LibLink: Vince Cable warns that people underestimate our economic problems

The Guardian has an in-depth profile of Vince Cable:

“I think it is not understood that the British economy has declined by 6 or 7% – it is now 10% below trend.” The three deep grooves at the corners of his eyes give a sense of an incipient smile belied by the rest of his face. “We are actually a poorer country, mainly because of the banking crash, the recession that followed it, and partly due to the squeeze we are under due to the changing balance of the world economy. Britain is no longer one of the world’s price setters. It is painful. It is a challenge to us in government to explain all that, and it is a pity that the political class is not preparing the public for it to understand how massive the problem is.”

He lays a lot of that blame with Labour’s two Eds, whom he sees as regressing to comforting – but entirely unhelpful – tribal politics. “They are in a state of denial that there is a big structural problem with the UK economy. So we stick to this short term, tit for tat; why has the growth in this quarter been slower, the scale of the cuts should be slower – there is a genuine debate we should be having about how radical the reforms of the financial sector should be – but there is not from the progressive wing of politics a sustained critique or pressure and argument. Ultimately, it comes back to this defensiveness and an unwillingness to accept that Britain was operating a model that failed.” It is a strikingly frank assessment – a reversion, up to a point, to his role before the election.

You can read the full piece here and you might also like to take a look at my post from Friday which got lost in our server problems: So, why do you like Vince Cable?

Read more by or more about .
This entry was posted in News.


  • I am sure Vince , a long with a lot of us , realised this was coming a long time ago.

    Governments have been kidding themselves from Thatcher onward that we could live on what trickles out of the ‘financial services industry’ – rather than real industry.

    Best summed up by Dan Atkinson in his book ‘Fantasy Island’ , a few years old now but absolutely correct.

  • andrew purches 23rd May '11 - 9:53pm

    You are most certainly right,Vince, that we are not one of the world’s price setters, but nor have we been for decades now. How can we be with no built in structure to generate wealth? We have no manufacturing to rival our european competitors, our education system is pathetically poor, right up to and including University level, where money buys what is left of the the best. Our infrastructure is being fraudulently robbed by the PFI syndicates and the bankers.
    Property is vastly overpriced,and home ownership is being denied to more and more of our citizens,who are forced to pay ever more exorbitant rents for less and less, in properties that are bought by tax payer supported buy to let speculators. Our economy is rotten and our society is dominated by the over paid,under taxed celebs and city shysters. These buggers must be made to pay for the privilege of living in this country – and instead of cuts being forced upon the majority of those who can ill afford it, start with property taxes, and increase council tax in line with market values. This would go some way to sugar the cuts that local councils are having to make, and if your colleague Eric Pickles objects still, then get him kicked into touch with a boot to his ever more voluminous behind.
    Diatribe over, but please Vince be creative in your vision – we need hope! Andrew.

Post a Comment

Lib Dem Voice welcomes comments from everyone but we ask you to be polite, to be on topic and to be who you say you are. You can read our comments policy in full here. Please respect it and all readers of the site.

If you are a member of the party, you can have the Lib Dem Logo appear next to your comments to show this. You must be registered for our forum and can then login on this public site with the same username and password.

To have your photo next to your comment please signup your email address with Gravatar.

Your email is never published. Required fields are marked *

Please complete the name of this site, Liberal Democrat ...?


Recent Comments

  • User AvatarPhilip 13th Feb - 8:52pm
    Hello Sesenco - thank you for posting - which other points here do you think are incorrect and why:
  • User AvatarSesenco 13th Feb - 8:34pm
    It might help if we actually told people the truth. Britain leaving the EU would lead to the ultimate collapse of the rest of the...
  • User AvatarJohn Marriott 13th Feb - 8:28pm
    We need to finish the job start by Lord Redcliffe Maude's committee in 1969, which was continued by the Banham Commission in the early 1990s...
  • User AvatarRsf7 13th Feb - 8:26pm
    @a social liberal. Cannabis of any type has never been proven to cause mental illness, there is a slight correlation, but correlation is not causation,...
  • User AvatarChris_sh 13th Feb - 8:26pm
    @Peter " So what hope have they for knowing what the world economy will look like in the next twenty years?" Amen to that :-D
  • User AvatarRsf7 13th Feb - 8:23pm
    @eddie The lib dems don't just have opposing views though, they have no consistent ideology at all. I have also discovered that there is a...