Labour wrongly say they had the worst inheritance economically of any government since 1979 as they tell us this week how bad young person unemployment is. They forget they inherited in June 2024 inflation on target at 2% and growth for the first half of 2024 as the fastest in the G7.
Their beloved OBR set out forecasts in 2024 for 2026 on the basis of continuing with Conservative policies. They said this year inflation would be 1.9%, growth would be 2% and unemployment would be 4.2%. The OBR forecast this year for 2026 given Labour’s policies is for inflation to be up, at 2.3%, unemployment to be substantially up at 5.3% and growth well down, at 1.1%.
The OBR do not foresee a big drop in world GDP to explain the fall in their UK forecast, with world GDP still at 3.1% in their estimates. So they are saying that Labour’s high tax, high spend, high borrowing policies have caused this substantial deterioration in the economic performance they expect.
When it comes to bad economic inheritances it is right Labour effectively accept that 1979 was a very bad one. Five years of left wing economics had taken us to borrow from the IMF and had left us with high inflation, high unemployment and high borrowing in need of controlling. They should also recognise that the 2010 inheritance from Labour was also a very bad one, with the banks squeezed to near death, high and rising unemployment and a big recession. In contrast the 2024 inheritance was a good one. It is true 2020-2023 had been poor for growth and inflation thanks to the covid lockdowns and the Ukraine war and energy shock, but things were corrected by 2024.
Since coming to office most of the policies Labour has adopted have destroyed jobs, driven up prices and put stress on the public finances by spending too much. Labour do not suffer from an inheritance problem but from their own disastrous drift to the big incompetent state, net zero self harm and excessive borrowing.
May 30, 2026
Good morning.
Every government is defined by the previous one no matter who or what. It is whether they wish to enact policies to mitigate the damaged caused.
Raising Employers NIC and lowering the threshold at which it is to be paid has forced business to make cost savings. In effect, they are being forced to subsidise the government.
Large projects such as Hinkley Point and HS2 are slowly bleeding us dry. Constant delays and cost overruns. This government should demand a halt to all new spending over £1m pounds.
We need drastic action now or it will be forced onto us later.
May 30, 2026
If these cowboys were in for 20 years they’d still blame the tories. Burnham is still blaming Margaret Thatcher so that says it all.
May 30, 2026
Too many UK governments have successively been ignoring their duty to protect and adequately care for the citizens they are supposed to represent. Evidence shows that the current Labour government is probably the worst of all.
May 30, 2026
@Bloke – to self absorbed and egotistical to even comprehend what you mean.
May 30, 2026
The Blair/Burnham statements this week starkly highlight the choice which voters will have to make – Burnham advocates levelling down for dealing with inequality (sad for everybody, particularly the most needy) whilst Blair advocates levelling up (good for the whole economy). Burnham’s view is a classic example of the intellectual idleness of following an ideology without any regard for the consequences – this essentially involves making decisions without applying any vision as to the likely outcomes.
I want a Government which spells out both its targeted outcomes and also the plan for achieving each targeted outcome.
May 30, 2026
@Charles Breese – how about a government that just creates a framework for everyone to be the best they can. Do we need to be dictated too, to ensure we follow a path of ‘one size fits all’ a ‘size’ that is someone’s own personal image to keep them personally comfortable
May 30, 2026
“things were corrected by 2024”
I agree Labour have made things much worse but the situation was very, very far from being all daisies and unicorn farts when they took over.
The dire situation in immigration, taxation, regulation, energy, loss of commerce and manufacturing, government mis-spending did not suddenly happen with Labour. The public institutions did not suddenly become woke, racist and anti-culturist against the majority population.
The unwillingness to follow through on Brexit to our benefit did not suddenly happen in 2024.
From my perspective as a parent, homeowner, driver, business operator, investor, taxpayer and citizen you have all been equally crap.
The sole benefit of conservatism was the small possibility that individuals could find alternatives for most services but that became a miniscule option for only the rich thanks to the last Conservative governments.
May 30, 2026
Precisely. Rose-tinted glasses should strictly not be worn on this site.
2008-2026 has been a continuum of regulatory stupidity, debt build up and bad policy. The Equalities Act 2010 was in 2010 under a Conservative Gov, not 2009 or 2025 under Labour!
