The Office for National Statistics (ONS) has published the government’s latest public sector borrowing for December 2022.
The Office for Budget Responsibility (OBR) actually forecast December’s borrowing would be £17.7bn meaning that the government overshot the OBR forecast by nearly £10bn.
Increased borrowing to support households with energy grants and additional costs of living grants for low-income households have not helped combined with inflation driving interest payments up on RPI Index Linked Gilts (government borrowing) plus normal fixed rate gilt interest have all added to this record borrowing.
It is time to stop. It is time to put up and shut up. Covid-19 has to be paid for alongside recent energy and cost of living grants. We must accept that we all need to pay more income taxes, capital gains taxes and inheritance taxes. It is time make cutbacks, those that are fit and able to work but do not and claim benefits should be forced to work and pay their way or even contribute to society say with voluntary community care and support to help the NHS and care systems. Those that demand pay rises need to temper their requests, yes pay rises are needed but asking for 10% plus when inflation will be falling shortly is difficult to justify.
Sadly, the benefits system and indeed furlough payments, business grants, energy grants and cost of living grants have changed many people’s attitude in expecting the government to step in every time there is a difficult period. Other countries
This may not be a popular view, but it is highly unfair that 53% of people get more out of the system than they pay in. In addition, why should just 10% of working age people pay 90% of the tax bill in this country? In balance that though, no ‘fat cat’ wealthy, profitable business should be allowed to declare dividends and distribute profits to owner/shareholders unless every single employee is being paid at say £1 an hour above the living wage.