Rachel from accounts has crashed the economy

[Almn0etd]

So borrowing costs are now even higher than when Liz Truss was around.

The economy is well and truly cooked and in a far worse shape now that Rachel accounts is in charge.

Why isn’t this dominating the news cycle? Because it’s Labour.

The Tories were atrocious. Labour are an indescribable disaster for this country, surpassing the lowest of the low bars. Cue Labour apologists who don’t mind being made poorer and having the country destroyed, as long it’s Labour doing it to them.

I can't see how Starmer can sack Reeves without being implicated - suspect for that reason they'll tough it out for longer. I can't see how they rebuild their popularity from here - interest rate cuts as the economy crumbles might be popular?

Spending cuts announced in the next few weeks I think, then the NI changes from April? its not looking good for the economy.

Looks like it’s just getting worse and worse. She’s been found out. What an utter disaster

What does this even mean? Starmer saying she's doing a fantastic job is being 'found out'?

This thread has spiralled into some bizarre fantasy politics with the dream of everyone resigning and Sunak returning, Farage as PM / foreign secretary and so on. Not going to happen. Didn't happen during the Johnson slow motion car crash, didn't happen during the faster Truss crisis, not going to happen now. Plan your fantasy cabinet for 2029 by all means but don't imagine it will arrive beforehand with the parliamentary majority Labour have in hand. Delusional to think otherwise.

Meanwhile 5-year gilts are trading close to Truss territory.

And here’s one for Starmer on his AI push - why doesn’t he get AI to replace Reeves - it would do a better job and be much less robotic.

Starmer saying she's doing a fantastic job is being 'found out'?

Why do you believe Starmer (I mean of course he’ll say that) when the markets show otherwise?

Reeves will survive to deliver the Budget of Bad News in March and will be pushed out then.

I am not certain the markets will wait for that.

Inflation is proving sticky. Why? US employment data. A rising energy complex - yes, partly on seasonal factors but also on Moscow cutting the last gas pipeline, and the US implementing fresh sanctions on Russian crude/shipping. And, don’t forget, rearmament is inflationary.

And then you have Reeves fiscal incompetence on top.

Isn't that usually the kiss of death according to yes minister? 'So and so has my full backing' etc?

That said, Starmer is too implicated which is why I agree they'll hang on together.

Yes. "She has my full confidence" usually translates to them being fired.
Reading the notes on Sky, PM wouldn't confirm that Reeves is staying in her job either. She's toast.

Sorry for the spelling errors. I write on a French keyboard most of the time and don't always read it too carefully.

You can fire as many misisters at almost any level, Junior to Prime, It can't magic money and a fulfilling lifestyle out of thin air. Something that so many politicians (opposition parties) fail to grasp. France has RN saying things would be so much better under them BUT NONE of the policies they clain stand up to any scrutiny at all. Same in the UK

She’s on borrowed time. She has ruined what was left of the economy. Starmer knows that unless she goes, either Joe, or in the next reshuffle in March, he’s won’t survive either.

There's a lot of people with vested interests (kids in private school, a few assets gathering capital gains, maybe a family farm etc) who are desperate for Labour to fail and as a consequence they're trying to tie all of the UK's problems to one budget. The reality is Reeves' biggest error, besides employer's NI, is inaction.

The mess left by the Tories demands radical action to set taxes to claw back all the government resources handed out to the wealthy during COVID whereas Labour's "third way" approach is to borrow those resources back at stonking rates of interest.

I'm looking forward to watching the reaction of all these vested interests when Reeves is replaced by someone more interventionist who makes them cough up sensible amounts of tax.

I don't think the markets are basing action on schools or farms or the usual excuse of a mess left

It's a current response to Labour's policies and their failings

What percentage of the population do you think is paying capital gains, sending their kid to private school and working on the family farm? Do you think that cohort alone are driving the absolute car crash in the popularity rating of the party?

Anyone who was not expecting the economy to get worse before it gets better is not very bright. It’s been 6 months. It will take years.

And you don't have an axe to grind? Be serious, please.

Otherwise your assessment is hugely reductive, and fails to grasp the economic reality. Reeves lacks competence, and her fiscal policies have been largely borne of ideology - not sound economics. The cabinet otherwise lacks real world commercial experience - look at its composition.

There are global forces at work, and the markets are moving - Reeves is hopelessly out of her depth. What comes after her is profoundly worrying, however.

Labour will soon come for your benefits, you’ll see.

Really why would it ‘get worse’?

Are you including promises of fastest growing economy in G7 if you thought it would flatline for a while

I think ‘not very bright’ is more a Labour thing at this stage. They didn’t expect this and it shows.

She's living on borrowed time.
So is Starmer. Woefully out of their depths.
UK PLC is a mess. The economy and the populace have no redeeming qualities.

I certainly don't think many businesses were expecting to be hobbled by the ni increase. Perhaps they though the knock on effect on joblessness would rule such an act of self sabotage out.

Labour will soon come for your benefits, you’ll see.

Your reaction to someone expressing different views is to suggest they must be on benefits? Their view is worth just as much as anyone's.

Not long ago the Starmer government was heavily criticised for being too negative. They told us things were going to suck for a bit.

Are they growing the economy yet?