Uk politics

Saturday

Peter Hoskin

Without growth, Osborne’s best-laid schemes will go awry

Strikes, Olympic boycotts and obesity league tables — it’s a dreary set of newspaper front covers this morning. But none of them are quite so dreary as the Telegraph’s, which speaks of ‘The return of recession’. According to their story, the OECD has told ministers that its latest set of forecasts, released on Monday, will have the UK economy shrinking for the first six months of next year. They’re not the first forecasting organisation to suggest a double-dip — going by the Treasury’s overview of indpendent forecasts, Schroders Investment Management have economic ‘growth’ at -0.4 per cent in 2012 — but they are the most prominent so far. Shudder ye

Friday

Peter Hoskin

A Clegg-up for young workers?

There was a time when Nick Clegg was the most agile and persistent defender of the coalition’s deficit reduction programme. But now — although he’s still got it in him — he is more often wheeled out to announce some spending wheeze or other. A couple of weeks ago, it was the next instalment of the government’s regional growth fund. Today, it’s a £1 billion scheme, spread out over three years, to encourage companies to take on young people. This latest scheme is one of those that looks very neat on paper. Put aside questions about how it will be funded, and what we have is a plan whereby £2,275

Andrew-Turnbull

An open letter to Chris Huhne

Earlier this year, the former head of the civil service, Lord Turnbull, wrote a pamphlet on climate change entitled The Really Inconvenient Truth or “It Ain’t Necessarily So”. It was praised by Nigel Lawson, writing its foreword, as a ‘dispassionate but devastating critique’ of global warming alarmism — and it is a critique that Chris Huhne saw fit to respond to earlier this week, in a letter to the ennobled pair. Well, now they’ve responded in turn, via the open letter below, and we thought CoffeeHousers might care to see it: Dear Secretary of State, We are pleased that you have decided that a public response to growing criticism of

Matthew Sinclair

How much are we paying towards next week’s strike?

Next week, millions of public sector workers will go on strike over proposed changes to their pensions. And yet, even after the reforms, those pensions will still be far more generous than most taxpayers working in the private sector — who will pick up the bill — can expect. It’s going to be hard to convince people of the ‘fairness’ of paying more into public sector pensions than they do into their own. The unions will do their best though. And the real irony is in how their campaigns are funded. Guess who is paying for unions to organise strikes that will disrupt the public services that taxpayers pay for?

Fraser Nelson Fraser Nelson

We cannot forget the riots, nor ignore their causes

If I’d said that an MP had accused the Church of England of being too obsessed with gay marriage and women priests — and not worried enough about how God can keep young boys out of harm’s way — you’d probably imagine that a Tory had gone nuts. But this is the David Lammy, Labour MP for Tottenham, who has gave an interview to our Books Blog. In it, he elaborates on the theme of his new book: that his colleagues are so keen to help single mothers that they’ve lost sight of what really helps working class boys. Amongst the contributing factors, he mentions two things that may cast

Thursday

Jonathan Jones

Breaking down those record immigration figures

New immigration stats out today show that 2010 set a new record for net migration into the UK. The figure hit 252,000 – a 27 per cent increase on 2009 and 7,000 higher than the previous record in 2004:   As this graph shows, the number of immigrants moving to the UK has actually been fairly constant – at around 580,000 – since 2004 (when the ‘accession eight’ countries in eastern Europe joined the EU). But the number of people leaving the country has dropped off significantly in the past couple of years – from 427,000 in 2008 to 339,000 last year, hence the increase in net migration. So, as

James Forsyth James Forsyth

Miliband’s opportunity in the economic debate

Political debate is going to be dominated by the economy between now and the autumn statement. Ed Miliband is trying to use this moment to persuade the public that the Coalition’s economic policies have failed. By contrast, the Tories want to highlight how much deeper trouble the country would be in if it did not have the confidence of the bond markets. The Tories hope that this ‘stay close to nurse for fear of something worse’ approach will eventually deliver an election victory for them in 2015, given how hard Labour is finding it to regain credibility on the economy. As Ben Brogan wrote the other day, this strategy worked

