Boost it like Biden

Report by: IPPR

Author(s): Carsten Jung; George Dibb; Parth Patel

February 17, 2021

This report from UK think tank IPPR looks at why the UK needs an economic stimulus four times the size currently planned.

The UK needs to match the ambition of the new Biden administration in the US, IPPR has calculated, if it is to restart the UK economy as quickly as possible and minimise long-term scarring effects on businesses, workers and families. US president Joe Biden is in the news for his proposed $1.9 trillion stimulus package aimed at revitalising the United States’ economy. He is right to extend economic rescue measures which will help the US economy recover after the pandemic and support struggling families. Closer to home, the planned UK stimulus is less than a quarter of that envisioned by the US, adjusted by the size of the economy. But we estimate that an ambition similar to that of the US would be needed to get the economy back on track, otherwise the UK economy risks falling into a ‘stagnation trap’. Countries that have sustained significant reductions in economic activity as a consequence of the coronavirus pandemic are faced with a similar challenge: will the economy bounce back on its own through pent-up demand, or will it require a stimulus? Our analysis suggests a similar answer to that reached by the US president; that too small a stimulus risks a sluggish recovery and could bring permanent economic scarring as a consequence. Building on our previous work on stimulus, we argue Rishi Sunak should pass a bold recovery plan worth £190 billion or 8.6 per cent of GDP. So far, he has committed about 2 per cent of GDP. Our proposed measures would be targeted at supporting those firms and households hardest hit by the pandemic, invest in public services and help the growth of ‘future-proof’ industries and jobs. At this March’s budget, the chancellor should look to his transatlantic counterparts and pass support measures commensurate to the size of the economic peril the UK is in.

Read Full Report

Advanced search

<p></p> <style type="text/css"> #mc_embed_signup{background:#fff; clear:left; font:14px Helvetica,Arial,sans-serif; }<br /> /* Add your own Mailchimp form style overrides in your site stylesheet or in this style block.<br /> We recommend moving this block and the preceding CSS link to the HEAD of your HTML file. */<br /></style> <div id="mc_embed_signup"> <form id="mc-embedded-subscribe-form" class="validate" action="https://smartthinking.us15.list-manage.com/subscribe/post?u=d372da7dfc98b09a51f2878c8&id=7f0412ec89" method="post" name="mc-embedded-subscribe-form" novalidate="" target="_blank"> <div id="mc_embed_signup_scroll"> <h2><img class="popup-logo" src="http://smartthinking.wpengine.com/wp-content/themes/wordpress-clean-bootstrap/images/menu/SmartThinking_Logo.svg" /></h2> <h2><img class="mailing-list" src="http://smartthinking.wpengine.com/wp-content/uploads/2019/01/mailing-list.png" />Join the recruiter mailing list for all the latest news</h2> <div class="mc-field-group"><input id="mce-EMAIL" class="required email" name="EMAIL" type="email" value="" placeholder="Email" /></div> <div class="mc-field-group"><input id="mce-FNAME" class="" name="FNAME" type="text" value="" placeholder="First name" /></div> <div class="mc-field-group"><input id="mce-LNAME" class="" name="LNAME" type="text" value="" placeholder="Last name" /></div> <div id="mce-responses" class="clear"> <div id="mce-error-response" class="response" style="display: none;"></div> <div id="mce-success-response" class="response" style="display: none;"></div> </div> <p></p> <div style="position: absolute; left: -5000px;" aria-hidden="true"><input tabindex="-1" name="b_d372da7dfc98b09a51f2878c8_7f0412ec89" type="text" value="" /></div> <div class="clear"><input id="mc-embedded-subscribe" class="button" name="subscribe" type="submit" value="Subscribe" /></div> </div> </form> </div> <p><script type='text/javascript' src='//s3.amazonaws.com/downloads.mailchimp.com/js/mc-validate.js'></script><script type='text/javascript'>(function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';fnames[2]='LNAME';ftypes[2]='text';fnames[3]='ADDRESS';ftypes[3]='address';fnames[4]='PHONE';ftypes[4]='phone';}(jQuery));var $mcj = jQuery.noConflict(true);</script><br /> </p>

