Budget 2015

Why George Osborne’s 2015 Budget Was Such A Big Disappointment

Samuel Hooper2 Comments

BRITAIN-BBC-MEDIA-STRIKE

 

Budget 2015 was yet another let-down for fiscal conservatives and opponents of big government, not that this beleaguered group have come to expect any better after five years of Conservative-LibDem coalition rule.

The fact that the Tories are actually happy that the media is reporting that government will “only” shrink back to 2000-era levels (when New Labour ruled the roost) is definitive proof that Britain is not still in thrall to Thatcherism and pro-market conservatism, as some left wing commentators suggest, but rather is clinging petulantly and fearfully to Gordon Brown-style Big Government largesse.

This blog has little sympathy with a modern Conservative Party too afraid to forcefully make the case for small government and lower public spending, and will continue to criticise David Cameron and George Osborne for their timidity in this regard for as long as they remain in office. But the Conservative Party does not operate in a vacuum, and should not bear all of the blame.

When in government, Conservatives have to deal with a public that is used to big government, collectivism and intrusive state involvement in almost every aspects of their lives. Britain never had the pioneering, fiercely independent spirit that characterises America, and the modern institutions that emerged from the post-war consensus (the welfare state and National Health Service) only shifted our political centre of gravity further to the left.

Thus, the BBC’s Robert Peston can ask with a straight face, when analysing George Osborne’s 2015 Budget (emphasis added):

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George Osborne’s 2015 Budget: From The 1930s to the ’60s, And Beyond

Samuel Hooper2 Comments

George Osborne Budget 2015 Conservative Party

 

“Out of the red and into the black, Britain paying its way in the world again!” boasted George Osborne, pounding the despatch box with satisfaction as he finished delivering the coalition government’s final, 2015 Budget.

This was wishful thinking at best. But by any reasonable measure it constitutes wilful deceit.

From the BBC’s summary of Budget Day 2015:

Setting out his plans in the Commons, Mr Osborne said: “We took difficult decisions in the teeth of opposition and it worked. Britain is walking tall again.

“Five years ago, our economy had suffered a collapse greater than almost any country.

“Today, I can confirm: in the last year we have grown faster than any other major advanced economy in the world.”

He said he would use a boost in the public finances caused by lower inflation and welfare payments to pay off some of the national debt and end the squeeze on public spending a year earlier than planned.

In 2019/20 spending will grow in line with the growth of the economy – bringing state spending as a share of national income to the same level as in 2000, the chancellor told MPs.

The BBC’s Robert Peston said this was a move aimed at neutralising Labour’s claim that the Conservatives would cut spending to 1930s levels.

But nothing did as much to condemn the Conservative Party’s half-hearted attempt to restore fiscal discipline to Britain over the past five years as Telegraph columnist Dan Hodges’ verdict on Budget 2015, the budget that “killed Labour”:

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