Don't let it be lazily said that Labour and the Conservatives are 'the same'
The next time someone (particularly someone on the left) tells you that Labour and the Conservatives are the same, point them to today’s Institute of Fiscal Studies (IFS) assessment of the parties’ spending plans for the next parliament.
We’ll start with the Conservatives.
Conservative plans for a reduction in borrowing in the next parliament require ‘some large spending cuts or tax increases’, as the IFS puts it. It adds:
Departments outside the NHS, education and aid look to be facing cuts of 17.9 per cent between 2014–15 and 2018–19. This would imply average cuts to these spending areas of one third in real terms from the start of austerity (in 2010-11) up to 2018-19. These ‘unprotected’ areas include defence, transport, law and order and social care.
As for Labour, according to the IFS:
[Labour] have pledged to ‘get a surplus on the current budget’ without specifying either exactly when or how much of a surplus. This pledge could be consistent with any reduction in borrowing totalling 3.6 per cent of national income or more (given the coalition government’s investment plans). A reduction in borrowing of 3.6 per cent of national income would require little in the way of spending cuts or tax increases after this year.
In terms of the measures required by Labour to bring about their plans, the IFS says that:
If [Labour] can find £7.5 billion of revenues from anti-avoidance measures, as they say they can, then they might need to find a mere £1 billion from further real cuts to unprotected departmental spending.
So there is a choice and it is between ‘cuts of 17.9 per cent between 2014–15 and 2018–19‘ and ‘little in the way of spending cuts or tax increases after this year“.
Don’t let it be lazily said that Labour and the Conservatives are ‘the same’.
James Bloodworth is the editor of Left Foot Forward. Follow him on Twitter
35 Responses to “There are big differences between Labour and Conservative spending plans. The IFS just proved it”
Leon Wolfeson
Money tree? Oh, fiat currency.
Whereas there is NOT a jobs tree.
Arizona
Quoting Labour spending plans in this article just won’t happen in reality. Everyone knows Labour can only get into Government with the support of the Scottish Nats, and they intend to tax every Englishman £180 billion to spend in Scotland as the price of their support to prop up Millibands Government. It means plans to build local schools and roads and hospitals in England will be cancelled and built in Scotland instead.
Robert Gruder
No… If you check the facts you will find the major recovery is in manufacturing, not the City. Retail is also strong along with technology companies. The Tories encouraged recovery by lowering corporate taxation. I know you hate capitalism but it’s kind of embarrassing to your credibility if you just produce blind lies..
The truth-
UK economy highest growth, highest employment, lowest inflation and best recovery of personal income iof all major Western economies
Leon Wolfeson
He’s not talking about Spain, but the UK. As you then talk about more cash being offshored from the UK, bleeding our economy – good old capitalism.
The truth –
* Bubble in the city and housing prices.
* Hours worked flat
* Deflation (TERRIBLE)
* Incomes down hard for the 99%.
Other western economies didn’t have our start of recovery and then a deliberate depression either. He’s not producing your blind lies, or running for political office.
Keep supporting higher poverty.
Taulant Lutfiu
I think Putin would be a good idea to fix Great Britainn!!