Sunak gets the collection bowl out – and the cosh. But why should we pay?

Tory Chancellor Rishi Sunak wants us to cough up the money he, Boris Johnson and their government have wasted on crony companies that have done nothing – and in some cases weren’t even real (we’re told).

According to the Office of Budget (Ir)Responsibility, by the end of the financial year in March 2021, Johnson is likely to have spent £316.4 billion more than was spent in the previous 12 months.

Not all of it was wasted, even This Writer has to admit. But much of it was – and Sunak is now suggesting that the general public should stump up the cost – even though we’re the ones who have felt the brunt of the harm caused by Covid-19.

And remember, Brexit is likely to take between one and two per cent off the UK economy from January:

And the BBC report states that Sunak

old the Sunday Times people would soon see “the scale of the economic shock laid bare” , indicating taxes might have to start rising next year and there could be spending cuts.

Paul Johnson of the Institute for Fiscal Studies agreed:

Why should we pay a single red cent to cover Sunak’s – and Johnson’s – mistakes?

One of the Tories’ selling-points – on which they stake their reputations and their chances at every election – is that they are the party of financial responsibility. They fool people into voting for them on this premise and then immediately betray those people by throwing money away stupidly.

That is what has happened after every election over the last 10 years, in spite of what David Cameron and George Osborne said about the need for austerity, and in spite of what Johnson and Sunak are saying now.

If you want to get a grip on the scale of Tory waste, visit My Little Crony – the app that shows exactly how the Tories have been siphoning off public funds and giving them to their friends – ostensibly for work to tackle Covid-19 but actually with very little result.

We have very little to do with the way governments spend our money.

We vote according to their promises in election manifestos but, once they’re in office, we can’t force them to honour their promises – and when a crisis like Covid-19 comes along, we have to bow to the inevitability that something had to be done and it had to be funded.

(Was Covid-19 unforeseen, though? Johnson knew about it in November last year – before the election. Why didn’t he mention it?)

Worse, we have no leverage to force a government to keep its spending under control – which would then remove the need for extra taxation. We cannot legally withhold the extra money if the government increases taxes – indeed, we face heavy penalties if we try.

But governments do have alternatives.

There is no laissez-faire in economics. Public demand for goods, services and other commodities changes all the time and it is a matter of good government to anticipate the changes and prepare for them.

So, for example, if a government wanted to divest itself of carbon-fuelled energy and invest in the green economy, in response to public demand and environmental pressures, it might launch a long-term strategy that would involve heavy investment immediately, to be paid off over a long period of time in the future – with no extra burden on the taxpayer. The cash borrowed to carry out the work would be paid down over future decades as the benefits made themselves felt.

This does not work for investments in defence, which carry no immediately-apparent economic benefits beyond the obvious one of a nation remaining free from invasion by its opponents. This is one reason Boris Johnson’s determination to increase defence funding by 10 per cent, at a time of economic trauma to the UK, is confusing.

Sunak doesn’t need to raise taxes. The UK’s borrowing level will decrease – hopefully after the anticipated Covid vaccines arrive. He can impose measures to ensure the costs will be paid off.

He can also make an effort to recoup the cash he wasted on crony companies (although it seems doubtful that he will; the whole point of the exercise seems to have been handing out free money to Tory pals). If he doesn’t, then he’ll be hard-pressed to persuade any of us to part with our cash.

Many of us have lost our jobs. We have lost relatives to the disease because the Tories failed – perhaps deliberately – to contain it. We are poorer and we are demoralised by our government’s lack of ability to get to grips with even the simplest tasks that have been put before it.

And now Sunak wants us to pay up because he can’t do his job properly. What do you think of that?

Have YOU donated to my crowdfunding appeal, raising funds to fight false libel claims by TV celebrities who should know better? These court cases cost a lot of money so every penny will help ensure that wealth doesn’t beat justice.

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2 thoughts on “Sunak gets the collection bowl out – and the cosh. But why should we pay?

  1. Jeffrey Davies

    They given DWP to the serco crowd 7 and half billion pounds to run services hmmm now we dance
    To serco tune

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