UK economy’s fourth quarter contraction confirmed
George Osborne has shown a great deal of determination in his efforts to tackle the fiscal deficit; it is now time for him to show the same determination in promoting output and employment growth.
Growth
Buoyant tax revenues give Osborne room to manoeuvre
The UK’s public finances were in much better shape in January than expected. There was a current budget surplus of £8.5bn and public sector net borrowing was -£3.7bn.
Weak EU growth reveals the price of austerity
Total GDP growth in both the EU and the eurozone was 1.7% – sluggish but not entirely unexpected, compared to 3.2% growth in the US and a 0.5% contraction in the UK.
Wolf savages government’s approach to growth
While praising the government’s decision to eliminate a fixed age of retirement, Martin Wolf is scathing on other aspects of the government’s growth strategy.
Clegg pins his faith in the banks to deliver regional growth funding
It’s been a busy week for the government’s zig-zagging efforts to promote growth in the English regions, reports Kevin Meagher.
Miliband: “Tories were encouraging us to deregulate further”
Ed Miliband and Ed Balls have accused the Conservative party of trying to drive the last government further away from regulating the activity of the City of London.
IFS urges Osborne to develop a Plan B
The respected Institute for Fiscal Studies think tank today urged George Osborne to prepare a ‘Plan B’ for fiscal consolidation in case growth prospects deteriorate.
“Perverse” cuts to regional funding will set back growth
We can expect the chorus of business leaders calling for a change of direction to grow ever louder as we head towards next month’s budget, writes Kevin Meagher.
Academics question Salmond’s call for fiscal autonomy
A group of academics have challenged Alex Salmond’s assertion that granting the Scottish Government full economic powers would significantly boost the economy.
King’s speech: Governor’s “bigger picture” isn’t big enough
Following yesterday’s growth figures, James Plunkett argues that just ‘waiting it out’ is unlikely to deliver a cure to the sluggishness of the British economy.