Strategy Two

In order to make its policies effective the government has attempted to control the money supply and impose cash limits on the public sector. It has not succeeded to the extent it wished because [pressures upon those limits are still in operation. The government should consider supplementing its policy with measures designed to relieve those pressures.

Strategy Two proposals are designed to take demand away from the public sector and divert it to the private market over a range of public sector goods and services. In the first instance they will relieve the claims made on the public sector and undercut its natural propensity for growth. They will also enable real savings to be achieved as less is required of the public sector.

These proposals also generate all kinds of opportunities for private business to develop in transport, health, education, cleaning, catering and many varieties of activity presently dominated by public industries and services. They will thus accelerate the creation of jobs and online growth in the private sector.

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