Time to be bold

THE economy must be nurtured, not stifled. After a year of unprecedented and devastating damage wrought by lockdowns, despite record low interest rates we are paying more to service the national debt than the combined budgets for the education and defence departments.

We face a potential unemployment tsunami when the hugely expensive furlough scheme is finally ended.

It’s been claimed we will bounce back quickly in a V-shaped recovery due to the pent-up demand that will be released when the economy is unlocked. But the Government has made it clear there will be no Big Bang return to normality.

Instead, we will have a cautious staged return with the threat of local restrictions hanging over business.

After a year of being told to stay at home, it may take some time for consumer confidence to return.

I have always believed it is important for the state to balance the budget and pay down debts as soon as possible. However, at this delicate economic moment it would be foolish to do anything that might hamper our recovery.

The Government must resist the temptation to increase taxes and instead should be bold. Policies for recovery, growth and employment must be the priority. We can address the debt when we have a functional and thriving economy.

Rather than the suggested increases to corporation tax, which would make us a less attractive place to do business, we should look at cutting business regulation.

Small businesses and independent entrepreneurs should be given as much freedom as possible, with taxes reduced and regulations simplified. Costly Green subsidies and targets must be shelved. It may be noble to wish to save the environment, but the priority is to overcome poverty and unemployment.

The hard-hit hospitality sector needs to be revived with business rate relief and a cut in alcohol duty when it is served in licensed establishments.

Let’s be courageous and back ourselves to come surging back from adversity stronger than ever.

BILL ETHERIDGE, dudley, W. Mids.