<p> <link href="//cdn-images.mailchimp.com/embedcode/classic-10_7.css" rel="stylesheet" type="text/css"> <style type="text/css"> #mc_embed_signup{background:#fff; clear:left; font:14px Helvetica,Arial,sans-serif; } /* Add your own Mailchimp form style overrides in your site stylesheet or in this style block. We recommend moving this block and the preceding CSS link to the HEAD of your HTML file. */ </style> <div id="mc_embed_signup"> <form action="https://smartthinking.us15.list-manage.com/subscribe/post?u=d372da7dfc98b09a51f2878c8&id=010447c258" method="post" id="mc-embedded-subscribe-form" name="mc-embedded-subscribe-form" class="validate" target="_blank" novalidate> <div id="mc_embed_signup_scroll"> <div class="mc-field-group"><input id="mce-EMAIL" class="required email" name="EMAIL" type="email" value="" placeholder="email" /></div> <div class="mc-field-group"><input id="mce-FNAME" class="" name="FNAME" type="text" value="" placeholder="first name" /></div> <div class="mc-field-group"><input id="mce-LNAME" class="" name="LNAME" type="text" value="" placeholder="last name" /></div> <div class="mc-field-group input-group"> <strong>Internship Types </strong></p> <ul> <li><input type="checkbox" value="1" name="group[5115][1]" id="mce-group[5115]-5115-0"><label for="mce-group[5115]-5115-0">Communications</label></li> <li><input type="checkbox" value="2" name="group[5115][2]" id="mce-group[5115]-5115-1"><label for="mce-group[5115]-5115-1">Events</label></li> <li><input type="checkbox" value="4" name="group[5115][4]" id="mce-group[5115]-5115-2"><label for="mce-group[5115]-5115-2">Fundraising</label></li> <li><input type="checkbox" value="8" name="group[5115][8]" id="mce-group[5115]-5115-3"><label for="mce-group[5115]-5115-3">Research</label></li> </ul> </div> <div id="mce-responses" class="clear"> <div class="response" id="mce-error-response" style="display:none"></div> <div class="response" id="mce-success-response" style="display:none"></div> </p></div> <p> </p> <div style="position: absolute; left: -5000px;" aria-hidden="true"><input type="text" name="b_d372da7dfc98b09a51f2878c8_010447c258" tabindex="-1" value=""></div> <div class="clear"><input type="submit" value="Subscribe" name="subscribe" id="mc-embedded-subscribe" class="button"></div> </p></div> </form> </div> <p><script type='text/javascript' src='//s3.amazonaws.com/downloads.mailchimp.com/js/mc-validate.js'></script><script type='text/javascript'>(function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';fnames[2]='LNAME';ftypes[2]='text';fnames[3]='ADDRESS';ftypes[3]='address';fnames[4]='PHONE';ftypes[4]='phone';}(jQuery));var $mcj = jQuery.noConflict(true);</script><br /> </p>

<p> <link href="//cdn-images.mailchimp.com/embedcode/classic-10_7.css" rel="stylesheet" type="text/css"> <style type="text/css"> #mc_embed_signup{background:#fff; clear:left; font:14px Helvetica,Arial,sans-serif; } /* Add your own Mailchimp form style overrides in your site stylesheet or in this style block. We recommend moving this block and the preceding CSS link to the HEAD of your HTML file. */ </style> <div id="mc_embed_signup"> <form action="https://smartthinking.us15.list-manage.com/subscribe/post?u=d372da7dfc98b09a51f2878c8&id=a6b0d9156d" method="post" id="mc-embedded-subscribe-form" name="mc-embedded-subscribe-form" class="validate" target="_blank" novalidate> <div id="mc_embed_signup_scroll"> <div class="mc-field-group"><input id="mce-EMAIL" class="required email" name="EMAIL" type="email" value="" placeholder="email" /></div> <div class="mc-field-group"><input id="mce-FNAME" class="" name="FNAME" type="text" value="" placeholder="first name" /></div> <div class="mc-field-group"><input id="mce-LNAME" class="" name="LNAME" type="text" value="" placeholder="last name" /></div> <div class="mc-field-group input-group"> <strong>Job Types </strong></p> <ul> <li><input type="checkbox" value="1" name="group[5111][1]" id="mce-group[5111]-5111-0"><label for="mce-group[5111]-5111-0">Communications</label></li> <li><input type="checkbox" value="2" name="group[5111][2]" id="mce-group[5111]-5111-1"><label for="mce-group[5111]-5111-1">Events</label></li> <li><input type="checkbox" value="4" name="group[5111][4]" id="mce-group[5111]-5111-2"><label for="mce-group[5111]-5111-2">Fundraising</label></li> <li><input type="checkbox" value="8" name="group[5111][8]" id="mce-group[5111]-5111-3"><label for="mce-group[5111]-5111-3">Research</label></li> </ul> </div> <div id="mce-responses" class="clear"> <div class="response" id="mce-error-response" style="display:none"></div> <div class="response" id="mce-success-response" style="display:none"></div> </p></div> <p> </p> <div style="position: absolute; left: -5000px;" aria-hidden="true"><input type="text" name="b_d372da7dfc98b09a51f2878c8_a6b0d9156d" tabindex="-1" value=""></div> <div class="clear"><input type="submit" value="Subscribe" name="subscribe" id="mc-embedded-subscribe" class="button"></div> </p></div> </form> </div> <p><script type='text/javascript' src='//s3.amazonaws.com/downloads.mailchimp.com/js/mc-validate.js'></script><script type='text/javascript'>(function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';fnames[2]='LNAME';ftypes[2]='text';fnames[3]='ADDRESS';ftypes[3]='address';fnames[4]='PHONE';ftypes[4]='phone';}(jQuery));var $mcj = jQuery.noConflict(true);</script><br /> </p>

