Uk politics

Cameron’s attack on Balls is strangely endearing

From our UK edition

Ed Miliband had it easy at PMQs today. The government is bleeding in all directions. And a further haemorrhage has arrived in the shape of Adrian Beecroft, a government adviser, whose proposal to relax employment law has delighted the Tory right and incensed the soft-and-cuddly Lib Dem left. ‘A proposal to fire at will’, is how Mr Miliband described the Beecroft plan. Did the Prime Minister support it or did he agree with the Business Secretary who has covered it in scorn? Cameron didn’t so much duck the question as swan straight past it. He pretended it wasn’t there. Instead he cherry-picked some positive footnotes from yesterday’s IMF statement on our economy and announced that everything is rosy in the garden.

The pressure on Cameron to call Clegg’s bluff

From our UK edition

The debate over the Beecroft report is now the politics of the viscera. For Tory MPs it has become symbolic of how the Liberal Democrats — and Vince Cable, in particular — are holding them back from doing what they need to get the country out of this economic emergency. On the Liberal Democrat side it has become emblematic of everything about Steve Hilton — ‘Thatcher in a t-shirt’ as they dubbed him — that annoyed them. Adrian Beecroft’s intervention today in the Telegraph and the Mail is bound to increase Tory tensions on the matter. He tells the Mail that Cameron and Osborne have ‘given up’ on unfair dismissal.

Where will our politicians’ obsession with Hollande lead?

From our UK edition

Hollande fever strikes again in Nick Clegg’s interview with the FT this morning. ‘I personally massively welcome the arrival of Hollande on to the scene,’ he says, but it goes deeper than that. You see, the Deputy Prime Minister also places an emphasis on ‘growth’, as opposed to ‘austerity’, suggesting that the government might do more to get infrastructure projects up and running. When asked why they didn’t do this before, Clegg responds, ‘It’s for the obvious reason — because the economy is flatter than we anticipated two years ago.’ In some respects, this is unsurprising.

A matter of conscience

From our UK edition

Personally, I’m in favour of gay marriage. But it is precisely the kind of issue that should be subject to a free vote and all the indications are that the government intends that when the legislation comes to Parliament it will be. So, it shouldn’t be a big deal that the Northern Ireland Secretary Owen Paterson feels that he can’t support it, a view he expressed in a letter to a gay constituent that Politics Home has obtained a copy of. There are several other ministers who feel the same way. Indeed, I understand that the Chief Whip himself has grave reservations about the matter. It would be deeply intolerant to attempt to whip these ministers to vote against their consciences.

ASBOs weren’t much cop, but what about their replacement?

From our UK edition

Brace yourselves for a new crime wave sweeping across the country — the government is doing away with ASBOs. Or, rather, don't. The truth about ASBOs is that they were rather less significant than Labour would have you believe. As reports such as this one from Policy Exchange suggest, they've probably cropped up more frequently in newspaper articles than they have in real life. Only 20,335 ASBOs have been issued to date, covering less than one per cent of all incidences of anti-social behaviour. What’s more, there’s little evidence to suggest that those ASBOs that were issued made much difference. As the graph below shows, 57 per cent of all ASBOs have been breached at least once by their recipients. 42 per cent have been breached more than once.

Clegg rallies behind Cable

From our UK edition

It’s no surprise that the Lib Dems aren’t keen on Adrian Beecroft’s proposals for hiring and firing. This intra-coalition disagreement has been rumbling on for months now, after all. But when Vince Cable spoke out against them yesterday, it wasn’t entirely clear whether this was his party’s line or just Vince being Vince. Other Lib Dems might have taken a more conciliatory approach. Today, however, it’s clear that they’re not going to.

The IMF says it’s the Bank’s economy now

From our UK edition

When the IMF published a report into the UK economy last year, I wrote a blog post detailing how it managed to please everyone: George Osborne, Vince Cable, Mervyn King, Ed Balls, everyone. This morning, I’ve been tempted to just publish that post again — because the IMF’s latest report is basically the same. Osborne will be pleased with its emphasis on deficit reduction, including the line that ‘Strong fiscal consolidation is underway and reducing the high structural deficit over the medium term remains essential.

Making the loan companies pay

From our UK edition

Will Parliament soon decide to clamp down on payday loans? The controversial firms, offering ultra-high interest short-term loans, have proliferated on high streets and across the Web, utilising crafty advertising to make them appear far less dangerous than the 4,000 per cent APR would imply. Our Campaigner of the Year, Stella Creasy MP, has been fighting for legislation to regulate the firms, after witnessing the consequences of the 17 payday loan businesses in her consistency. Ahead of a crucial Commons vote on her proposals to regulate the firms, polling by ComRes has given her a boost, with strong support inside and out of Parliament for action on the matter.

