoE holds £375 billion of it, or about 25% of the total, does it not? So the BoE need the bank rate to stay low so as not to make a loss on it's reserves? Government benefits from low borrowing costs. Borrowers benefit from low borrowing costs. Asset prices rocket. What's not to like and why had they not thought of this before?

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The BoE holds £375 billion of it, or about 25% of the total, does it not? So the BoE need the bank rate to stay low so as not to make a loss on it's reserves? Government benefits from low borrowing costs. Borrowers benefit from low borrowing costs. Asset prices rocket. What's not to like and why had they not thought of this before?

zimbabwe-money.jpg

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The lower the borrowing costs the more capacity for borrowing....until they can borrow no more....saturation point or is that stagnation or pay back time....or the reset point? ;)

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http://www.bbc.co.uk/news/business-31126283

No S*** Shelock.

A better headline would be....spending cuts to start.

Still, house prices will shoot up another 20%

I think whichever party is in control, they will have to make pretty big cuts to things like housing benefit/tax credits. Housing benefit subsidises landlords and keeps prices high but at the expense of the economy. Landlords are already very unpopular and they are ripe for taxing/cutting their benefits. There aren't that many other things that can be cut seeing as pensioner benefits are sacrosanct and ringfenced.

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I think whichever party is in control, they will have to make pretty big cuts to things like housing benefit/tax credits. Housing benefit subsidises landlords and keeps prices high but at the expense of the economy. Landlords are already very unpopular and they are ripe for taxing/cutting their benefits. There aren't that many other things that can be cut seeing as pensioner benefits are sacrosanct and ringfenced.

That was true 5 years ago !!!

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Analysis: BBC economics editor Robert Peston

The IFS's Green Budget starkly illustrates the central economic choice facing voters in May: bigger cuts with a Tory or Tory-led government; higher public sector debt with a Labour one.

That could have been taken virtually word for word from before the 2010 general election.

They've just wasted another 5 years of people's time. If the LibLabCon get back in (and of course that's the most likely outcome although not yet a 100% certainty)

then it's almost certain they'll waste yet another 5 years.

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From Wikipedia

The Spectator published a leader stating that "institutes funded by research grants (which means, usually, tax money) will always argue for more expensive meddling by the state" and that the Institute for Fiscal Studies was "the most striking example" of this.

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It would mean public spending falling to its lowest share of national income since at least 1948, and fewer people working in the public sector than at any time since at least 1971.

A good start, but shouldn't there be some tax cuts too?

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A good start, but shouldn't there be some tax cuts too?

There has been massive tax cuts...for london home owners ( aka MPs ).

They've basically been handed £200K+ in free (QE) over the last 18 months in the form of house equity.

They can sell up at anytime and it's tax free cash in their hand, effectively a tax cut ( or more likely a return of all the taxes they are ever likely to pay ) to londoners. Meanwhile, the rest of the country can't afford to eat.

A great scam and one that needs to be brought to the publics attention.

Everyone should be really p*ssed off with what the MPs and the BoE have done with FLS/HTB(1|2), Immigration and foreign buyers.

Carney should be locked up for fraud with his mate Osborne for the rest of their lives IHMO.

Edited by TheCountOfNowhere

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2% of required to come from increasing tax revenues. Yeah right.

Post election tax rises. They have decided to cut stamp at lower end and raise personal allowances expectations.

Funny that inflation undershoot on the cutting strategy. Ok cut some more, miss targets again... more cuts...

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