Britain is permanently poorer, and the British state weaker, as a result of Covid, the collapse in GDP and the gargantuan debt binge that has kept us going. Our economy is the most socialised it has ever been outside of war, and we have resorted to the printing presses to finance spending in a shockingly unprecedented way, pushing the great fiat money experiment close to breaking point. We will spend a lot more every year even after the virus is gone, which will necessitate tens of billions worth of tax hikes or spending cuts merely to stabilise the debt.
That, in summary, is the economic devastation described or implied by the Office for Budget Responsibility (OBR) in what is easily the most terrifying official economic assessment from a developed nation I have ever read. The fact that much of the spending was necessary, that we can “afford” it (in the sense of being able to borrow more), that interest rates are dementedly low and that growth will bounce back with the vaccine, is no consolation. » | Allister Heath | Wednesday, November 25, 2020
That the UK is going ahead with Brexit at this time of national emergency and a once in a century pandemic is both stupid and irresponsible. Brexit was always a ridiculous idea. At this time, when the UK economy is on its beam ends, it is criminal. Also, keeping interest rates as low as they have been for about eleven years is the height of irresponsible management of the economy. BoJo should resign. – © Mark
