British Finance Minister George Osborne intends to follow through on his threat to punish the U.K. masses because 52% of them voted “incorrectly” in the Brexit referendum. Osborne has vowed to continue using austerity to punish average Britons until the 2020’s, and he is blaming his attack on the Brexit vote, even though the British parliament might not vote to leave the E.U.
The decision means that austerity and more spending cuts and tax rises – forced on the government by the UK leaving the European Union – will now have to be made until the 2020s.
“Forced on the government”? UK austerity is 100% gratuitous. (Meanwhile austerity for Greece will remain unavoidable as long as Greece keeps using the euro.)
Mr. Osborne had pledged to deliver in line with Office For Budget Responsibility (OBR) forecasts, which predicted the UK to have a budget surplus of £10.4 billion in 2019/20 and £11 billion the year after.
Every pound of surplus for the UK government is a pound of deficit in the UK economy. The bigger the surplus, the deeper the recession, and the harsher the slavery of average people to debt.
Meanwhile the Labour Party (the “opposition”) supports Osborne’s attack on workers…
Labour welcomed Osborne’s decision. Shadow chancellor John McDonnell said: “It is only a shame he was not realistic sooner, as under Jeremy Corbyn, Labour has been unequivocal in its opposition to failed Tory austerity.”
No, Labour has been unequivocal in its defense of austerity, since the Labour Party agrees that the U.K. government must have a balanced budget, which can only be achieved via austerity.
“Austerity is unpleasant, but the country faces hard choices. Bullshit. When Labour MPs voted with the Tories to increase cuts to welfare, they made a determined statement to the electorate that we stand ready to make those difficult choices, just as the Tories have been.” ~ former Labour leader Ed Miliband.
As you can see, the British Labor Party is anti-worker and pro-banker, just like Democrats in the USA, and the “socialists” in France.
The amazing thing is how strongly the people in London support austerity. They do it by worshipping the EU, which means worshipping Osborne and the bankers. The London nitwits are incredibly stupid, and yet Forbes claims they are “more educated” than the Britons outside London who voted for Leave.
We see this worship in average people’s speech patterns. For instance, when the national government wants to increase the billions it gives to weapons makers, no one asks, “How will you pay for it?” But when someone suggests helping poor people, the cry goes out among rich and poor alike: “How will you pay for it?”
The U.S. government’s “intelligence” budget is over $70 billion per year, of which $49 billion is given to private contractors. Hillary says she will increase that $70 billion to “keep us safe.” Military contractors get far more. This is corporate welfare. But since the recipients are rich, no one asks, “How will you pay for it?”
Rich people get “contributions.” Poor people are “bribed.” For example, when the city of Everett in Washington State lowered the Boeing Company’s taxes to zero, this was a bribe to get Boeing to stay in Everett. But since Boeing is rich, the bribe was called “a growth policy.”
Bernie Sanders called for universal health care. Since this would have helped average Americans, Forbes called it a “bribe for the voters.” Whatever helps average people is a “bribe for the voters.” That which helps only the rich is “sound policy.”
The lower classes internalize all this. They believe and the lies told to them by the rich and their toadies. They echo the lies to each other (e.g. “How will you pay for it?”) They are poor materially because they are poor mentally.
Rich people are always scheming to increase their “free lunch,” while they tell poor people that “there’s no free lunch.” Poor people believe this lie. That’s why they are poor.
A peasant is someone who wants to be owned and ruled. Most people are peasants (but not all, as proven by the Brexit vote). They prefer the certainty of slavery to the uncertainty of freedom. They view their owners as parents, saying, “They should provide for us.” In reality, the owners are not parents, but parasites that provide nothing. The lower classes do all the work.
Sadly, the more the lower classes become peasants, the more they cheer when the upper classes rob them.
