Labour Affairs
Analysis by the Ernest Bevin Society
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चैनल निर्माण की तिथिЖовт 04, 2023
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01.04.202508:09
💥 The Workhouse Party
Keir Starmer took a decision some years
ago to change the electoral base of the
Labour Party so that many people, who
would traditionally vote Conservative or
Liberal Democrat, might now vote Labour
or at least abstain from voting for their usual party. A major tactic to achieve this result was a commitment to fiscal rectitude.
Starmer named Rachel Reeves as his
proposed chancellor and she proclaimed
from the rooftops the two fiscal rules
which meant she could be trusted with the economy. She reiterated her commitment to these fiscal rules in her Spring Statement on 26th March.
However the fiscal rules created a very
immediate problem for Reeves. The first
fiscal rule requires that current government spending should be matched by taxation within 5 years. Since this was not likely to happen Reeves was left with two choices, cut current government spending or increase taxes. Since Reeves had also committed to not increasing income taxes, her two choices collapsed to one choice, cut current government spending.
➡️Subscribe:
https://www.atholbooks-sales.org/
⚠️ Follow us on Telegram: https://t.me/LabourAffairs
📚 Read more: https://labouraffairs.com
Keir Starmer took a decision some years
ago to change the electoral base of the
Labour Party so that many people, who
would traditionally vote Conservative or
Liberal Democrat, might now vote Labour
or at least abstain from voting for their usual party. A major tactic to achieve this result was a commitment to fiscal rectitude.
Starmer named Rachel Reeves as his
proposed chancellor and she proclaimed
from the rooftops the two fiscal rules
which meant she could be trusted with the economy. She reiterated her commitment to these fiscal rules in her Spring Statement on 26th March.
However the fiscal rules created a very
immediate problem for Reeves. The first
fiscal rule requires that current government spending should be matched by taxation within 5 years. Since this was not likely to happen Reeves was left with two choices, cut current government spending or increase taxes. Since Reeves had also committed to not increasing income taxes, her two choices collapsed to one choice, cut current government spending.
➡️Subscribe:
https://www.atholbooks-sales.org/
⚠️ Follow us on Telegram: https://t.me/LabourAffairs
📚 Read more: https://labouraffairs.com
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