There Is No Such Thing As Taxpayers' Money - Richard Murphy

1st August 2024

It's an economic truth that every time a government spends, it creates new money to do so. It does not spend what is commonly called taxpayers' money. Nor does it spend funds borrowed from the City. It simply asks the Bank of England to make a payment - and that's what that Bank does, extending an overdraft to the government to let it do so.

ABOUT RICHARD MURPHY
Richard Murphy is Professor of Accounting Practice at Sheffield University Management School. He is director of Tax Research LLP and the author of the Funding the Future blog. His best known book is ‘The Joy of Tax’.