Liberal democrats

IDS’s welfare reforms aren’t perfect, but he’s right to be bold

So, Iain Duncan Smith has set out proposals to comprehensively reform of the welfare system. The goal is to replace 51 benefits with a single and flexible allowance. It has been claimed that this reform would allow people with jobs to retain more of their benefits and ensure that people who work will always be better off than people on benefits.   There are problems with Iain Duncan Smith’s proposals. Fiscal cost is one, and the Work and Pensions Secretary has already clashed with George Osborne over the price of these proposals. Lowering taper rates to make work more rewarding could mean that more people receive more generous assistance –

The coalition can do more for less on benefits reform

There is a lot to like about Iain Duncan Smith’s new proposals for welfare reform.  The chance to move towards a radically simplified benefits system is enormously exciting.  As I wrote for Coffee House last week, the current system is a complete mess and failing on just about every criteria.  It is so complicated that £4.5 billion a year is lost to error and fraud; working at the minimum wage of £5.80 an hour can be worth as little as 26p an hour; and too many families slip through the net so that the number living in severe poverty has actually increased from 5 to 6 per cent in the

At last, IDS gets his chance to reform benefits

For some time now, we on Coffee House have been raving about Iain Duncan Smith’s plans for reforming benefits. And, today, it finally looks as though they – or something like them – will soon be put into action. The DWP is releasing a consultation document which aims to simplify and straighten out a benefits system which now acts as a barrier to work. Over the next few months, various think-tanks and other organisations will submit their own ideas for doing just that. Someone who will no doubt take part in that process, Policy Exchange’s Neil O’Brien, has a written a very useful summary of the main questions and arguments

Clegg confirms his fiscal hawkishness

Nick Robinson’s documentary on the coalition negotiations is just under four hours away, but I suspect we’ve already heard about one of its key moments. As various outlets are reporting this afternoon, Nick Clegg tells Robinson that he had changed his mind about the pace of spending cuts sometime before the coalition agreement. Or as he puts it: “I changed my mind earlier than that … firstly remember between March and the actual general election … a financial earthquake occurred in on our European doorstep.” This matters because the Lib Dem manifesto said that spending shouldn’t be cut (above and beyond Labour’s plans) this year – and that the squeeze

The coalition needs to think harder about renewing Trident

What do we have here, then? Another public disagreement between Downing Street and Liam Fox? Certainly looks that way, as George Osborne assures an interviewer in India that the entire cost of Trident should be borne by the Ministry of Defence’s budget. As the Telegraph reminds us, Fox suggests that the running costs of Trident should be part of the MoD’s responsibilities (as they are currently), but the approximate £20 billion capital cost of renewing the nuclear deterrent should be paid for by central government. In his words, on Marr a couple of weeks ago: “To take the capital cost would make it very difficult to maintain what we are

5 days that changed the country

Westminster has rewound the tape today, in anticipation of Nick Robinson’s documentary on the coalition negotiations tonight. There’s speculation about what Nick Clegg did or didn’t say back in May; Anthony Seldon has a piece on Gordon Brown’s side of things in the Independent; and Robinson himself has a summary article in the Telegraph. Much of what’s revealed so far could already be pieced together from the Mandelson memoirs, as well as from Westminister chatter, but some of the new contexts are eyecatching. This, for instance, from Robinson, suggests just how important personality politics was during those days after the election: “Gordon Brown had not prepared a policy offer, nor

Match-maker Merv

Mervyn King’s evidence to the Treasury select committee has Westminster’s tired tongues wagging this afternoon. King re-iterated his long-held position that market confidence will imperil long-term recovery unless the deficit was confronted immediately. Nick Clegg has said that a personal conversation with King changed his mind on cutting the deficit early. Paul Waugh, Jeremy Warner and James Macintyre have varying takes on the Governor’s remarks and their bearing on the coalition’s formation. I’d just observe that King may have been Cameron and Clegg’s unwitting matchmaker. But equally, no party was honest about cuts during the election. It was the great unmentionable, which would suggest that cutting had to come sooner

Hughes leaps to the coalition’s defence

Simon Hughes is defending his party’s core interests with singular ferocity. Today, he has turned on Labour’s decision not support the AV bill. Hughes told the BBC: ‘They can’t, in any logic, oppose the idea that you have equal numbers of voters per seat. And they are trying to pretend somehow putting equal numbers of voters per seat proposal to go with AV makes it something they can’t support. It is an indefensible position, they are playing games, and their new leader will hugely embarrassed by this decision.’ It’s clever politics from the point of view of the coalition: get the Lib Dems to attack Labour’s apparent duplicity from the

Who should make the concessions to appease the AV rebels? Cameron or Clegg?

The honeymoon has been spoilt by a bout of food poisoning: Tory dining clubs have decided to obstruct the AV bill. More than 50 Tory MPs will rebel because they believe the referendum should be held on a day other than May 5th and that the referendum should not be binding unless turnout exceeds an agreed minimum. Labour, already masters at opposition, will oppose the bill on the grounds that it includes changes to electoral boundaries – a reform that would lessen the in-built bias in favour of Labour, but which it haughtily considers ‘gerrymandering’. For the sake of the coalition, Cameron owes it to Clegg to at least deliver

Never again should so much be wasted by so few

If you tire quickly of the tediously lengthy build up to Christmas, which starts about now, then heaven help you in dealing with two years of hyperbole about the 2012 Olympics. Even the most enthusiastic synchronised swimming fan will find it hard to imagine that the actual event will live up to the billing. And as a keen follower of sport (well, proper sport like football or motor racing), I hope that the London Olympics absolutely bomb.   I want half empty stadia, feeble athletic performances (particularly from British competitors) and embarrassingly low television viewing figures. Because – after this fiasco has finally ended – I don’t want there to

