"If the economy was a sick patient, George Osborne would be struck off"

Larry Elliott writes on today's Guardian website:

"Weaker growth has meant the government's deficit reduction plan is well off track, with David Cameron admitting that austerity will now continue for a decade, double the five-year period of pain promised when the coalition came to power. The Treasury has borrowed well over £500bn since the recession began and the figures are worse this year than they were in 2011."


http://www.guardian.co.uk/business/2012/jul/25/economy-george-osborne-growth-figures?utm_source=twitterfeed&utm_medium=twitter

John Cridland, DG of the CBI and general all-around supporter for the Chancellor says:

“These are very disappointing figures. They show there has been a lack of growth in the first half of 2012. “When I talk to businesses on the ground, however, the overwhelming view is that right now the economy is flat rather than negative, and there is potential for Britain to get back into growth later in the year.”

http://www.cbi.org.uk/media-centre/press-releases/2012/07/cbi-comments-on-latest-gdp-data/

Yep, that's it - after 5 of 7 quarters of negative growth, an economy smaller than it was in 2008 and government borrowing way beyond target, added to which another decade of austerity is forecast with, a 2014 Comprehensive Spending Review which has to decimate the public sector further because there is nowhere else to go if your economy is contracting - the CBI appears to be the only major representative body not to be calling on the Chancellor to 'do something different!' Shameful. Even the British Chambers of Commerce, hardly a left-wing organisation, is calling for public investment in infra-structure and the IoD, definitely a right-leaned organisation, says improved leadership is needed from the Chancellor.

Even the 'red-braces' are panicking, given that the ratings agencies, those small, shadowy completely unaccountable companies who can wreck a nations creditworthiness, are circling the UK's AAA rating. Just watch the fall-out when that happens - and there's no pleasure in that, particularly when we all suffer and our pensions are put at risk (both private and public sector - yes, we are all together in that mess!).

Meanwhile, Osborne is the Government's chief political strategist as well as the Chancellor - glad to see he fills his spare time gainfully.

http://www.guardian.co.uk/politics/2012/jul/25/george-osborne-under-pressure-economy?intcmp=239

Bitter? You bet I am. This is a disaster and the Government can no longer go on repeating, ad-nausea, that it's clearing up the previous Government's mess. It just doesn't wash.

Scorching critique of the uber-class

An interesting piece on the squeezed middles, unwittingly squeezed between the under-class and the uber-class, where-in the latter reside those who wrecked the economy and continue to escape absolutely free of punishment, with those in the former who decided to (very wrongly) take something from their neighbours and community are punished at sentences with 30-50% severity premiums.

http://www.publicservice.co.uk/blog_story.asp?id=309

We should see balance, responsibility and accountability for all in society, no just those who have their collars felt most easily. Will we finally see the hierarchy at News International bought to book with the latest disclosures and senior police officers who acted in concert with them properly held to account, just as the 'rioters' are?

Until then, whenever we have the choice or opportunity let's focus on what's working well in our communities, strengthening our voluntary and community sectors to work ever more deeply with young people to engage with them, then uncover and nurture their talents, whilst trying to resist siren calls for deeper public sector cuts. And these will come, if the recession slips into a depression and relatively small-scale business regeneration palliatives coupled with 'the markets' fail to deliver the transformation of the economy.