George osborne

Wednesday

James Forsyth

A Budget that refused to sweat the small stuff

What makes this Budget so politically astute is how it all fits together. The four-year freeze on working age benefits and the cuts to tax credits are made palatable by the introduction of a national living wage. Meanwhile businesses’ potential objections to this wage hike will be muted by the cut in corporation tax to 18p and the hypothecation of vehicle excise duty to road improvements. It is hard to define this Budget politically. There were plenty of things in there to please the Tory right, the commitment to spend 2% of GDP on defence in particular. But it was also one that made several raids on Labour territory in areas

Isabel Hardman Isabel Hardman

Summer Budget: George Osborne pulls the rug out from Harriet Harman's feet

[audioplayer src=”http://rss.acast.com/spectatorpolitics/summerbudget2015/media.mp3″ title=”Fraser Nelson, James Forsyth and Isabel Hardman discuss the Summer Budget”] Listen [/audioplayer]When George Osborne lays a political elephant trap for Labour, he normally does so by cutting welfare and daring the Opposition to support him. Well, he’s done some of that today, cutting tax credits, housing benefit and the amount of money that employment support allowance claimants preparing to return to work can receive. But Labour has grown used to those traps now. What it isn’t used to navigating is responding to a measure that it would have introduced itself and which has a rather leftish feel. The announcement of the National Living Wage, which Fraser and

Fraser Nelson Fraser Nelson

Why Osborne is copying - and bettering - Miliband's minimum wage pledge

During the last Labour campaign, there will be been a few moments where George Osborne will have looked at Ed Miliband proposals and thought: damn! Wish we’d come up with of that. Take a pledge to raise the minimum wage to £8 by 2020. That was Miliband’s pledge; Osborne says £9. Doesn’t cost the government a penny. In fact, it’s better off because of lower welfare payments. So the politician gets to come across all generous, while saving about £200 million in lower welfare! Result! A higher minimum wage could be a massive (and revenue-raising) spoonful of sugar to make the medicine of tax credit reform go down. So it’s now £9/hr by

Isabel Hardman Isabel Hardman

The Budget rabbit: A National Living Wage

[audioplayer src=”http://rss.acast.com/spectatorpolitics/summerbudget2015/media.mp3″ title=”Fraser Nelson, James Forsyth and Isabel Hardman discuss the Summer Budget”] Listen [/audioplayer]The announcement that got the biggest roar of support in today’s Budget was that from 2020 workers over 25 will be paid £9 an hour in a National Living Wage. Tory MPs gasped and cheered, while Harriet Harman gave a response that had the distinct impression of being performed while having a rug pulled from under her feet. The Chancellor described it as a pay rise and part of the Budget theme of security, namely the ‘financial security of lower taxes and new National Living Wage’. But is that a pay rise? Osborne said he was

Steerpike Steerpike

George Osborne fails to make the right impression

After George Osborne delivered today’s budget, Harriet Harman responded by telling the Chancellor of the Exchequer that he should focus less on his own Prime Ministerial ambitions and more on the good of the country. However, if Osborne had hoped today’s performance would boost his chance of being the next leader of the Conservative party, it appears that he still has some way to go. As online users discussed the budget on Twitter, it was the wrong name that trended, with many tweeters taking his surname to be Osbourne, rather than Osborne: Perhaps it’s time the Chancellor reconsidered his education budget.

Fraser Nelson Fraser Nelson

Budget tricks: is Middle Britain really getting a tax cut?

