George osborne

Wednesday

David Blackburn

Interest rates set to stay low for the foreseeable future

Mark Carney made his mark this morning. Moments ago, he opened his inflation report and issued his ‘forward guidance’, which is designed to make the markets aware of his long-term plans for interest rates. This is important because, although there are signs of life in the British economy (and Carney was cautious about them), inflation remains above the Bank of England’s target, the base interest rate remains rooted to the floor and unemployment remains high at around 8 per cent. There is also the question of Britain’s mounting debts, the answer to which will largely depend on how the bond markets react to this and other announcements. And then there is

Tuesday

Alex Massie

Yes, stay-at-home mothers have made a “lifestyle choice”

Blimey, George Osborne has got something right! Astonishing scenes. Suppose the government thought it a good idea for us to eat more bananas and, recognising that bananas have become extremely expensive, offered those of us struggling to afford bananas a modest subsidy to make it easier to purchase bananas. We might reasonably object to this on the grounds that the government should not be in the business of subsidising bananas but it would be strange if those people with no desire to purchase bananas complained that the problem with the banana-subsidy is that it does not cover the purchase of apples. That, essentially, seems to be the complaint from “stay-at-home”

Monday

Sebastian Payne

Tories must be wary of Ed Miliband’s cost of living gambit

Fresh polling (£) from The Times and YouGov today says that the Tories still have much work to do to convince voters that they will directly benefit from an improving national economy. The good news for the Conservatives is that confidence in the economy is up. Nearly a third of those polled think that they will be ‘satisfied’ with the economy this time next year. This is a eleven-point jump from the last time the question was asked in June — and a steady trend upwards over the last year: But only 16 per cent think that their personal finances will get better over the next 12 months. On pay,

Friday

David Blackburn

Winning the fracking argument

Shale has been back on the front pages this week, with exploratory drilling at Balcombe in West Sussex and Lord Howell offending sensibilities north of the Watford Gap. The leading column in this week’s issue of the Spectator makes this point: ‘Lord Howell’s comments add grist to the arguments of those who complain that the government only supports fracking when it is well outside Conservative constituencies. This is an impression which the government needs to correct very quickly by supporting the case for fracking in Sussex — where this week celebrity protestors have joined locals to oppose an exploratory test bore for oil and gas (not yet involving fracking) —

Sunday

James Forsyth

The three places where the Tories want to hit Labour hardest

In the last few months, the Tories have–quite deliberately—behaved like an aggressive opposition. They’ve sought to constantly attack Labour, trying to force them onto the back foot. Even with David Cameron and George Osborne away on holiday, the Tories are determined to keep doing this. On Wednesday, Grant Shapps will launch the Tories’ summer offensive against Labour. He, in the kind of language more commonly used to promote summer horror films than a political agenda, will invite voters ‘to imagine a world where Ed Balls and Ed Miliband end up back in Downing Street.’ This is all part of the Tories’ efforts to link Miliband to Gordon Brown and memories

Thursday

Sebastian Payne

The View from 22 — baby boomers vs. the jilted generation, an indecent housing proposal and the royal baby

Are the baby boomers propping up the lazy ‘jilted generation’ while driving Britain’s economic recovery? On this week’s View from 22 podcast, Daily Mail columnist Melanie Philips debates The Guardian’s Shiv Malik on the latest round of generational warfare, including on whether there is any need to blame one group for the country’s economic woes. How big a factor is culture and immigration in the differing employment levels between generations? Are the younger generations simply dragging their heels, or do they genuinely face more difficult circumstances than Britain’s post-war generation? Maurice Mcleod discusses with Fraser Nelson the Chancellor’s generous offer for council tenants to purchase their properties at knock-down rates.

Tuesday

Mary Wakefield

To infinity and beyond! George Osborne invests in space plane

Hooray for George Osborne! I never imagined I’d ever write those words, but George has done his country a great service. He’s put £60 million behind one of the most inspiring British inventions of our age: Skylon, a space plane with a revolutionary new engine. When Skylon’s up and running, it’ll be able to transport satellites – well, anything — into orbit for a 20th of the current price, and go at a scorching 3,500 mph. It’ll be the envy of the world – which sounds like hyperbole, but isn’t. The Spectator championed Skylon four years ago, pointing out that the world is on the brink of a new space race,

Friday

Alison Mcgovern

Spending review – a response from a Labour marginal

The Spending Review was a political device that the chancellor clearly hoped would get him through to the end of this parliament. But if the spin doesn’t match the realities of life, I don’t think the public will buy it. A big risk for both governing parties is that high increases in the cost of living define the next election. The Liberal Democrats cling to their £10k personal tax allowance as the policy that will get them through the general election in 2015, and the dry-run coming in next year’s local elections. 10k’s a natty round number that’s easy to remember, and I would be the first to admit that

Thursday

The Spectator

Spending Review: Has George Osborne’s caution condemned Britain to a lost decade?

The Labour party used to joke that the Tories would act as their cleaners: win, take the political pain, abolish the deficit by 2015 and then hand over a balanced budget when they lost the election. George Osborne has, at the very least, put paid to that. His Spending Review this week made it clear how painfully little progress is being made. Whoever wins the next election could close every school, open every prison, cede Northern Ireland, close every embassy and sack every soldier, sailor and airman — and it would still not be enough to put the government back in the black. Britain is a terrifyingly long way from fiscal sanity.