Bust-up postponed

From our UK edition

A coalition bust-up was avoided today by Vince Cable’s absence from the Commons for the urgent question on the Beecroft Report. Tory MP after Tory MP got up to make warm noises about a report which Vince Cable has been gleefully trashing, describing one of its proposals as ‘bonkers.’ That Cable couldn’t make it back in time from the north of England to appear at the dispatch box will have been a relief to the Tory whips; one of them was distinctly concerned about how the Tory benches would treat the Business Secretary when he heard about the UQ earlier. Indeed, it was telling that when Chris Heaton-Harris attacked Cable and Lord Oakeshott, Mark Prisk — the Tory minister answering the question — did not rebuke him.

Iran and oil are still on the agenda

From our UK edition

For all the talk about Greece and France and the Eurozone, it’s telling just how much our politicians are focusing on Iran. Indeed, some of the most concrete political settlements of the past few days have concerned that turbulent state. On Friday, the US Congress approved a Bill which included the blunt reminder that, ‘It shall be the policy of the United States to take all necessary measures, including military action if required, to prevent Iran from threatening the United States, its allies or Iran's neighbours with a nuclear weapon.’ And the G8 subsequently put out a statement about oil reserves that clearly had Iran in mind.

Europe is set to exacerbate the coalition’s internal tensions

From our UK edition

As James suggested yesterday, the publication of the Beecroft proposals this week could be a significant moment. If the coalition can carve a constructive agenda from them, then we might have a set of growth policies worthy of the name. But if it degrades into yet another internal squabble, then that chance may be missed. So, what’s it to be? It must be said, the tea leaves aren’t terribly encouraging this morning. Yesterday, we were told that David Cameron and George Osborne are minded to unravel the red tape that surrounds businesses when it comes to hiring and firing. But, today, one of their fellow ministers has spoken out against that sort of thinking. And guess which one it is. Yep, Vince Cable.

In place of tinkering: the 2020 Tax Commission

From our UK edition

The report which Fraser mentioned last week, from the 2020 Tax Commission, has just been published - you can download the summary here and full report here. Allister Heath, chairman of the commission and a contributing editor of The Spectator, says more here:- It is time for Britain to make a vital choice. Our economy is stagnant, crippled by excessively high public spending, high levels of leverage, a mismanaged and inefficient public sector, an extraordinarily complex and punitive tax system and a public mood that has become increasingly anti-capitalist. There are two options. We can either decide to tweak the status quo – try and keep a lid on public spending, reform bits of the public sector and hope for the best.

Standing up to banks

From our UK edition

For all their cosmetic bluster about bonuses, our national politicians have never really stood up to the banks: it takes a bloody minded local politician to do that — and win. So some sort of award is surely due to Nader Fekri, the mayor of Calderdale. He attempted to withdraw cash from a NatWest ATM in Hebden Bridge and the machine swallowed his card. When this happens to me I usually just start crying: I know it will take the bank weeks to send out a new one (or “five working days” as they put it) and then another few weeks for the PIN to arrive. Nader was made of sterner stuff. He did what people would do if this were a normal world — went into the bank, showed his ID, and asked them to give the card back to him.

The need for a coalition attitude to growth

From our UK edition

The publication of the Beecroft report on Thursday is a big moment for the coalition. The Lib Dems have long been dismissive of it but it is now a crucial part of any coalition grand bargain on growth. In recent days, those close to David Cameron and Nick Clegg have been talking about a more cooperative, coalition attitude to growth. There’s been a recognition that the two sides both need to make some concessions to give the coalition a more adequate growth strategy. As one senior figure puts it, the coalition needs to show ‘more radicalism and unity on growth’. This is what makes the publication of Beecroft on Thursday so important.

All eyes on Hollande

From our UK edition

Have you noticed the weird hold that François Hollande has over our politics? If you haven’t, then let me tell you: his name has been almost inescapable in Westminster over the past couple of weeks. Even in PMQs this week, David Cameron and Ed Miliband couldn’t resist of spot of Hollandery. Behind-the-scenes, too, there is much consideration being given to how the new French President should be treated. Political strategists recognise, as I’ve suggested before, that his election could be a significant moment in the life of the Eurozone and the European Union.

The strains on the Cameron-Hilton relationship

From our UK edition

I suspect that ‘Weekend secrets of the “chillaxing” Prime Minister’ (£) is one of the last headlines that Number 10 wanted to see this Saturday. It is acutely sensitive about the idea that Cameron doesn’t work hard enough, a charge that it thinks is as unfair as it is damaging. But perhaps more interesting than the details of the Prime Minister’s Sunday routine — a ‘crap film’ and a few glasses of wine at lunch — is what Francis Elliott and James Hanning reveal about the Cameron-Hilton relationship.