Coffee House

Ed Balls tries to shake off child in a sweetshop spending image

27 May 2013

10:01 AM

27 May 2013

10:01 AM

Anyone reading Sam Coates’ interview with Ed Balls in today’s Times might be forgiven for chucking their newspaper on the floor with a chuckle, muttering about the hypocrisy of a Labour shadow Chancellor lecturing George Osborne on borrowing. Balls warns that the government’s plans to offer Royal Bank of Scotland shares to the public will add billions to the deficit. He tells the newspaper:

‘A giveaway or loss-making firesale at the current share price would and billions to the national debt at a time when poor economic growth already means borrowing isn’t coming down.’

But this is an attempt by Balls to appear fiscally responsible while making the case for ‘good borrowing’ elsewhere. His party now appears to be embracing that argument, but he knows that it carries a great risk that voters will simply read it as ‘more borrowing’, and think ‘thanks, but no thanks’. So to take what is rather a surprising stance against public ownership when he is a Labour and Co-operative MP is an attempt to show that Labour doesn’t have a child in a sweetshop attitude towards spending, and that it is worried about the deficit.

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  • PaderB

    Balls is backtracking like crazy. He always thought himself fire proof in a Yorkshire Labour seat that has no possibility of a Conservative win because of Cameron’s performance and therefore indulged himself on his idiotic stance towards the economy.

    However, with a majority of less than 1000, he is now well aware that his seat is a prime target for UKIP who are likely to steal considerable amounts of Conservative votes, but more importantly, many Labour votes.

    I think that we can all look forward to Ed’s new career as a HouseHusband.

  • kyalami

    He’s not a child in a sweet shop. He’s an arsonist that Brown put in charge of the fire brigade.

  • Dogsnob

    It all started to haze over after about the third sentence. Was ‘sweetshop’ spelt correctly btw?

  • Tim Reed

    He’s merely echoing the Democrat’s line in the US. As Nancy Pelosi said, “It is almost a false argument to say we have a spending problem, we have a budget deficit problem.”

    …as if the former isn’t the cause of the latter. Halfwits, all of them.

  • Mynydd

    There are many here who will not listen to what Mr Balls says, however there are a couple who do:

    Mr Balls have said that business should be help through a reduction in National Insurance Contributions, now Mr Osborne is saying this.

    Mr Balls has long said that there should be a slight increase in borrowing to help growth and jobs; now the IMF say this should be about £10bn.

    So listen to Mr Balls has to say about selling off the tax payers shares in the Banks.

    • DWWolds

      It’s a pity the IMF Evaluators listened to Balls in 2003. At that time they told him government borrowing was already too high. The evaluators have since admitted that he then bullied them so much they caved in and toned down their criticism. Had they not done Balls [and Brown!] might not have been able to create the mess they did and from which we are all suffering.

    • Nicholas chuzzlewit

      That would be the same Ed Balls who, along with Gordon Brown, bullied Alistair Darling into committing to a rise in National Insurance as opposed to a rise in VAT. This was successfully portrayed by the Tories as a “tax on jobs” and now the same Mr Balls is arguing against his own policy. A £10 billion increase in borrowing will do nothing to spark an economic recovery, it will simply add £10 billion to the national debt. If you want an economic recovery, reduce taxes and cut public expenditure. The only way for the public to recover it’s investment in RBS etc is for their Market value to triple and I would not bet your mortgage on that happening anytime soon. Mr Balls is simply trying to shift the blame for yet another heroic Labour screw up onto the Coalition. In conclusion,we have done quite enough listening to this incompetent, over ambitious, socialist idiot.

      • Mynydd

        How do you know Ed Balls bullied Alistair Darling? Were you in the same room when it happened? The Tories portrayed a rise in National Insurance as a “tax on jobs” so why has it taken them three years to do something about it? So was Mr Osborne following Mr Darling’s policy when he raised VAT to 20%? Which taxes would you reduce? would you, say, reduce the top rate of income tax down from 45% to 40%. Which public expenditure would you cut? come on this is an easy one, there are so many easy targets out there, what about the army. When you post statements such as “In conclusion, we have done quite enough listening to this incompetent, over ambitious, socialist idiot” just means you have lost it..

  • itdoesntaddup

    Why was a child latched on to Ed Balls in a sweetshop?

    There must be more to this story…

  • alabenn

    Brown aided by Balls are supposed to be saviours of the world with their bank bailouts, they drifted into that policy because they wanted to save Northern Rock and save jobs in their northeast heartland, the rest of the bailouts were a result of that stupid mistake.
    If they had let the banks fail the world would have been clear of this crisis by now, instead they continue to debase the last vestiges of what is left of the financial system in the forlorn hope that one day something will turn up.
    It will not and the next three generations will be paying for the folly of these two Labour dipsticks.

    • Tom Tom

      They saved the Banks …..that was what their friends in The City wanted and they delivered….for The City.

    • Andy

      Northern Rock should have been allowed to go bankrupt. There should have been no question of saving it. But as you say it was done for Party political reasons.

      • Tom Tom

        Lloyds TSB wanted to buy it but was blocked

        • Andy

          And shouldn’t have been allowed to buy HBOS, and nor would they had the law been correctly followed.

  • Greenslime

    This mans morals are as low as a snake’s belly. He really is a shameful individual. It’s a good thing I don’t read the Times as I would probably go into Tazmanian Devil mode if I read the article.

  • 2trueblue

    Poor Balls, always given lots of opportunities to tell us what he would do. He is well named and should never be let near the till again. Our grandchildren will pay for his total incontinence with our finances over 13yrs with all his mates.

