You
probably still remember what was written on the side of the pro-Leave campaign
bus: 'We send the EU £350 million a week. Let's fund our NHS instead.'
And
perhaps you saw Thursday's headlines, after the Office for Budget
Responsibility published its forecasts to accompany the chancellor of the
exchequer’s autumn statement: 'Revealed: the £59 billion cost of Brexit
decision.'
Yes, I
know the OBR's forecasts are not engraved on tablets of stone ('a high degree
of uncertainty' is the favoured official formula). They are, however, an
informed best guess from people who are paid to crunch the numbers as
dispassionately as they can. So if you turn to page 249 of their Economic and Fiscal Outlook report and take a look at Table B.1, you will see a line
entitled 'Changes related to the referendum result and exiting the EU'. The
numbers are stark: over the next five years, government borrowing is likely to
be £58.7 billion higher than if the referendum vote had gone the other
way.
Why?
Because there will be fewer migrants paying fewer taxes; because productivity
growth will be lower due to investor uncertainty; and because of higher
inflation due to more expensive imports after the 15% fall in the value of the
pound against the dollar since the referendum.
Do I
need to spell it out? If the OBR is right, the country will have to borrow £250
million a week more over the coming
five years, not be £350 million a week better off, as the pro-Brexit
campaigners claimed. According to the Institute for Fiscal Studies, lower wage
growth and higher inflation mean that the squeeze on pay that started with the
financial crash of 2008 is likely to be the longest for at least 70 years.
Higher
borrowing means higher interest payments, which means less cash available to
pay for the prime minister's beloved infrastructure projects, new affordable
housing -- and, oh yes, the NHS. As Martin Wolf wrote in the Financial Times: 'Nothing can disguise the
reality that Brexit is likely to make a UK economy already blighted by low and
stagnant productivity still weaker ... The UK is likely to be poorer than it
would have been if it had not made the decision to exit the EU.'
Project
Fear? No. Much more likely to be Project Truth.
Meanwhile,
on the other side of the pond, President-elect Donald Trump has been doing some
mega-schmoozing at the New York Times. Remember
those chants at his pre-election rallies when supporters yelled their hatred
for Hillary Clinton: 'Lock her up'?
No, no,
of course Mr Trump doesn't want to lock her up. What was it he had said in the
TV debate when Mrs Clinton suggested it was just as well that someone with his temperament
was not in charge of the law? Ah yes, it was one of those great Trump snarls:
'Because you'd be in jail.'
This week, though, it was all sweetness and light. 'I
don’t want to hurt the Clintons, I really don’t. She went through a lot and
suffered greatly in many different ways ... It’s not something that I feel very
strongly about.' So that's all right, then.
Remember how he was going to authorise the
waterboarding (ie torture) of terrorism suspects? Well, apparently, the man he
may be about to name as his defence secretary, General James Mattiss, doesn't
agree that it's such a great idea. 'He said: "I’ve never found it to be
useful. Give me a pack of cigarettes and a couple of beers, and I’ll do better.” I
was very impressed by that answer.' Not that Mr Trump has changed his mind, you
understand, but it has at least made him think.
Just like the pro-Brexit campaigners, Mr Trump
promised whatever he thought voters wanted to hear. The simpler the message,
the better. Who cared whether it was true or not? When the Wall Street Journal asked him if he thought he might have taken his
campaign rhetoric too far, his reply spoke volumes. 'No. I won.'
So politicians tell lies in order to win votes. Who
knew? But in the age of social media, when more people read fake news stories
-- stories that have been deliberately invented in order to mislead people --
than real stories, the lies have more power than ever before. Sure, they may
well reflect real fears and real anger, but they are still lies.
The response, I think, has to be to answer anger with
anger. What happened in the UK in June, and what happened in the US this month,
was not right -- massive, disruptive political change was ushered in on the
back of wholesale lies and distortion. As Jonathan Freedland wrote in The Guardian, the problem for the
progressive Left is that 'too often, we play nice, sticking to the
Queensberry rules – while the right takes the gloves off.'
That's why I prefer the response of the New York Times columnist Charles Blow,
who was not among the select group chosen to sit down with the president-elect
on Tuesday. 'The very idea of sitting across the table from a demagogue who
preyed on racial, ethnic and religious hostilities and treating him with
decorum and social grace fills me with disgust, to the point of overflowing.'
And he had this message for Mr Trump: 'You are a fraud
and a charlatan. Yes, you will be president, but you will not get any breaks
just because one branch of your forked tongue is silver. I am not easily duped
by dopes. I have not only an ethical and professional duty to call out how
obscene your very existence is at the top of American government; I have a
moral obligation to do so.'
Good stuff.
And by the way, if you're interested in what I was
doing in Nigeria a couple of weeks ago, you can read the report that I wrote
for The Observer by clicking here. It
might help to put some of our own problems into perspective.