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The instinct of politicians in a time of crisis is to be seen to act. That is what their supporters, the media, the nation expect.
In the case of Britain's current and growing economic woes, however, it should be resisted. Frankly, anything they do will look silly - and may even backfire alarmingly.
The tinkering with the housing market is just that - it will hardly make any difference at all and if the stamp duty suspension encourages first-time buyers to enter a plunging market what sort of assistance is that?
Instead of trying to be seen to engage in a whirlwind of activity, Gordon Brown should be voicing caution. His Chancellor was right when he said what he did - there's no point in putting a gloss on Britain's economic fragility. Perhaps Alistair Darling went a bit too far with the Private Fraser "we're all doomed" speech but at least he delivered home a message: now is a time for caution, for saving not spending.
Unfortunately, Brown feels he has to respond to terrible poll ratings. But to say his property measures will help a "resilient" UK economy withstand the global economic downturn is disingenuous to say the least.
In what way will they help Britain combat a worldwide credit crunch which has seen banks cease lending to each other? How will they enable Britain to resist the twin battering from long-term rising energy and food costs?
He should shut up or if he can't do that, attempt to convey a semblance of what is really occurring.
There is not much Britain can do about increasing oil and commodity prices - the planet is overcrowded, they're in short supply and high prices are here to stay.
What it has to hope is that soon the banks start moving again and mortgage lending can be restored - not to the crazy, over-heated levels we saw previously but enough to kickstart the housing sector.
At some stage, that will occur. It also has to keep its fingers crossed that the spectre of mass unemployment does not rear up again. So far, employers are holding relatively firm. They're in far better shape than they were in the last recession - they're leaner and more efficient.
If employment stays solid and people adopt a more conservative approach, we can get through this.
Reader views (1)
Silly, this shower have been silly since the day Brown took charge, not one thing he has done has he stuck to. He does not seem to live with us on our planet, if he was able to step back and look at what he has done from day one he would be rolling around in hysterical fits of laughter at the fool just as we are laughing at him, but this is no laughing matter it is time for this fool of fools to step aside.
- Frank,, Chelsea., 03/09/2008 14:34
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