Can Rishinomics Repair The UK Economy?

I have to admire Rishi Sunak taking on the PM job as the country tries to grapple with the effects of the once-in-a-lifetime pandemic, the war in Ukraine, cost of living issues, shortage of labour, rising inflation and interest rates ...

The remedy for soaring inflation and rising borrowing costs is normally tax rises and spending cuts, but this goes against Rishi's gut instincts of low tax as he wants basic rate income tax at 16% by 2030.

"The City reacted positively to Rishi's return!"

What we do know, as backed up by the City's reaction to Rishi's becoming Prime Minister, is that he is viewed as someone who understands the economics and is fiscally responsible. Rishi is going to have to build a team that can govern with unity and make some extremely difficult decisions.

It is my view that he is going to have to send out some very strong signals. The public wants to know how institutions like the NHS will cope and thrive, when fuel costs will start coming down, and whether they can afford to both heat and eat this winter.

If we don't have those signals then the public won't get behind Rishi, the economy won't improve and we won't get the tax cuts that he wants to hand out.

One final observation: Rishi Sunak is a teetotaller so the era of late-night rave's in Number 10 is probably over.

If you feel inspired to find out more about anything I've said here, do call me on 01908 774320 or leave a comment below and I'll be in touch as soon as I can.