Archive for June, 2011

Monday News Review

13/06/2011, 06:27:02 AM

Family breakdown

When he won the Labour leadership, Ed Miliband declared that Britain had not ‘heard the last’ of his older brother, from whose complacent grip he had snatched the prize. David would ‘be around in one way or another’. Well, Ed was spot on in that analysis. Today, as he prepares to deliver yet another keynote speech, desperately crafted to pump life into his flaccid leadership, brother David’s shadow looms ever larger and more threatening.Indeed, it is Louise Miliband, even more than her vanquished former Foreign Secretary husband, who harbours a deep grudge against her brother-in-law. She regards his decision to run against her husband as an unforgivable act of treachery and betrayal. ‘She was distraught and still hurts for David. It’s often the partners who take more umbrage. But it’s very hard for them both to get over it. David would have won it if Ed had not stood. And he would have won it big,’ one trusted confidante told the Daily Mail.  ‘Louise understands that and is still consumed by anger. She’s also furious with Ed’s wife because she feels she should have persuaded him not fight his own brother. The family will never get over this. Louise did not even want to go to Ed’s wedding.’ Indeed, as the new book reveals, Louise Miliband cut Ed dead when they met by accident as he headed back to his hotel room following his victory over her husband.  The brothers used to speak several times a week. Now, with the exception of occasional requests for advice from Ed, they rarely converse, reveals the book. They communicate through their offices. – Daily Mail

Ed Miliband’s wife, Justine Thornton, is said to have been deeply hurt by the frosty stance reportedly adopted by her sister-in-law Louise Miliband since his surprise decision to stand for the leadership last year. Based on interviews with close friends and colleagues of the two men, the book depicts a deep and painful rift in the Miliband family which some fear will never heal. It claims that an increasingly ill-tempered election campaign developed into a rancorous family schism, evident as much at children’s birthday parties as political meetings, to the distress of the men’s mother, Marion. Despite his disappointment at failing to secure the Labour crown last September, the former Foreign Secretary David Miliband was careful to be gracious in defeat, the book says. But as Ed walked back to his hotel room in Manchester, following the announcement the election result, his sister-in-law was less forgiving and “cut him dead”, the book claims. It was, the authors – the Labour-friendly journalists Mehdi Hasan and James Macintyre – claim, “the start of a breakdown in the family”. – Daily Telegraph

Ed tries to bounce back with policy offensive

Ed Miliband will attempt to fight back against his internal Labour critics today by unveiling new policies demanding more “responsibility” from the highest paid people and welfare claimants. On the eve of his long-awaited policy offensive, Mr Miliband was hit by claims that his relationship with his brother David was still in the deep freeze eight months after he defeated him to win the Labour leadership. A new book by journalists Mehdi Hassan and James Macintyre claims that Ed spent years plotting to beat his brother and that David now thinks he is taking the party “in the wrong direction.” The Labour leader will try to turn a tide of negative publicity about what critics see as his lacklustre performance by turning the spotlight to one of his big policy ideas. He will promise a “revolution in the boardroom”, saying a Labour Government would make companies publish the ratio between their highest earners and the average pay level. In a long-planned speech in London, Mr Miliband will admit that the last Labour Government was too relaxed about bankers who caused the financial crisis and benefit claimants who abused the system. “We will be a party that supports the real boardroom accountability that rewards wealth creation, not failure,” he will say. “At the bottom of society, we will be a party that rewards contribution, not worklessness.” – the Independent

Plans to make unemployed benefit claimants work harder to find a job will be unveiled by Labour‘s policy review chief, Liam Byrne, on Monday. The shadow work and pensions secretary will also set out new ideas, drawn from the Australian prime minister Julia Gillard, requiring long-term workless households with pre-school children to attend compulsory employment workshops in return for childcare costs. The proposals chime with Ed Miliband’s proposals, unveiled on Monday, which will emphasise responsibility, rewarding those on the council house queue who are in jobs or doing voluntary work. Byrne will map out how far the party has drifted from mainstream public opinion, saying: “There is one sentiment that really shines through. People are angry about the state we face and they believe a new politics of responsibility is the answer. There’s a sense of too many great sins: wealth without work; commerce without morality; politics without principle.” – the Guardian

