There are three fundamental flaws in Osborne’s budget.
The first is the assumption that the UK will increase its growth when the Office for Budget Responsibility say that will not happen in the Eurozone and many other markets. I don’t believe that, especially when UK investment rates are so low and productivity is only 80% of that of France as a result.
That actually means that there’s rather a lot of easy economic growth that the UK can do. Just by, umm, copying France to get that higher productivity.
I don’t say that I recommend that as a course of action. It is, rather, just to show the lunacy of the assumption that the LHTD is making. If our productivity is lower than that of some other economy then it is easier for us to have growth, not more difficult.