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Critics contend it will give the state more scope to borrow and spend ahead of elections in 2015.
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It should give local authorities more scope to borrow to start building again, and promote partnerships between medium and large housing associations to operate as key developers.
Lower interest rates boost house prices which in turn encourage people to spend more by making them feel wealthier and giving them more scope to borrow.
This will have a cosmetic effect on the debt-to-GDP ratio and the budget deficit, which might give the government more scope to borrow money that it could spend on projects to spur economic growth.
Few countries have the scope to borrow much more.
(That looks good compared with many countries but Argentina lacks their scope to borrow in international markets).
Indeed, the scope to borrow could be used to fund a wave of new investment in our utilities.
The mayor also subscribes to a strong, cross-party consensus for councils to have more scope to borrow money to build council homes.
The OBR says the delay in balancing the budget until the next parliament means he has the scope to borrow £56bn more by 2020-21 than Osborne was planning.
By ditching Osborne's plan to run a budget surplus by the end of the parliament, he has given himself scope to borrow £56bn more in 2021 than under the pre-referendum plans.
The thinktank proposes a phased transfer of control to local authorities that would firstly give councils greater scope to borrow against their housing assets, to provide an injection of additional local housing investment to reduce the pressure on housing benefit in their area.
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