No Growth In The Economy Spells Terrible News For Rachel Reeves!
Instead of growing, the UK economy flatlined. While this is generally bad news, it is made all the worse as the Chancellor, Rachel.
Maximilian Bauer, earned his degree in International Economics and Finance from the University of St. Gallen in Switzerland in 2014. He has dedicated his career to understanding the dynamics of the European Union economies, working as a strategic analyst in German banks and providing consultancy to the European Central Bank. Maximilian is well-versed in global market trends and has a reputation for his in-depth analyses of economic policies and their impacts on international finance.
Crossing your fingers and hoping for growth is not a literate economic policy. Reeves is just more of the some – neo liberal, trickledown economics. Its BS whether its blue or red.
I disagree raising taxes with not stimulate growth. Having a stable set of taxes is more likely whilst trying to find more opportunities to trade. Changing taxes and regulations every year stops business’s from taking additional risk.
Keynes
Freedom of movement, more cheap labour
These growth figures relate to the Tory government
The Tory media are always going to blame labour .
It does appear that there is an aggressive attempt by the media to discredit whatever Labour policy is put forward before it has even seen the light of day. Labour have been in power for 2 months. The Tories were in power for 14 years causing the current mess. It seems that the powers that be are trying to return us to Tory rule as quickly as possible.
To stimulate the economy Governments spend money on infrastructure and services, 76% of money spent by the Governments returns to the Government in taxes. Racheal Reeves has a ART degree and she spent more time in Westminster (14 years) than working in banking/finance sectors (5 years). My shoes know more about the economy than she does!
The sad reality is the Tories burnt bridges. The EU have no appetite to revisit anything related to the UK's membership of the EU. Rejoin winning with a huge majority tomorrow does little or nothing in the short and medium term. Now we are poorer and have no access to the EU markets, investment is less keen.
We can still borrow and raise taxes. But raising tax removes money from the economy so unless you immediately invest into something big to stimulate the economy, people will have less to spend and the downward spiral continues. But what to spend big on? Are there enough skilled people here to make any big investment a reality in reasonable time. Channel 4 have a documentary called Skint, I feel his recommendations seemed reasonably sound.
Oh dear didn’t we say her policies was austerity plus and that Labour was just two cheeks of the Tory arse, they got onto power with not a credible shred of a plan for growth, she gave wage increase to workers where there is no money but to pay for the give away taxes are going up, we will have high tax and austerity with no growth Libour are only going to last one term because they aren’t going to make things better
What the FK we had growth up until Labour took over, But look at their policies ,Only growth on labours noses,
This was predicted.
Labour have adopted the Tory economical model of Brexit.
What has surprised me is how fast things are going south.
The only growth we had recently came from the mass immigration that the Tories had.
Make Brexit Work!
Firstly, they could tax the profiteering privatised utilities that continue to rake in billions collectively while charging unaffordable amounts to consumers. I'm not talking about the windfall taxes that Starmer seems to have forgotten promising, I mean serious permanent taxes on these companies' sky-high incomes. They have for years allowed shareholders to pocket enormous amounts without first investing back into the infrastructure, that needs to stop.
They also need to close loopholes that allow individuals and companies to hide billions offshore. The super rich whine incessantly about not wanting to 9ay for services used by ordinary folk, but the reality is that in terms of proportion of income, they don't even pay their fair share equivalent to ordinary workers. I favour a Nordic-style social demivdacy. Their taxes may appear high, but those taxes are properly invested in society. We psy similar rates of tax to our Norduc neighbours but get bog-all in return. There's no point being the seventh or eighth strongest economy in the world if most of the population are suffering.
June, the Tories were still in power and July, Parliament wasn't sitting. You need to see Labour start applying some policies before you can assess their handling of the economy. For the last two months, the press have been aping despair at the rolling over of the devastation left by the BrexiCons and blaming this all on Labour.
Labour haven't actually said they'd apply austerity, it's mostly been their detractors, making the worst possible conclusions over what they've mentioned in passing. Rachel Reeves understands Keynesian economics, having spoken about it in the past, so we might want to hope for ways to fix the economy via Keynesian means, while creatively using the leeway available in their manifesto.
Just remember that a responsibility established in a manifesto can create a mandate to shelve less important promises or those made impractical by circumstances. Also, they could just drop a manifesto commitment or two. If the Conservatives had honoured their 2015 manifesto, we would not have left the single market.
Austerity is a choice
We've had 14 years of Tory austerity and here we are, so Labour think yet more years of austerity will create growth. Rachel Reeves needs to stop having her little chats with George Osborne.
Measuring the health of the economy with GDP is akin to saying the depth of a lake determines its quality with more depth being a good thing. We can raise the level of the lake by filling it with pollutants. The lake will be deeper but everything within it is suffering. The fact is we need proper measures that actually mean something and are tangible.
Misinformation. Lefty their will never be growth under labour. Who don't support capitalism and business which pays for everything
The problem is they are as committed to neoliberal economics as the Tories were. It will be more of the same as the last 14 years because they are in the pocket of the oligarchs who really run the UK. I made a mistake voting for Labour. To coin a phrase they are one side of the arse we have lived under since Thatcher came to power.
Got to fix brexit. They can't keep ignoring it forever.
We need to suck on the EU's giant thing and hope they will want us back lol. I will do anything at this point 😛
The economy has been flat lining for 2 years. 0.5 or 0.3 growth is still 0
Exactly. She can't cut and expect progress
Did Labour say they'd cut public services?
Have labour actually used public finances to invest in new developments? If the private sector aren't building and growing, and the government aren't building and growing.. where the fuck are you expecting to get growth?
So ultimately, we know the tories are economically illiterate… The clear question now; is Reeves economically illiterate?