Tag Archives: policy

These are SOME of the pressing issues Rishi Sunak is facing

Rishi Sunak and money: he’s not Chancellor any more but he is the richest man in Parliament. If he really knows how to bring in the readies, then the current crisis should be a cinch for him. Right?

He’s about to be installed as prime minister – but what is Rishi Sunak actually going to do?

Of course the pro pundits have been filling the airwaves with their opinions. Here’s a video:

Oh dear. We’re in recession already. As if those of us on the bottom rung of the economic ladder needed to know that!

But that’s just an economic analysis. There are other issues. Like this:

And there’s a huge trust issue to overcome:

How well do you think he’ll do?

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Kwarteng is in a hole – and he’s STILL digging out unpopular policies!

Amazing.

Having realised his decision to cut the 45p tax rate was unpopular, Kwasi Kwarteng has reversed it (alongside his prime minister, Liz Truss). He will also bring forward his budget from November 23 to this month, to address concerns that it is unfunded and unviable.

But then he ruined it all by announcing new policies that are going to send voters running to other parties. They include:

£18 billion of cuts to public services – the amount that would be raised by a rise in Corporation Tax – and this is just the start.

A real-terms cut in benefits (yet to be announced but understood to be on the way).

And he’s still:

Removing the cap on bankers’ bonuses.

Cancelling the rise in Corporation Tax.

Here’s more in-depth information:

Bear in mind what Phil Moorhouse says about the reason the Tories shaft poor people: because they don’t vote in great enough numbers to harm Conservative electoral chances. It’s only when their cruelty seems likely to affect middle-class voters (like when many of them claimed Universal Credit during Covid-19 lockdown) that they make political – not economic – decisions that are intended to placate those voters.

This is the reason Tory MPs are developing a social conscience in the face of Truss’s – and Kwarteng’s – policies; they don’t want to upset their voters.

So if you’re a benefit claimant who has been shafted by Kwarteng and his bandits time and again – but you don’t vote – I have to ask: why do you have such a death wish?

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How Liz Truss is ruining the economy, the Pound and her electoral chances [VIDEOS]

No comment from me on this – I’m just putting forward clips by other commentators on Liz Truss’s latest blunders.

Enjoy:

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Jacob Rees-Mogg shows how powerless Commons Speaker is

Commons Speaker Lindsay Hoyle tried to put Jacob Rees-Mogg in his place after the Business Secretary took details of a new policy to the media rather than announcing it to Parliament first, as is required.

But Hoyle has no power here. Nor does Parliament. Rees-Mogg’s behaviour shows us that the UK’s democracy is flatlining.

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An economist trashes Liz Truss on her policies

Liz Truss and money: she doesn’t understand it and her fiscal policy reflects that.

The Liz Truss Tory administration’s focus on growth is a public relations stunt, it seems, from what an Oxford professor of macroeconomics has to say about it.

Simon Wren-Lewis, who write’s the Mainly Macro blog, has published a harsh critique of Truss’s plan for 2.5 per cent growth.

He says the concentration on building the economy represents a PR departure from previous Tory governments that have let it shrink – but none of her proposed tactics will achieve this strategy goal.

In particular, policies that promote inequality (tax cuts, lifting the cap on bankers’ bonuses, refusing to impose a windfall tax on energy producers) may be based on a notion that greater inequality encourages growth – but this is not true; the evidence suggests no such association or the exact opposite.

Higher inequality, in fact, reduces growth. In contrast, there is a wealth of evidence to show that lower inequality might promote it. Furthermore, fiscal measures that favour the rich were tried by George Osborne and did nothing to stop, but may even have assisted, the last 12 years of UK economic decline.

Truss’s other big idea is to cut back on regulation. This is nonsense because of Brexit, which has increased red tape exponentially.

And we have a perfect example of how de-regulation hinders growth in her plan to review (read: scrap) anti-obesity measures. As Professor Wren-Lewis states,

it is clear that more obese people implies a greater burden on the NHS, requiring either higher taxes to fund it or a reduction in social welfare as other care is rationed.

Also the reduction of regulations to keep our beaches clean of sewage means more people taking holidays abroad and fewer overseas tourists coming to the UK.

Even the 2.5 per cent growth target is wrong, according to Prof Wren-Lewis; GDP per head is what assists social welfare, not GDP as a whole, so the target is for the wrong thing. It is an empty gesture – like sacking the Treasury’s permanent secretary for no reason other than to show things have changed.

The verdict is that

this decade or more of economic decline will not end by cutting taxes, deregulation, making exporting harder, and increasing inequality.

Either Truss is lying to us while trying to create an extremely short-term bounce that might win an election for her – or she is monumentally stupid. Which do you think it is?

Source: mainly macro: Going for growth?

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Will Liz Truss’s new policies appeal to target voters? Probably not!

The bank holiday weekend may be over, but this article is being produced in the period before everybody goes back to work – so I’m still putting up material that has interested me – and I hope it interests you. Make of it what you will:

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Truss in a rush to get policies out before Parliament closes for conference season

Liz Truss: will her performance this week set the benchmarks for everything we can expect from her in the future?

After a week trailing King Charles around the UK like a lost puppy, Liz Truss is going to have to show whether she has prime ministerial chops (whatever that means) – and fast.

Parliament will be open for four days this week – before going back into recess for the conference season.

