Even BBC correspondents are now casually conceding that bonds issued by the Treasury to the Bank of England are not really debt at all. No bailiffs are going to be sent round if it is not repaid.
After the week in which Labour officially became more right-wing than the Conservative Party on economic policy, the Conservatives risk damaging their consequent 13 point lead, including a 25 point lead among the working-class voters who decided General Elections, by picking a fight with the beloved nurses.
But the State simply spends money that the State itself has created by the sovereign act of issuing its own free floating, fiat currency. Inflation, which in fact reduces the so-called debt as part of that paper fiction, can be, and is, controlled by fiscal and monetary means. That, and not raising money for the Government, is what taxation is for.
The Government's previous and even ongoing actions make it clear that it understands this. Even the BBC now admits it out loud. But the Labour Party, having gone back to book-burning Blairism, is once again belching away in some saloon bar about "taxpayers' money", and how the country might "go bust", and what have you.
Having already done so on corporation tax, the Government should expose and enjoy the pig ignorance of the Opposition by issuing itself with the currency with which to pay the nurses, and let that be that.
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