Remoaning Chancellor Philip Hammond is talking this country’s economy down again. Does he not realise that the eye-watering debt he talks about can be attributed in large part to 43 years of EU membership?
Let’s look at this objectively. Here are proven reasons why the EU has led to our eye-wateringly huge debt level:
- We borrow the money to pay the EU’s club fees. Yes we BORROW it! From people like the International Monetary Fund (so no wonder Christine Lagarde was so quick to tell us leaving the EU would be a disaster). That’s borrowing £12-£13 billion GBP every year.
- The borrowing comes with interest. We don’t get it for free. So on top of the borrowing, we then have interest charges.
- For every £1 we send to the EU, we get maybe 50p back if we are lucky in subsidies and projects. Not once in 43 years have we ever got back what we paid in, let alone more than we paid in. The money (which is our money) can only be spent on projects the EU directs. It does not necessarily go to the most needy causes.
- The EU fines us for not following procedures. Yes folks, on top of the above, we get fined if we don’t follow the rules – rules which they can decide to arbitrarily change part way through the process. And these fines aren’t small ones – in 2011 the EU sent us a fine of £20 million for not paying EU duties on Chinese garlic imports. The government has also itself incurred fines of at least 650 million over the last 10 years because public bodies have mis-spent EU funds, and the government departments and the Treasury didn’t get a grip on it.
- The over-regulation and membership burden costs us 11.5% of our GDP every year. Professor of economics Tim Congdon issued a report in 2014 showing that the cost to the UK economy of the contributions, fines and time/money wasting EU red tape on business costs us 11.5% of our GDP, or more precisely around $184 billion US dollars – or at current exchange rates £135 billion pounds. Per year.
- EU regulation puts business out of business. Coal fired power stations just one are one casualty of the EU directives. Ferry services from Harwich were another. And the welter of truly ridiculous EU regulation prevents businesses even getting off the ground.
- The cost to the NHS of open borders is at least £1 billion per year, and rising with each day. Reports in the press from before the referendum estimated this to be the cost of EU migrants entering the UK in their hundreds of thousands.
- Recorded net migration of at least 300,000 per year has caused a catastrophic and probably almost incalculable cost to social housing and benefits. The government actually has no clue how many people are in the UK. It’s Head of National Statistics admitted this before the referendum. They say its 65 million. The Tesco chief executive says its probably 77-80 million based on the volume of food and goods they sell.
- Countless major businesses have relocated to the EU, with EU grants. Since the EU became a reality this country has been systematically asset stripped. There is an eye wateringly long list of major businesses that have relocated to the EU because the EU gave them (our) money to do it. Cadbury’s Chocolate is now made in Poland and this is just one of an enormous list of businesses and industries that the EU has deliberately ‘poached’.
- The cost of our goods is more expensive. Being locked into a protectionist cartel, which is what the EU is, prevents us from buying the best value goods from outside the EU. One example – Australian wine would be 32% cheaper. Cars from Japan / Korea / non-EU nations would be at least 10% cheaper.
- The best people are packing their bags and leaving. The serious discontent with this country, our politicians and the EU means the best people are packing their bags and leaving. Many of these people are taking businesses, or business ideas or just their skills with them. If these people aren’t here to work or start businesses, our income as a nation decreases, productivity decreases and borrowing rises, or we get major cuts in public spending.
- Tony Blair. Not quite just about the EU. Not only did he open the borders with the EU without asking the UK public if they agreed, but he spent eye watering levels of money during his time in office, including committing the UK to a hugely expensive and pointless war in Iraq.
So there you have it. If Philip Hammond wishes to get good quality economics advice there are plenty of people on Facebook who already know all this. Plus of course Professor Tim Congdon would be only too happy to help with Mr Hammond’s sums.