This Government seems to pursue the Trumpian mentality that if you repeat something that is untrue enough times, people will start to believe it.
This is a Government that continues to insist it is a party of business and it is supportive of industries like the pub and bar sector, meanwhile apparently failing to notice businesses up and down the high street folding like a pack of cards.
And also while failing to recognise that one of the primary causes of those failures is the previous Budget’s decision to hike labour and employment costs.
Speaking today, Rachel Reeves, laughably claimed her last Budget “fixed the foundations” - sounding more and more like a cowboy builder by the minute - and “began rebuilding our economy”.
Blame game
But rather than accept the reality of the impacts of that Budget, she’s choosing to blame other challenges, ranging from global tariffs and the fact that, unsurprisingly, inflation has failed to come down.
Here’s a top economic tip for you Ms Reeves - if you increase the costs of employment across the entire business supply chain, it’s unlikely to lead to a reduction in inflation.
She even laughably points to the fact the UK’s growth was the fastest in the G7 in the first half of this year - failing to notice that ceased to be the case as, let me just check my notes, oh yes, just as the Budget changes began to take effect.
Who is advising these people? The cast of Sesame Street? Actually, I’m pretty sure The Count would do a better job.
Speculation not ended
The Chancellor started her speech pointing to the fact “there’s a lot of speculation about the choices that I will make”. Yes there is, primarily because she’s delayed the Budget by a month creating a vacuum for business, which is already struggling to plan for the future due to uncertainty.
And rather than resolve the speculation, she gives a speech in which she further adds fuel to the fire by refusing to commit to election pledges, or rule out tax rises.
So, judging from the recent speech, it would appear tax rises are inevitable as this Government flails the economic viability of the country to the bone. This was a transparent bid by a Chancellor who knows her Budget is going to go down like a cup of cold sick, so she’s looking to soften the landing.
Tax increases
But which taxes? There’s no good answer to that for hospitality - increasing NI and income tax will dent consumer confidence and spending - the one thing that’s keeping businesses afloat right now.
A VAT increase will be a double whammy of driving up inflation, increasing business costs, and driving consumer spend down once again.
And the constant comments about increasing wages will only have one impact – more closures, more unemployment, more welfare costs.
Either way, the average pessimist on the street will be pointing the economic roadmap in one direction, straight down the recessionary cul-de-sac.
I hope I’m wrong and this is the worst practical joke in the history of Government budgets, and some how Reeves has a whole colony of rabbits to pull out of her hat on November 26.
I don’t know about you, but I’m not holding my breath.