The Budget can someone explain

[BoyBlue_1985]

What exactly is it that the Tories are doing I see it mentioned that they are borrowing more than we have before but we are reducing the defecit...

The way i understand it is that they are reducing our outgoings so that we have more coming in than we have going out, so currently there is no reduction in the national debt just a move to get us bringing in a profit so to speak.

Can someone in the know explain it all?

I am long departed from these shores but from what I understand:

The government talks about two things the overall net government debt which is typically measured against GDP and then the annual deficit which is effectively as you say how much you have had to increase the debt that year.

Is if you have a credit card which you owe 10 k on and it was zero a year before you effectively have a debt of 10k and your deficit was 10k. However if in the next year you spend 4 k you may end up owing 15k and the deficit is 5k. What governments do is they say they have halved the deficit because they have spent only half as much money they didn't have as the year before .

British government debt is probably around 1.5 trillion about 80% of gdp and deficits have been running a bit over 100bn a year and reducing. So dave and George are running up an extra 100bn debt each year but it is a success because it is a lower increase I debt than the year before etc

Fuck me sideways a proper answer

 

[Gareth Barry Conlon]

What exactly is it that the Tories are doing I see it mentioned that they are borrowing more than we have before but we are reducing the defecit...

The way i understand it is that they are reducing our outgoings so that we have more coming in than we have going out, so currently there is no reduction in the national debt just a move to get us bringing in a profit so to speak.

Can someone in the know explain it all?

I am long departed from these shores but from what I understand:

The government talks about two things the overall net government debt which is typically measured against GDP and then the annual deficit which is effectively as you say how much you have had to increase the debt that year.

Is if you have a credit card which you owe 10 k on and it was zero a year before you effectively have a debt of 10k and your deficit was 10k. However if in the next year you spend 4 k you may end up owing 15k and the deficit is 5k. What governments do is they say they have halved the deficit because they have spent only half as much money they didn't have as the year before .

British government debt is probably around 1.5 trillion about 80% of gdp and deficits have been running a bit over 100bn a year and reducing. So dave and George are running up an extra 100bn debt each year but it is a success because it is a lower increase I debt than the year before etc

Fuck me sideways a proper answer

We are basically running on a loss, Gov spending outweighs Gov income each year and has done for years. Reducing the deficit is tinkering with the problem as running a smaller loss each year (which is the current plan) still means you are running a loss and building up the total debt. As with all debts someone will have to pay it off some time so we are basically screwing over our children’s generation.

We don’t need to worry though as loads of other countries are in a far worse mess than us – see Greece who’s current government strategy is to go round asking the lenders to write off the debt as they admit to being unable to ever pay it off.

This will all come crashing down one day.

 

[SWP's back]

Thought Ed ripped into the Chuckle brothers yesterday, poor old George and Davey boy looked on vacantly !

Im guessing you're either taking the piss of mental.

<a class="postlink" href="http://www.dailymail.co.uk/news/article-3001750/SIMON-HEFFER-sane-Labour-voter-not-switch-Tories.html" onclick="window.open(this.href);return false;">http://www.dailymail.co.uk/news/article ... ories.html</a>

 

[tweetstreet]

So every country can't be in debt so what countries are actually in the black?

 

[SWP's back]

So every country can't be in debt so what countries are actually in the black?

Why can't every country be in debt?

 

[The perfect fumble]

I am long departed from these shores but from what I understand:

The government talks about two things the overall net government debt which is typically measured against GDP and then the annual deficit which is effectively as you say how much you have had to increase the debt that year.

Is if you have a credit card which you owe 10 k on and it was zero a year before you effectively have a debt of 10k and your deficit was 10k. However if in the next year you spend 4 k you may end up owing 15k and the deficit is 5k. What governments do is they say they have halved the deficit because they have spent only half as much money they didn't have as the year before .

