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How would the UK be now under Labour?

PrestonAlPrestonAl Posts: 10,342
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Well it's been a couple of months now since the GE election and the staggering loss for Labour under Miliband. However if they had won, how would this country be now.

Would we be facing a meltdown in the financial markets and an increase in the social security bill?
Would we be facing a reversal in the good economic news we've had under the tories and Coalition for the last 5 Years?

Would we be seeing a rise in Unemployment?

I would say yes we would for all these things. The Miliband/Balls government that we luckily didn't get would have been another Labour disaster for this country.
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    crystalladcrystallad Posts: 3,744
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    A joke
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    StaunchyStaunchy Posts: 10,904
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    I doubt it would be that much different in general.
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    smudges dadsmudges dad Posts: 36,989
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    Probably not much different. However the budget would be more balanced in favour of poorer people and the Scotland bill would have taken the side of the Scots and not the English establishment. Economy would be pretty much unchanged, but there would be the start of more investment instead of cuts.
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    MartinPMartinP Posts: 31,358
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    Probably not much different. However the budget would be more balanced in favour of poorer people

    No £9 minimum wage under Labour, the party that supports benefits and not work.
    and the Scotland bill would have taken the side of the Scots and not the English establishment.

    So they would have put Scotland's interests above the English (even though Scotland thoroughly rejected Labour at the election....)
    Economy would be pretty much unchanged, but there would be the start of more investment instead of cuts.

    So higher borrowing.
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    thmsthms Posts: 61,009
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    Exactly the same
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    Alan1981Alan1981 Posts: 5,416
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    If they had won in 2010 and been in power since then, I think we would have been in serious trouble. They couldn't run the economy properly during the boom years. They had no hope during a recession.
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    JELLIES0JELLIES0 Posts: 6,709
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    thms wrote: »
    Exactly the same
    as Greece.


    Remember Jim Callaghan and his dealings with the IMF ?
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    glasshalffullglasshalffull Posts: 22,291
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    MartinP wrote: »
    No £9 minimum wage under Labour, the party that supports benefits and not work.



    So they would have put Scotland's interests above the English (even though Scotland thoroughly rejected Labour at the election....)



    So higher borrowing.

    There's no £9 minimum wage now either...that's not due until 2020...though I realise that playing fast and loose or at least vague with "monetary rates" comes second nature to a banker.:p
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    paulschapmanpaulschapman Posts: 35,536
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    PrestonAl wrote: »
    Well it's been a couple of months now since the GE election and the staggering loss for Labour under Miliband. However if they had won, how would this country be now.

    Would we be facing a meltdown in the financial markets and an increase in the social security bill?
    Would we be facing a reversal in the good economic news we've had under the tories and Coalition for the last 5 Years?

    Would we be seeing a rise in Unemployment?

    I would say yes we would for all these things. The Miliband/Balls government that we luckily didn't get would have been another Labour disaster for this country.

    Not yet - mind you I am surprised out how quickly it went wrong in Greece.

    I suspect we would be facing increasing unemployment, but not for a year or two. Debt would be going up even faster. Sterling going down fuelling inflation - which in turn would mean interest rates going up

    But these things take time.
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    megarespmegaresp Posts: 888
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    PrestonAl wrote: »
    However if they had won, how would this country be now.

    As nothing would have changed yet, it would be similar to the situation in which we find ourselves in as I write this.
    PrestonAl wrote: »
    Would we be facing a meltdown in the financial markets and an increase in the social security bill?

    No. However, we might be hearing less enthusiasm from the financial sector if the noises coming out of Westminster were more likely to receive a thumbs up from the likes of Jol44.
    PrestonAl wrote: »
    Would we be facing a reversal in the good economic news we've had under the tories and Coalition for the last 5 Years?

    I doubt it. I suspect Miliband and Balls were capable enough on the technical side.
    PrestonAl wrote: »
    Would we be seeing a rise in Unemployment?

    No.
    PrestonAl wrote: »
    The Miliband/Balls government that we luckily didn't get would have been another Labour disaster for this country.

    I doubt that's true for the most part. Neither Miliband or Balls were likely to attempt the sort of economy that would make GGP a happy camper. For the most part, I suspect it would have been business as usual for UK PLC, with some tinkering around the edges.

    The full impact on the economy of restricting in-work benefits and pushing up the minimum wage is yet to be seen. For example, it's not impossible to imagine the recently announced changes slowing the growth in employment and suppressing the retail economy. That has the potential to start a vicious circle of increasing unemployment that reinforces and feeds a general cooling of the economy.

    So perhaps we would have been better off with Miliband and Balls?

    Of course, my "what-if" speculation is as worthless as yours. Much better brains than ours have (I suppose) decided the economy can stand to pay higher wages and endure a slow-down in spending among the poorest among us. Time will tell.
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    NRGNRG Posts: 3,149
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    Couldn't be any worse than it is now under the Tories.
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    megarespmegaresp Posts: 888
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    NRG wrote: »
    Couldn't be any worse than it is now under the Tories.

    Sure it could. A lot worse.

    Or have you somehow managed to overlook the whole Greek thing?
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    MartinPMartinP Posts: 31,358
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    NRG wrote: »
    Couldn't be any worse than it is now under the Tories.