In some cases, entire nations consist of almost nothing but peasants. During the Brexit referendum, Scotland and Northern Ireland voted to remain in the EU. Scotland wants independence from the U.K., but Scotland is too cowardly to stand on its own. If Scotland votes to leave the U.K., then Scotland will petition for membership in the E.U. so that the Scots can enjoy the “protection” of E.U. gangsters that despise them. This will likely mean that Scotland will adopt the euro. If that happens, and if Scotland has a trade deficit like Greece, then Scotland will be forced to surrender all its public assets to the rich, like Greece. Average Scots will long for the days when they were part of the U.K.
If Northern Ireland moves to leave the UK, and become part of the Republic of Ireland to the south, then Northern Ireland will be subject to the gangsters in Dublin, Brussels, and Frankfurt.
At present the Republic of Ireland is enjoying a large enough trade surplus for the Republic to not need loans from the criminal bankers, or from the E.U. gangsters. Nonetheless, average people in Ireland are suffering because of gratuitous austerity imposed by their politicians (the Dublin gangsters).
All these disasters arise because of mass stupidity regarding money. And the stupidity never ends. Nearly eighty years ago President Franklin Roosevelt, obeying his psychotic Treasury secretary Henry Morgenthau, decided to balance the federal budget at the same time the Federal Reserve raised its reserve ratio requirements for member banks. Furthermore taxes increased sharply because of the introduction of the payroll tax. These events caused a disastrous contraction of the monetary base, which in turn caused a severe recession that continued until the onset of World War II.
Then as now, average people believed the lie that the U.S. government must have a balanced budget, even though the government creates its spending money out of thin air. (The “gold standard” gimmick never limited the U.S. government’s ability to create money. Its purpose was to justify politicians’ lies whenever they wanted to claim that the U.S. government was “broke.” The gimmick was set aside for World War II.)
Then as now, average people believed the lie that the U.S. government runs on loans and on tax revenue, and has a “debt crisis.”
Then as now, politicians and bureaucrats falsely claimed that austerity would bring prosperity for all.
Then as now, the peasants said that austerity had “failed,” when in fact it had spectacularly fulfilled its purpose, which was to widen the gap between the rich and the rest.
They never learn.
The EU that these idiots love includes the European Commission, whose unelected and unaccountable bureaucrats are planning to ram through a free trade agreement between Canada and the EU, known as CETA, without giving any European national parliaments a say in it.
European Commission President Jean-Claude Juncker claims that CETA would fall within the exclusive competence of the EU executive, and therefore didn’t need to be ratified by any national parliament in the 28-nation bloc. Juncker says that allowing national parliaments to have a democratic say in the agreement will paralyze the process, and put the European Commission’s authority and credibility at stake.
CETA (a free trade treaty with Canada) is a model for the Transatlantic Trade and Investment Partnership (a free trade deal with the USA). Both are designed to replace national sovereignty with corporate sovereignty, in order to further increase the gap between the rich and the rest.
Trade Commissioner Cecelia Malmstrom hopes that Canadian Prime Minister Justin Trudeau will come to Brussels and sign the CETA treaty before the end of October. Then the European Commission plans to get U.S. President Hillary’s signature for the TTIP in Jan 2017.
Both treaties lock in privatization and corporate decriminalization. Both treaties will let corporations sue national governments for any perceived loss of future profits. The lawsuits will be filed in courts owned by the corporations, whose tribunals are also owned by the corporations.
Anyway, as I said, George Osborne will take his revenge by increasing austerity. The UK Guardian says Osborne will continue to cut funding for the National Health System, which is currently predicted to be more than £20bn short of what the NHS will need 2020. The purpose of this constant cutting is to make the peasants scream until they beg for relief in any form, including privatization (which will bring no relief at all).
Osborne will also cut welfare spending by £12 billion, and will aim his attack at the poorest people. A study for the Joseph Rowntree Foundation last year found that in the UK’s most deprived communities, social care spending fell by £65 per capita, while it increased by £28 per capita in the least deprived communities.
When will the masses wake up? Perhaps never.