Jonathan Jones

From the archives: ‘Britain is no longer racist’

In Brixton this morning, Nick Clegg delivered a speech on race equality. He said ‘There is another front in the war on race inequality that is too often neglected: economic opportunity… It simply cannot be right that that we still live in a society where, if you are from an ethnic minority, you face unfair hurdles when you strive for success.’ As a counterpoint to the Deputy Prime Minister’s remarks, here is Samir Shah’s Spectator cover piece from 2009: Race is not an issue in the UK anymore, Samir Shah, 7 October 2009 I first arrived in this country from Bombay in January 1960. Harold Macmillan had yet to make his Winds

Jonathan Jones

Cameron: ‘We have to end the sicknote culture’

The Prime Minister has backed the proposal for a new independent service to sign workers’ long-term sicknotes, instead of GPs. The plan, which Pete wrote about at the weekend, is aimed at ensuring that people on sick pay or sickness-related benefits really are too ill to work. Cameron describes how it would work in today’s Mail: ‘The independent service would be free to all employers from four weeks of sickness absence, with the option for employers to pay for it earlier. It would provide an in-depth assessment of an individual’s physical and mental function. So if they’re unable to work, they’ll be helped – but if they are fit, they’ll

Wednesday

Daniel Korski

Paying for justice

To British ministers, the role that the International Criminal Court played over Libya was key – it made clear that Colonel Gaddafi’s actions were unacceptable and would be subject to international law. Tory MP Dominic Raab even wrote a piece in The Times about the need for Libyans to rely on the ICC in The Hague, rather than seek retribution and revenge against Gaddafi and his loyalists. And it wasn’t only the British government. German Chancellor Angela Merkel stated that the Libyan leader Muammar Gaddafi should be tried by the ICC: ‘Gaddafi should have a trial according to the law, something he never did with his opponents,’ Merkel said when

Lloyd Evans Lloyd Evans

Ed looks more dead than deadly

If Roman Abramovich owned the Labour party, Ed Miliband would be toast by now. The floundering opposition leader gave the sort of inept, predictable and ill-organised performance at PMQs that would get a manager sacked in the Premiership. It scarcely helps that Mr Miliband seems to prepare for these sessions like a deluded psychic. He and his team of prophets at Labour HQ clearly believe they can foretell what the prime minster will say and how best to smash his answers to pieces. Referring to the rise in unemployment, Mr Miliband began by attacking the PM for scrapping the Future Jobs Fund in March. He boasted, rather weirdly, that ‘under

James Forsyth James Forsyth

In PMQs, a preview of next week’s battles

Today’s PMQs was a preview of the debate we’ll be having after next week’s autumn statement. Miliband, struggling with a bit of a cold, tried to pin the economy’s problems on Cameron. The Prime Minister’s retort was ‘who would want to put the people responsible for the current mess back in charge’. It was a simple message and one that carried him through the session. The other feature of today’s joust was also a preview of next week: a tussle over the strikes. Cameron said strikes were the ‘height of irresponsibility’. He also made sympathetic noises when Tory MPs asked about imposing minimum thresholds for strike ballots. Afterwards, we learnt

Daniel Korski

Opening Europe

It is an article of British faith that further liberalisation of Europe’s market is a worthwhile goal. But few people realise the boost the UK economy would actually get from the finalisation of the EU’s internal market – especially implementation of the Services Directive, creating an integrated market for energy, modernising public procurement rules and liberalising the digital market. Implementation of the Services Directive alone would add 1.5 per cent of GDP to the EU as a whole in the next nine years, according to European Commission calculations. As the UK has one of the strongest services sectors, this will have direct benefits here. Taken together, progress in all these

James Forsyth James Forsyth

Huhne’s partner involved in lobbying row

Another lobbying scandal has hit the coalition. The Times is reporting that Carina Trimingham, Chris Huhne’s partner, boasted of having ‘excellent contacts… from Cabinet members to more junior ministers’ to a lobbying firm she was seeking work with. She also allegedly urged this firm to ‘make use of my skills and contacts.’ Trimingham has told the paper that she will not take on any role that involves energy and climate change so there will be no conflict of interest. She also points out that having worked in politics for more than a decade Huhne is not her only contact. A spokesman for the Energy and Climate Change Secretary says that

