Solving Broken Britain’s problems will take years: FT editorial summarised

Britain’s hope of enjoying European-level social welfare for American-level taxes is reaching its limit. Cutting taxes to stimulate growth is a worthwhile aim, but the toll of poor services — from skills shortages to inactivity due to sickness — is holding the economy back, according to the Financial Times editorial (18.6.24)

It opened: “From overcrowded hospitals and prisons to crumbling school buildings, Britain’s public services are broken. Voters cite the state of the NHS and healthcare, in particular, as their second biggest concern after the cost of living”.

The editorial reports that neither main party is being open about the scale of the task and how much it is likely to cost,

It describes a decade of Conservative-imposed austerity due to erratic policymaking and ever-changing ministers, adding that falling real-terms pay has made it hard to recruit and retain staff and has led to damaging strikes.

The country needs stability and strategy

Stressing that any new government must adopt long-term plans, appoint able ministers and give them time, the editorial points out the scope for reform across many services:

• seeking to remove distortions in the welfare system that discourage able people from work;
• running reforms in tandem with higher investment in the IT equipment and infrastructure needed to unlock greater efficiencies – doctors cannot operate in theatres where the roof is leaking;
• borrowing to fund finite investments in technology and infrastructure that can reduce running costs;
• “preventive” spending — rebuilding public health programmes, for example would reduce NHS demand
• and addressing the erosion of public sector pay and conditions to attract sufficient staff, especially if parties want to limit immigration.

“Polling suggests that more than half of Britons think public service spending should be raised, even if that means higher taxes or borrowing. The politics today point in the opposite direction. But by failing to be upfront about what may really be needed, the main parties are doing a disservice to voters, and themselves.”

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