Politics

Today’s PMQs will be remembered for one thing, Cameron saying that the eurozone had to ‘make up or it is looking at a potential break-up’. This is a distinct hardening of the government’s line on the single currency. Cameron’s comment was particularly striking coming just days after George Osborne said that ‘open speculation’ about whether or not Greece would leave the euro was ‘doing real damage across the whole European economy’. However those close to Cameron are not resiling from the remark. Instead, I understand that we can expect more from the Prime Minister on this subject when he makes a speech on the economy tomorrow. The break-up of the

Ed Miliband’s reshuffle turned out to be a rather small affair. The news out of it is that control over the policy review passes from Liam Byrne to Jon Cruddas, although Byrne continues to shadow Iain Duncan Smith. Given that Byrne is a Blairite who has been pushing for a tougher line on welfare, and that Cruddas rebelled to vote against the second reading of the welfare reform bill, some will see this as a shift to the left. But Cruddas is a more interesting thinker than that. The Blue Labour philosophy that he is an advocate of is, in many ways, a rather socially conservative view of the world.

Now that negotiations have broken down in Athens, and there will be another election, we face the prospect of an almighty staring contest. On one side, the Eurocracy, who will be urging Greek political parties — and particularly the left-wing coalition Syriza, which is ahead in the polls at the moment — to soften their anti-austerity stance. On the other, the Greek politicians, who might be hoping that the eurozone relents to some extent, and allows the cuts to be decelerated. The question is: who will blink first? As it stands, it’s difficult to come up with an answer. The leader of Syriza, Alexis Tsipras, is unlikely to blink over

Austerity, austerity, austerity. The A-word is cropping up everywhere at the moment, whether in France or Greece or Germany. And the UK isn’t immune from it either. If there is anything on which Britain’s political factions agree, it is the reality of fiscal austerity. Whether it’s Ed Balls banging on about ‘too far and too fast’, or the coalition saying that their programme of painful austerity is essential if the UK is to defend its triple-A ‘safe haven’ status, this is something on which our political class has reached consensus.   But, as we at Tullett Prebon argued in a briefing paper yesterday (available here as a pdf), the tale

The news that Rebekah Brooks and Charlie Brooks have been charged with perverting the course of justice means that there’ll be at least one trial involving friends of the Prime Minister before the next election. In cynical political terms, that Charlie has been charged as well as Rebekah creates an additional political problem for David Cameron. Part of Cameron’s explanation for how close he got to Rebekah Brooks has always been that she married an old school friend of his. Undoubtedly, the Charlie Brooks connection added a genuine layer of friendship to relations between Rebekah Brooks and Cameron. I suspect that if it was not for Charlie Brooks there would