People in work, volunteers and foster carers will be able to jump council house queues, Ed Miliband will pledge today. “Rather than looking solely at need, priority is also given to those who contribute – who give something back. It’s fairer and it also encourages the kind of responsible behaviour that makes our communities stronger,” he will say. Labour is also looking at cutting benefits for young jobless people in workless households. And it is considering forcing the unemployed to sign on weekly and give higher dole payments for those who were in work and then lost their job. Shadow Work and Pensions Secretary Liam Byrne will set out the controversial plans tonight, saying: “Welfare reform is one of the policy areas where Labour needs to win back trust.” – Daily Mirror

D-Day for NHS reforms

Experts are to unveil recommendations on the Government’s plans for the NHS after Nick Clegg claimed victory for the Liberal Democrats in the spat over the reforms. The NHS Future Forum will publish its report setting out proposed amendments to the Health and Social Care Bill, which is currently on hold on its passage through Parliament. The Bill has attracted widespread criticism from the medical profession and unions, particularly over its aim to increase competition between the NHS and private companies. Last week, Prime Minister David Cameron outlined “real changes” to the reforms – pre-empting the content of today’s report. Aides to the Prime Minister have insisted he was the driving force behind the policy rethink, but many Tory backbenchers are furious that Health Secretary Andrew Lansley has been “hung out to dry” to appease Lib Dems. – Sky News

In the face of Liberal Democrat opposition to his proposed shake-up of the NHS, the Prime Minister ordered a time-out so the views of doctors and nurses could be heard. Today, a report by the group NHS Future Forum, led by former chairman of the Royal College of GPs Prof Steve Field, will be published and is expected to recommend a string of changes. The Liberal Democrats claimed yesterday that the concessions they had demanded had been achieved, while backbench Tories were warning that Mr Cameron had given too much away. Mark Pritchard MP, secretary of the 1922 committee of backbench Tory MPs, suggested that the changes would lose the Tories votes. He told The Daily Telegraph: “History may judge this moment as a lost golden opportunity to make the NHS fit for the 21st century.“  Mr Cameron has called an emergency meeting of all 143 Tories who joined the Commons at last year’s election. It is being interpreted in Westminster as an attempt to ensure Mr Cameron has enough support to see off opposition from “old guard” MPs, who have been angered at concessions to the Tories’ Coalition partners and perceived “gloating” from Lib Dems. – Daily Telegraph

Facebook Twitter Digg Delicious StumbleUpon

All women shortlists in inner city wards: no dispensation from representation

12/06/2011, 02:00:18 PM

by Waseem Zaffar

Last month, I was elected to Birmingham city council for the first time. A couple of weeks later was the council AGM, at which, amongst other things, we elected a new lord mayor. Councillor Len Gregory handed over to senior Labour councillor, Anita Ward. The whole occasion made me proud to be taking part and proud to be a Brummie. Cllr. Ward will be a fantastic first citizen.

But something about the ceremony also embarrassed me. Made me wonder whether Birmingham is truly the multi-cultural capital that we think it is, whether equality is the strong point that it ought to be. Cllr. Ward is only the seventh female lord mayor of our city. That is a shame and an embarrassment to us all: to the city and to all political parties.

Despite positive discrimination being introduced by Labour years ago, there is still a lack of women in the council chamber.

That can’t be right. We have to have the best people to represent our city. And those that represent our city have to “look” like the city they stand for. For example, Birmingham is the youngest city in Europe outside Turkey and has the largest population of under 30s. However, the council chamber, despite a number of young additions this year, still does not reflect the various age groups in the city.

Gender is also a huge issue for the council chamber. And Cllr. Ward’s elevation to lord mayor of Birmingham has opened up a debate.

We hear conflicting reports from the Birmingham Labour party. The Birmingham Labour party has a grid system which requires all wards to have a minimum of one female councillor/candidate (out of three) every four years. I support this. Yet, a number of largely ethnic minority populated wards have hitherto been excepted from this rule. The argument being that asian communities will not vote for women candidates. I do not agree.

The time has come for us to encourage more women to take part in democracy as, if I am not mistaken, slightly more than half the population of Birmingham and our country is female. And women play a huge role in society that goes largely unrecognised.

This argument that if a woman stands in an inner-city ward in Birmingham made up of largely ethnic minorities she will not win the seat is nonsense. I won by a majority of nearly 4,000 in my inner city ward because I was a Labour candidate. Not because I am male, or because I am of a particular ethnic origin. The election of Cllr. Tony Kennedy in Sparkbrook (white candidate in the ward with possibly the highest ethnic minority population in Birmingham) clearly endorses this argument. Despite what our egos may want to believe, the Labour rose is what puts votes on the ballot paper.

