Bet Georgie O didn't like the GDP growth figures today.....

[LadyBlaBlah]

.......seeing as for the last few months he has been telling us how we are in the middle of a disaster and everyone is going to be miserable, destitute and eating gruel.

double what was expected

So politically, not really the best news for him.

Well the other way of looking at this is that George O will be more confident in imposing the massive and swingeing cuts that are necessary in the Autumn Spending Review.

If the economy is robust - it can afford to take some pain on job cuts.

Oh no I think it's good news for the Tories. Makes it look like the cuts are working.

Notice how little of the growth was public sector led - ie from fiscal stimulus/government policy.

Monetary policy (low interest rates and quantitative easing) is driving growth.

Cutting public spending will dampen inflation and enable interest rates to stay lower for longer - allowing a rebalancing of the economy more quickly. The VAT rise will counteract the public sector deflation though - hopefully not too much!

Just read the official response of George O to this.

He effectively said he was cautiously optimistic on the economy and that gave him room to start slashing the Govt deficit.

Public spending cuts here we come. Lets hope the GDP figure has not given a false positive signal.

"The figure - a preliminary estimate from the Office for National Statistics (ONS) - was almost double the 0.6% growth rate expected by economists"

What is the point of economists?

Financial experty sort of people have been calmly saying for months that the economy is slowly picking up.

The tories have unleashed wave after wave of propaganda telling us how terrible everything is.

Unfortunately, many people have believed the propaganda.

Public spending cuts are coming anyway. It's all idealogically driven, always has been. They will get their cuts in fast in case their term in office is brief.

BB - You sound almost gleeful and gloating about people being put out of work and those in receipt of public services suffering. I find that really odd.

but said, the tabloids lead the way with their tales of glee and mirth, the crazy public sector jobs that we should all laugh at. You can't really blame beta.

I know poncey, you're right.

said Contrary to Labour propaganda, the cuts aren't that fast.

There are very few cuts in the budget this financial year; the cutting process starts in earnest next year, but most of the cuts will be in 2012/2013 and 2013/2014.

George was a bit Journal of The Bleedin' Obvious on it - the growth has mostly come from the private sector, apparently. Well, no shit, Georgie? Isn't that the point of the private sector?

said - Labour bult an enormous bloated public sector that wil kill teh country if it is ot cut down to a sensible size. If we dont the bond markets will stop us spendng and the IMF will be in imposing austerity like in Greece.

Yes I am happy. Not about job losses for individuals but if we dont do what is necessary millions more will lose their jobs.

I'll keep being informed by the financial pages. None of that ridiculous scaremongering at all.

Why would the Chancellor not welcome better than expected growth figures in the economy. They are welcome but the growth rate is still not great and if the deficit is not cut then we will lose our AAA credit rating and we will have high interest rates and harsh austerity measures imposed on us.

Osborne was not pleased because this is the second set of figures that show the economy was slowly recovering, prior to the budget (and the ConDem government being in power).

Osborne appears to have made all his warnings, predictions and statements, without waiting for the actual figures, and his inexperience in all things fiscal is laid bare.

If the cuts etc., send us into double dip recession (likely) and it results in huge unemployment (likelier still), it doesn't look good on them in any way.

It will also probably mean the coalition will fall apart.

I think karmalady is spot on - Georgie boy is definitely sweating now because it gives the public more reason for the rose tinted specs about the Labour years!

The man is so inexperienced it is seriously worrying - they will ruin any chance of recovery.

A 'few job cuts' might seem like a small price to pay for a smaller and cheaper public sector but most people have no idea of what will stay or go and how much the country will be affected by it..