The Government cannot rule out borrowing to invest in the region’s economy
Labour has to be extra careful after it lost the public’s trust on the economy back in 2010. That infamous note left behind at the Treasury saying “there is no money” left by Liam Byrne continues to haunt the party.
However, caution on public spending would hamper the Government’s goal of delivering economic growth. Labour will need to be bold without being reckless.
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Hide AdAnd public sentiment is very much for bold action on the economy, as shown by the new report from the think tank IPPR.
Almost all constituencies that elected Labour MPs have a majority or plurality of people who would support extra government borrowing to invest in the economy and public services.
No one wants to see a Liz Truss style budget that does away with not only Treasury orthodoxy but loses touch with economic reality.
Uncosted spending would see markets lose confidence in the UK very quickly. But markets would be more than willing to welcome investment in much needed infrastructure and services that would provide a return on said investment.
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Hide AdTransport is the simplest example of how Government investment could help grow the economy, making the nation’s population more mobile and giving businesses more confidence to invest in towns and cities.
That is why it is so important that the West Yorkshire Mass Transit network is delivered.
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