But in that time, it seems, Truss will want to rush out a support package to help businesses cope with rising energy prices, a statement on possibly cutting waiting times for National Health Service treatment and her much promised tax cuts to try to spur growth.

She will also meet US President Joe Biden at the UN General Assembly on Wednesday after meeting other leaders who had travelled to take part in the queen’s funeral.

This is the meeting that was allegedly delayed because of an investigation into whether Truss’s chief of staff, Mark Fullbrook, was involved in bribery and corruption in a recent Puerto Rican election.

And her fiscal statement, or mini budget, is expected to be delivered by Chancellor Kwasi Kwarteng on Friday, when he is expected to scrap an increase in national insurance contributions and freeze the UK’s already historically-low corporation tax.

Kwarteng will also give an estimated cost for the energy package, but it will be up to Jacob Rees-Mogg’s Department for Business, Energy and Industrial Strategy to offer the detail. He may also officially announce the end to caps on bankers’ bonuses, that was trailed last week.

The fiscal statement will follow Thursday’s decision by the Bank of England on whether to raise interest rates to fight inflation – seemingly moving in an opposing direction to Kwarteng, whose tax cuts could stoke prices.

And then there will be another long break for the party conferences. Will Truss use it to prepare for what threatens to be a gruelling Parliamentary season to come? We’ll be able to draw our conclusions from her performance over the next few days.

Source: Truss faces whirlwind week as politics resumes after queen’s funeral

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Will the policies of Liz Truss sink the Tories for good? [VIDEO]

Liz Truss: her policies are likely to fail and the electorate are likely to hate her in less than a year. What then?

Here’s some good commentary, courtesy of A Different Bias, of which This Writer had not heard previously.

Skip to 1:11 in (past the stuff about liking and subscribing to the channel), and we’re into a discussion of the most popular policies of the Johnson half-ministry: all of them involving massive state intervention; most of them being lies.

But the Tories are about cutting state intervention, which isn’t popular.

At the moment, all eyes and ears are on whether Truss will support a policy of freezing energy bills, in line with a plan put forward by Ovo Energy last week, and also the Labour Party. It seems likely that Truss’s plan will cost us all in the long term (effectively we take out loans from the energy companies and pay them back on top of our bills later) while also costing four times as much as Labour’s, so Keir Starmer will be able to say that she stole his policy and did it badly.

If that happens, she’ll be extremely unpopular and so will the Tories.

Her MPs won’t be happy, for reasons laid out in the video. What will they do?

Boris Johnson has already hinted that he might come back, with his reference to Cincinnatus, a Roman general who quit to become a farmer, then returned to his former role again.

Will the Tories really accept him back into their bosom after the nightmare of the last three years?

And will he even be able to come back, if the Privileges Committee inquiry into Partygate finds he should be thrown out of Parliament?

Here’s the clip:

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Patel insists Rwanda is safe for asylum-seekers – despite expert advice on torture

Priti Patel: she’s not one to listen to advice she doesn’t like.

The Home Secretary has confirmed that she is ignoring the advice of an adviser who said the Rwandan government tortures political opponents, in pushing her policy of deporting asylum-seekers there.

Priti Patel insisted that Rwanda was a “safe country”.

She said the comments had been made by “officials in a different government department”.

She added: “But of course it is the Home Office who has led the economic development migration partnership which is our resettlement partnership to Rwanda. Rwanda is a safe country and all our work with the government of Rwanda shows that.”

She was responding to a High Court judgment that seven statements by an adviser should be made public in advance of a Supreme Court ruling on whether the Rwanda deportation policy is legal.

A judge ruled that a further four statements should not be published as they could potentially harm international relations.

It is not unreasonable – on the face of it – for the government to seek advice and then ignore what it is told.

Governments may take opinions from multiple sources before forming their own opinions and policy.

But this has the potential to blow up in the Tory government’s collective face, if the decision to ignore warnings about this foreign government leads to asylum-seekers being harmed.

Court ruling on Rwanda comments that should be published forces questions on those that won’t

Illegal policy? Priti Patel announced the plan to deport asylum seekers arriving in the UK to Rwanda back in April. But a first flight there was aborted at the last minute as the legality of the scheme was challenged.

The High Court has ruled that a government adviser’s comment that Rwanda’s government tortures and kills political opponents – and six others – should be published ahead of a legal battle to decide whether deportations to that country are legal.

But four further comments by the same person were judged necessary to keep entirely secret because of the damage they would do to international relations between the UK and that country.

This leads to an obvious question:

Given the incendiary nature of the “torture” comment, how damning were the four that are being kept secret? And how can the UK’s Tory government justify sending asylum seekers to Rwanda after being provided with such information?

In his ruling, Lord Justice Lewis said:

“I recognise that there is a strong public interest in not undermining international relations with a friendly state. Nonetheless, that consideration is outweighed by the public interest in ensuring access to relevant information in this litigation and by the extent to which the information is already in the public domain.”

Migrants identified for the first aborted flight, and three media organisations – BBC News, including BBC Two’s Newsnight, The Times and The Guardian newspapers – sought the disclosure of the material.

The judge said given September’s major legal action had to decide whether sending asylum seekers to Rwanda was lawful, the claimants and the court needed to consider as much evidence as possible.

He said some of the official’s comments would have “evidential significance” – and the public interest in disclosing them outweighed the government’s case for keeping them secret.

The government has been allowed time to consider an appeal. If the judgment stands, the comments are likely to emerge in public in September.

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