Labour and Tories both plan to borrow and spend. Is that wise?
by Phillip Inman from Economics | The Guardian on (#4KJE4)
The Conservatives would use cash for tax cuts, while Labour plans investment. But the economic climate is chilly
As the next Tory leader, and possibly a general election, loom, the UK electorate must consider one fundamental economic question: does it want a huge increase in government borrowing?
Both Boris Johnson and Jeremy Hunt are ready to break out of the austerity straitjacket and spend huge sums. Not just to blast their way through the chaos that will follow leaving the European Union on 31 October, but also to inflate spending on a long shopping list of items, from social care to defence.
Labour may find that, following decades of neglect, pouring financial fertiliser on the regions has little effect
Related: Jeremy Corbyn's spending plan for public services backed by majority
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