Progressive economists believe the Coalition's plan for rapid and deep deficit reduction will put at risk the fragile economic recovery and undermine prospects for future growth and shared prosperity.
However, beyond simple protest, it is incumbent upon those who are critical of the Coalition government's plans to propose credible and costed alternatives. This briefing paper sets out to do just that.
In summary, ippr's alternative plan for deficit reduction states that the government should:
- Maintain investment on capital projects
- Reduce the underlying deficit more slowly
- Maintain a 65:35 ratio between spending cuts and taxes
- Accept that the 20% rate of VAT will not be reversed
- Tax universal benefits
- Lift the ring-fence on NHS spending.
Snakes and ladders: Tackling precarity in social security and employment supportAcross the country, people are trying to make ends meet, build financial security and pursue their aspirations. But, in a vicious cycle of snakes and ladders, many are being pulled down into poverty.
Making markets: The City's role in industrial strategyTo tackle climate change, we need a significant increase in public and private capital investment.
Broken hearted: A spotlight paper on cardiovascular diseaseProgress on cardiovascular disease was a significant driver of better health and prosperity in the latter half of the 20th century, however progress has recently stalled – with indications it may be in reverse.