Did Clegg create the conditions for Corbyn?

Did Clegg create the conditions for Corbyn?

  • Since 2010, pensioners have become, on average, richer than the working age population. Welfare spending on pensioners is up by 10% in real terms, but down by around 5% for people of working age and children.
  • The triple lock on state pensions has been costly. Had the state pension been uprated in line with CPI inflation the Treasury would now be £8.6bn a year better off.
  • The opportunity cost is large. This sum could have paid for a cut of 2 percentage points in the basic rate of income tax or increased spending in areas of greater need.
  • The Liberal Democrats insisted on implementing the policy, which is partly responsible for the rise in support for Labour from those in their 30s & 40s.
  • Conservatives have now dropped their commitment to move to a double lock, which is a missed opportunity to promote intergenerational fairness.
  • At the very minimum, the 2.5% guarantee in the triple lock should fall to 1.5% to protect the Treasury from an environment where inflation and earnings hover around 2%.

Daniel Mahoney - Friday, 20th October, 2017