The three economic dragons: Britain faces much more than a debt challenge. Through no fault of their own Cameron and Osborne have inherited three historic economic challenges: massive levels of personal and government debt; the Eurozone crisis; and the long-term rise of China, India and other emerging economies. Taken together these challenges threaten to make the British economy dangerously uncompetitive in the years ahead.
Meanwhile, for the FT (£), the Prime Minister writes:
The eurozone crisis has had a chilling effect on major economies around the world; and has added to the unprecedented pressures facing the global economy. But, in spite of the difficulties, I am confident that we can both resolve the crises at hand and come through them with an economy that is stronger and fundamentally fairer. My argument here at home and at the meeting of the Group of 20 leading economies in Cannes is that we can only do so if we show complete single-mindedness on three fronts: confronting our debts; strengthening the competitiveness of our economy; and unlocking global trade. Let me take each in turn.
Sounds like the Government is determined to do the right thing and that it may garner Conservative Home’s support. Now let’s see how much proforma opposition Labour provides against essential change…