Tuesday

David Blackburn

The dangers of ever-closer union

Yesterday, Fraser wrote that ‘reporting of European issues tends to ignore public opinion’. Today, Philip Stephens has neatly illustrated Fraser’s point in his Financial Times column. Musing on Britain’s possible exit from the European Union, Stephens writes: ‘I am not sure this is what the prime minister intends; nor, when it comes to it, that British voters will accept such an outcome.’ Stephens’ conjecture ignores the European Union’s own polling, which, as Fraser says, shows most Britons to be hostile to the EU. That said, Stephens’ article is substantial. He argues that ‘fiscal union carries its own remorseless logic: the progressive exclusion of Britain from Europe’s economic decision-making’. The magnitude of George

Campbell Robb

The government’s housing policies don’t match its strong rhetoric

Yesterday’s housing strategy offered a mortgage guarantee for first-time buyers of new properties, one of the few new announcements in a document largely consisting of re-hashed policy. At best, the mortgage guarantee helps to provide a boost to house builders and welcome relief for some credit-worthy borrowers who simply can’t build up a sufficient deposit. At worst, it encourages risky lending, subsidises high house prices and raises unrealistic expectations for young families. Unaffordable, reckless lending (at least, up until the credit crunch and collapse of the sub-prime market) threatened the stability of the financial sector and caused misery to thousands of homeowners who later found themselves falling behind on payments

Fraser Nelson Fraser Nelson

Osborne chooses more debt over more cuts

Reading today’s newspapers, it seems that the biggest decision of Osborne’s mini-Budget has already been made. Evaporating growth means lower tax revenues, so the choice is between protecting his deficit reduction plan or keeping total spending cuts at less than 1 per cent a year. Increasing savings to, say, 1.3 per cent a year would mean he could easily meet his deficit targets. But it seems the decision has been taken to borrow even more. In his March budget, Osborne laid out plans to increase government debt by 51 per cent over the course of a parliament – lower than the 60 per cent that Labour had planned. It now

James Forsyth James Forsyth

Party funding reforms won’t happen

The recommendations of the Committee on Standards in Public Life’s review into party funding are not going to happen. Both the Labour and Tory members of the review have issued notes of dissent to it. Nick Clegg has, on behalf of the government, issued a statement gently rolling the report into the long grass. Interestingly, the Tory party – which was for a while attracted to additional state funding – has now ruled it out completely. Unlike Clegg’s statement saying it shouldn’t be done while economic times are so tough, the Tory rejection of it is not time limited. One other thing worth noting is that Labour, via Margaret Beckett’s

Monday

James Forsyth

There’s merit in the Coalition’s housing proposals

The government’s announcement on housing today is an attempt to square the circle. On the one hand, a return to excessive lending and sub-prime mortgages is clearly not a good thing. Critics say, with justification, look where government backed mortgages got America. But on the other, there are clearly problems when people who aren’t fortunate enough to have parental help aren’t getting on the housing ladder until well into their thirties. Conservatives who understand the importance of a property-owning democracy should be concerned about this. The Coalition’s solution — and this is the most genuinely coalition piece of policy we’ve seen in months — is partial government indemnities for people

Peter Hoskin

Talkin’ ’bout long-term stagnation

Politics is often a messy squiggle, but this morning’s Resolution Foundation event did much to reduce it to a binary choice. Do we follow the US into a decades-long stagnancy around low-to-middle-income earners? Or do we not? James Plunkett explained the basic dilemma on Coffee House earlier, but more was said by a group of panellists which included Jared Bernstein, Martin Wolf, Steve Machin and Lane Kenworthy. Here, for the saddest CoffeeHousers, are eight points that I’ve distilled from my notes. This is more reportage than opinion, but I thought you might care to applaud or eviscerate some of the arguments that were put forward: 1) The UK triumphant. Or