Spend and Tax

Government Must Spend

The government must ignore the advice of the Bank of England governor - and those who agree with him.

As I have argued consistently in earlier Blogs, the April budget must include at least £100 Billion additional spending - to create jobs, take the lower paid out of tax brackets, increase benefits.

And all measures should aim to create a more equal society.

Repayment of Borrowing

What is not sensible is to borrow £100 Billion without a clear strategy for repaying it.

The repayment should be from taxing progressively incomes over £80,000, taxing excessive profits, and drastic cuts to expenditure on defence.


Defenders of the Status Quo

The reason for opposition to the new expenditure is a determination to defend our unequal society. It is a reasonable bet that almost all opponents of new expenditure would have to pay more tax as part of the repayment strategy.

Also, they yearn for a return to the capitalist dominated economies which caused the current crisis.

For these reasons they must be ignored.