LONDON SUBSIDISES OUR BILLS
16 February 2012
The Centre for economics and business research (CEBR) has published its latest report on subsidies for public spending in different parts of the UK. It shows that London and the south east are the only areas where, as a proportion of their GDP, tax receipts exceed public expenditure. They subsidise the rest of us. The net subsidy from London is 20.3 percent of GDP.
Scotland’s oil offsets its Barnett advantage but for the rest of us, oh dear, the ogre turns out to be a generous friend.
For previous CEBR comment on public expenditure see this post.