Re: What did Truss do to the economy.25 Oct 2022 12:33
I guess I asked for that Highveld.
Just a few points.
The UK's current economic position is not unlike the US and Europe as we are all still recovering from covid measures, a war in Europe, energy prices and rising inflation, not to mention supply chain issues including labour.
Something in our favour, the debt-to-GDP ratio is the second lowest in the G7 and above all the debt is in pounds our national currency. As a consequence a default on our commitments can be ruled out.
The IMF has no business and no voice in the UK's affairs. If we need their input we will ask for it, just like Jim Callaghan did.
Another thing which didn't help was the IFS estimating the energy help would cost £100 billion which was way off the mark which out of a total of c£145 billion of cuts is a sizable chunk. The way gas prices are receding it may not even be needed. The public supported this move as did labour. Don't forget covid unfunded costs were £70billion minimum.
Not that it matters now but the opposition supported about £120 billion of these cuts but they can't explain that now.
I wrote that post 4 days after she resigned and o/a things have returned to some sort of normality.
There was nothing wrong with the policies per se, it was just the timing. Enjoy your energy support packages and mourn the loss of the reduction of basic rate tax and stamp duty rates.
But hey, apart from all that highveld are you worse off because of it? :-)
Sorry for the late reply, events have moved on now.