Opinion by Michael Fabricant MP.
DOUBLE-DIP RECESSION FEAR
So now it?s official. Not only was Gordon Brown seriously wrong when he claimed ?No more return to Boom and Bust?, but we now know that Britain is in the deepest and longest recession in modern history. Britain?s economy is still shrinking a full six months after France and Germany started growing. Gordon Brown?s recession plan has not worked and his further claim that Britain was better placed than other countries to weather the storms is shown to be just plain nonsense
And I fear this is just the beginning. Like the ?Phoney War? from September 1939 until June 1940 when there was no enemy action (until Hitler swept into France), there has been no attempt to repay the huge debt burden. In September we borrowed almost ?15 billion which takes the nation?s debt to ?824.8 billion ? 59% of GDP. It was up from 57.5% in August. This is the largest in the developed world. Until we do something to repay this debt mountain, it will remorselessly rise. Whoever wins the next election faces a huge task to restore our finances
If nothing is done, interest rates will rise damaging business and creating unemployment. And when action is finally taken, public expenditure will fall and this too will create medium term unemployment and, I fear, a double-dip recession – always assuming we finally get out of the present one. Meanwhile 363 individuals and 56 businesses go bust each day. This is the highest figure since records began in 1960. It makes the recession in Margaret Thatcher?s time seem a mere blip. Even if the Government halves the deficit over the next four years, this will leave it at 7%, the same as when Dennis Healey took us begging to the IMF in 1976.
Economic crises give rise to political instability. Last week, the BBC included the BNP?s Nic Griffin in Question Time. The BBC?s remit forced them to include him now that there are two BNP Members of the European Parliament. It was not for the BBC to decide which parties are to be proscribed or not.
But it is worth remembering that the BNP were elected to the European Parliament by their system of proportional representation which favours minority parties.
It is for that reason that the Liberal-Democrats are so keen on its introduction. I suspect the BNP favour it too.
I for one think it far wiser to stick to our proven first past the post electoral system.