OBR put the (deserved) boot into Cameron.

[Andy Zarse]

cardigankid said:

If Soros wants to short the pound, let him. If he did, he could push the pound down, saving the Govt. the job of doing it, the stock market would rise, productivity and exports would rise, imports would fall, tourism would flourish and suddenly he would have shot himself in the foot, or the head, depending how much he had gambled.

But he is far to clever a bird to do that. He needs someone to pick up the other side of the bet. Back in the Lamont days, we had entered the ERM and the Treasury was prepared to throw money at the market to keep the pound within the necessary parameters, in the belief that they could always outgun a private investor. That created the situation which Soros took advantage of. Lamont's arrogance and folly was astounding to watch. It was obvious what was going to happen, and Lamont burnt billions trying to stop the tide coming in. Today they would just let him push against an open door. A totally different situation, and Soros knows it.

All I am saying is that at SME level efficient businesses are creeping up to their capacity, and lending has started to flow. Osborne is trying to put a lid on public expenditure and tax levels, and not to obstruct business. He doesn't have to be a genius to do this, so it is pointless to criticise him for not being a genius, being a silver-spooned toff, being out of touch with reality, all of which may be true, but doesn't alter the fact that he is presiding over an economy which I can see turning round in front of my eyes. The alternative is to return to the type of waste which characterised the Labour Government, create non-jobs etc., which leads to debt, bureaucracy and gross inefficiency. I don't want that, ergo I support G.Osborne. What don't you understand?

Edited by cardigankid on Thursday 14th March 19:44

Agree about Soros, or anyone else for that matter, who wants to short any currency at the moment. Everybody wants to devalue, including those running the Euro.

However, the pound has fallen 25% in the last five years and production has actually fallen. The economy has not rebalanced" as predicted by Merv. Why do you think further falls in value will increase anything other than inflationary presures?

The trade balance has also worsened. Inflation has been over target, it feels, almost since records began, and the only increase in tourism we've got to look forward to is of the benefits kind from Romania and Bulgaria. At SME level, in fact at just about any level, and despite the FLS, lending has fallen. Osbourne has done almost nothing to alter the supply side. That is why he's cast as a failure by so many, not just for the reasons you suggest and which I agree are largely otiose to the arguement.

[Digga]

cardigankid said:

All I am saying is that at SME level efficient businesses are creeping up to their capacity, and lending has started to flow.

Anecdotally, I'd say you're incorrect, and I speak to one hell of a lot of SMEs over the course of just a single day. Granted, they may generally be in a specific sector, but other sectors do not appear to be breaking many records.

Statistically, you're wrong - all the recent news has pointed to a deleveraging from debt by SMEs during the last quarter of 2012.

cardigankid said:

Osborne is trying to put a lid on public expenditure and tax levels, and not to obstruct business. He doesn't have to be a genius to do this, so it is pointless to criticise him for not being a genius, being a silver-spooned toff, being out of touch with reality, all of which may be true, but doesn't alter the fact that he is presiding over an economy which I can see turning round in front of my eyes. The alternative is to return to the type of waste which characterised the Labour Government, create non-jobs etc., which leads to debt, bureaucracy and gross inefficiency. I don't want that, ergo I support G.Osborne. What don't you understand?

Osborne is by no means 'out of the way' of business. Red tape and taxes seem little changed from the last administration. In reality, he's done nothing, he''s frozen ome bloated doughball-rabbit hybrid, staring into the lights of economic train wreck approaching.

I have no personal class or wealth based predjudices, but the trouble with Tories is they are their own worst enemies. Having a cabinet headed-up by toffs is a complete own-goal and makes it very, very simple for the unthinking classes to be persuaded vote Liebour, even though surveys may show they think Milliband is less appealing as PM than Mr Bean and Ed Balls is a swivel-eyed loony not to be trusted with his own dinner money, let alone the economy.

Apart from the above, I agree with all the stuff you said about Soros.