On Monday, Reform published its latest report – Back to black – showing that the crisis in the public finances demanded actual spending cuts, in 2010-11. The right cuts would kick start a programme of reform in the big spending areas of health, benefits, education and defence.
In the Budget, the Chancellor revealed that the hole in the finance was even deeper – but actually increased public spending this year and next (by £11 billion in total, excluding spending affected by the recession). Higher taxes will be used to shore up the existing structure of services and benefits with all their problems and inefficiencies. Plus ça change, plus c’est la même chose.
As the Chancellor sat down, I took my seat in the studio of the Jeremy Vine show, to discuss with listeners our specific cut proposals and their own. Did the Radio 2 audience recoil in horror at the idea of stopping child benefit for middle class parents (saving: £7 billion) or reducing the pay of doctors (£1 billion)? Far from it.***************************************************************************
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