By: David Bolwell
, Oct 27th, 2010
George Osborne has just finished his spending review and has delivered the cuts that he believes will save Britain. I’m sure he knows well enough that nothing can save Britain and that to reduce the debt is just a pointless exercise. So what are the motives behind his budget? Well the first thing is that after years of Labour the size of government was massively expanded and a large number of society became hooked on welfare payments to survive. The role of the conservatives is to repay the bankers and destroy the middle class wealth while making sure the rest of us stay poor and in our place.
George Osborne has cut £81bn from the budget deficit that was originally £150bn. That still leaves a deficit of £70bn so the national debt will increase each year by £70bn. It will still top the £1trn mark by 2011. What the government has failed to tell us is what it plans to do about a trillion pound debt that is sitting in the corner. The two parties can play with the deficit all they like, but while they do so the debt grows and grows.
They both know that the debt can never be repaid, that we are a bankrupt country who are slaves to the moneylenders. According to Moneyweek “personal debt in the UK is at nearly £1.5 trillion.” On top of this, “company borrowings add nearly another £2 trillion to the debt pile.” Numis securities has estimated underlying public debt this year will reach 282% of annual GDP.
Numis also states:
“The firm’s estimate of unfunded public sector pension liabilities - that’s money that the government will have to pay out in pensions but which it doesn’t actually have right now - comes to almost £3trn. Add it all together, and Britain’s total debt mountain will stand at over 500% of GDP in 2010.”
The UK is bankrupt, but the politicians won’t tell you this. We owe more money than during the second world war! The only way the government can pay its debts is by selling more bonds (government gilts). This in the long run only increases the debt and devalues the pound further as investors lose faith in our creditworthiness. Printing money or quantitative easing as they like to call it only creates inflation. We see how that works for Zimbabwe. In the end the UK will be unable to fund itself, this is the truth that we are never told.
According to the Institute for Fiscal Studies (IFS) families with children will lose £2000 a year, equal to a 6.7% drop in income. Pensioners will lose 2.9% and childless couples 2.7% of their income. The Times reports “middle-class families are to lose an average of £10,000 each over the next four years as a result of the package of spending cuts and tax rises.” As a result of this massive robbery to fund the bankers, we are seeing a destruction of wealth that has never been witnessed in the UK before. Every family is being robbed and the wealth of the nation is being centralized into the hands of the banks that fund our country.
This vicious cycle is doomed to be repeated by Labour taking power in the future and growing government and the debt, then the conservatives cutting and repaying the bankers. This will continue until the country is bankrupt and no longer able to fund itself. When that happens its game over and the banks come to collect.
Until there is a politician that has the courage to challenge the authority of the BoE then there is no point in voting for anybody. Those in power do not work for us, they work for the money men. Until somebody suggests that our government should print its own money rather than let the central bank print it from debt, then any spending review is meaningless. Until we do away with fractional reserve banking and let banks only lend what they have then our economy will always be doomed.
Our money is debt, we can never be debt free. Trying to pay the debt is pointless. Until we change the system and print out own debt free money and have no central bank we will always be slaves to the heartless greedy rulers of the world who hide in the shadows and rob us blind.
Shame on all politicians for not having either the knowledge or courage to challenge the banks.
“If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them (around the banks), will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered.”
Substitute American for British and you can’t really say it better than this 200 year old quote.