Is austerity working- and will it ever end?

[El Cid 220]

Maintaining spending at current austerity levels is clearly not an end to austerity. At best they can say "Austerity spending cuts are not deepening".

 

Borrowing is forecast to increase, because of the tax give away.

[truman 10]

Borrowing is forecast to increase, because of the tax give away.

 

In absolute terms or as a percentage of GDP? FRom the BBC article

 

"Borrowing to total £31.8bn, £26.7bn. £23.8bn, £20.8bn and £19.8bn in next five years"

 

Looks like it's dropping there...?

[Robin-H 11]

If austerity has been going on for a decade then the spending levels prior to that were pre-austerity and thus the normal.

 

Why weren’t the spending levels in the 70s the normal? We’re no where near meeting the public expenditure as % of GDP of then. At some point there is a new normal..

[El Cid 220]

In absolute terms or as a percentage of GDP? FRom the BBC article

 

"Borrowing to total £31.8bn, £26.7bn. £23.8bn, £20.8bn and £19.8bn in next five years"

 

Looks like it's dropping there...?

 

I don't recall, it was said on 'Politics live'.

[Cyclone 10]

Why weren’t the spending levels in the 70s the normal? We’re no where near meeting the public expenditure as % of GDP of then. At some point there is a new normal..

 

They were normal for the 70's of course. But austerity started from late 2008. What happened in 2008 were a number of cuts, some immediate, some imposed over the next decade.

Austerity hasn't ended because in late 2018 no FURTHER cuts have been made for 1 budget!

Austerity continues until spending goes back to pre austerity level. Define that level how you like.

 

Let's try an analogy to explain.

You have a household food budget of £100/month, it's been this way for a while, give or take.

in Jan you declare "austerity" due to reasons.

Feb £75

Mar £74

Apr £70

May £69

Jun £67.50

Jul £65

Aug £65

 

In August you tell your family that because you didn't cut it any further, "austerity" has ended.

They still have only £65 for food. Not £100.

 

Austerity ends when the spending budget is returned to the long term average spending of £100.

[bendix 10]

They were normal for the 70's of course. But austerity started from late 2008. What happened in 2008 were a number of cuts, some immediate, some imposed over the next decade.

Austerity hasn't ended because in late 2018 no FURTHER cuts have been made for 1 budget!

Austerity continues until spending goes back to pre austerity level. Define that level how you like.

 

Let's try an analogy to explain.

You have a household food budget of £100/month, it's been this way for a while, give or take.

in Jan you declare "austerity" due to reasons.

Feb £75

Mar £74

Apr £70

May £69

Jun £67.50

Jul £65

Aug £65

 

In August you tell your family that because you didn't cut it any further, "austerity" has ended.

They still have only £65 for food. Not £100.

 

Austerity ends when the spending budget is returned to the long term average spending of £100.

 

 

Your argument presupposes that £100 is the perfect level of spending. It could well be argued that £100 per week is living beyond our means, and that we should be aiming to cut back to £85 per week, a rate we can afford and which discourages waste. After all, do we really need those packs of donuts and that wasteful monthly iphone payment?

[Robin-H 11]

They were normal for the 70's of course. But austerity started from late 2008. What happened in 2008 were a number of cuts, some immediate, some imposed over the next decade.

Austerity hasn't ended because in late 2018 no FURTHER cuts have been made for 1 budget!

Austerity continues until spending goes back to pre austerity level. Define that level how you like.

 

Let's try an analogy to explain.

You have a household food budget of £100/month, it's been this way for a while, give or take.

in Jan you declare "austerity" due to reasons.

Feb £75

Mar £74

Apr £70

May £69

Jun £67.50

Jul £65

Aug £65

 

In August you tell your family that because you didn't cut it any further, "austerity" has ended.

They still have only £65 for food. Not £100.

 

Austerity ends when the spending budget is returned to the long term average spending of £100.

 

In 2007-2008 (pre crisis) the public spending as a share of GDP was 39%.

 

In 2017, it was 41.1%.

 

We are returning to the pre austerity levels.

[The Joker 10]

In 2007-2008 (pre crisis) the public spending as a share of GDP was 39%.

 

In 2017, it was 41.1%.

 

We are returning to the pre austerity levels.

 

what the hell are we spending it on please ?

 

It ain’t law & order, since Theresa Mayhem slashed 20,000 bobbies.

[Robin-H 11]

what the hell are we spending it on please ?

 

It ain’t law & order, since Theresa Mayhem slashed 20,000 bobbies.

 

https://www.ukpublicspending.co.uk/uk_year2018_0.html

 

https://obr.uk/fiscal_categories/public-spending/

[Broakham 10]

what the hell are we spending it on please ?

 

It ain’t law & order, since Theresa Mayhem slashed 20,000 bobbies.

 

That wasn't austerity it was revenge for 'plebgate'.

[ez8004 10]

Income tax threshold increased but coupled with an increase in NI. A net benefit of £500+ a year. Thank you government!

[El Cid 220]

In 2007-2008 (pre crisis) the public spending as a share of GDP was 39%.

 

In 2017, it was 41.1%.

 

We are returning to the pre austerity levels.

 

Is comparing public spending to GDP a good way to measure it, since GDP can go from growth to decline, back to growth again, within 2 years.

 

It wasn't a politician that used that measure, by any chance