Last week's Autumn Statement was a depressing occasion. The Government's Plan A for the economy was announced boldly shortly after the 2010 election. It was going to reduce the deficit sharply and fast; generate growth; and - although it involved cutting thousands of public sector jobs - would create so many private sector jobs that unemployment overall would fall. Instead, on the 29 November, we were told growth was only going to be just 0.7% in 2012. Grim indeed, especially given that we are now several years past the massive collapse in economic activity in 2008/9 caused by the financial crisis. The deficit is not coming down fast at all and, worst of all, unemployment, according to the Office of Budget Responsibility (OBR), is not going to fall but is going to increase over the next year, at least.
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