  • David B

    It also shows clearly that the bailout was a massively expensive exercise and that we are potentially on the hook for an amount of debt that is greater than the level of our economy.

    Far from saving the world, they have left the world with a debt crises that will last for years and Balls was a major contributor to the policies that lead to the policy. He is now trying to get a solution that shields him for the consequences of his own actions.

    • 2trueblue

      Aided and abetted by the BBC.

      • Wessex Man

        well they will give airtime to anybody.

        • Andy

          Hardly. Conservatives are banned. The BBC is only for Labour politicians and other ‘unsavoury types’.

          • 2trueblue

            So true. And we have to pay for it.

            • Andy

              I know. That is a crime. Why should we pay for the Labour Party ? It ought to be put into liquidation.

    • Tom Tom

      It is bizarre to bail out banks rather than depositors. Deposits are real. Banks are basically bubbles of self-created debt. Noone but an idiot would underwrite Bank Debt instead of Depositors except an idiot ignorant of how Bank Balance Sheets work. To underwrite the Loans rather than the Deposits is frankly nuts

      • David B

        That is correct. The reason the government chose the bailed out formula they did was, I believe, that they knew if the banks had closed they would have had an ERM exit moment. It would have destroyed their economic credibility and left the current Labour shadow cabinet unelectable. It may have been the right policy for the country but the wrong policy for the Labour party. By keeping the banks open they were able to hide the economic mess they created and hope the public didn’t notice.

        Simply put we are paying the price for their ego.

      • Andy

        Maybe we shouldn’t actually underwrite Deposits. Perhaps we should allow Banks to sink or swim on their own.

        • Tom Tom

          Insurance on Deposits is a fiction. the Banks pay for the Insurance Fund but it can never meet its obligations. It is a way of reducing the cost of Deposits. I don’t think your approach is workable unless Depositors are fully aware – it is the Perfect Information issue

          • Andy

            Well think about it. If you as a Depositor knew all your cash was at risk you might actually be more prudent where you deposited your deposits. It might also change the culture and attitude of bankers towards their depositors and to business in general.

            Bankers are not to blame for everything and anything, and governments and central banks must take a proper share of the blame – and that is a large share. But deposit insurance and all the other protections banks etc enjoy do not engineer good business practise. It is another example of the State distorting and meddling in markets which they do not understand.

  • http://blogs.spectator.co.uk/coffeehouse/ Justathought

    The taxpayer bailed out RBS and it is right and proper that the shares should be returned to private taxpayers asap.

    • Tom Tom

      Stuff the Shares they are bits of paper. The £53 billion it has cost to bail out is hardly reflected in its £19 billion Capitalisation. Have you any idea of finance or are you just another idiot who thinks spending £53 billion to get £19 billion is clever ?

      • Nicholas chuzzlewit

        “just another idiot”, You mean like Ed Balls. Oh, and the term is ‘market capitalisation’ by the way.

        • Tom Tom

          Market Capitalisation if you are unclear as to the Price of Shares multiplied by the Issued Number

          • Nicholas chuzzlewit

            I was simply pointing out the correct nomenclature. I assumed you understood the calculation.

  • Fergus Pickering

    Nobody who is not a Labour swivel-eyed loon listens to this fellow. So what he says is of no interest except to cheer up the Tories. Well, I suppose that’s worth doing.

    • telemachus

      He is a prophet who we would all do well to heed

      • Magnolia

        I thought this site had stopped your comments from plop, plop, plopping all over everyone else’s.
        Let’s wait and see how Abenomics turns out before we try Ballsonomics.

      • Hexhamgeezer

        Bang on cue, Ed’s enterobius.

      • Nicholas chuzzlewit

        A prophet of doom certainly. Sadly, this economic incompetent has no concept of ‘profit’ and the necessity of, when borrowing money, the need to achieve a return that exceeds the cost of borrowing. But then again, no leftist does understand this concept they are simply too stupid to comprehend how successful financing works.

        • David B

          And to interested in taxing it to the point that business have no funds to invest for future growth

      • David B

        A prophet of doom, shame he hasn’t figured that out yet!!

      • Gary Smith

        Pity he could have not prophesied the credit crunch !

        • Nicholas chuzzlewit

          He was too busy causing it!

          • Andy

            Aint that a fact.

      • Andy

        Hark ! A Labour swivel-eyed loon !!!!!!

        • telemachus

          Yes
          We need eyes everywhere to spot the revanchists and those who are not working to let Ed Balls steer the economy back to growth in 2015
          Ask yourself just what view Joe public has about the Alexander-Osborne management and understand why such Joe public does not share the cynicism of the right wing media

          • David B

            What a load of ……

          • Nicholas chuzzlewit

            Well at least he provides an answer to that vexing question: who ate all the pies?

          • Andy

            It was Ed Balls and the evil Gordon the Moron Brown who buggered up the economy in the first place. The pair of ’em ought to be hanged.

      • Tim Reed

        We ought to have a moratorium on replying to this bore until it contributes something of worth.

        • Nicholas chuzzlewit

          Then it is going to be a permanent moratorium.

      • Andy

        He is a Heretic. Ought to be sent to the stake.

    • Greybeard Chieftain

      Ha ha, ‘swivel-eyed loon’…isn’t that the term the right-wing circle of barons reserves for its tools and ‘activist’ branches? XD Don’t worry, I’m sure you can continue to spam every channel on youtube,the Telegraph, Guardian and BBC to ‘get rid of the LibLabCon’ and ‘vote UKIP’ and suddenly by cutting off our access to a huge export market, Britain will miraculously enter an age of golden enlightenment…or it could just become like the 1930s all over again when over-protectionism and Britain’s isolation meant crippling economic stagnation and the worst Depression Britain ever had.

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