So, if a man can win by a majority of nearly 8,000 in Washwood Heath, I am certain that a woman can win the seat. The same can be said in Aston, Bordesley Green and Springfield, as well as other inner city seats.

It’s time for our ethnic minority communities to “get with the project”, in particular Birmingham’s Muslim community. Just look at what Shabana Mahmood MP, Cllr. Yvonne Mosquito, Cllr. Paulette Hamilton, Cllr. Penny Holbrook et al have achieved. They are role models for young girls growing up in Birmingham, and we need to bring through more role models from to encourage all sections of the community to participate in our democracy.

Shabana’s election to the House of Commons last year was so well received from all sections of the community. We need more “Shabanas”. The Birmingham Labour group is currently chaired by Cllr. Yvonne Mosquito. We need more Yvonnes out in the community engaging with other females and encouraging them to become the “next Yvonne”.

The West Midlands regional office has held a number of training sessions for women who may want to consider standing for election. The Birmingham Labour party needs to follow this through to ensure that no ward in which an AWS is due is denied its entitement under Labour rules to elect a women. There should be no special dispensation from representation.

Waseem Zaffar is Labour councillor for Lozells & East Handsworth ward.

Facebook Twitter Digg Delicious StumbleUpon

Time to get out of our cosy anti-cuts bed

12/06/2011, 11:44:32 AM

by Mike Blakeney

Opposition is warm and fluffy. It is great to be liked.

I joined the Labour party when times were at their toughest. Tony had left, we had Gordon, and the public were increasingly upset with the party. My joining could only be described as a crazed act of masochism.

Yet we soldiered on through adversity, safe in the knowledge that we were making a difference.

Now we are doing better in the polls, comedians tease our opponents and Question Time audiences cheer our MPs. Surely we should be happy again? But, rightly, we’re miserable.

Miserable because we see the devastation that is happening to our public services and we are powerless to stop it. That is what happens in opposition. It’s warm, it’s fluffy and people agree with you. But ultimately it’s soul-destroying.

Not long after joining the party I was told that, “The greatest leaders are liked and respected, but if you have to make a choice, be respected”.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Sunday News Review

12/06/2011, 05:51:37 AM

The real meaning of a U-turn

Education secretary Michael Gove has been accused of creating schoolsfor the middle classes after it was revealed that more than a third of his “free schools” will open in the most affluent areas. The government promised to provide all children with “access to the kind of education only the rich can afford” when it launched the policy of allowing parents to set up schools free from local authority control. However, an analysis of the 32 free schools set to open in the next academic year shows 13 are in the most affluent half of England with only two in the 10% most deprived areas and 10 in the 20% most deprived areas, as ranked by the government’s English Indices of Multiple Deprivation, 2010. Less than a fifth of them are opening in the north of England, while half are set to open in the south and southeast. – the Guardian

Michael Gove said they were “accelerating the pace of reform” and the review was needed because of the growth in academies. Councils provide support services such as special needs education for state schools, but not academy schools. Ministers had said the grant to provide such services would be cut by £148m this year and £265m next year. Mr Gove told the BBC some Labour local authorities were “a bit unhappy” about the pace of reform, but “the truth is at the moment we’re actually providing funding to local authorities and to schools for the same service”. The education secretary said they had to make sure the taxpayer “is not paying twice”. Labour says the decision shows changes are being pushed through too quickly. “This is the third time in a year that Michael Gove has had to U-turn under the threat of legal action,” shadow education secretary Andy Burnham said. “And the reason that it keeps happening is that he is railroading his policies through without proper consultation, without listening to parents, to teachers, to local councillors.” – This Day

Where do we go from here?

