There are three points that I would like to make.
Firstly, over the last three weeks the Coalition’s focus has been firstly, to tell the nation what the nation already knew. Secondly, – in order to retain our triple A rating – it has tried to allay the fears of the Markets by showing how tough things will be and by declaring that this Administration will not capitulate in the face of difficult decisions. The Liberal Conservative Coalition needs to tread careful and ensure that it does not do irreparable damage to consumer confidence or talk down our economic position to the extent that it discourages inward investment and stymies attempts to kick-start and regenerate our economy.
Secondly, the coalition needs to move out of Campaign mode into Governing mode. There is a lot of bleak news and there is too much posturing and its all coming from the Coalition. We need to see the Coalition’s confidence and we need them to positively express and explain their programme for change.
Thirdly, Cuts will take us some way towards reducing the £156bn budget deficit and towards reducing the £700bn debt. Cutting spending, efficiency savings and Tax increases will not reduce the deficit by more than 18 percentage points. It is therefore imperative that the Coalition simultaneously focuses its attention on growth and productivity. Only through growth will we directly and sustainably pay down the deficit.
