Wednesday, June 24, 2009

Bank Governor Slates Deficit as "Extraordinary"

The Governor of the Bank of England this afternoon called on the Government to act to reduce the budget deficit. He called the deficit "extraordinary". The Shadow Chancellor has been quick to go on the offensive.

This is the demolition day for Gordon Brown's tax and spending policies. In the morning new figures showed Britain facing the biggest deficit in the world; at lunchtime the Prime Minister’s attempts to defend himself in the Commons ended in ridicule; and in the afternoon the Governor of the Bank of England delivered the final blow by demolishing for good any claim that this discredited government ever had to a credible plan for the recovery. The judgement David Cameron and I took last autumn to warn of Britain's looming debt crisis, and this summer to be honest about the need for spending cuts, has been entirely vindicated. We urgently need an election to rescue this country from a government whose denial is a danger to the recovery.

It's not been a good day for our poor Prime Minister, has it? I gather he was walloped at PMQs, and now this. I wonder if David Miliband has yet had pause to consider how wrong he was to stick by Gordon Brown two weeks ago? Believe me, several Labour MPs are pinning all the blame for future Brown disasters firmly on Miliband's lapel.


Anonymous said...


I keep saying it - this is not over until the fat lady sings,or in this case until the cabinet turn to Brown and throw him through the first floor window in Downing St.

Seeing them at PMQ's today,they colllectively looked like a person stepping round a mess on a pavement left by a particularly large dog.

Nothing,absolutely nothing Brown does goes right - speeches in Normandy (and being booed 'cos he got the invitation to The Queen wrong) ,Gurkha's,10p tax,Iraq enquiry,expenses You Tube,cabinet reshuffle - the list is endless.

A Prime Minister has to have some luck,just as a top sportsman does - and Brown has zero luck.

This will be finished by end July.

Anonymous said...

As the song goes "If it wasn't for bad luck, I wouldn't have any luck at all"

Anonymous said...

Step forward, Mr Ten Percent, wait for it... Goooooorrdunnn Broooowwn !!

Mark M said...

"The judgement David Cameron and I took last autumn to warn of Britain's looming debt crisis"

While I do agree with his sentiment, it would carry more power if they hadn't been promising to match Labour's spending up until last autumn. They should have been calling for restraint all along, so that deep cuts wouldn't have to be made now.

Anonymous said...

GoBro Go

Grumpy Old Man said...

Millibands got his own troubles re. authority after the Ayatolla's assessment of Salvator Mundi's abilities.

Andrew Efiong said...

Worse Iain, apparently Mervyn King has not even seen a draft of the banking White Paper and has not been invited to discussions on banking reform.

So much for the "tripartite" system. It's all on the

Dimoto said...

I really don't get this - it's as if Tories themselves need convincing that their position is correct.

The Tories need and want, to go into the election as the party of fiscal probity who will put the economy back on it's feet.

They want Brown to go into the election still in denial, and threatening more and more spending (and more and more tax).

The best kind of clear blue water.
I suggest we don't try too hard to induce Brown to U-turn again ...

Dimoto said...

Who said yesterday, that "inflation is not a problem at the moment" ?
(target 2%, actual 2.7% and on the rise).

Could it be that the suddenly cool and objective Mr Mervyn King, is preparing to raise interest rates in the Autumn ? That would really put the cat amongst the pigeons !

Elby the Beserk said...

"Poor Prime Minister"? I don't think so, Iain. There is one man I can muster no sympathy for. Man is a lying, sociopathic bastard who will deserve all he gets. Not fit for public consumption.

And we can forget about Murray winning the tennis - Jonah sent him a signed photo of himself wishing him luck. That's Andy done for.