Time for action to fill the policy gap

CHRISTOPHER TAYLOR, CHIEF EXECUTIVE OFFICER, LONDON & EUROPEAN
CHRISTOPHER TAYLOR, CHIEF EXECUTIVE OFFICER, LONDON & EUROPEAN

The general election has delivered the worst possible outcome – a hung Parliament.

Arguments about the electoral system aside and whether the country voted for change given the percentage of votes cast, a hung Parliament means just one thing – uncertainty – and that’s the last thing we need.

In taking the first faltering steps towards recovery we need a firm hand on the tiller. A hung Parliament means we could continue to totter and possibly take more tumbles, with no certainty about when we’ll be able to stand on our own two feet again.

Strong, stable government is desperately required. Clear policy decisions to tackle public spending and reduce the astronomical budget deficit are needed, and soon.

Without these, consumers can have no confidence about the security of their jobs, their investments or their future. This bodes ill for the property market.

Unsurprisingly, the markets have reacted nervously. They too need to see a firm hand guiding the economy.

While it’s encouraging that the ratings agencies have said that the outcome of the election will have no bearing on the UK’s credit rating the time it has taken for a new government to be set in place may have the negative impact we have all been dreading.

The Institute of Directors is right when it says the political vacuum must be filled quickly. Further delay in tackling the deficit will only jeopardise our future.