Brown & Economic Policy

• 'Brown's initial priorities were to keep _ _, to keep _ _ under control and to prove to _ _ that Labour was pro-business'

  Inflation low, govt spending, middle england
• 'Brown made the _ of _ independent from the government'

  Bank, England
• 'The govt would set a _ for _ but it was up to the _ of _ to decide where _ _ were set to meet this target'

  target,inflation,bank,england,interest rates
• 'Brown also set treasury rules about how much could be borrowed by government'
• 'Brown was partly following the Thatcherite belief that the supply of money needed to be controlled.'
• 'Prudence with Purpose' - Brown slogan for his spending
• What year was there an injection of money into public services?

  2001
• Public services led to increase in new schools and hospitals; pay rises for doctors and nurses and teachers. Exam Results went up, waiting lists went down.
• How did Labour avoid raising taxes?

  Private sources of funding for improvements in public services
• 'Through the Private Finance Initiative, buildings usually got completed quickly but stored debts for the future'.
• 'Some economists, such as Will Hutton, warned consumer boom was based on rising house prices and on high levels of credit-card spending and personal debt, rather than increased productivity'
• 1997 - 2007: Inflation rate?

  2.25 to 1.6
• 1997 - 2007: Growth Rate?

  3.1 to 2.25
• 1997 - 2007: Unemployment rates?


  9 to 5.8