The worst government since... the last one!
Growth is occurring, says Robin Mitchinson, it's just that this government can't seem to foster it...
I am at a loss to understand why our politicians and the media are constantly talking-down Britain.
Almost every day we hear gloomy statements about the economy, ‘triple-dip’ recession, the debt burden etc, but little that is positive. In any case Office of Budget Responsbility and Office for National Statistics numbers are almost always wrong because they are published straight out of the egg.
Growth, we are told, is almost non-existent. But this in itself only tell part of the story.
Sure, construction is markedly down on 2011, partly due to Osborne’s bad decision to cut capital spending (which he only marginally adjusted in his non-budget). New house building might be stimulated by the ‘mortgage guarantee’ crust that little George tossed at the hoi polloi, although it is more likely to encourage reckless borrowing and a new housing bubble.
North Sea oil and gas is down, largely because predatory taxing by Brown (and not rectified by Osborne) has been a major disincentive to investment. But - and I have not seen this reported anywhere - the industry now has the technology to extract 90 percent of the known reserves whereas hitherto 60 percent was the best that could be expected.
Manufacturing overall has been something of a disappointment, but capital equipment is up by no less than 21 percent since the 2009 low, and vehicle manufacturing is up by a staggering 46 percent.
Unemployment is the lowest in the EU area, and despite large cuts in the public sector, there are more people in work than ever before. An emerging issue is a good rate of growth in high-skill sectors. Our poor education system is unlikely to supply the demand for skilled people, which means immigration. If Teresa May’s addlepated immigration policy is any guide, we may have a problem.
Overall, there is a good rate of growth in 75 percent of the economy.
But the underlying problem is that we have the worst government since – well – the last one!
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