This will cause an interesting debate in parliament. A Labour motion to force any future budget plan to be submitted for review by the Office of Budget Responsibility. We remember that Truss & Kwarteng specifically ducked this and the result was the most disastrously damaging budget ever. Seems sensible then. I wonder how Tory MPs will respond?
Conundrum for the Tories …
After years of being profligate with the public purse, particularly during the COVID pandemic when unprecedented levels of uncontrolled cronyism were displayed, it behoves the Tories, who introduced the OBR, to permit that body to function as intended when, after all, it was one of their own who evaded the OBR and blew up the UK economy with her intentions. (1)
Common sense should prevail but those Tories accustomed to “pocket-fillers” as by-products of government policy would prefer non-intervention by “watchdogs”. How many of those Tories are there?
(1) Reminder:
Ms Truss’ £45bn package of unfunded tax cuts, which she admitted would primarily have benefited the wealthy, sent the pound tumbling, interest rates soaring and culminated with the Bank of England having to intervene to prevent pension markets from collapsing.
She has remained unrepentant about the damage she caused, blaming “institutional bureaucracy” for her downfall. Responding to Labour’s plan she said it “beggars belief” they think “Britain’s problems will be solved by bigger government and even more powers for quangos”. “Hard-working people and businesses - freed from overbearing regulation, tax, and debt - are going to get Britain growing again, not more bureaucrats in London,” she claimed.
The sheer stupidity of the woman and those who believe her …
Economists assembled by Liz Truss have proposed measures including slashing taxes and toughening up benefits requirements to boost economic growth.
The commission, set up by the former prime minister after she left No 10, said its “growth budget” would reverse the “stagnation” in the economy.
“Will no one rid us of this troublesome pest?”
A completely stupid idea. Nothing would ever get done and the whole process would become politicised.
A while ago I saw the recording of an interview of the NZ finance minister. He was basically being challenged on the NZ government approach to benefit fraud versus tax dodging. They were funding x10 of civil servant effort on benefit fraud than tax evasion. However all the data points to tax problem costing their country x20 more than benefit fraud. I wonder what the situation in the UK is?