Top Tory calls for a cut in living standards

Ian C

So the truth is bad politics?

I think not. How the the truth is used could be bad politics, but the message is true. We have gauged ourselves and we all know it - unless you are dependent on handouts.

Bocephus

Obviously not helpful although some might say stating the bleedin' obvious. He is a backbencher which is at least a saving grace. After all only yesterday the ex-Labour Mayor was telling us we should be looking to China for enlightened wisdom and the top tax should be 75%.

kinglear

And of course he is right. We've all lived beyond our means ( especially the government) and simply keeping the same amount of debt is going to make life difficult. But there isn't a painless way to do this - life is going to be very unpleasant for lots of people for some time - and the sooner everyone realises it the quicker it will be over.

GJTory

This isn't really any different from saying that Consumption should fall as a proportion of GDP. It isn't exactly controversial. Most people surely have already worked out that they need to save more and that taxes are going up. That's a cut in consumption = cut in living standards.

That said, if a Labour politician who gets hold of it and twists the words and pins it on the tories in their usual economically illiterate way...

Alfred T Mahan

I didn't read John Redwood's blog as ADVOCATING a cut in living standards - it was stating as a matter of objective analysis that that is what is going to happen as a result of the overspending that's been allowed to fester under this government. That is what the market is clearly telling us.

I think it's a ridiculous and mischievous misreading of his point.

Kardinal Birkutzki

It's just ridiulous..this is quite manifestly true: we have all leveraged up and lived beyond our means (with the connivance and encouragement of various governments worldwide) yet, as soon as someone mentions the elephant in the room they are shouted down. We cannot hope to move forward until we admit the nature of the situation, however playground-simple it may be at heart. But we can't even start because the Labour Party and the BBC have an election to win in over a year's time...

Jim

Why is it the Tories seem to have a death wish? Earlier we had Phillip Hammond saying it would be impossible to find savings in public expenditure, and now we have Redwood telling us we all have to start eating bread and dripping.

What about the £billions being thrown away on illegal wars? £20 billion on ID cards? £70 billion on management consultants? £20 billion on the NHS and other questionable government IT systems? £100 billion plus on quangos which generate no revenue at all? £8 billion to educate the world? £6 billion to cure aids? Financial aid to India, a country which has its own space program? Brown even sends financial aid to China for heavens sake.

Please, Tories, if you really can't udnerstand what's needed to balance Britain's books, ask the average person on the street.

But for pity's sake don't tell us you can't see how to cut public spending, and then that the answer is that we all have to go hungry and live in cold homes.

A huge number of us doing that already.

That's why we desperately need to believe you understand what needs to be done.

Don't fail us now.

C Powell

He's stating the obvious. Once Labour actually introduce all the taxes they're intending all our living standards will be reduced. And they're reduced if we take on debt which we have to pay back or if prices go up. We would not be in the mess we're in if we had spend at least some of the past 11 years living within our means. I think you're being wimpish in thinking that what he's saying is a problem. It's what ordinary people have been saying for a while and what they would like government to do is to make sure that the state cuts back and lives within our means too. What we resent is cutting back but seeing the state spend more and more as if our money were unlimited.

William Blake's Ghost

David Blackburn - who's he? Sounds more like Tony Blackburn on the basis of this. Pure propaganda!

Rex Burr

It will happen naturally as a result of the fall in the value of sterling and the collapse of our ability to pay our way in the world.
We are doing very little to justify our existence in the world economy.
When we can no longer afford to buy their products China and India have home markets big enough to keep their industries working and their universities are churning out the scientists and engineers to do those things that we naively thought we would be needed for when all our basic industries had gone.
We have yet to invest in an enormous nuclear power program to keep the lights on, while our industries are in such a parlous state that most of the capital equipment for such a program will have to be imported. How will we pay for it?

Patrick

But look at the PBR: it forecasts a real decline in household consumption in 2009 of minus 1.5 to minus 1% (Table A5 on page 169). Even so, the household savings ratio is only 2.75% in that year. So maybe the government won't be smart trying to make hay out of these particular comments.

TGF UKIP

Who is this clown David Blackburn - not another misplaced Guardianista like Korski surely?

