Former prime minister Gordon Brown has warned the federal government it must introduce additional monetary measures to stem a surge in unemployment introduced on by the “double cliff edge” of Brexit and the coronavirus pandemic.
Mr Brown, the longest serving chancellor of the fashionable period who steered the nation via the 2008 monetary disaster, predicted the present resident of 11 Downing Street, Rishi Sunak, would quickly be pressured to return to the commons to increase the “very limited” wage substitute schemes at the moment in place.
Addressing a Welsh Labour Party occasion, Mr Brown mentioned: “I think we’ve got two cliff edges coming, if it is possible to go over two cliff edges at once.
“We’ve got October 31 and the end of the furlough scheme, and then we’ve got the end of the negotiations over Brexit.
“You’ve got two critical points where at each of them, jobs are at risk.”
Referring to the present chancellor, he added: “There’s not enough money available for furlough. His new proposals seem very limited.
“I believe the Chancellor will have to come back to House of Commons quite soon to update, revise and change his plans because it is simply not adequate for the circumstances of today.
“We praised him in March for doing the furlough and I’m afraid now he has proved he is not doing enough to help us through this crisis, and unemployment will definitely rise very fast if he doesn’t take further action.”
Mr Brown, who served as a number one voice within the international response to the 2008 monetary crash, mentioned worldwide cooperation would as soon as once more be very important in saving economies from the impacts of the virus.
However, he mentioned he noticed little proof of a world response to the monetary woes introduced on by the virus.
“The G20 is not operational and there is no sense that there is a co-ordinated global strategy,” he mentioned.
“When you get a crisis like this — and this is a crisis worse than 2008 — you have got to be very clear what the problem is.
“It is clearly a health problem that’s got to be dealt with and I can’t understand why … Right at the beginning, when you have no vaccine, no cure and therefore no way of ending the disease, you have got to test, test and test.
“That’s what we should have been doing right from the beginning, and the government stopped testing in the first few weeks and I don’t think we’ve ever fully recovered from that.”