Join the Socialist Party Join us today!

Printable version Printable version

Facebook   Twitter

Link to this page:

From The Socialist newspaper, 19 March 2014

Osborne's more cuts budget

Steve Score

The 'debate' in the run up to Tory Chancellor Osborne's Budget statement missed the point. It should have been about whether the government's austerity was really necessary, how to deal with the capitalist crisis, how to solve the problem of poverty and continued inequality, and all the other pressing issues faced by the vast majority.

But it wasn't. When Osborne argued that cuts must continue, Labour shadow chancellor Ed Balls agreed.

When Osborne argued that a recovery was underway, Balls weakly pointed out that most people weren't feeling the benefit, while failing to put forward any alternatives that could solve the collapse in people's living standards.

The Tories claim a stable recovery is underway. But the predicted growth levels are far from showing stability.

The economy is still below the level of production before the crisis in 2008, and the long-term prospects are not good.

Few concessions

This was the penultimate Budget before the next general election but as an electioneering budget it offered precious little.

The pressure from inside the Tory party was to help those on 42,000+ a year by raising the 40% tax rate threshold.

They are likely to increase the personal tax allowance instead, but for most workers it will be a tiny amount of benefit, if any, against a deluge of cuts to real living standards.

The government says it has cut taxes for "hardworking families", yet it has raised VAT to 20% - which impacts much more on low-income families.

There is a proposal on childcare, an allowance to cover up to 20% of childcare costs, up to 2,000. This is upping the amount announced in last year's Budget. However, it would still leave up to 8,000 to be found by parents.

The government talks of building a new "Garden City" in Kent and will continue to encourage house building.

But for the vast majority of those desperately needing housing it is no solution. Most people cannot afford to buy houses and there is an inadequate amount of affordable social housing.

The key issue is the Con-Dems' ongoing commitment to cuts. At least half of those announced by the government since they came to power have not yet been felt.

But the strain on services such as the NHS, local government and education has reached breaking point. Now Osborne wants another 12 billion of welfare cuts.

The latest plan is to introduce a welfare "budget cap". This would require a government to either hold a vote in parliament to increase the budget for welfare each time the spending nears the limit, or introduce even more cuts to benefits.

The welfare budget is rising because more people are forced out of full-time work and into poverty incomes.

The creation of proper jobs and decent pay would reduce overall welfare spending. But since a government based on capitalism in crisis won't do that, it is those on benefits and low-paid workers who suffer.

The stark reality of capitalism is that, to preserve the interests of the richest, the poorest must be crushed.

The budget also shows the differences between the three main parties are minor. We need a socialist alternative to these pro-big business budgets!

Why not click here to join the Socialist Party, or click here to donate to the Socialist Party.

In The Socialist 19 March 2014:

Socialist Party news and analysis

Smash the pay freeze

Tony Benn: steadfast in speaking out for socialism

After Bob Crow and Tony Benn: We fight on!

No to bosses' EU - For a socialist Europe

Unite to end racism and cuts

Osborne's more cuts budget

Oxfam report: A tale of capitalist inequality

Them & Us

International socialist news and analysis

Crimea referendum will not deliver peace and stability

South Africa: WASP registers for the 2014 elections

Activists in the US demand $15 Now!

Socialist Party workplace news

Defend education: Solidarity with teachers' strike

Doncaster care workers determined to win

Ealing hospital workers fight miserly Medirest

Workplace news in brief

Socialist Party reports and campaigns

Fight for real jobs for young people

Election Appeal: Put your money where the struggle is!

Get your May Day Greetings in

Pensioner jailed for non-payment

TUSC campaigning in Derby

Obituary: Stan Pearce, a Militant miner

Readers' comments and reviews

Review: Call the Midwife

Genetic Modification: A contribution to the debate


Home   |   The Socialist 19 March 2014   |   Join the Socialist Party

Subscribe   |   Donate   |   PDF  |   ebook

Related links:


triangleCouncil seeks to take budget deficit out on school staff and pupils

triangleLeicester: No-cuts budget only way forward

triangleValentine school strike against budget cuts and redundancies

triangleDerby Socialist Party: Saving women's services

triangleOver 2.5 million students emptied the classrooms on International Women's Day - 8th March - in the Spanish state, called out by Libres y Combativas. photo by LyC


triangleHereford and Worcester: stop the fire cuts!

triangleIlford: parents and teachers unite against school cuts

triangleThem & Us

triangleLeicestershire - No more austerity!


triangleThe 'national unity' threat to Corbynism

triangleYork Socialist Party: National Government 1931 - lessons for today

triangleAnger continues to mount over imposition of direct rule


triangleGeneral election looms... Capitalists in chaos: Fight for socialism

triangleBoot out Boris and all the Tory toffs - fight for socialist policies for the 99% not the 0.1%


triangleEven social-care bosses say cuts have gone too far


triangleBuild a working-class movement to force an election


triangleWhat we saw


triangleMass movement topples governor of Puerto Rico

News and socialist analysis

News and socialist analysis



The 'national unity' threat to Corbynism


General election

General election looms... Capitalists in chaos: Fight for socialism



Tory bribes don't hide destruction of NHS


General election

Boot out Boris and all the Tory toffs - fight for socialist policies for the 99% not the 0.1%


Climate change

Tories look in wrong place for climate solutions



Build a working-class movement to force an election


Liberal Democrats

Lib Dems: little bosses' party elects eager pro-austerity leader



Labour promises to end council privatisation: councils must do that now!


Universal Credit

Fighting Universal Credit



CWI refounded with determination and confidence



Boris, Brexit and British capitalism



Socialist Party conference reaffirms the CWI's historic approach


General election

Stop Boris - General election now


Them & Us

Them & Us


Universal Credit

Fraudsters thrive and claimants suffer in despicable Universal Credit scam

triangleMore News and socialist analysis articles...

Join the Socialist Party
Subscribe to Socialist Party publications
Donate to the Socialist Party
Socialist Party Facebook page
Socialist Party on Twitter
Visit us on Youtube



Phone our national office on 020 8988 8777


Locate your nearest Socialist Party branch Text your name and postcode to 07761 818 206

Regional Socialist Party organisers:

Eastern: 0798 202 1969

East Mids: 0773 797 8057

London: 020 8988 8786

North East: 0784 114 4890

North West 07954 376 096

South East: 020 8988 8777

South West: 07759 796 478

Southern: 07833 681910

Wales: 07935 391 947

West Mids: 02476 555 620

Yorkshire: 0114 264 6551



Alphabetical listing

August 2019

July 2019

June 2019

May 2019

April 2019

March 2019

February 2019

January 2019