British government debt is probably around 1.5 trillion about 80% of gdp and deficits have been running a bit over 100bn a year and reducing. So dave and George are running up an extra 100bn debt each year but it is a success because it is a lower increase I debt than the year before etc

Fuck me sideways a proper answer

We are basically running on a loss, Gov spending outweighs Gov income each year and has done for years. Reducing the deficit is tinkering with the problem as running a smaller loss each year (which is the current plan) still means you are running a loss and building up the total debt. As with all debts someone will have to pay it off some time so we are basically screwing over our children’s generation.

We don’t need to worry though as loads of other countries are in a far worse mess than us – see Greece who’s current government strategy is to go round asking the lenders to write off the debt as they admit to being unable to ever pay it off.

This will all come crashing down one day.

I doubt it, we've been running on debt since the days of Elizabeth I, debt is only a problem if no one will lend to us, which they will, or we can't service the debt, which we can.

Running up debt for investment is a good thing, running up debt to cover failure is not.

Debt is not the reason we're in the situation we are in now and making tackling debt as your only economic policy won't get us out of it.

 

[The perfect fumble]

Thought Ed ripped into the Chuckle brothers yesterday, poor old George and Davey boy looked on vacantly !

Im guessing you're either taking the piss of mental.

<a class="postlink" href="http://www.dailymail.co.uk/news/article-3001750/SIMON-HEFFER-sane-Labour-voter-not-switch-Tories.html" onclick="window.open(this.href);return false;">http://www.dailymail.co.uk/news/article ... ories.html</a>

Ed Miliband was impressive yesterday, Cameron knows just how good he is, that's why they'll be no head to head. I've not clicked your link to the Daily Mail, but if you look to the Mail to back up your argument, then you've already lost.

 

[SWP's back]

Thought Ed ripped into the Chuckle brothers yesterday, poor old George and Davey boy looked on vacantly !

Im guessing you're either taking the piss of mental.

<a class="postlink" href="http://www.dailymail.co.uk/news/article-3001750/SIMON-HEFFER-sane-Labour-voter-not-switch-Tories.html" onclick="window.open(this.href);return false;">http://www.dailymail.co.uk/news/article ... ories.html</a>

Ed Miliband was impressive yesterday, Cameron knoiws just how good he is, that's why they'll be no head to head. I've not clicked your link to the Daily Mail, but if you look to the Mail to back up your argument, then you've already lost.

If you're so myopic as to not read analysis you may not agree with them you're a thick ****.

I read the Gurdian and New Statesman to read a different opinion. I guess you just like reading things you agree with. Bless.

And Ed was useless for all the reasons listed in the article.

Now run along, other grown ups may need to talk.

 

[The perfect fumble]

Im guessing you're either taking the piss of mental.

<a class="postlink" href="http://www.dailymail.co.uk/news/article-3001750/SIMON-HEFFER-sane-Labour-voter-not-switch-Tories.html" onclick="window.open(this.href);return false;">http://www.dailymail.co.uk/news/article ... ories.html</a>

Ed Miliband was impressive yesterday, Cameron knoiws just how good he is, that's why they'll be no head to head. I've not clicked your link to the Daily Mail, but if you look to the Mail to back up your argument, then you've already lost.

If you're so myopic as to not read analysis you may not agree with them you're a thick c**t.

I read the Gurdian and New Statesman to read a different opinion. I guess you just like reading things you agree with. Bless.

And Ed was useless for all the reasons listed in the article.

Now run along, other grown ups may need to talk.

Like shooting fish in a barrel, you make it so easy.

You prove my point, yet again.

 

[Ronnie the Rep]

Ed Miliband was impressive yesterday, Cameron knoiws just how good he is, that's why they'll be no head to head. I've not clicked your link to the Daily Mail, but if you look to the Mail to back up your argument, then you've already lost.

If you're so myopic as to not read analysis you may not agree with them you're a thick c**t.

I read the Gurdian and New Statesman to read a different opinion. I guess you just like reading things you agree with. Bless.

And Ed was useless for all the reasons listed in the article.

Now run along, other grown ups may need to talk.

Like shooting fish in a barrel, you make it so easy.

You prove my point, yet again.

Go and do your homework, this is for grown ups