The Cost Of Austerity

George Osborne at Conservative Spring Forum 20...
Image via Wikipedia

The Guardian are reporting that Chancellor George Osborne last night gave a speech to City bigwigs at Lloyds of London’s annual dinner, promising to stick to his austerity plan despite the lack of recovery in sight.

Having announced during the day that he will give his autumn statement on November 29th, he avoided giving any specific figures. However, he did confirm that in these

“very unsettling times for the economy… this is not a normal economic recovery and…we have all had to revise down our short-term expectations over recent weeks.”

This confirmation that the government’s economic predictions have to be revised down, paving the way for this autumn’s official treasury statement, stands in stark contrast to last autumn’s announcements that

“a steady recovery is under way”

The growth he talked about less than a year ago has completely evaporated with Osborne’s ‘austerity plan’ and other government policies preventing the growth they so want. And it’s not just Labour bloggers like me, or Labour MPs like Ed Balls who are pointing this out now. Even former economic advisers to Cameron have declaimed the government’s desire to place a reduction in deficit – and the size of government – ahead of almost anything else.

The cost of Osborne’s desire to people up and down the nation, losing jobs, losing houses, losing income, is enormous and the results of that cost will be felt for many years to come.

 The speech is here.


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