A worrying poll for the Tories

Ipsos-MORI’s July political poll will make uncomfortable reading for the coalition as the summer break looms. It has the Tories on 40 percent, Labour on 38 percent and the Lib Dems on 14 percent . It is just one poll – the Tory lead is usually around 7 points – but the Lib Dems’ crisis is real enough. George Eaton’s spot on when he says that Labour’s resurgence is ‘impressive’. The worry is that cuts have not yet been felt, and that the Lib Dem position can only get worse. The coalition has all sorts of possible plans to protect the Lib Dems. With growth as it is, Osborne could

More grist for the welfare reform mill

How many incapacity benefit claimants could actually work? Well, we get a sense of the answer with some figures released by the Department for Work and Pensions today. They show that, of the people who have gone through the new Work Capability Assessments so far, some three-quarters are able to look for a job. Scale that up for everyone on incapacity benefits, and it suggests that around 1.8 million claimants could return to the labour market. Although the numbers are eye-catching, they’re not entirely surprising: similar figures were published when the WCA was introduced under Labour.  And it could be worth holding fire until the necessary review of those assessment

The coalition’s summer challenge

How striking that, as another Parliamentary term draws to a close, all the talk is of some sort of union between the Tories and the Lib Dems.  There was Mark Field’s blog post about an electoral pact, yesterday, of course.  But now Rachel Sylvester follows it up with an article in the Times outlining a possible “metrosexual merger” between the two parties.  And Paul Goodman has a piece in the Telegraph suggesting that such a merger may well be in the offing. In many repsects, all this chatter is testament to the early success of the coalition.  What we have seen over the past few months has, on the whole,

The coalition must tread carefully over electoral pacts

Well, Mark Field has certainly got Westminster talking with his suggestion that the Lib Dems and Conservatives might not oppose each other in marginal seats come 2015. It’s the kind of idea that has been sloshing around for a few weeks now, but having it relayed through a Tory MP’s blog post gives it a little extra punch. And so plenty of questions abound. What would this mean under AV? Who would do better out of it? Is it sensible for both parties to effectively make the next election a referendum on the coalition? etc. etc. But one question doesn’t seem to be getting enough airtime: what would this mean

AV, what is a Conservative to do?

Matthew Parris and Charles Moore are the two of the most eloquent exponents of conservatism. But they represent different strands of conservative thought as their views on AV demonstrate. Matthew argues in his column in The Times today that the Conservative party should let AV pass if that is what it takes to keep the Lib Dems happy. He thinks that the Lib Dems are not only needed to make the Coalition work but that their presence is, in itself, a good thing. As he writes, ‘Lib Dems bring to government a distinct and healthy slant on politics. There is a reactionary component in the Tory make-up; I often share

The Brokeback coalition

It’s the silly season. The Newspapers have been trawling for anti-coalition quotes from MPs, their wives and their dogs. They’ve found two. Tim Farron, the defeated candidate for the Lib Dem deputy leadership, said yesterday that David Cameron had a ’toxic brand’ and it wasn’t his job to cleanse it. Well, the latter is certainly true, and Lib Dem benches are concerned by plummeting polls and intense flak from Labour. David Cameron will make a very public effort to grant the Lib Dems concessions on civil liberties and fairness in the tax system, a pre-emptive tonic ahead of cuts.    There is disquiet on Tory backbenches – there always is.

Already, the anti-war lawyers leap on Clegg’s slip

Never one to miss the bus, Phillipe Sands QC has informed the Guardian that an international court would be ‘interested’ in Nick Clegg’s view that the Iraq War was illegal. Sands continues with his favourite homily: ‘Lord Goldsmith never gave a written advice that the war was lawful. Nick Clegg is only repeating what Lord Goldsmith told Tony Blair on 30 January 2003: that without a further UN security resolution the war would be illegal and Jack Straw knows that.’ Well, that would be right but for Goldsmith’s draft advice of the 12 February 2003, and his final clarification on 7 March 2003. Goldsmith remains a brilliant commercial lawyer; international

Another one in the eye for Vince

I feel for Vince Cable, who has morphed from Sage to Crank in a matter of weeks. Imagining himself as the scourge of the tuition fee, Cable floated the idea of a graduate tax recently. This pre-empted the Browne report into university funding and disregarded the coalition agreement, which states that all questions would be deferred until the Browne report’s publication. It was, in other words, posturing. The BBC reports what has been rumoured in Whitehall: the government is not giving serious consideration to a graduate tax, which would have incurred enormous upfront costs. Politically, the Liberal Democrats must abolish tuition fees, or at least tame their impact on the

Alex Massie

Will the Lib Dems Become the Stupid Party?

Frailty, thy name is coalition. Right? That still seems to be what many people think. Take Simon Heffer’s column today, for instance in which he concludes: Whoever wins – and, at the hustings, the benign mood towards Miliband E is at the moment palpable, precisely because of his low profile during the Brown terror – it will signal a proper re-engagement of political battle, the end of the Government’s extended honeymoon, and the presentation of the first real challenges to the Coalition. The planned constitutional reforms will be the stumbling block for the Government, and should be the new leader’s prime target, even more than the economic strictures. After all,

The End of the Honeymoon?

A good deal of excitement on the left today as YouGov’s polling suggests the coalition’s “honeymoon” has ended. The government’s approval rating is now just +4 (41% approve of its performance, 37% disapprove). I don’t know why anyone should be surprised by this. Not only was the budget astringent, the coalition has launched any number of large-scale reorganisations of fundamental services including, of course, education and the NHS. So, in addition to the economy – and government rhetoric has tended to stress the short to medium term ghastliness of everything – there’s great uncertainty about schools and hospitals. In fact one could argue that the government is trying to do