Friday, May 8, 2009

DARLINGS EMPTY GESTURE BUDGET

Labour is not interested in improving the country it purports to govern. It is interested only in retaining power. Its policies are shaped increasingly, if not exclusively, by considerations of how it advances the cause of its own people. Those who are not in that category – such as most of you reading this column – get what is coming to them.
An election is no more than a year away. The starting gun for its campaign was fired yesterday. At least there is – or should be – clarity in the battle lines. The middle classes are there to be bled white. Labour is now quite open about that. The question only remains of whether the Opposition will choose to defend the interests of its supporters as robustly as Labour is defending the interests of the clientele.
For be in no doubt about two things. First, the mess in this country – which Mr Darling, in keeping with Government policy, chose to depict as having happened almost by accident and as a result of global forces outside his control – has been aggravated by the practice of reckless economics. The few of us who saw this debacle coming required no genius to do so: it happened because the then Chancellor of the Exchequer, Gordon Brown, chose between about 2000 and 2007 to allow the money supply to grow by between two and three times the rate of inflation plus growth. This imitation of Alan Greenspan – who did the same in America to fulfil Bill Clinton's desire to make as many people as possible feel well off – fed our present catastrophe. Money was there to make everyone feel good – whether bankers or first-time buyers with silly mortgages. It seemed as though prosperity no longer had to be earned. The printing presses rolled: quantitative easing was happening long before we knew it. And even the Conservative Party, to its shame, was taken in, with its ludicrous line about "sharing the proceeds of growth".
Second, the desire to keep power means continuing to keep the clientele in the style to which it is now accustomed. This means generous benefits that do not become reined in as earnings in the private sector are. It means continuing to create jobs for the clientele in entirely socially unproductive areas. Jobs advertised in yesterday's Guardian for, among others, a "democratic services officer" in Hackney, or a "customer experience manager" for the Department of Work and Pensions give an indication of the care, and the ease, with which public money is spent. It is the Government's determination to continue to bribe its voters that causes not just the wealth-destroying taxes, and a further raid on pension funds, but also the insane levels of borrowing: £175 billion this year and £173 billion next. It was instructive, too, that when the Leader of the Opposition quite correctly attacked the Government for this atrocious profligacy, Mr Brown was pictured sitting on the bench opposite him laughing. It is moments like that that make some think either of strangulation, or emigration.
Mr Darling's failure, like that of the Government he serves, is abject. This is Mr Cameron's moment. And it is not just victory that awaits him if he seizes it, but success.

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