Liberal democrats

The Liberal Democrats are playing a game of whac-a-mole on welfare at the moment: each time they think they've blocked one cut they don't like, another one pops up. Last night a mole they'd already whacked a year ago appeared again: decoupling benefits from inflation. The Newsnight scoop is that Whitehall is considering ending inflation-linked rises for many benefit payments - although the word is that this would not include payments to those with disabilities. This would be part of efforts to cut a further £10 billion from the welfare bill, which the Lib Dems oppose overall. Last winter the Lib Dems blocked a similar move from the Treasury, which had proposed uncoupling benefits from the inflation rate, which was 5.2 per cent for that September.

Ed Balls has today made his very own full, open and comprehensive offer to the Liberal Democrats – or, rather, to Vince Cable. The shadow chancellor said he could work very well with Vince (but, pointedly, not Nick Clegg). 'I wish George Osborne would see Vince Cable as a man to do business with and listen to, rather than telling the newspapers he is putting his allies in [to the Business department] to try and surround him and hold him back. Vince should be listened to on banking reform and on the economy. I could work with Vince. I would like the Liberal Democrats to say right now that this coalition has failed and we're going to change course.' Balls can't really work with anyone (just ask Ed Miliband); and nor is he likely to have to.

Nothing is certain at a Liberal Democrat conference other than plenty of discussion of benefits and taxes. The left-leaning wing of the party - the Social Liberal Forum - has released a series of potential amendments and emergency motions for the party's autumn conference. The list is an interesting indication of what the grassroots (the SLF likes to describe itself as the 'soul' of the Lib Dems) are most worried about. There's an amendment from the irrepressible Lord Oakeshott, which adds a line to a motion due for debate on the Tuesday of the conference, called 'Tackling Inequality at its Roots'. The peer's addition is, surprisingly, calling for a full mansion tax.

There is some understandable concern in Tory circles about David Laws becoming a minister for education. As Paul Goodman says today, there’s a worry that even this brightest orange Lib Dem could end up slowing down Michael Gove’s reform plans. These feelings are undoubtedly heightened by the fact that Nick Gibb, one of the most principled and decent men in politics, has had to make way for Laws and is now on the backbenches. But one thing Tories shouldn’t fret about is Laws attending Cabinet. That there are two Liberal Democrats in the Quad of four who decide on the biggest questions for the coalition should irritate Tory MPs far more than that one more Liberal Democrat being fitted in round the Cabinet table.

Nick Clegg came to the Commons today to both praise and bury House of Lords reform, for this parliament at least. In a light-hearted start, Clegg informed the House that he was here to update it on ‘House of Lords reform or what’s left of it’. But this light-hearted mood didn’t last long. Soon Clegg and Harman were trading blows, with the Deputy Prime Minister accusing Labour of having behaved like miserable, little party point scoring politicians’ in refusing to back the idea of a timetable motion. Things turned really sour when Clegg’s Tory backbench tormentors got to their feet. Malcolm Rifkind, whose speech against had helped sink the bill, told Clegg to embrace Lord Steel’s bill as it is ‘all he’s likely to get’.

Nick Clegg may or may not be thrilled that Paddy Ashdown has urged party members to stand by their leader after Lord Oakeshott's rather vicious attack on him yesterday. It depends slightly on the Deputy Prime Minister's reading of history: as Tim Montgomerie observed last night, the endorsement of a former party leader can sometimes seem like a death knell. It is interesting, though, that it was Lord Oakeshott who launched the first public attack on Clegg's leadership (that is, if you discount the helpful suggestions from ex-MP Lembit Opik). Not surprising, of course: the party's former Treasury spokesman in the Lords is not known for delicacy when it comes to radio interviews.

George Osborne returned from his summer holidays this week to find a cacophony of advice for him on how to boost the economy, as well as advice that his boss David Cameron should sack him as Chancellor in his planned reshuffle. He quickly torpedoed one piece of wisdom generously offered by Nick Clegg, saying the Lib Dem leader's plans for a wealth tax could 'drive away the wealth creators and the businesses that are going to lead our economic recovery'. Anyone eagerly expecting Osborne to lose his job in the next few weeks will be disappointed, but the Chancellor will continue to come under pressure, and not just from those riding the Ed Balls bandwagon.

Polling analyst Mark Gettleson has a fascinating piece of research on ConHome today about the implications for the Conservatives of a collapse in the Liberal Democrat vote in 2015. In summary, it will be bad news for the Tories. Gettleson argues that in seats where the Lib Dems come third, those who had supported the party did so on the basis of national political messages. He says: 'It is with these voters that an obvious left-right split becomes important - more precisely a Labour vs Coalition one. While Liberal Democrat voters who feel favourably towards the Coalition may well stick with Mr Clegg rather than leap to the defence of their incumbent Conservative, those who find the idea of going into bed with the Tories revolting will switch directly to Labour.

The Treasury's consultation on taxing residential property transactions closes this Thursday, and the Liberal Democrats are using it to push their preferred policy of a full mansion tax. The party has asked its members to send this email to the Treasury: I am writing in response to HM Treasury's public consultation on the taxation of residential property transactions. Ultimately, I want the government to go further and introduce a full mansion tax charge of 1 per cent annually on all properties worth £2 million or more, with an option of delaying payment for those who are asset-rich but cash-poor. If the government wants those with the broadest shoulders to bear the burden of austerity then it should look seriously at a full mansion tax.

The Liberal Democrats published the agenda for their autumn conference today, and one of the motions on the paper is on 'a sustainable future for aviation'. Conference will debate the motion, tabled by Julian Huppert, on Sunday 23 September, and you can read it in full here. In essence, it rejects new runways at Heathrow, Stansted and Gatwick, and calls for UK aviation policy to be based on: accessibility from north and south, growth with the UK's carbon budgets, minimal impact to the local population, minimal impact on the local environment and maximum hubbing potential. This is not surprising, but if conference approves the motion in full, it will make life awkward for the coalition, which is coming under increasing pressure to increase airport capacity in the South East.

Danny Alexander, the Chief Secretary to the Treasury, is to drop his normally conciliatory voice to attack the Tories at the Lib Dem party conference in Brighton. So what? you may well ask. The mild-mannered Alexander is unlikely to strike the fear of God into his listeners, assuming that anyone beyond the conference hall will be listening, or indeed that the conference hall is full: Brighton being lovely at that time of year. Besides, bursts of splenetic outrage at one’s coalition partners have become a feature of conferences, particularly since last year’s unhappy AV referendum.

Nick Clegg's decision to scupper boundary reviews in retaliation for the failure of his Lords reform programme is the very opposite of 'mature' government. It is the politics of the sand pit: you have annoyed me, so I'm going to kick your sandcastle down. It's his way of putting a horse's head in Cameron's bed, and the public will be appalled. The coalition has entered a new, destructive phase where Lib Dems will now pride themselves on what Tory measures they can frustrate or destroy (O Levels, profitmaking schools etc).