George Osborne has just fired the first shot in the fight over the 2012 Budget. His decision to introduce local pay for the 160,000 civil servants coming off the public sector pay freeze is, as is often the case with Chancellor Osborne, both an economic and a political move. The economic case for local pay is straightforward. National pay rates mean that public sector workers are relatively underpaid in prosperous areas of the country and relatively overpaid in deprived areas.
Here’s a phrase you don’t hear all that often: George Osborne is right. The Chancellor’s axing of the 50p tax rate was incomprehensible. His freezing of pensioners allowances callous and inept. But the decision to cut tax relief on ... Read Post
The 2015 general election has still to get going in earnest, but John Rentoul points to the forthcoming budget as an opportunity for the campaign to become turbo-charged as the Chancellor, George Osborne, exploits recent good news o... Read Post