Worries persist about the cost of living, as food and energy prices rise, alongside cuts to universal credit. But the PM insisted his plan for a higher wage, higher skilled economy would offer a long-term solution.
Speaking to the BBC’s Andrew Marr on the first day of Conservative Party conference, Mr Johnson said: “There will be a period of adjustment, but that is what I think we need to see.”
Asked if he would raise taxes again, Mr Johnson replied: “If I can possibly avoid it, I do not want to raise taxes again. I can tell you that you have no fiercer and more zealous opponent of unnecessary tax rises than me, but we have had to deal with a pandemic on a scale which this country has not seen before in our lifetimes and long before. We don’t want to raise taxes, of course we don’t, but what we will not do is be irresponsible with the public finances 1.”
Cabinet members are warning against any further tax increases, with Leader of the House, Jacob Rees-Mogg, telling the Times the UK was taxed “as highly as the country can afford”, and Business Secretary Kwasi Kwarteng saying: “We can’t tax our way to wealth.”
Asked about job shortages and supply issues in shops and on petrol forecourts, the PM insisted the lack of lorry drivers - affecting the delivery of goods - was not just a UK issue, claiming the United States and China were seeing similar problems, as well as some countries in Europe. And he said the petrol shortages were “very largely driven by demand”, adding: “I understand people’s frustrations and I understand how infuriating it is when you turn up and can’t get any. But we are making sure we have the supplementary drivers where necessary.”
Mr Johnson called out those who wanted to “go back to the tired, failed old model” of “reaching for the lever called uncontrolled immigration” to bring people into the country to fill the job gaps. But he did not reject comments made by Mr Sunak, who told the Daily Mail the “very real” shortages could affect Christmas,
Instead the PM said the country was going through a “period of adjustment” post-Brexit and needed to look to a future of “better paid, better skilled jobs” for British people.
Mr Johnson added: “What we had for decades was a system whereby [sectors like] the road haulage industry… were not investing in the truck stops, not improving conditions, not improving pay and we relied on very hard working people who were willing to come in, largely from European accession countries, to do that work under those conditions. What you need to do is make sure that people now invest in basic equipment, such as truck stops, and better pay. When people voted for change in 2016 [over Brexit] and when people voted for change again in 2019…they voted for the end of a broken model of the UK economy that relied on low wages and low skill and chronic low productivity and we are moving away from that. 2”
1 This coming from the man who gave away billions to his cronies in the course of the current pandemic …
2 Are we indeed? I shall look forward to the evidence … if it ever arrives …