Before Ed Miliband appointed Ed Balls as Shadow Chancellor, he consulted Tony Blair. Miliband, who has grown close to Blair since becoming leader, wanted to know what the former Prime Minister thought about the move. Would it just lead to a rerun of the Blair-Brown years, with the Chancellor destabilising his boss? Straight after winning the leadership, Miliband made a deliberate choice not to make Balls Shadow Chancellor. He feared that if he did, it would make it harder for him to chart a new course on the economy. But with Alan Johnson, the man Miliband had appointed, resigning because of family matters, the Labour leader had to decide whether to risk open hostilities with Balls by snubbing him again. They have tried to copy the successful Cameron-Osborne relationship by merging their two offices, as the Tory pair did in opposition. But Balls has maintained a room of his own elsewhere in the Palace of Westminster and the two staffs remain far more distinct than those of Cameron and Osborne. – Daily Mail

I am here to defend Ed Balls. The documents published last week are valuable primary sources for contemporary historians, but they do not prove that he was a plotter. There is no email there to Labour MPs frustrated by Blair’s failure to recognise their ability, such as Chris Bryant and Sion Simon, saying: “What about writing a letter to TB to tell him that the game is up?” We know that there was a plot, because Bryant, Simon and 13 others wrote that letter in September 2006, and one minister – Tom Watson – and seven parliamentary private secretaries resigned. We know, too, that Gordon Brown was responsible for it, (a) because he could have stopped it and (b) because it is completely obvious. I have always assumed that Balls knew all about it, and discussed it with Brown and other members of the Stable and Orderly Transition Task Force, but that he did not telephone, text or email possible resigners himself. – John Rentoul, the Independent

They still don’t get it

The row over David Cameron’s ditching of a high-profile female candidate flared up again last night amid claims that a senior Tory official described her pregnancy as a ‘disability’. A furious letter written by Tory MP Jacob Rees-Mogg, complaining about his sister Annunziata’s exclusion from the Conservatives’ list of parliamentary candidates, condemns as ‘contemptible’ a remark allegedly made to Ms Rees-Mogg at a meeting last week. In the letter to 10 Downing Street, Mr Rees-Mogg says that the official, Giles Inglis-Jones, told Annunziata – who was eight months pregnant at the time of her crucial selection meeting in February – that ‘he knows all about pregnancy as he has five children’. Mr Rees-Mogg wrote: ‘From my own experience a man’s role and knowledge of pregnancy is somewhat different from a woman’s’, before adding lethally: ‘It was also suggested that Annunziata could have ticked the box for “disability”, but I feel most reasonable people would call that a contemptible suggestion. – Daily Mail

Clegg boasts as Tories grimace

Nick Clegg last night boasted that he had forced David Cameron to ditch plans to bring more ­private firms into the NHS. The Lib-Dem leader’s allies claimed victory saying the PM had performed a U-turn on key parts of his unpopular revamp of the health service after their protests. Mr Clegg’s supporters said Mr Cameron had agreed to rule out any competition in the NHS “based on price” after critics warned it would pave the way for the ­backdoor privatisation of the NHS. But the boast will infuriate Tory MPs and further humiliate Health Secretary Andrew Lansley. – Daily Mirror

Facebook Twitter Digg Delicious StumbleUpon

The week Uncut

11/06/2011, 02:42:29 PM

In case you missed them, these were the best read pieces on Uncut in the last seven days:

Dan Hodges says it’s time for Labour’s flat earthers to get real

Matt Cavanagh on Cameron’s lies and betrayal on knife crime

Michael Dugher says the NHS changes tell us all we need to know about Tories

Peter Watt looks at Labour’s funding challenge

John Denham says Labour needs relentless focus on private sector growth

Anthony Painter reviews the Master Switch by Tim Wu

Atul Hatwal says our message on the economy isn’t cutting through

Facebook Twitter Digg Delicious StumbleUpon

Saturday News Review

11/06/2011, 06:56:57 AM

More Balls papers are leaked

A confidential document presented to the Cabinet in January 2006 asks: “We’ve spent all this money, but what have we got for it?” It warns that the efficiency of the public sector needed to improve rapidly and insisted that “spending growth will slow”. The document drafted by civil servants also says that “ineffective spending” must be “closed down”. However, Gordon Brown discarded the advice and embarked on a £90 billion increase in spending when he became prime minister. The expenditure meant that the economy was left facing a record deficit as the effects of the recession were felt. The document is among 19 papers disclosed today by The Daily Telegraph that were obtained from the personal files of Mr Balls, the shadow Chancellor. They follow the divulgence yesterday of dozens of documents detailing Mr Balls’s central role in a plot to topple Tony Blair. The Coalition seized on the disclosures as evidence that Mr Brown’s “reckless” decisions over public spending left the country in a vulnerable position when the economic downturn hit Britain. A Conservative source said: “This document shows the reckless approach of Brown and Balls which left Britain dangerously exposed to the economic crisis.” – Daily Telegraph

The rivalry between Tony Blair and Gordon Brown is back like a sleeping monster that awakes every few months to wreak destructive havoc on the party they led. The latest re-awakening takes the form of leaked memos that once belonged to Ed Balls and are now published in The Daily Telegraph. The monstrous activity is to do with the present and not the past. This is an exercise aimed at damaging Balls now, rather than triggering a further historic seminar on Blair and Brown, the most familiar theme in British politics. And yet the documents are not incriminating. Indeed, the context in which they were written shows why it would be more of a shock if such memos had not been composed as Labour’s long internal battle reached a dénouement. – Steve Richards, the Independent

Another leak, why now?