James Forsyth James Forsyth

The Tories can’t attack Labour without undercutting their own arguments

One thing that was noticeably absent yesterday was Tory crowing about Labour having signed up to the coalition’s current spending plans. Instead, George Osborne’s response to Balls concentrated on whether Labour would borrow more. Given the Osborne-Balls relationship, you might have thought that the Chancellor would have relished the idea that Balls had been forced into an intellectual surrender. But the Tory leadership is acutely aware that going on about Labour having accepted their spending limits undercuts their argument that it is the same old Labour party, addicted to spending and borrowing. So instead they’ve chosen to argue that Labour’s pledges of fiscal rectitude simply aren’t credible. The Tories faced a

James Forsyth James Forsyth

Beaten by a Byron Burger

In the battle for the media’s attention Danny Alexander’s infrastructure statement is losing out rather badly to George Osborne’s choice of burger — a more easily digestible subject than the specifics of the government guarantee for a new nuclear power station. When he was asked about it on the Today Programme, Osborne seemed rather baffled by the amount of interest the tweet had generated. But what I was struck by was Osborne’s explanation for why he was on Twitter in the first place. He said that one of the challenges for politicians is that the public only ever see them when they’re on TV or in the Commons. He continued

Alex Massie Alex Massie

Denial is a River in Scotland

Aye, the old ones are the best. You might think that George Osborne’s decision to  leave the Scottish block grant more-or-less untouched in yesterday’s spending review would be a cause for chuffedness north of the border. You’d think wrong. Osborne announced a 1.9% reduction in real-terms funds made available to the Scottish government. Alex Salmond’s ministry will have to make do with £25.7 billion. All hail the Barnett formula since Mr Osborne’s decision to protect health spending ensures that the funds available to Scotland are similarly guaranteed, minimising the ability to cut the block grant even if that were deemed economically – or, rather, politically – wise. Since many English

David Blackburn

George Osborne’s big idea

What are the Ashes? This question was put to former England cricket captain Ted Dexter, the guest of honour at the launch last night of the writer and broadcaster Simon Hughes’s latest book. Dexter replied that the Ashes is an idea; the terms of engagement that had united two sporting nations in rivalry for nearly 150 years. Few things in life are more durable than a simple idea. The idea of ‘austerity’ drives our political debate and yesterday’s spending review has extended the life of the idea deep into the next parliament. It is a political concept rather than a purely economic issue. It used to allow the government and Labour to define themselves broadly

Wednesday

Sebastian Payne

Spending review 2013: Crossrail 2 is a clear win for Boris Johnson

Boris Johnson’s powers of persuasion have once again wooed George Osborne. In today’s spending review, the Chancellor has put aside £2 million to investigate Crossrail 2 — a new underground line for London. The fact the Mayor was able to bag another win from Osborne — Crossrail 1 was protected from funding cuts in 2010 — is testament to the political power of both the Mayor and the capital. Boris doesn’t even have re-election to think about this time. Crossrail 2 is key to Boris’ London legacy. His grand 2020 vision is peppered with references to the new line, which he claims is vital to London’s future and work could even begin

James Forsyth James Forsyth

Spending review: George Osborne finds a way to put welfare front and centre – again

listen to ‘Spending review 2013: the Coffee House analysis’ on Audioboo The Liberal Democrats insisted that they wouldn’t accept any more welfare cuts. But George Osborne still found a way to put welfare at the centre of his statement today as he sought to put, what he calls, the ‘welfare party’ on the back foot.  It was a reminder that he remains a thoroughly political Chancellor. There were a series of tough conditionality measures. The most headline-grabbing of these was that the around 100,000 people who claim JSA but aren’t proficient in English will have to learn the language or lose their benefits. The state, though, will pay for their

Steerpike Steerpike

George Osborne meets his Waterloo

The Chancellor of the Exchequer had the Tory backwoodsmen shaking their order papers and cheering during the spending review when he announced the following: ‘We’ll make sure the site of the Battle of Waterloo is restored in time for the 200th anniversary, to commemorate those who died there and to celebrate a great victory of coalition forces over a discredited former regime that had impoverished millions.’ While he was blustering, shadow chancellor Ed Balls missed the opportunity to point out that in Vanity Fair a feckless and profligate character called George Osborne dies at Waterloo. But Harriet Harman made no such mistake. Good to see that her education at St Paul’s has not gone

Isabel Hardman Isabel Hardman

Spending review: the dividing lines

listen to ‘Spending review 2013: the Coffee House analysis’ on Audioboo George Osborne loves a good dividing line: he sees it as his job to ‘weaponise’ policies in a way that benefits his party. So what were the key divisions that he set out in today’s Spending Round statement? 1. The full package Clearly the Chancellor wanted to make Labour as uncomfortable as possible as he set out the cuts for each department. Once Ed Balls finished his response, the Chancellor started prodding him on whether Labour would match the package. ‘Hands up on the Labour benches who wants to match our spending cuts?’ he cried. Ed Balls suddenly became

Isabel Hardman Isabel Hardman

Spending review dividing lines: who and what to watch

One set of businesses are already feeling the pain from the successful completion of the spending review. Westminster pizza outlets have come to rely on large orders from the Treasury the night before a spending review or Budget announcement, but the deal was sealed on Sunday night, and so all was calm last night in Westminster. George Osborne still snuck in a cheeky burger and chips (and thought it a good idea to tweet a slightly unappetising picture of himself tucking in), but that was as he made his finishing touches to the speech itself, rather than an attempt to keep going through last-minute negotiations with an angry Cabinet colleague.