Doubtless, there will be the usual disowning, tut tutting and whimpering from Cameron and Co but Redwood of course is dead right and the entire country knows he's right.

If the Pusillanimous Pair who "lead" the Tory had the nous and balls to say that with UK personal debt at over 1.5 trillion and government debt heading fast to a trillion and beyond, major cuts in spending are inevitable if ever the country is going to get back on an even keel,then the country might start to believe in Swampy Dave and Boy George.

Pat

We're committed to paying a trillion or so to various lenders over the next few years. Doing this will reduce living standards. Maybe we can borrow even more, say to put off the evil day until after the election (or maybe no-one will lend to us) but falling living standards are inevitable, at least relative to what they could have been. If the electorate can't see that (what little evidence I have indicates they can) then they deserve even lower living standards-and will get them.

Colin

He's spot on.

Arthur

Redwood is right, therefore he is politically wrong. That about sums up New Britain.

Max Kaye

So cutting expenditure to meet our impoverished status is a bad thing?

The alternative has been tried for decades - and will be paid for for decades to come.

wight tory

In many ways the country is doing this anyway, its what we are all doing, whether you want to or not, needs must and all that.

D MCGREGOR

Redwood was born after his time , who knows what heights he might have reached without the televised unguarded moments.

Forlornehope

It's not what you say, but the way that you say it. As the song goes!

Alex

Redwood is effectively saying; "We need to live within our means". Which is correct.

HJ

Just think - if the Tory party had been consistently saying for years that the boom was entirely debt-fuelled and that it was thus unsustainable (as some of us have known all along), they could now be saying "See - we told the truth all along. It just wasn't popular at the time". This would have earned them some respect.

I rather think that people would (eventually) have appreciated the truth and rewarded them for it. However, it is never too late to start - so well done John Redwood.

Random Lurker

We're all going to be worse off over the next few years. Either we rack up yet more debt in a vain attempt to prop up the style of living to which we've become accustomed, or we do the sensible thing: spend less. That means we eat and drink less and more cheaply; we don't go out so often; we take fewer and less expensive holidays; we make things like cars last instead of buying new every few years ... in short, our standard of living decreases. Arguably no bad thing. And he's dead right.

Athesius the Facilitator

John Redwood is right. He is also a good man who try's very hard in the 'orrible nether-world he moves in to be honest and pragmatic. It does not seem to work I'm sorry to say.

Ken

But he just happens to be 1 trillion times right! Problem is Broon and his ship of fools are economic illiterates.

Canon Alberic

Bring back Lisa Hilton.

What a woefully ignorant cynical article. Just in case you have forgotten Mrs Thatcher won in 1979 (and afterwards) by being pretty brutally honest about what needed to be done; people disliked even hated her but they knew she was right. I dont want to be living on crusts as a sado-monetarist but I read John Redwoods compelling analysis and thought "Why isnt he shadow chancellor?".

Thats the elephant trap Brown is setting for you; trimming, apologising for telling the truth and then finding it doesnt "add up".

TomTom

It is obvious that the Government has huge tax increases ahead so The State can survive on the back of the taxpayer.

Living standards are falling through energy pricing designed to defray the cost of new power stations, user-fees, and tax measures plus the caualisation and zero-hours contracts floating around.

John Redwood merely states that the future will reflect Britain's economic output rather than its credit expansion....he is so much more open and honest than those who prattle on about "work/life balance" as if we are guaranteed an annuity rather than having to produce for an income

strapworld

It is obvious reading both the sacrastic David Blackburn (Who is he??) and most of the comments above, that this Country does not want honest politicians.

It is as plain as a pike staff that we in this country have spent far too much both individually and collectively.

John Redwood has pointed out the truth. Clearly and unambiguously he has written the TRUTH!.

Now labour lovies and guardianistas will jump on this because they dont want 'public spending' to be cut. BUT we all have to face facts.

Thank goodness we have one politician, honest enough to spell it out.

Of course he will get slated but at least he can "To himself be true"

Well done JOHN REDWOOD.

Obnoxio The Clown

What a load of cock. We HAVE been living beyond our means as a country. I'm tightening my belt, everybody else (especially the government) should do the same.

bill

I agree, who is David Blackburn?

Of course living standards are not only going to fall, they have foe so me people for quite some time.

