Ethan Ilzetzki's picture
Affiliation: 
London School of Economics

Voting history

Addressing UK public finances after the mini-budget crisis

Question 2: Relative to the Autumn statement, would the UK be better off reducing public debt

Answer:
Neither faster nor slower
Confidence level:
Not confident

Question 1: How necessary was it for the UK government to lower its deficit through tax increases or spending cuts in November 2022?

Answer:
Desirable
Confidence level:
Not confident

Assisting Households Facing Rising Energy Costs

Question 2: Which of the following is the best way to address the impact of rising energy costs on household finances?

Answer:
Conditional/targeted transfers
Confidence level:
Very confident
Comment:
Collectively, we need to consume less energy this winter. Households in need should be supported holistically, not only their energy use. Households that are doing well can afford higher energy costs or may choose to cut their consumption.

Question 3: Should a windfall tax be used to (fully or partially) finance support to households?

Answer:
Yes
Confidence level:
Not confident

Question 1: Overall, which of the following best characterises how the government’s proposed energy policies will leave the average UK household over the medium term:

Answer:
Substantially worse off
Confidence level:
Extremely confident
Comment:
Given the events since September 23, this question is easy to answer. The interest rate increases that this package, together with unfunded tax cuts, will cost households far more in mortgage interest payments than they will save in energy bills. Even absent the unanticipatedly rapid pace of interest rate hikes, this policy would have been very untargeted and far too costly. There is simply less fuel to go around and someone needs to consume less. Ideally, it should be "luxury" usage of energy rather than "necessity" use, but the price cap does nothing to ensure this.

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