Austerity

Friday

David Blackburn

Efficiency savings are no match for budget cuts

Jack Straw has abandoned what he described as “simply unacceptable” efficiency saving recommendations. This is self-evidently the correct action, as the proposals would have endangered the processes of our democracy for a negligible saving. Everyone, even the Prime Minister, though grudgingly on his part, recognises the need for cuts. Efficiency savings are part of this process – £5bn a year is wasted by the NHS on middle management alone. However, there is a danger that Civil Servants will make counter-productive and paltry efficiency savings in an attempt to ward off substantial budget cuts. The Ministry of Justice’s proposed skimping on election expenses, rather than the abolish the targets and red

Wednesday

Peter Hoskin

Back pain, the unions and social-networking

So how do you explain the postal strike when it makes little-to-no business sense whatsoever?  That’s the question which Danny Finkelstein sets about tackling in his superb column today.  I won’t set out his full answer here – you should read the full article for that – but suffice to say that it involves back pain in East Germany and the latest research into social-networking.  Overall, it makes a very persuasive case, and one which has clear implications for policymakers.  As Danny concludes: “If the Royal Mail dispute were about individual postal workers and their economic interest, it would be easy enough to solve. It could be ended in a

Wednesday

David Blackburn

Cameron needs to tackle the expenses scandal head on

The current consensus issue in British politics is not to discuss the expenses scandal. The so-called ‘New politics’ was a brief footnote in both Brown’s and Clegg’s conference speeches, but public anger remains palpable. Daniel Finkelstein points out that the Tories stand to lose the most from sidelining the issue: continuity undoes their claim that they stand for wholesale change. That is unquestionably true. Whilst the leadership prepare us for the age of austerity, visions of duck houses, moats and servants’ wings pervade the public consciousness, even though those responsible have been disciplined. David Cameron has been at the forefront of the ‘clean-up politics’ debate: Alan Duncan’s sacking, the proposed

Friday

Peter Hoskin

Brown ignores the small issues which precede the “big choices”

James has already highlighted the New Statesman’s interview with Gordon Brown, but it’s worth flagging up this passage as well: “Again and again, throughout our interview, Brown refers to the next election as being about ‘big choices’, not the small issues, which he says the Conservatives would prefer. ‘What was the latest thing? The cost of food in the House of Commons?’ he asks, referring to David Cameron’s recent gimmicky pledge to cut public spending by reducing subsidies on MPs’ food. This theme of ‘big choices’, say Brown’s aides, is one he is likely to pursue in his conference speech and beyond.” To my mind, this exemplifies one of the

Friday

David Blackburn

Cameron plans to cut ministers’ pay

Poor old Alan Duncan might have to survive on emergency rations. The Guardian reports that David Cameron is planning to cut ministerial pay if the Tories win the next election. Here are the details: ‘David Cameron is planning to make his ministers take significant salary cuts if he forms the next government, senior sources have told the Guardian. The Conservative party high command have calculated that if they are to push through cuts in public services, their politicians have to show they are prepared to “take a financial hit”. A pay cut would also help the party as it attempts to renegotiate public sector pay deals. One senior Tory said