The spring surge in the economy gave rise to optimism when it showed the economy growing twice as fast in the first three months of the year than economists had predicted. But, as the National Institute of Economic and Social Research shows, this was due to policies that are the exact opposite of the economic prescription of the Conservative-Liberal Democrat coalition. This year’s growth has been driven by government spending committed by the previous administration.
There is no doubt that a Labour government would have implemented tough cuts – and harmed the public sector. But it would also have invested in the economy to secure substantial growth that would ameliorate longer-term harm to the social fabric of the country. Instead, the NIESR predicts that Britain will barely limp out of recession while lagging well behind the global economy. For that, the price in terms of long-term damage will be exceedingly high. The independent institute places responsibility squarely at the feet of Chancellor George Osborne. Spending cuts will impose a drag on economic growth in every year at least until 2015.
A radical alternative is necessary. Radical not just in comparison to the misguided deficit fetishism of this Government, but radical too in comparison to the supplicating fetishism with markets and the City of the last Labour Government. And soon…it may be later than we think.
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The leak of secret papers on the facts of the war in Afghanistan is the latest spectacular testimony that truth is the first casualty of war. The documents reveal the extent of the lies which have been dished up to sceptical publics on both sides of the Atlantic to hide the unpalatable truth behind a conflict which had no justification, and has neither true purpose nor any prospect of resolution. Yet even as the Wikileaks papers shown to The Guardian, New York Times and Der Spiegel expose the depth of the war’s futility and its consequential, disproportionate harm to Afghan civilians, the lies go on.
We are told by military commanders that the revelations increase the threat to British and American troops and will act as a recruitment sign for the Taliban. As if the Afghan people and the Taliban did not know more than we in the West about the true situation. The biggest threat to our troops is being in Afghanistan in the first place and the best recruitment incentive for the Taliban is the wiping out of wedding parties and other civilian victims by so-called “precision bombs” and other misdirected fire.
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Will the coalition keep the lights on? Not if the energy policy unveiled by Chris Huhne is anything to go by. While the emphasis on renewable sources is welcome, there is precious little of substance to indicate that the energy gap Britain faces in a few years’ time will be bridged.
