UK Economy Myth 2: The Coalition is bringing UK debt down

Not surprisingly, given 1) the economy isn’t currently growing and any recovery is forecast to be weak, and 2) the Government is continuing to maintain historically near-record levels of public spending, the national debt is forecast to continue rising throughout the lifetime of this Parliament. Yet politicians, including Nick Clegg as well as the media, persist in confusing the different concepts of deficit (at its simplest, the excess gap between what we earn and what we spend as a nation in a year) and debt (the accumulation over years of all our borrowing).

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So, for the record, here are the public debt figures for the UK. The UK’s debt is increasing throughout this Parliament on the following three measures:

• Nominal figures: from £903bn (2010-11) to £1,251bn (2014-15);
• As %-age of GDP: from 61% (2010-11) to 69% (2014-15);
• At 2010-11 values: from £903bn (2010-11) to £1,125bn (2014-15).

5 Myths about the UK economy – Myth 1

With acknowledgement to Stephen Tall who is Co-Editor of Liberal Democrat Voice we reproduce his analysis of the UK economy over the next 5 days.

The economy is the big issue: it was at the last general election, it has dominated and will dominate this parliament, and it will be the big issue at the 2015 general election. Yet trying to get behind the political rhetoric to discover the economic reality is surprisingly tricky. The purpose of this post is to look at what I see as the top five myths currently being perpetuated about the economy, and to explain why I think our current debate is misleading the public and diverting us from finding proper answers.

Myth 1: UK public spending is reducing

So keen has been the Coalition and Labour (for their own different reasons) to talk up the extent of the Government’s spending cuts that the reality has been forgotten. Public spending is going up year-on-year under the Coalition, rising from £690bn in 2010-11 to £744bn (+8%) by 2014-15. If we allow for inflation, there will be a modest reduction: from £690bn to £668bn (-3%) by 2014-15.
That figure of £668bn public spending in the final year of this parliament will be higher than in every single year of the last Labour Government’s 13 years in office, bar its final one. Indeed, Coalition spending in 2014-15 would be higher even than that final Labour year (2009-10) if it were not for the increased cost in servicing the national debt.

(Graph from Burning our Money blog; data from Tullett Prebon economic and fiscal database.)

Top ten service standard cut hates

Residents in the Westfield and Dringhouses wards have given their views on recent cuts in public service standards.

They gave their views in response to a “Focus” survey.

The top 10 least popular cuts (least popular first) are:

1. Stopping, or charging for, green waste wheelie bins emptying – 97% opposed

2. Reduction in highways maintenance budget 94%

3. Reductions in drainage gulley cleansing frequencies 93%

4. Reduction in snow and ice clearing budget 84%

5. Recent increase in Council Tax level 82%

6. Reduction in Ward Committee budget 81%

6. Closure of Beckfield Lane recycling centre 81%

8. Stopping Community Ranger security patrols 78%

9. Increased car parking charges 71%

10. Closure of Council’s Acomb Office – 54%

Stadium and shops plan given green light

York Liberal Democrats have welcomed the news that the decision to approve a new Community Stadium at Monks Cross will not be called-in by central government.

The 6,000-seat stadium for York City FC and York City Knights, as well as new John Lewis and Marks & Spencer stores, will now be built after Communities and Local Government Secretary Eric Pickles ruled that City of York Council’s decision to approve the scheme should stand. The stadium is expected to be ready for the 2014/15 football and rugby league seasons.

Carol Runciman, Liberal Democrat Group Leader on City of York Council, commented:

“The Liberal Democrat Group is very pleased that the scheme has not been called in and the decision of local representatives will stand. The development will significantly contribute to the economic development of York. It will bring much-needed jobs to the City and offer local residents and sport clubs improved facilities and choice We now need to move forward with the application and ensure that developers work closely with local residents to make certain that the new development works for everyone and concerns such as traffic are properly resolved.”

Vulnerable people in York

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The Council is to consider next week a report on the number of cases of abuse of vulnerable people in the City.

The highest number of alerts and referrals continue to be received regarding people over 85. Of the 690 alerts 242 (35%) concerned people over 85.

The number of alerts and referrals continues to grow within the City, but with lower referrals than the England average. Family members are making increasing numbers of safeguarding referrals.

The Council continues to receive relatively low numbers of alerts from the wider community including education, training, workplace, friends and neighbours. No referrals have been received again this year in respect of people with substance misuse related needs, and this is now subject to joint consideration with the Council’s Drug and Alcohol commissioners.

A full copy of the report can be found here: http://tinyurl.com/Health-York-26th-June

Ambulance service performance

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The Yorkshire Ambulance Service is reporting to the Councils Health Scrutiny committee next week.

Included in the report is a list of complaints received.

• The Emergency Service received 695 complaints/concerns during 2011/12 which equates to 0.1% of the activity for this service.

• The Patient Transport Service (PTS) received 941 concerns/complaints during 2011/12 which equates to 0.1% of the activity for this service.

• There was an increase in the number of complaints/concerns from 2010/11 to 2011/12 of 2.0%

Hull Road resurfacing

City of York Council is advising residents and commuters that essential resurfacing works will be taking place on the A1079 between Common Road and Holme Lea Farm, Dunnington, this month.

The resurfacing works will be carried out in two phases. The first phase of works is programmed to commence on Friday 22 June and will last for approximately one day, subject to weather conditions, working from 9.30am and 4pm. (more…)

Planning on line

Despite some occasional glitches, the ability to look at planning applications submitted to local Councils “on line” has been one of the significant improvements introduced over the last 5 years.

Residents are able to set up alerts which tell them about any applications affecting their area.

There have been occasional problems with keeping the York Council web site up to date, but generally it has proved to be a useful facility.

Over 40% of planning applications to City of York Council are now received electronically

In times of economic austerity, it seems strange therefore that the Council continues to produce hard copy of the documentation. In the main these are for the benefit of statutory consultees like Parish Councils. Local “Planning Panels” – essentially Quangos made up of self appointed local experts – are also offered the papers in printed form.

One wonders whether these consultees are really an essential part of the process any more? Most of York doesn’t have Parish Councils and there is little evidence, that issues in non parished areas, are not given detailed consideration by officials and planning committees.

Most importantly, now that every resident is able to have their say on applications simply by accessing the web, why is an extra consultation step needed at all?

The Council has now been asked to set up a time consuming “scrutiny panel” to look into the need for paper copies of documents. When the Council moves to its new offices in Toft Green very little paper will be stored anyway with correspondence being scanned for storage purposes.

Many will believe that it is time to make the switch to paperless systems.

Residents can find the York Planning “portal” at this web address: http://planningaccess.york.gov.uk/online-applications/

North Yorkshire Police mobile safety (speed) camera routes 20 – 26 June 2012

North Yorkshire Police will be carrying out mobile safety camera enforcement on the following roads between Wednesday 20 and Tuesday 26 June.

•A64 Malton by-pass Malton east and west-bound
•A64 Seamer by-pass Scarborough
•A64 Seamer Road, Scarborough
•A64 Between Whitwell Hill and Barton Hill
•A64 Between Barton-le-Willows and Jinnah
•A64 Between Barton Hill and Whitwell Hill
•B1257 Newgate Bank, Hawnby (more…)