Boris Johnson needs to focus on boosting Britain’s economy

NORTHERN EUROPEAN countries think of themselves as rather superior to southern European ones—economically healthier, less corrupt and generally better run. Britain, of course, places itself firmly in the former group. But since the covid-19 crisis exploded, it has found itself running with a different pack. Its death rate from the disease has been as bad as the worst that southern Europe has seen, and far worse than those in most of northern Europe or America. And now GDP figures from the first half of the year, published on August 12th, show a similar picture on the economic front: Britain’s economy shrank by 22%, twice as much as America, worse than Germany and France, and within Europe better only than Spain.

Getting the country back on its feet economically will require deft management. The chancellor of the exchequer, Rishi Sunak, has shown himself capable of that. His furlough scheme was a well-designed short-term measure, and he seems rightly determined to shut it down in October to allow labour and resources to shift to where they will be most useful. But the government also needs longer-term policies that are focused on boosting growth.

Since Margaret Thatcher turned round a sluggish, unionised economy by sweeping away institutional barriers to growth, Tories have tended to follow her lead, promoting trade,...