U.K. Leader Liz Truss’s Plan for Tax Cuts and New Spending Takes a Page From Reaganomics

[BabyBoomer50s]

From today’s WSJ

U.K. Leader Liz Truss’s Plan for Tax Cuts and New Spending Takes a Page From Reaganomics​

The new prime minister is betting that the former U.S. president’s policy formula will revive the British economy​

“Ms. Truss’ economic plan goes well beyond a short-term bailout by offering permanent tax cuts, making it a far broader attempt to spur growth. JPMorgan Chase & Co. had expected the U.K. economy to shrink 0.5% next year, but revised its forecast following the announcement of the energy subsidy to growth of 0.2%.”

 

[iso36]

Oops.

 

[oggbashan]

Oops indeed. Chancellor sacked. New Chancellor tears up everything and reverses tax cuts and Truss is teetering on being sacked.

 

[Btq97]

They have dug thru the bottom of the barrel and are now struggling to find intelligent life.
Boris got rid of anyone that disagreed with him
Truss is a disaster
There is no compromise candidate that all wings can get behind and not sure there is a mechanism to get rid of Truss short of a tragic car crash or some how cutting her own head off whilst cleaning her teeth

But they will cling on to power for as long as they can as who knows something might turn up not sure what

Better to slash and burn and destroy as much as they can and salt the earth behind them as they know they face decades in the wilderness. so that they can sit in opposition lick their wounds and say how much better things were when they were in power.

 

[colddiesel]

Truss has to go, she is totally inept. Her likely replacement, Sunak could do pretty much what he pleased so long as it has no trace of Truss. Don't forget, the Tories have a majority of 100 and even in very difficult circumstances it would be almost impossible to lose all of that in one election, an election 2 years down the track. I could however, see a situation with Labour winning most seats and the Lib Dems holding the balance of power ahead of a Tory rump.

But the Tories need to dump Truss quick smart.

 

[PotNoodle79]

Brady has just gone into No. 10.
She's fucked.

 

[oggbashan]

Part of the problem with any UK government with a large majority is that it encourages dissidents to flourish because they have such a significant advantage. Even if ten MPs rebel, it won't make any difference in a vote. Even if they voted against the government instead of abstaining, the government would still win the vote.

So those unhappy, for whatever reason, feel they can express their concern.

It has happened to Labour and Conservative governments in the past.

A government that has a slim majority such as up to half a dozen, knows it is vulnerable and the MPs must vote with the government or face a General Election. Party discipline is everything then. But the Conservative Party's discipline is useless at present.

Having said that - the Labour Party's discipline is crap as well. Sir Keith Starmer might say 'Don't appear on picket lines with striking workers' but the large Corbynite rump will just put two fingers in the air to him (one finger for Americans). The Labour party at present is even more split than the Conservatives which is worrying. They have two strong factions fighting each other while the Conservatives have more small groups.

 

[Btq97]

recent polls show the torry party being all but wiped out. unless they can turn it round so we all get a world beating NHS with all the DRs and Dentists required to meet demand, a baby unicorn, a world beating stated education sector, add your own items - but they are fucked - i will be taking a day off work the day after the election so that i can stay up to watch the mewling pencil made flesh loose his seat along with a whole raft of cabinet members.

The Johnson fans wont stand for sunak
the party faithful did not want a brown person in charge

 

[iso36]

I wonder how much of the UK’s accelerated instability has to do with the change in Monarchs?

 

[Btq97]

none - this is all to do with the fall out from Boris , brexit

 

[oggbashan]

The Magic Money Tree.

Liz Truss's mini-budget cut taxes and therefore government income without saying how the functions of government would be funded. She believed that growth would produce money to fund the difference. It was a modified version of the magic money tree that the Labour Party and trade unions believed existed since WW2.

The Labour Party's 2020 manifesto was probably the worst-ever example of belief in the magic money tree. It promised significant and expensive proposals that required massive amounts of money without saying how they would be funded. The gap between the promises and the money was huge.

The trade unions now striking - the rail workers and the Royal Mail workers also believe in the magic money tree.

Rail: The rail companies lost significant revenue during Covid. Many workers now work from home either several days a week or almost all the time, not commuting by rail. The passenger numbers have not recovered to pre-Covid levels and it is doubtful they ever will. Yet they were losing money before Covid. The rail unions are demanding pay increases to match inflation. Every day that they strike, the rail companies lose millions of pounds to add to the existing losses. The strikes are encouraging those who can to work from home, reducing passenger numbers. The rail companies cannot afford massive pay increases. They were losing money; they are now losing more. If the workers return to work, even without a pay increase, the rail companies will have to make thousands of redundancies just to minimize their losses.

Royal Mail: Like the rail companies, they were losing money and the strikes add to their financial problems and encourage users to seek other delivery companies. After the strikes, Royal Mail will have to slim down drastically and find ways of reducing its losses. that would mean drastic changes in working practices and the loss of thousands of jobs.


Yet the unions still believe in a magic money tree that will produce money from nowhere to pay for the wage demands. They think that the government will pump more money into Rail and Royal Mail to pay for their demands. But the government hasn't got a magic money tree either. They can't afford to keep supporting loss-making industries.

 

[colddiesel]

Brady has just gone into No. 10.
She's fucked.

For the 99% of Litsters who have no idea who Brady is, Sir Graham Stuart Brady is the Chairman of the 1922 Committee which articulates the collective views of the Tory back bench members. He has told two PM's (May and Johnson) that they no longer have the support of their own members, thus assuring their exit from office. It appears that he is about to achieve a unique hat trick of Prime Ministerial executions.

 

[Darkweather]

At this stage, a plank of wood would be a better option as PM.

 

[Btq97]

Bye Bye Liz She has just gone

 

[Darkweather]

Bye Bye Liz She has just gone

and the pound surges!

 

[oggbashan]

One of the standard questions UK paramedics are trained to ask people who have a possible concussion, after 'What is your name?' is 'Who is the Prime Minister?'. I think they will have to change that.

 

[Btq97]

https://twitter.com/x/status/1583208615971762177

You gotta love the BBC when they take the piss

with this lot they do not have to.
just get hold of the loons and give them a microphone
the death of a once great party - never voted for them never will but they had some giants back in the day
Borris saw all the big beasts off as they knew he was a chavy fuck wit out for himself and could see the damage that brexit etc would cause.
but now sit back and watch as not even the truth goes beyond satire and seemingly intelligent people argue the BJ should be PM again,