Most of the time Labour wrongly claims Conservatives cut spending. Maybe Labour claims are an appropriate topic on April Fool’s day. These claims usually become more extreme and absurd at election time. I thought a few facts might help inform the debate. Throughout the Thatcher years in office, 1979 to 1990, Labour claimed the Conservatives were...
In 1932 total UK public spending was £1 397 million. If you adjust for inflation that is £82 887 million. So as the UK government this year is spending £737 100 million, what is all this nonsense about returns to the 1930s?...
The government has recently published more figures showing the real changes in public spending in recent years. These reveal that real spending has gone up in several large programmes, including health, social security and general public services. It has also risen in international services including overseas aid, EU contributions, science and technology and environmental...
In 2010 I pointed out that public spending was going up every year of this Parliament in cash terms. I also forecast that this government would control the costs of public spending better than the previous government, so real current public spending would also rise. Most commentators, politicians and journalists thought this wrong and...
Yesterday’s figures for September 2014 and the first half of the 2014-15 fiscal year show spending and borrowing on the rise. Social security benefits are up by 5.4% on September a year earlier, despite the good progress in getting more people into work. Other current public spending is up by 3.1%. Capital spending is...
It is still fashionable in leftward circles to think that the only answer to poverty is more public spending. They wish the UK state to offer more public sector jobs, and to offer more transfer payments to more people so they too become dependents of the government. The latest ONS figures throw some...
The Office of Budget responsibility now endorses what I have been saying for the last three years. Public spending is rising in real terms as well as cash terms. Here is the latest OBR Report on the subject: “Real government consumption remains strong…The latest ONS data indicate that government consumption grew by...
In 2013-14 the government plans to increase UK total public spending by 7% or £47bn. (Red Book 2013 Total Managed Expenditure). If you adjust for changes to the Post office Pension fund, the increase is still £19bn. Both current and capital spending is now rising, after the Labour cuts to capital spending earlier this...
The slim Green Book reveals that total spending will increase 2% in 2015-16 over 2014-15. Within this pensions and welfare spending is forecast to rise by £15.3bn or 4.45% (AME) whilst departmental expenditures will decline by just £0.9 bn.(DEL including depreciation). The Green book suggests that this will be a real terms...
I do wish people would report the public spending discussion accurately. In the last Red Book the government planned current spending of £694.2 bn in 2015-16 compared to £672.9 bn this year. Now they plan to make the 2015-16 figure £682.7bn. This is still an increase of £9.8bn over this year, though a...