Tuesday marked the rather strange pre-budget speech or open warning call from the Labour government, shouting all too loudly that Tax rises are inevitable and heading our way.
Whilst Farage attempted to get ahead of the game by making bold a bold statement on Monday about a future Reform government cutting spending on Welfare, and then Kemi Badenoch followed Reeves online with a speech that pretty much adds up to the same, the commonality between the positions of all these politicians will be missed by many for being remarkably similar, if indeed not the same.
Yes, you may ask yourself how exactly this could actually be. But the key element of one party raising Taxes whilst failing to cut spending, whilst others promise to cut spending whilst freezing or lowering taxes is fundamentally the same – because these approaches are all about saving the economic system and the economy that we have – and absolutely nothing to do with putting people and the lives of people first.
Few realise and even fewer understand that Reeves really isn’t the architect of the problem the U.K. (and the wider world) now faces.
That responsibly has been held and passed through many different hands over a period that exceeds decades of time, whilst a monetary and economic system has been introduced and then encouraged to take over every part of life and what we know as economy, with laws, regulation and even the legal system itself abused and manipulated to make money work in a way which suggests that its supply is endless.
Meanwhile, everything that has productive value to the U.K. and its economy has been destroyed, or outsourced, leaving almost nothing that can be used to sustain a sovereign nation behind. And now, even our ability to feed ourselves with our own farms on an accelerated pathway to being destroyed.
The growth that politicians obsess about has not been through any genuine notion or understanding of growth as everyday people and small business owners understand it but has instead been borne of the fear of people who should never have held the reins of power.
Politicians who fall over themselves to find, create and manipulate ways to ‘borrow’ more and more money in the form of the bonds that the government sells, which when funnelled into the right areas of public spending will multiply many times over as each pound changes hands between different business, with each transaction then meaning just the one pound is counted against GDP and ‘growth’, multiple times.
GDP then facilitates the accounting trick of all accounting tricks. Where public debt is never paid off but is cleverly reduced as a percentage of the ‘growing’ GDP balance, meaning that other than paying ‘interest’ on that ‘borrowing’, what is supposed to be a debt that gets smaller in relation to the U.K. productivity or GDP, should never actually need to be paid off at all.
What the politicians never understood – beyond agreeing to facilitate and legalise a system that basically made being in power as being as simple as a) doing what whoever pulls the strings tells you, and b) having to do nothing else other than save or spend, is the corrupt money and economic system that they have legitimised through deregulation and changes in all sorts of laws and rules, has legalised the theft of the business and infrastructure that once made the UK great, also enabled this Country to be able to pay its own way through the natural methods of productivity or what we might see as things like industry, which up until the Second World War were ours, and only ours.
Finding ways to create ‘growth’ has become progressively more desperate. Not just for Starmer, Reeves and co; but for every politician who has been anywhere near real power for a very long time. All as part of a process that dates back to at least 1971, when the FIAT money lie was properly embedded and the last remnants of the gold standard were left behind.
The same money and economic system that has been used to disproportionately enrich the few, whilst giving them the power to exploit and impoverish the masses, is also the reason why growing numbers of people can no longer afford to live. It’s why we have a minimum wage that doesn’t actually provide those who earn it anywhere near enough money to live independently and have lives which we would recognise as being their own.
As we now watch the welfare bill spiralling out of control – not because people don’t want to work – but because the system we have has pushed them and in many cases held them there – we are staring down the barrel of the gun that is the AI takeover, where many millions more jobs will be lost. Not because they need to be. But so those controlling this shit show can earn and profit even more.
The government is broke and broken. Raising taxes is the only way that they can service the forlorn hope that enough growth can be create that will turn on the taps of borrowed money once more, so that the real damage that is now bursting into open sight from decades of mismanagement and yes treachery can hopefully be hidden.
Then the politicians can resume taking their happy place in the limelight of the Westminster merry go round and the wheels of money myths will spin for another day and avoid hitting the ground of reality once more.
Unfortunately for us all, the reality that the U.K. has pretty much zero productivity left means that the money, cash, property and ownership we have of anything is the only potential saviour in terms of financial resources that out of their depth politicians actually have available to them.
If a new politician or political leads were able to take over today and face up to the situation and see and be honest about all of this for what it really is, they would recognise that the choice they have is to either embrace the collapse which has been inevitable from the moment that private interests took over money and the economy, or keep playing along – which means taxing and taking from everyone and everything, until everything collapses anyway, and nobody has anything left worth having – because the need to save their own skin and position dictated that there was simply no other way.
Overview
Key Messages Simplified
• The UK government is financially broken, and politicians are trapped between two bad options: accept collapse now or prolong it by taxing and impoverishing the public.
• Rachel Reeves’ pre-budget speech signals inevitable tax rises, driven by a £50bn shortfall and falling productivity.
• Other parties, like Reform UK and the Conservatives, offer economic strategies, whether through spending cuts or tax freezes, that are all variations of the same flawed approach: preserving the current economic system at the public’s expense.
Core Arguments
1. The Economic System Is Rigged
• Decades of deregulation and manipulation have created a monetary system that benefits the wealthy while hollowing out UK productivity.
• GDP growth is an illusion, inflated by repeated transactions rather than genuine value creation.
• Public debt is never truly repaid—it’s masked by GDP growth, allowing borrowing to continue indefinitely.
2. Political Consensus Protects the System, Not the People
• Whether politicians raise taxes or cut spending, they’re all trying to save the same broken system, not improve lives.
• Reeves, Farage, and Badenoch are functionally aligned, despite different rhetoric.
3. Collapse Is Inevitable Without Radical Change
• UK productivity has been destroyed, with industries outsourced and even UK agriculture now being undermined.
• AI-driven job losses will worsen inequality. Not because they’re necessary, but because they’re profitable for elites.
• The only remaining assets people and small businesses have —cash, property, and ownership—are now becoming the last financial lifelines for the government and politicians who simply shouldn’t have the power that they do.
Final Warning
• Politicians must either confront collapse honestly or continue taxing until everything collapses anyway.
• New leadership must be willing to reject the current system, rather than perpetuate it for personal or political survival.
Adam Tugwell 
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