<p></p> <style type="text/css"> #mc_embed_signup{background:#fff; clear:left; font:14px Helvetica,Arial,sans-serif; }<br /> /* Add your own MailChimp form style overrides in your site stylesheet or in this style block.<br /> We recommend moving this block and the preceding CSS link to the HEAD of your HTML file. */<br /></style> <div id="mc_embed_signup"> <form id="mc-embedded-subscribe-form" class="validate" action="https://smartthinking.us15.list-manage.com/subscribe/post?u=d372da7dfc98b09a51f2878c8&id=56cdd44a75" method="post" name="mc-embedded-subscribe-form" novalidate="" target="_blank"> <div id="mc_embed_signup_scroll"> <div class="mc-field-group"><input id="mce-EMAIL" class="required email" name="EMAIL" type="email" value="" placeholder="email" /></div> <div class="mc-field-group"><input id="mce-FNAME" class="" name="FNAME" type="text" value="" placeholder="first name" /></div> <div class="mc-field-group"><input id="mce-LNAME" class="" name="LNAME" type="text" value="" placeholder="last name" /></div> <div id="mce-responses" class="clear"></div> <p></p> <div style="position: absolute; left: -5000px;" aria-hidden="true"><input tabindex="-1" name="b_d372da7dfc98b09a51f2878c8_56cdd44a75" type="text" value="" /></div> <div class="clear"><input id="mc-embedded-subscribe" class="button" name="subscribe" type="submit" value="Subscribe" /></div> </div> </form> </div> <p><script type='text/javascript' src='//s3.amazonaws.com/downloads.mailchimp.com/js/mc-validate.js'></script><script type='text/javascript'>(function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';fnames[2]='LNAME';ftypes[2]='text';}(jQuery));var $mcj = jQuery.noConflict(true);</script><br /> </p>

<p></p> <style type="text/css"> #mc_embed_signup{background:#fff; clear:left; font:14px Helvetica,Arial,sans-serif; }<br /> /* Add your own MailChimp form style overrides in your site stylesheet or in this style block.<br /> We recommend moving this block and the preceding CSS link to the HEAD of your HTML file. */<br /></style> <div id="mc_embed_signup"> <form id="mc-embedded-subscribe-form" class="validate" action="https://smartthinking.us15.list-manage.com/subscribe/post?u=d372da7dfc98b09a51f2878c8&id=d8503c84d6" method="post" name="mc-embedded-subscribe-form" novalidate="" target="_blank"> <div id="mc_embed_signup_scroll"> <div class="mc-field-group"><input id="mce-EMAIL" class="required email" name="EMAIL" type="email" value="" placeholder="email" /></div> <div class="mc-field-group"><input id="mce-FNAME" class="" name="FNAME" type="text" value="" placeholder="first name" /></div> <div class="mc-field-group"><input id="mce-LNAME" class="" name="LNAME" type="text" value="" placeholder="last name" /></div> <div id="mce-responses" class="clear"></div> <p></p> <div style="position: absolute; left: -5000px;" aria-hidden="true"><input tabindex="-1" name="b_d372da7dfc98b09a51f2878c8_d8503c84d6" type="text" value="" /></div> <div class="clear"><input id="mc-embedded-subscribe" class="button" name="subscribe" type="submit" value="Subscribe" /></div> </div> </form> </div> <p><script type='text/javascript' src='//s3.amazonaws.com/downloads.mailchimp.com/js/mc-validate.js'></script><script type='text/javascript'>(function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';fnames[2]='LNAME';ftypes[2]='text';fnames[3]='ADDRESS';ftypes[3]='address';fnames[4]='PHONE';ftypes[4]='phone';}(jQuery));var $mcj = jQuery.noConflict(true);</script><br /> </p>

Interest Areas

Boost it like Biden

Report by: IPPR

Author(s): Carsten Jung; George Dibb; Parth Patel

Explore our reports

Interest Areas

Related Events

Boost it like Biden

Report by: IPPR

Author(s): Carsten Jung; George Dibb; Parth Patel

Explore our reports

Interest Areas

Related Events

You might also like...