Monday, 6 January 2014

George Osborne warns £25bn more cuts needed

A further £25bn of spending cuts will be needed after the next election, Chancellor George Osborne has warned.

He suggested making welfare savings by cutting housing benefit for under-25s and restricting council housing for those earning over £65,000 a year.

His comments about future cuts comes as he warns of a “year of hard truths” in a speech in Birmingham.

Wait what’s going on here I thought that, well the impression I was getting from various politicians before Christmas was that things were on the up the economy was turning the corner and we would start seeing proper growth again, instead of everyone in Westminster arguing over whether the economy grew by 0.1% or not.

But clearly I was mistaken as less than a week into the New Year and boom another round of massive spending cuts; clearly Osborne and co weren’t visited by three ghosts during the holidays.

I distinctly remember that after the last big round of spending cuts reading about how there wasn’t much room for manoeuvre if the government wanted to make more cuts in future, but they’ve managed to wrangle another £25bn so this tells me two things, one the economy isn’t anywhere near where we are being told it is and two there’s plenty more things they can, and will, cut despite the billions and billions already slashed from almost everything.


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