George osborne

George Osborne is due to speak to the Conservative party conference just before lunch today. What he tells the Symphony Hall at the International Convention Centre may well put his Liberal Democrat coalition partners off their food, as his speech will make clear the Chancellor’s determination to cut a further £10 billion from the welfare budget. The Lib Dems appear to have adapted their position somewhat over the summer. In July, I reported senior sources saying that the £10 billion cut was ‘just not going to happen’. A little later, the party started making the connection between this new package of cuts and the wealth tax which Nick Clegg flew

This morning the Mail on Sunday reported that George Osborne has promised there will be no mansion tax, no wealth tax and the council tax freeze will be extended. Homeowners are safe for now, but why has Osborne made that call? It might be something to do with a past Conservative Party Conference back in 2007 when the party was in a similarly dire situation. The then Shadow Chancellor pledged to cut inheritance tax by increasing the threshold, put Gordon Brown off calling an early election and ended the honeymoon it is now hard to believe he ever enjoyed. Britain already has the highest property taxes of any developed economy

I’ve written about the deceptive attraction of wealth tax in my Telegraph column today, and I wish I was wasting my time. Once, you could say it was an idea so flawed that it stood no chance of getting into government. In the coalition era, there is no such thing.  Tory ministers will wave through an idea they regard as nuts because the Lib Dems want it, and that coalition is about compromise. Political horsetrading has supplanted rational economic debate, and if the Lib Dems want a wealth tax there is a horribly high chance that Osborne may give way — as he almost did over Mansion Tax. Not because

Danny Alexander had reason to be very chuffed this morning when his party gave its overwhelming support to a motion he tabled, praising George Osborne’s Plan A for the economy. The motion also welcomed the recent infrastructure announcements from the government, underlining that these investments were possible as a result of the government’s ‘hard-won fiscal credibility’. This motion was about reminding Liberal Democrats of the cause the coalition had united over, and the Chief Secretary to the Treasury took care to present Labour as the villains in this, insisting that ‘Labour is wrong on the economy’. But that didn’t stop some activists pushing a rival amendment — which was overwhelmingly

One of the striking features of the opening rally at Liberal Democrat conference was how it was figures from the left of the party who attacked Labour most vigorously. Simon Hughes, the deputy leader, scolded those who think that governing with Labour would be easy; pointing out that the parties are at odds on nuclear power, Trident, civil liberties and a whole host of other issues. While the party’s president Tim Farron demanded that Labour apologise for the expensive failure of the NHS PFI projects, the Iraq war and a whole host of other issues. Nick Clegg himself was on fairly confident form. He began with a couple of gags

Q: Why will George Osborne miss his debt target? A: The Government is spending a lot more money than it is taking in taxes. Q: Why is the Government spending a lot more than it is taking in taxes? A: Jonathan Jones answered this one yesterday. In short: disappointing growth means that debt needs to be lower to meet a Debt/GDP target, increases spending on benefits and reduces both direct and indirect tax receipts. Beyond that, things get a lot more complicated and controversial. I won’t get into the debate over supply-side reform versus Keynesian economic stimulus now. That debate has been covered at length elsewhere, particularly in the final

Much is being made today of reports that George Osborne will drop his fiscal target in his autumn statement on 5 December. Isabel reported earlier that, faced with breaking his own rule, Osborne will abandon it rather than implement more cuts to meet it. All the fuss seems to stem from a note by Citi Reasearch last Friday. You can read the whole thing here, but here’s a summary. Like Gordon Brown, Osborne has two fiscal rules. Neither says anything about eliminating the deficit, or even halving it. The first — called the ‘fiscal mandate’ — is ‘to balance the cyclically-adjusted current budget by the end of a rolling, five-year

Treasury questions is one of the more entertaining spectacles on offer in the Commons. There’s the standard banter between George Osborne and Ed Balls – today we saw the Chancellor dub his opposite number ‘the member for Unite west’, with Ed Balls noting in his reply that at least he’d only been heckled by a few trade unionists rather than the entire Olympic stadium. There were new ministers to welcome too: Greg Clark received such a warm cheer that he joked he felt ‘like Boris Johnson’. But the centrepiece of the session was – along with the confirmation that the Autumn Statement will take place on the rather wintery date

Roger Bootle is managing director of Capital Economics, and winner of the Wolfson Economics Prize. As the government launches another attempt at boosting UK growth, the economist, who describes himself as a ‘rare right-wing Keynesian’ shares his thoughts on ministers’ economic prowess with Coffee House readers. Do you think the government will be able to fight the next general election on the issue of the economy? ‘I think it’s too early to tell, but if the economy is completely flatlining and the deficit does not go down – which seems to me to be perfectly possible, there are strong signs things are going to look bad for them. But the

David Cameron’s choice of Nick Boles as the new planning minister sends a clear signal that he is serious about planning reform. The founder of Policy Exchange is a close confidante of the Prime Minister and has been trusted with reforms that have been attempted once and damaged Cameron’s reputation. If the Chancellor is the winner from relaxed development regulations — which will be a core part of his Economic Development Bill next month — then his party stand to be the losers. The Campaign to Protect Rural England is already gearing up for a second battle: ‘If planning restrictions are relaxed, you’re not going to get any increase in the

Say this for David Cameron’s autumn reshuffle: it hasn’t unravelled as quickly or spectacularly as George Osborne’s last budget. Hurray for that. But nor has it been deemed a grand success. See Telegraph writers here, here and here for evidence of that. If you want to make a difference – that is, if you wish the general public to sit up and think, By Jove, he’s finally got it – you need to defenestrate an admiral or two. A reshuffle that leaves the Great Offices of State as they were cannot pass that test. Which means, I’m afraid, that only sacking George Osborne would have made this a memorable reshuffle.

George Osborne was booed by a hefty contingent of the 80,000-strong crowd in the Olympic stadium this evening. He was handing out medals for the Paralympic T38 400m, and as his name was read out over the tannoy, the crowd let out a loud volley of boos. I was fortunate enough to be sitting in the stadium this evening watching the athletics, and the boo that echoed around the stands did not come from one part in particular. It was a deep, pantomime-villain boo. ‘Why does nobody like that man?’ the girl behind me asked her mother. ‘He’s – well, it’s complicated – but he’s the head of the economy,