Andy

So politicians shouldn't tell the truth, is that what you're saying? Of course standards of living will fall, particularly for pensioners who will find that their savings are losing value due to falling interest rates and who consequently can't top up their income, while prices of essentials continue to rise.

Andy Leeds

Redwood is quite correct. The problem is the huge Government we are saddled with - the State spends money it does not have. All that will happen is what usually happens - they will debase the coinage.

A pound Sterling had the same value in August 1914 as the on the day Napoleon surrendered his sword 99 years before. That pound today is probably worth about one penny. Such is the debasement of the coinage and most of this drop in value has occurred since 1946 after the Bank of England was nationalised. Now why was that one wonders ??

Marian C

John Redwood is spot on; any BF with half a brain knows that.

Does anybody know who this David Blackburn is? Where is the Speccie getting these idiots from (oops I mean journalists). It was bad enough reading the drivel written by Lisa (someone), but this is way beyond drivel; it makes Lisa's writing almost interesting.

Lord Elvis of Paisley

David Blackburn would appear to be the Spectator's answer to Rosa Prince based on this outing.

biggestaspidistra

"it makes Lisa's writing almost interesting."

That's just crazy talk.

But how can Redwood's remarks seem like anything other than common sense? I dont understand. Surely this is what most people want from politicians.

Fergus Pickering

I agree with most posters. TheTories have to stand for straight talking and honesty, as they did in the great days of Maggie. If they are to equivocate and lie like Labour then what is the point of them? John Redwood is an honest man who tells it the way he sees it. Of which Labour minister could we say the same. And I echo the rest. Who are you, sir? Never heard of you.

Henry Rogers

Come on Speccie,

Give Verity a regular column here on Coffee House. Enough of Daniel, Lisa and David.

You know it makes sense!

Steve

This wouldn't be David Blackburn the Oxford University student journo would it? If so is he by any chance related to some-one in the Speccie management team?

mazza1230

Redwood is of course correct.
Blackburn's has written a shoddy piece of journalism. Where did you find him? Can you send him back there?

Mark

This piece is a mischievous mis-reading of what John Redwood wrote.

Living standards will fall for us in a recession. If you have any doubt, ask a taxi driver: he will tell you that people hail fewer taxis.

And people take fewer and/or cheaper holidays. Particualrly if their currency has fallen steeply against other major currencies as the pound has.

John Redwood's point was that the government should also cut back on its equivalent luxuries.

Common sense. And right.

Dave Clemo

Redwood's right. What's more- we can't depend on or trust the politicians to get us out of this mess.
The answer is simple. Pay off our debts and live within our means. I think they used to call it prudence before some one eyed thief devalued the meaning of the word

oldtimer

Alternatively David Blackburn is merely an alias for someone (Matthew d`Ancona or Fraser Nelson?) to drop a provocative rock into the pond to get a reaction. If that was the intention he, or she, has succeeded.

PS John Redwood is, of course, absolutely correct - our standard of living is about to fall sharply and all thanks to the bungling incompetents who are supposed to be running this unfortunate country.

Minnie Ovens

So The Spectator dislikes someone who tells the truth and is a straight shooter.
Shame on you.

Cath

David have you actually read the article? It seems correct in every respect, particularly in relation to the public sector. It is also painful but true that the ridiculous borrowing which sent houseprices to obscene levels, (in most of the South East a modest semi has been well north of £300K until recently)has got to stop. In fairness to Redwood the difference between his article and the comments by Maples and Lansely is that he properly explains his argument rather than sounding like an "I'm alright jack" politician.

DSR

Henry Rogers - I too hope that Verity can be given a regular airing.

I always find that after reading her offerings my own views seem so much more considered, moderate and balanced.

Alexandrovich.

Henry Rogers: you are Verity/Chocolate Orange Inspector/Jasmine etc. and I claim my five quid.

Roger Thornhill

This is only "grist to the Labour Mill" if one is disingenuous. What should be happening is that any attempt by Labour to mislead should be refuted, fisked and arse-whipped out of town.

Henry Rogers

Alexandrovitch

How I wish I could write like Verity, even though I disagree a lot of the time with what she says! No, I'm so boring that I post under my own name.