May 30, 2026
The 2010 Equality Act was Harriet Harman’s and squeaked in as the last thing done by the Brown government before it fell. It has been described as a time bomb.
May 30, 2026
@dixie – in retrospect as to where we are today, this crowd just picked up were the others left off and pursued the same direction with more zeal
May 30, 2026
Labour do not suffer from an inheritance problem but from their own disastrous drift to the big incompetent state, net zero self harm and excessive borrowing.
The liebour party are only interested in themselves and to screw as much money out of us as possible in the short term they are in power, they don’t give a toss about the working man well not until there’s a General Election looming they are only interested in the workshy who for generations have sat on there fat arses drinking back cans of white lightning knowing full well the government will look after them and there offspring’s, well hopefully the chickens are coming home to roost and a new party and sheriff will eventually get this once great country Great again
May 30, 2026
Things were corrected by 2024?
Stabilised a tad, perhaps, but not corrected.
NI was up, government debt was up, Corporation tax was up.
Had the Covid lockdowns been handled better, with the Barrington declaration taken on board, the debt issues wouldn’t have been as bad and the Conservatives might have actually got back into power. The appalling act of shutting schools and stopping under 40s from working under pressure from Labour was beyond stupid, as was cutting Northern Ireland off from RUK.
Just as much as Labour didn’t deserve to be elected in 2024, neither did the Conservatives.
May 30, 2026
That sums it up nicely.
It’s clear that most socialists have never been able to understand the basic words relating to stimulating an economy. I’d bet that if any of them had read The Wealth of Nations by Adam Smith the ideas were so much at odds to their ideology they could duplicate nothing – that is a shame because Adam Smith could teach them a lot!
The ASI aware of this failure to duplicate basic economic sense by so many has recently made the data available in a form that even the socialist mind can understand, as a graphic novel. It should be required reading for every MP.
https://www.adamsmith.org/books/preview-adam-smiths-the-wealth-of-nations-a-graphic-novel?utm_source=substack&utm_medium=email
May 30, 2026
Labour aren’t “missing” why their policies are impoverishing the country. It’s deliberate action by Fabian Marxists for Socialism depends upon making and keeping people poor. Hence the adherence to Net Zero a policy designed to sabotage our energy, cause de-industrialisation and destroy our national security. CO2 is not a pollutant, in fact all life on the planet depends upon CO2 remaining above 150ppm. It does not control the planet’s temperature and it is water vapour, which absorbs far more of the planet’s emitted IR radiation and is 10 to 100 times more abundant in the atmosphere, that warms us at the surface and radiates the excess energy to space. There is no climate crisis and the Marxists wouldn’t be telling us there was if it weren’t for their Net Zero policy destroying our economy.
May 30, 2026
Blair had a very good inheritance and could have developed long term policies which would have strengthened our country
Instead he was obsessed with spin unrestricted open borders and increasing debt
For me our country changed under Blair
Long term thinking gone forever replaced by the most short term sound bite
By the time of GFC Blair/Brown had significantly damaged our economy and we were poorly placed to deal with it
As a result to recover the economy we needed Austerity this was not a choice
We have Cameron/Osborne to thank for taking the tough decisions to stabilise the economy during their term
Our country has never recovered from Blair
They never learn
May 30, 2026
You are suggesting ideologues even care. Labour has a mission a ‘Plan’ that is to change Society to be in their own personal image – of a World were they rule.
What is said to be the other so-called members of the political class, all follow a similar path. It is about ‘rule’ and entitlement. What no one in the UK Parliament allows is for freedoms, personal responsibility and having those that can do, do. Responsibility as far as the UK Parliament is concerned is them in control and directing on a one size fits all basis. Control & Command. As with yesterdays young people situation, the UK Parliament moulded them to be compliant and beholden, not to think, grow and contribute. As long a the UK Parliament is the Controlling Master/Parent the only ones with responsibility, they get to impose their ideology and build a society in their image – that direction to the members of the UK Parliament is their ‘ego’ sorted. It is only about them.
Tax costs and similar impositions are just the pressure to mould minds, for a beholden society. As we all become poorer, financially poorer, as a result the ruling Politburo with its Politburo will get stronger and have a much more comfortable life. The UK Political sphere is about creating 1066 and the Norman Conquest all over – the Surfs are just the pawns in the UK’s map of political religion