We learn this morning that George Osborne is planning a tax cut for the middle class, by raising the earnings threshold for the 40p tax. Of course, this was raised automatically in the Labour years (in line with RPI inflation) and even tricksy Gordon Brown never billed it as a tax cut. It’s only a tax cut if the threshold rises faster than average wages (i.e., the green lie above). If the threshold is frozen, or falls at lower rate the average earnings, then it’s a tax rise. This point is often lost on broadcasters, and HM Treasury is in no rush to explain things. So keep your eyes on this:

The Spectator

Summer Budget 2015: Full text of George Osborne’s speech

[audioplayer src=”http://rss.acast.com/spectatorpolitics/summerbudget2015/media.mp3″ title=”Fraser Nelson, James Forsyth and Isabel Hardman discuss the Summer Budget”] Listen [/audioplayer] Mr Deputy Speaker, This is a Budget that puts security first. It’s a Budget that recognises the hard work and sacrifice of the British people over the past 5 years and says: we will not put that at risk, we have a job to do and we’re here to get on with it. This will be a Budget for working people. A Budget that sets out a plan for Britain for the next 5 years to keep moving us from a low wage, high tax, high welfare economy; to the higher wage, lower tax, lower welfare country we intend

Isabel Hardman Isabel Hardman

Summer Budget 2015: What we know so far

We know that George Osborne’s first Tory majority Budget is going to be big. It will be far bigger than the announcements that have been briefed so far, that’s for sure. What we know so far is as follows. There will be £12bn of welfare cuts, but they will be implemented over three years, rather than two. Those cuts will take in tax credits, including child tax credit, which is expected to be limited to two children, employment support allowance and housing benefit. And the Independent reports that the Chancellor will also replace student maintenance grants with loans. Fraser explains why the Chancellor has changed his timetable on the welfare

Tuesday

Fraser Nelson

With no coalition partner, George Osborne negotiates himself out of £12bn welfare cut

Let’s face it: George Osborne’s pledge to save £12 billion from welfare over two years was never really credible. He never told us where the savings would come from, and it seemed as if he didn’t really know. So tonight’s news, that the Chancellor has cut this to £8bn and given himself an extra year (or two) to make the full £12bn, is welcome. listen to ‘Nick Robinson: Osborne will soften his £12bn welfare cuts.’ on audioBoom

Isabel Hardman Isabel Hardman

Tories 'to slow welfare cuts' in Budget, reports suggest

Tomorrow’s Budget is expected to be brutal, with the Conservatives recognising that now is the time to inflict the maximum pain as the party is the furthest it will ever be from the next election. But Sky News reports tonight that one of the most-reported aspects of that brutal Budget, the £12bn of welfare cuts, will be introduced a little more gently than expected. Faisal Islam writes that this is ‘partly because buoyant tax revenues and new Office of Budget Responsibility projections mean the Chancellor can meet his fiscal mandate without making the welfare cuts within two years’. It does also mean that a withdrawal of tax credits, for instance,

Fraser Nelson Fraser Nelson

Five tricks that George Osborne may pull in his Budget tomorrow

It’s Budget day tomorrow, and as James Forsyth put it recently, George Osborne will never have a better time to do bad things. The Labour party is a complete mess, the quality of scrutiny will be pretty ropey. So if he’s going to pull a fast one, now’s the time. Gordon Brown’s budgets were famous for having a lollipop (a goodie, briefed out to the press) and several weasels (nasties, heavily disguised in the small print). Now, Osborne may well be honest about his good and bad news tomorrow. But his Treasury staff, schooled by years of Brown’s shenanigans, may have persuaded him that the best way to deliver bad news is to

Monday

Isabel Hardman

How can Labour avoid being a useless Opposition in this week's Budget?

One of the toughest jobs in politics is responding to a Budget. It’s the job of the leader of the Opposition, and given the Labour Party has still got two months until it elects its chief, that job falls to Harriet Harman as interim leader. Therefore Harman has an even tougher version of one of the toughest jobs in politics, as she has to work out not just how to scrutinise the government’s spending plans, but also how to stop her party having an unpleasant fight over its stances on certain controversial cuts. If a cut is, in Labour’s view, wrong, then it will struggle to make much headway in

Sunday

Fraser Nelson

When will George Osborne commission a war memorial for soldiers?

