English Labour's latest betrayal
The Green Prosperity Plan is an empty slogan
Published in the February 12th Edinburgh Evening News where the last sentence was edited out. However, The National kept it intact.
English Labour’s pledge to spend £28 billion – really just £20 billion since it includes £8 billion the government’s already spent – is gone in a poof, just like all of Starmer’s other empty promises, er, I mean manifesto pledges.
Their “Green Prosperity Plan” is now just a slogan. £20 billion was never going to be enough. It was to be split between home insulation, offshore wind, grid upgrades and establishing GB Energy and a National Wealth Fund.
Not only is the decision economically illiterate but it’s politically inept.
Economics 101 tells you that slashing public investment during a downturn is the worst possible thing to do. The £28 billion would easily have paid for itself because it would stimulate substantial private investment, create jobs and raise tax revenues. A recent LSE study concluded that an extra 1% of GDP spent on public investment stimulates twice as much private investment, setting off a self-sustaining “growth acceleration.” In other words, it would have created real wealth for a change, putting human and capital resources to work, adding value to the economy and improving the environment and people’s lives.
Politically, the Tories probably can’t believe their luck since Starmer’s given them an open goal. They’re gleefully sharing the clip of former Blair advisor John McTernan saying, “It’s probably the most stupid decision the Labour Party’s made.” Even the Telegraph can’t believe Labour’s ineptitude.
Oh, and House of Lords reform and Gordon Brown’s endless promises for more devolved powers and a federal constitution to subdue Scotland have both bitten the dust.
Starmer’s a weak man. He’s loyal only to the powerful vested interests who made him Labour leader. He’ll do their bidding or else...
The People of Scotland have a choice – stick with the failing UK or take back their nation.
Just how often do we have to keep on teaching political "leaders" basic economic principles. Why is it so difficult for them to understand that if you reduce public investment, you reduce effective demand, this in turn further reduces production and productivity, and this leads to less wealth and more poverty.
Equally, in an economy where there is spare labour and natural resources an increase in productive investment does precisely the opposite and produces more wealth. The first majority Labour Government did this and proved this, so why is the present Labour leadership so ignorant on economics?
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