David Miliband planned to use his first speech as Labour leader to warn that the party’s greatest danger lay in underestimating the challenge of the deficit – and that it was imperative to regain the public’s trust on the economy. The Guardian has obtained a final draft of the speech he planned to deliver if he had won the Labour leadership election last September, instead of losing to his brother Ed. The crestfallen former foreign secretary is said to have recited the speech to his wife in the back of his car on the drive home from party conference. Its disclosure now caps a difficult week for Ed Miliband who has been battling criticism of his leadership and the embarassing leak of emails belonging to the shadow chancellor, Ed Balls. The leadership speech that wasn’t shows David Miliband intended to announce that Alistair Darling, the former chancellor, had agreed to head an all-party commission to draft a framework of rules on public spending and deficits designed to restore lost trust in Labour fiscal discipline. – the Guardian

Tonight’s Guardian scoop revealing that the speech that David Miliband would have given if he had been elected leader makes this one of the most difficult—and leaky—weeks for Labour since its election defeat. The line in the speech that will cause the most trouble for Ed Miliband is that David Miliband intended to create a commission on the deficit chaired by Alistair Darling and charged with creating a new set of fiscal rules, an admission that Labour got it wrong on the deficit which Ed Miliband has refused to give. This speech emerging just a day after Ed Ball’s private papers about the plot to force Tony Blair to stand down came into the public domain will create suspicions in Labour circles that there is a deliberate effort underway to undermine Ed Miliband. One striking detail from the piece is that David Miliband delivered the speech to his wife in the car as they drove away from the conference. – the Spectator

Cameron’s first policy success

Larry the Downing Street cat has made his first kills since being brought in to deal with rats at Number 10.Revealing the kills, Prime Minister David Cameron said that the tabby tom hasn’t got it quite right yet – a criticism some may be levelling at Mr Cameron’s coalition government – as he’s been catching mice instead of the more muscular rats he was brought in to deal with. Mr Cameron revealed that the historic London townhouse is infested with mice, and that he has even spotted one in the flat above 11 Downing Street that he occupies with wife, Samantha, and their children. ‘I’m a big Larry fan,’ the PM told ITV1’s This Morning. ‘We have got big mouse infestation in Downing Street and Larry has caught some mice. I actually took a picture of one in my flat on my mobile phone, because it was looking at me.’ Larry was recruited from Battersea Dogs and Cats Home in south London in February to kill rats after several sightings of the vermin outside the Prime Minister’s official residence. – Daily Mail

Why we elect Labour Councils

The Labour council in Sheffield is to reverse £2m of spending cuts made by the Liberal Democrats who ran the authority until May’s elections. Labour said its revised budget would restore funding to key areas including apprenticeships, adult social care and more Police Community Support Officers. Labour said the £2m “will be met from a mix of reducing costs and making efficiencies, such as rationalising the council’s transport fleet, and savings in funding streams”. Council leader Julie Dore said: “We’ve decided that the authority had to restore funding to areas that matter to local people and give us the ability to deliver the right kind of services in the right way with the support of local people. I am pleased to say the council has now restored funding to these areas.” – BBC Sheffield & South Yorkshire

Facebook Twitter Digg Delicious StumbleUpon

Ed Miliband is safe as houses, for now

10/06/2011, 02:00:35 PM

by Dan Hodges

True story. Last party conference before Iain Duncan-Smith is sent to sleep with the fishes. His senior aide is approached by a delegation of Tory grandees. “It’s over”, he’s told. “This is Iain’s last act as leader. You need to help us to help him. We are going to do this properly”.

The advisor is told to station thirty loyal supporters at strategic points around the conference hall. They are handed a copy of key passages from his speech. As soon as the passages are delivered they are to rise and start applauding. The conference will rise with them. The crown will be set down. But with dignity.

