[RichardCoulter]

Originally Posted by Damien

The energy package isn't what caused the panic. It was the tax cuts. The Government is telling lenders that they're going to continue to borrow money, even more money in fact, but they're also going to cut their income steam without any mention of cutting their spending. They're also saying they're not going to bother showing them any forecasts, budgets or plans on how that works in practice.

The result for the poorest isn't great because they're not actually getting much money back and the subsequent inflation will push living costs higher anyway. The Government didn't actually do anything that'll tackle inflation other than the energy cost freeze in that mini-budget which is why people expect the BoE to increase interest rates.

No one is saying you need austerity. They're saying you need a competent plan. The Government could have announced a big spending stimulus package and it might have worked had it been a cost to have 'x' impact over 'x' time giving confidence to the people buying Government debt that they were in control.

If anything Truss is now going to feel forced into spending cuts to explain away her tax cuts.

It's looking like the usual benefit & pension upratings will not take place next April to pay for the tax cut for those earning over £155,000.

https://www.cableforum.uk/board/show...92770&page=179