That £20bn will go into generating extra economic activity, and by creating more jobs, increasing incomes, and paying contractors, tax revenue of the government will increase. The current average amount of tax received by the government is, according to economists, 35% of GDP, which means the government actually only needs approximately an extra £13bn. When the so-called multiplier effect is taken into consideration, that figure is even further reduced, with people`s increased spending adding more in taxation to the Treasury`s coffers.
This is hardly rocket science, but governments fail to inform the electorate of the true figures, fearing damage to their reputation for benevolence. Our Brexit-besotted media might be suffering from austerity-amnesia, but the Tories` belief in austerity most certainly has not been sacrificed! Brexit grabs the headlines, but privatisation, landlordism, de-regulation, academisation, selection and CEO pay ratios of 130:1 are all far from suffering immolation; they, along with austerity, are still ticking Tory boxes.