Understanding the UK’s Financial Challenges
UK Economy Series - #ExposingtheTruth Behind Politicians' Lies About Your Money Understanding the UK’s Financial Challenges: Why Cutting Costs Isn’t the Solution Just a couple of months after the general election, it's clear that the Labour Party is facing a funding shortfall. This was expected, as experts predicted that the financial plans accepted by Labour from the Office for Budget Responsibility would lead to a lack of funds for essential programs. This issue is evident with the two-child benefit cap, and winter fuel allowance for Pensioners, and even more problems are likely to arise. The government doesn’t have enough money to meet its obligations and needs to find more. While increasing taxes on wealth is an option, there are other solutions too. One potential change is to stop paying interest on the central bank reserve accounts held by commercial banks with the Bank of England. Confused? Ok, let’s break this down: When the government spends ...