A well constructed argument

Dear David Cameron,

The ‘crisis’ at Northern Rock continues to make the headlines today, although it is becoming increasingly difficult to gauge how serious the situation is when on the one hand financial experts are playing down its significance and on the other hand the media are more than happy to talk it up, as they always do.  Amongst this confusion, I thoroughly enjoyed reading your article in the Telegraph that laid out some very sensible proposals for preventing a similar situation from re-emerging in future.

Your concerns about our economy being built in debt is a fair assessment, due to the incredible levels of personal debt now being reported and your suggestions of how to address these problems in the short and long-term, such as increasing the independence of the Bank of England and taking the power to alter fiscal rules away from the Chancellor, are likely to benefit the stability of our economy.  Lowering personal debt is going to be your biggest hurdle as this will inevitably lead to less disposable income, thereby causing a downturn in inflation (unless it is combined with other measures such as reducing taxes to offer an element of ‘balance’).  Even so, it is good to hear you setting out your case so concisely and I hope that you continue to pressure the government to make sure that the public hear your message and realise how poorly Labour have run the economy over the past 10 years - which in itself represents a significant challenge.

Yours respectfully,

A.Tory