Labour should attack Sunak`s economics

Sunak is not the first Tory chancellor to claim he has a "sacred responsibility to balance the books for future generations", whilst doing nothing to ease graduates` debts, improve young people`s chances in the housing market, increase social mobility, close pay ratios, or even give the most obvious form of help to them by increasing spending on all aspects of state education (Chancellor warns of "hard choices" to address debt, 06/10/20). "Future generations" would benefit far more if the need for food banks was eradicated, and there were guarantees of jobs and decent pay. The International Monetary Fund`s advice to increase state spending ( The chancellor`s speech signals that he wants to go back to the future, 06/10/20) is likely to be ignored, just as it was in 2013. Just two months before his March budget, George Osborne was told by the IMF of the need for a "reassessment of fiscal policy" (Austerity is failing, IMF tells Osborne, 24/01/13). Work by the IMF`s chief economist, Olivier Blanchard, on fiscal multipliers had shown the devastating effects tax and spending cuts were having on economies. Naturally, Osborne ignored the advice and went on to continue with departments` spending cuts, reduce corporation tax to 20%, and cap public sector pay awards to 1%! When it comes to a choice for the Tories between a Roosevelt-like New Deal, as Larry Elliott suggested, to rescue jobs and businesses (Britain needs a New Deal, but all we get is confusion, 02/10/20), and austerity measures, it`s already clear where Sunak`s rhetoric will take us! Amazing how the chancellor can come out with all the usual Tory nonsense about "supporting businesses and communities", and using "the overwhelming might of the British state" to "create, support and extend opportunity" to as many people as possible, whilst still possessing "a sacred responsibility to balance the books for future generations" (Star, 05/10/20). What a pity this "sacred responsibility" to future generations does not extend to ensuring they have sufficient government expenditure on their education, housing and job prospects, or even on eradicating the need for any future use of food banks! Apparently, the International Monetary Fund is saying the government should increase state spending, advice which is likely to be ignored, just as it was in 2013. Just two months before his March budget, George Osborne was told by the IMF that he needed to reassess his fiscal policy". Work on the effect of fiscal multipliers by the IMF`s chief economist, Olivier Blanchard, had shown the devastating consequences tax and spending cuts were having on economies. Naturally, Osborne ignored the advice and went on to continue with departments` spending cuts, to reduce corporation tax to 20%, and to cap public sector pay awards to 1%! Anything this chancellor does is almost bound, as the trade union leaders say, to be like a "drop in the ocean". When there is an existential threat to our society, as there is now, governments must ignore considerations about budgets and debt, and opposition parties must tell them so, loudly!