Except there’s a problem. Since the speech was distributed there have been amends. Sections have been adapted. Transposed. Duncan Smith begins his valedictory address. Within the first 15 seconds the first clap line appears. The acolytes rise. In moments the hall is on its feet.

The lost leader moves on to a new passage. This was supposed to be seven pages in. Now it is the second paragraph. Again, the cheerleaders rise. Again, so does the entire conference. The quiet man is turning up the volume.

He begins the third passage. It again includes one of the clap lines. The thirty are on their feet. Conference is on their feet. By now the Tory faithful are caught between a quandary and a frenzy. They are applauding every passage of note. How can they stop?

Iain Duncan-Smith received more than 20 standing ovations. Two weeks later he was history. The  moral? When the Tories move against a leader, they move. They do it properly, even to the point of ensuring that their victim is allowed an open casket.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Labour, the natural party of opposition

10/06/2011, 12:00:26 PM

by Dave Talbot

Right on cue, exactly six months into David Cameron’s premiership, the ancient British roar of “Tory scum” reverberated through Whitehall’s hallowed halls. In honour of the coalition’s deal on higher tuition fees, protesters spilled through Westminster’s streets to rediscover their hatred of the Tories once more. After almost 13 years of opposition and apathy, the Tories could once again hold their heads high – hated again. It was back to politics as usual. Labour prime ministers for the past 13 years were anomalies, you understand, and not to be repeated. No sir, the Conservatives are back.

That is a charicature, but the masked point is a serious one. The Conservatives are quite suited to power. Indeed, from 1911 to the present day, the Conservatives managed to keep Labour out of office for all but 33 of those years. Never underestimate the Conservatives and their desire for power – nor their capacity to acquire and hold it. They believe in their divine right to rule. When Cameron, Osborne and Co. state that grand old maxim of British politics -that the Conservatives are here to clear up after the misfortune of Labour government – they truly mean it. They unapologetically look at politics through the prism of power.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Why Labour is not being heard on the economy

10/06/2011, 08:21:39 AM

by Atul Hatwal

Labour did a good thing last week.

On Sunday, Ed Balls re-launched his proposals for a £2bn tax on bankers’ bonuses to fund action on youth unemployment and a new house building programme.

Politically, the policy draws exactly the right dividing lines. Greedy bankers versus young unemployed and aspiring home-owners.

In economic terms, it focuses funds just where they are needed, helping reduce the costs of economic failure and getting the housing market moving again.

And by putting down amendments to the finance bill, Balls will ensure a parliamentary vote on the plan, giving the opportunity to pressure individual Tory and Lib Dem MPs and expose whose side they are really on.

The initiative has all the elements of a policy which could cut through the white noise of political debate to resonate with the public.

But it hasn’t.

Not that there was anything wrong with the proposals. Or the media coverage. The public just don’t seem to be listening, much as when the proposals were originally launched in March.

In his Q&A session at the GMB conference on Monday, rather than being on the front foot, Balls had to explain why Labour wasn’t doing better in the polls.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Osborne also needs a political Plan B

09/06/2011, 12:00:48 PM

by Kevin Meagher

“When the facts change, I change my mind” remarked the great John Maynard Keynes. Easy for economists. As George Bernard Shaw noted, if you laid them all end to end they still could not reach a conclusion.

Chancellors, on the other hand, cannot readily change their minds. They have to come to a conclusion; and then they have to stick to it. Their personal judgement is indelibly stamped on the government’s macroeconomic policy. They are locked into their strategies and directions of travel. Any deviation risks a fatal leaching of trust and credibility.

Of course, nothing changes with economic policy until it all changes. Which begs the question: does George Osborne have a Plan B in case the economy runs out of puff?

If he does, he’s not telling. Hardly surprising really; chancellors cannot be “a little bit pregnant”. It’s either one plan or the other.

Either way, Osborne is no slouch. He knows the economic outlook is precarious. And whatever else he is, the chancellor is a politician first and foremost. Economics – the dismal science, according to Carlyle – is a second order priority for him. He knows that the ice beneath his feet is thinning and he does not intend to sink.

If growth falters and requires a revision in policy, Osborne cannot afford for it to be on his watch. Although it would kill him to do so, he should heed Gordon Brown’s warning: there are two sorts of chancellor: those who fail and those who get out in time.

(more…)

Facebook Twitter Digg Delicious StumbleUpon