Friday, October 25, 2013

The UK economy bears good new for Cameron


The Office of National Statistics had good News for Britain today, the growth for Q3 was 0.8% percent, the country strongest growth in three years. This is the second quarter in a row that the UK has grown its economy, taking them out of recession and on the path of finally leaving behind the 2008 crisis behind.
There GDP remains 2.5% lower that it was in pre-crisis times and there is undoubtedly a lot of work to be done, but this is very good news for the current government.

The Tory Party and their leader, Prime Minister David Cameron, can now sigh of relief. Ever since they took power in 2010 in coalition with the Liberal Democrats, the economy had been their weakest point. The country had a double dip recession in their tenure and the economic performance was very weak. They had been mercilessly attacked by the opposition party, Labor, on economic matters, those attacks will now have less strength and credibility after this report. The Chancellor of the Exchequer, George Osborne, is probably the one who benefits the most, his economic reforms have been controversial and rather unpopular, but now he will have statistics to point his attackers to, as proof that his policies work. They Tories had not been polling well for the general election in 2015 and this will definitely give them an edge. As Barack Obama can attest growth, no matter how sluggish, wins elections in times of crisis.

The biggest loser in this of course is David Milliband, the Labor Party leader. The economy is doing well, so his criticisms, no matter how legitimate, will sound and look like petty politics. His party, that has been gaining some ground on the tories, especially on economic matters, is set to lose that and his prospects of being in Downing Street are looking less bright now. Labor is now set to be out of power for 10 years, their last glory being Gordon Brown's brief tenure as Prime Minister. If Labor does not win the election, Milliband is set to lose the leadership of the party, ending his prime ministerial ambitions for ever. Say it with me, poor David Milliband.

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