Labour’s spending plan could humiliate the Tories

Mike defends Labour’s plans not to increase public spending by stating that increased borrowing would increase the pressure on people already feeling the pinch through loans and mortgages. All Labour has to do to humiliate the Tories and Lib Dems is concentrate public spending where it’s really needed – on the victims, and increasing the quality of public services, rather than giving money to outsourcing contractors to pocket as profit.

Mike Sivier's blog

“There is an alternative” – and it doesn’t have to cost more than we’re spending now.

It seems some people are upset that Labour has announced it does not intend to increase public spending, if elected into office after next year’s general election.

This is a perfectly reasonable reaction, depending on the amount of information available to the person holding that opinion.

In other words, if you don’t know why Labour has made this decision, it is perfectly reasonable to assume that the former Party of The Left has turned Tory-lite.

That’s why we’re hearing that Labour will simply continue Tory policies; that the main three parties are “all in it together” (to overuse a hackneyed and devalued phrase).

But evidence is available to suggest that this is a big mistake.

To finance extra spending, Labour would have to borrow more money – but this would push up interest rates…

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