Matthew Lynn Matthew Lynn

Tory taboos must be broken in the fight against coronavirus

A £330 billion package of loans to business. A huge tax break to any company in the hospitality or leisure industry. Mortgage holidays to anyone who has been impacted by the coronavirus. People can accuse the Government of being behind the curve on delaying the spread of Covid-19 through the population. But it is hard to accuse it of not moving quickly enough to mitigate its financial impact. 

Only last week, alongside a rate cut from the Bank of England, the Chancellor Rishi Sunak announced huge rises in Government spending. Today he followed that with a massive round of state intervention, more money for industry, and the hint of a rolling programme of bail-outs as companies run into trouble.

Once sacred Conservative taboos – a smaller state, balancing the books, trusting the market to fix problems – are falling by the day.

Matthew Lynn
Written by
Matthew Lynn
Matthew Lynn is a financial columnist and author of ‘Bust: Greece, The Euro and The Sovereign Debt Crisis’ and ‘The Long Depression: The Slump of 2008 to 2031’

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