April 17 2010 The cuts are coming
I have been saying this till I am blue in the face, after the election we are due for cuts in public services. The news is littered with details of possible cuts. Mr Brown has said there will be cuts but not yet, Mr Cameron has said he will cut immediately. Yet, and this is what amazes me, some people are still living in dreamsville. Some trade unionists are 'determined to protect members living standards and resist all cuts to pay and changes to working conditions.'
Guys the cupboard is bare, get real! When the economic crisis hit, we were hours away from total meltdown. We were hours away from cashpoints closing down, hours azway from trains and buses stopping running. Whatever you think of Gordon Brown, on the economy he got it right and this election is all about the economy. This is where the pain is felt and will be felt for a long time. This is why the Back to the Black programme ( www.backtotheblack.co.uk) is so important. There has never been a more important time to clear debt and create wealth.
I was in a meeting yesterday in Wrexham where I heard of one poor chap here in North Wales who is soon to lose his home. The idea that there can be sections of the community that are immune from cuts in services ( and that means less teachers, less nurses and so on) is nonsense. We will all feel the pain, there does have to be cuts and rises in taxation but not yet.
A lot of politicians are now bemoaning the fact that many public services now have an increase in managers. Hang on, this means that doctors spend their time treating patients, teachers spend their time teaching children, not dealing with admin. Cutting managers is not the only answer. The answer has to be to sustain the economic recovery by avoiding cutting this year. That keeps people in work, that keeps taxes flowing into the treasury and keeps public services going. Then when the economy, which has had the economic equivalent of a heart attack, will be given chance to recover. Then when the economy is stronger we can make the cuts that are needed.
This will keep people in work, it will keep people in their homes and it will help generate wealth that will make the economy grow. Then when we have generated some more cash, and we will, then we can start paying off the debts and that is the sensible way to move forward. Making cuts now will risk giving the patient another heart attack and this could be fatal.
So you have to make a decision, do you carry on as if nothing has happened? Do you blame the current government? ( Don't, it wasn't their fault), or do you hunker down, clear any personal debt and then invest for your future?
It is your vote on May 6th, use it wisely.
Saturday, 17 April 2010
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