The Tories’ greatest liability is the belief that they are against public spending

The battle of the slogans will now be joined and could still have a significant effect on the election result. We already know what Labour will say about the Tories’ new economic policy. ‘The Tories claim that they can increase spending and cut taxes. And pigs will fly.’ The Tories will counter this with something on the lines of: ‘Every time this government spends a pound, it wastes seven-and-a-half p. We’ll end the waste and use the savings sensibly.’ Or — next to a picture of Gordon Brown — ‘If you don’t stop him wasting your money, he’ll put up your taxes.’

In three-and-a-half months’ time, we will discover which version the voters believe, assuming that they do hear both. For this to happen, the Tories will have to be much more effective at projecting themselves than they have been for many years. They must employ the tactics Alastair Campbell, Peter Mandelson and Tony Blair used before 1997. Refine the message into a few simple phrases and then ensure that every frontbencher repeats them, endlessly. The repetition must go on until the party’s spokesmen are inwardly gagging with boredom every time they say the words. Then, and only then, the electorate might notice.

Equally, Oliver Letwin must curb his fastidiousness. Too often, the contrast between him and Gordon Brown reminds one of Pale Ernest and Roaring Bill. ‘Pale Ernest thought it wrong to fight. Roaring Bill, who killed him, thought it right.’ That said, the principal merit of the James report is its intellectual credibility. Most of its detailed workings should stand up to expert scrutiny and the overall theme is pure common sense. Everyone knows that if any organisation suddenly receives a huge sum of new cash and is encouraged to spend without restraint, a lot of money will be wasted.