We learn today that George Osborne will say in his Budget that he’s using the fines he’s collected from bankers to build a memorial to terror victims. I find this juxtaposition rather odd: why link terrorism to banking? Why not just be honest: that any memorial will be funded from the the same tax pool as everything else? But moreover, I do wonder where this memorial will go.  We’re told that the Chancellor will consult with the relatives of the victims before agreeing a location. These memorials do serve a purpose: they become part of the world our ministers operate in; part of their daily lives. Most politicians will know

Thursday

Steerpike

Harriet Harman blasts George Osborne for distasteful PMQs joke

When George Osborne covered for David Cameron at PMQs last month, it was seen as his chance to prove to his critics that he was prime ministerial material. Alas, his attempt at a joke about Labour’s Bennites in answer to a question from Hilary Benn about suicide bombers has hit a particularly sour note with Labour. When Mr S caught up with Harriet Harman at The Spectator‘s summer party, the departing deputy leader was quick to criticise Osborne for joking about Benn’s late father Tony Benn, the former Cabinet minster: ‘I mean that thing he did with Hilary Benn where he said something about Tony Benn having died and I thought that’s generous and nice

Philip Delves-Broughton

The wrong man

For the final three years of his 18-year career at Goldman Sachs, Jim O’Neill, the Treasury’s new commercial secretary with responsibility for developing the Northern Powerhouse, served as chairman of Goldman Sachs Asset Management, the company’s least-regarded and most bothersome unit. While two younger executives ran the business, O’Neill was dispatched to faraway conferences to bore audiences of docile suits with his views on whether Nigeria or Malaysia offered a better investment opportunity. When finally in early 2013 he resigned his sinecure, he was not replaced and his title was mothballed. Since then, he has been all but marching up and down Whitehall wearing a sandwich board pleading for a

Wednesday

Steerpike

Ed Miliband makes a return to frontline politics

Ed Miliband was praised for his integrity by George Osborne after he returned to the Commons and gave a speech so soon after his election defeat. Although the Conservatives have been happy to pile on the praise towards their old foe, Mr S suspects their enthusiasm will begin to wear thin by the end of the week. The former Labour leader is to dip his toe back into frontline politics by leading a commons debate tomorrow on Hatfield Colliery, the Doncaster coal mine which is closing this week leading to the loss of 430 jobs. Judging by Miliband comments so far on the mine’s early closure, the Tories will be in for a rough

Steerpike Steerpike

The Spectator summer party, in pictures

With a Tory majority to celebrate, the Cabinet turned out in full force for this year’s Spectator summer party. As David Cameron and George Osborne caught up with their old head of strategy Steve Hilton, Sajid Javid and Michael Fallon enjoyed the British heatwave. Harriet Harman was there on behalf of Labour, with the departing deputy leader sharing a tender moment with Boris Johnson in the garden. Johnson meanwhile was on fighting form over the Heathrow expansion recommendations. However, he also found time to say some kind words about his brother Jo Johnson’s plan to change the current university grade system to put a stop to students who ‘coast within the 2:1 band‘.

Tuesday

Ryan Shorthouse

The quality, not quantity, of childcare needs improving

The Chancellor has found himself a treasure chest: childcare. In his quest for full employment, it’s seen as crucial for boosting maternal employment. Helping parents with punishingly high childcare costs appeals to and supports those on modest incomes – the so-called ‘blue-collar’ voters – that Conservatives still need to woo. Nothing quite encapsulates the modernisation of the Tory party as its growing enthusiasm for childcare. The Conservatives no longer want to be seen simply as the flag-waver for a traditional family setup. Instead, they aspire to be the party for working people. No yearning for yesteryear, but enthusiastically supporting two-earner couples that are increasingly the norm, out of choice and

Monday

Sebastian Payne

David Cameron makes the case for the Tories’ moral mission

David Cameron has never particularly warmed to the language of compassionate conservatism. In the past, that side of the conservatism has generally been represented by Iain Duncan Smith — with help from the Centre for Social Justice, the think tank he founded. But in light of the rapidly approaching £12 billion of cuts in welfare spending, the Prime Minister will give a speech today outlining why it is important to end the ‘merry-go-round’ of benefits: ‘When it comes to extending opportunity – there is a right track and a wrong track. The right track is to recognise the causes of stalled social mobility and a lack of economic opportunity. Family breakdown. Debt.