Chancellor Kwasi Kwarteng delivered a mini budget unfit to purpose by giving away a large slice of the government’s current income to rely heavily on borrowing instead. Cuts in government income and National Insurance is sure to have an impact on this government’s abilities to deliver on previous promises of improvements to the NHS and the seemingly forgotten pledge of ‘ levelling-up’. What’s also gone from the mandate of which this government was elected to do is the commitment to ‘Net Zero’ by scrapping or postponing the funding which was set aside to do this. So on almost all mandates from the 2019 Conservative Election Manifesto they have broken almost every Election Pledge. This goes to show that the Tories can’t be trusted to deliver.
Trickle Down Economics doesn’t work
Now Kwarteng is gambling with the economy. He has tried to convince us that he is a genius but instead he has shown that he has only a rudimentary grasp of economics. His most recent attempt shows that he can master smoke and mirrors. The majority of us in the UK will receive a mere 1 penny in the pound amounting to 2 bars of soap and a litre of milk over the course of a month and we are supposed to be grateful for that: whilst the rich benefit disproportionately. This is another attempt to install a failed economic theory first tried out by Margaret Thatcher. It didn’t work then and it won’t work now. It’s not a new idea it’s a rehash of Thatcherism. Trickle down economics doesn’t work. All it does is increase the divide between the rich and the poor and opens the door for the richest to exploit the poorest with unemployment and wage slashing.
To achieve this Kwarteng has sacrificed the government’s income and instead has reverted to borrowing to keep the County afloat. This equates to a situation of being afloat in the middle of the ocean in a boat full of holes which is sinking, whilst sending out a Mayday call to the Super Rich to come and rescue us. I doubt there will be much interest as the Rich will just remain at home counting their increased riches which this mini budget has so kindly laid at their doorstep.