    The CPI rate has been hovering around zero since February, and moved into negative territory in April for the first time on record, dropping to -0.1%. Howard Archer, chief UK economist at Global Insight, said the latest figure was good news for consumers.

    "[With] earnings growth currently seeing clear improvement and employment high and rising, purchasing power is currently in rude heath," he said.

    http://www.bbc.co.uk/news/business-33518710
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    swingalegswingaleg Posts: 103,119
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    Staunchy wrote: »
    I doubt it would be that much different in general.

    this

    I've lived through lots of governments and they might tinker around the edges of life but the big changes come from technology and social attitudes

    Government influence is vastly over-rated
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    AnnsyreAnnsyre Posts: 109,504
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    PrestonAl wrote: »
    Well it's been a couple of months now since the GE election and the staggering loss for Labour under Miliband. However if they had won, how would this country be now.

    Would we be facing a meltdown in the financial markets and an increase in the social security bill?
    Would we be facing a reversal in the good economic news we've had under the tories and Coalition for the last 5 Years?

    Would we be seeing a rise in Unemployment?

    I would say yes we would for all these things. The Miliband/Balls government that we luckily didn't get would have been another Labour disaster for this country.

    Under Sturgeons' thumb.
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    paulschapmanpaulschapman Posts: 35,536
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    megaresp wrote: »
    I doubt that's true for the most part. Neither Miliband or Balls were likely to attempt the sort of economy that would make GGP a happy camper. For the most part, I suspect it would have been business as usual for UK PLC, with some tinkering around the edges.

    The full impact on the economy of restricting in-work benefits and pushing up the minimum wage is yet to be seen. For example, it's not impossible to imagine the recently announced changes slowing the growth in employment and suppressing the retail economy. That has the potential to start a vicious circle of increasing unemployment that reinforces and feeds a general cooling of the economy.

    Neither Balls or Milliband had any stomach for cuts - and they were bounced into promising those that they did. Further they were both advising Brown when he started his spending spree. Indeed much of that policy is straight out. With the reluctance to cut spending then you would see the structural deficit grow again. That in turn would hit sterling as the bond markets start to doubt that the UK would pay it's debts. Inflation would go up, and subsequently interest rates. That in turn would hit unemployment as taxes would eventually rise to support the increased payments.
    So perhaps we would have been better off with Miliband and Balls?

    Not in the long term - short term you might feel better but over the long
    Of course, my "what-if" speculation is as worthless as yours. Much better brains than ours have (I suppose) decided the economy can stand to pay higher wages and endure a slow-down in spending among the poorest among us. Time will tell.

    The Conservatives did seek advice before settling on the value of the NLW and the Treasury has an extensive mathematical model of the economy it uses to work out what would happen. No doubt the delay in some of benefits is precisely because this is the estimate of when the economy can sustain them.
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    Nick1966Nick1966 Posts: 15,742
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    How would the UK be now under Labour?

    Less nationalistic.
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    Peter the GreatPeter the Great Posts: 14,230
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    MartinP wrote: »
    No £9 minimum wage under Labour, the party that supports benefits and not work.



    So they would have put Scotland's interests above the English (even though Scotland thoroughly rejected Labour at the election....)



    So higher borrowing.
    Oh please. A party that sais if you work and live in social housing your rent could rise to a level that takes a huge chunk of the wages. The Tories are the party for rich parasites not people who work hard.
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    JakobjoeJakobjoe Posts: 8,235
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    imagine if theyd won in 2010 we' be on the road to being greece. perish the thought of them being in power ever again.
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    Peter the GreatPeter the Great Posts: 14,230
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    Annsyre wrote: »
    Under Sturgeons' thumb.
    I see that propaganda worked on alot of people?
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    Peter the GreatPeter the Great Posts: 14,230
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    Jakobjoe wrote: »
    imagine if theyd won in 2010 we' be on the road to being greece. perish the thought of them being in power ever again.
    What hyperbole!
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    Peter the GreatPeter the Great Posts: 14,230
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    MartinP wrote: »
    No £9 minimum wage under Labour, the party that supports benefits and not work.



    So they would have put Scotland's interests above the English (even though Scotland thoroughly rejected Labour at the election....)



    So higher borrowing.
    The Conservatives have borrowed more than Labour ever did.
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    OLD HIPPY GUYOLD HIPPY GUY Posts: 28,199
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    a Fairer free-er more equal and compassionate society, a far happier place to live, help not hatred for the sick and vulnerable,

    basically an absence of almost everything the Conservative party represents.
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    paulschapmanpaulschapman Posts: 35,536
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    The Conservatives have borrowed more than Labour ever did.

    but not more than Labour would have done.

    The Coalition and subsequently the Conservative government would always borrow until the deficit was eradicated. (PSBR in surplus)

    Now estimated at 2019/2020

    If people are moaning now about austerity - can you imaging what the cuts would have been had the government immediately made the PSBR a surplus.
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    Peter the GreatPeter the Great Posts: 14,230
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    but not more than Labour would have done.

    The Coalition and subsequently the Conservative government would always borrow until the deficit was eradicated. (PSBR in surplus)

    Now estimated at 2019/2020

    If people are moaning now about austerity - can you imaging what the cuts would have been had the government immediately made the PSBR a surplus.
    How do you know not more than Labour would have done?
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