Uk politics

The coalition split draws nearer

Why did Nick Clegg change his mind on the snooping bill? Because he can’t afford to back something that his party rejects — like the NHS Bill. Over the next few weeks, we will see Clegg impaled on the horns of yet another policy dillema as the government decides what to put in the surveillance bill. The president of the Liberal Democrats, Tim Farron, has laid out his position in the Times (£) this morning: ‘I am prepared to recognise that there is obviously a need in modern society with new technology to have a look at what needs to be given to the security services but only if it

Sadly, the 47p tax rate is here to stay

Nothing is more permanent than a ‘temporary’ government tax, as George Osborne is reminding us. When Alistair Darling proposed a 45p rate in 2008, even the Institute of Fiscal Studies said it would lose money – but Darling said it would be ‘temporary’. Brown upped it to 50p, Osborne took it back down to 45p but the ‘temporary’ status has been revoked. The Sunday Times has today splashed on Osborne’s interview with Robert Winnett of The Daily Telegraph, where the Chancellor said ‘I’m very happy with the 45p rate of tax. We’ve got it to a good place where it’s competitive.’ Britain had the highest top rate of tax in the

Mr Cameron goes to Leveson

One of the media’s vices is to assume that the public are as interested in stories about journalism as journalists are. This always makes me slightly reluctant to write about the Leveson inquiry – more fascinating for my trade than to anybody else. But the Leveson inquiry is about to enter its political phase which, I think, makes it more relevant. Politicians will start appearing before it from towards the end of next month and, as I say in the Mail on Sunday, David Cameron is scheduled to face the inquiry which he created in mid-June. Six other Cabinet ministers are expected to be summoned before the inquiry. For Cameron,

Has Osborne fully considered his transparency promise?

Will Osborne come to regret his new-found transparency zeal? This week’s saga from the London Mayoral candidates highlights how financial disclosures can not be all they seem. For Osborne to fulfil his promise, we need full details of not just income and tax returns, but also assets in which they are stakeholders and companies through which they work. Brian Paddick’s release is an excellent model to follow, as opposed to Ken Livingstone’s decision to release just a few summary figures. If Team Miliband happened to be on the ball, there is also a great opportunity to pip the government with a universal full disclosure. This would be following Osborne’s own

Osborne’s Easter gift to Boris

George Osborne indicating that he is open to him and other ministers having to publish their tax returns is testament to two things. First, the Tory leadership, who know how crucial a Boris victory in London is to the Cameron project regaining momentum, is keen to keep the pressure on Ken Livingstone over his tax affairs. They have no desire to let a row over whether they’ll publish theirs distract attention from the problems of Labour’s mayoral candidate. As Osborne himself stresses in the Telegraph interview, “The reason we are talking about this now is that this is a smokescreen for Ken Livingstone’s tax affairs. Let’s not take the focus

Tinker, Tailor, Soldier, Tax Evader

Rather than respond to CoffeeHousers in the comment thread of my blog earlier, I thought I’d do it in a post (and also take in some of the comments from Twitter and my Telegraph piece). I’ve been accused of “starting to sound like a leftie” – and for what it’s worth, I don’t sign up to the David Davis civil liberties agenda. Not all of it, anyway. I’m all for snooping if it helps catch murderers or jihadis. But what I don’t like is this age-old politicians trick of pushing a whole load of powers through in the name of ‘national security’ then, next thing you know, the council is trawling

The importance of sacking bad teachers

The opposition of the National Union of Teachers to the government’s plans to make it easier to fire bad teachers is entirely predictable. The NUT has long placed the interests of the worst of its members above those of the children being educated in the state system. Given what we know about just how crucial good teaching is to a child’s educational achievement then it is absolutely vital that the coalition does push these changes through. One of the most important parts of these changes is ending the process by which bad teachers are simply shuffled around the system. Academy schools already have the power to vary pay. But, sadly,

What is being done in the name of ‘national security’?

The liberty versus security debate has returned to Westminster, and it’s just like old times. David Davis is having great fun beating up the government, except this time it’s a Tory-led one. And as so often, Davis has a point. Much rot is spoken in the name of ‘national security,’ which can be used by the right as ‘health and safety’ is used by the left: a verbal trump card, to win any debate and justify any policy. So it has proved with this bun fight over the snooping powers about to go through parliament. It has split the coalition, and even the Tory party. In my Telegraph column today,

The implications of today’s tax releases

I suspect that three important consequences will flow from the release today of the London mayoral candidates tax returns. First, voters will see that Boris Johnson’s rage at Ken Livingstone on Tuesday as being thoroughly justified. Second, they’ll see that Ken Livingstone, despite all his left-wing rhetoric, is the only one of the four main candidates to have tried to make his affairs tax efficient. The third consequence is that a precedent has now been set that politicians running for office should publish their tax returns. I’ll be shocked if one of the three party leaders doesn’t try and steal a march at the next election by volunteering to publish

How much tax do the mayoral candidates pay?

So, Ken has now released his tax details. He hasn’t gone as far as Lib Dem candidate Brian Paddick, who’s published his full tax returns for the past three years. And there are also questions about what income Ken might not have included in his release. It’s also not clear whether or not he’s including National Insurance contributions, as the other two candidates are. But, based just on the figures each candidate has declared, here are the effective tax rates they’ve been paying: UPDATE: It seems Ken’s campaign is trying to use our chart as proof that he isn’t avoiding tax. But our figures for Ken are simply the amount

Is Ken done for?

Last night, during their television debate, all four London Mayoral candidates declared they would fully disclose their tax returns. This morning, Boris, Brian Paddick and Jenny Jones have duly done so — but Ken? Nothing so far. The Labour team has put out an unpersuasive statement explaining his silence:   ‘We believe household publication is necessary for full disclosure as the question of Ken’s income and his wife’s income and their tax has been central the coverage of this issue. Publication of Ken’s returns alone will not address many of the questions that have been raised. The only way to answer all the questions about this issue and to move

Balls goes on the attack over tax credits

After all the commotion about various policies in last month’s Budget, the focus this morning has shifted to measures announced back in 2010. Why? Because they take effect tomorrow. So Ed Balls is taking the opportunity to hit the government hard on what he calls its ‘tax credit bombshell’ for those on middle and low incomes. Labour are pointing to figures from the IFS, which show that changes to child and working tax credits will outweigh the rise in the £630 personal allowance. In their Budget briefing a fortnight ago, the IFS calculated that the net effect of all the changes coming into force tomorrow would be an average loss

The coalition to defeat Ken Livingstone

The most striking thing about tonight’s mayoral hustings on Newsnight was how often Brian Paddick attacked Ken Livingstone. Paddick, who turned in the most assured performance of all the candidates, accused Livingstone of being like a ‘bad 1970s comedian who plays to whatever audience he’s talking to.’ He also, interestingly, sided with Boris Johnson when the discussion turned to the 50p tax rate and then the candidate’s own tax affairs. It is tempting to see Paddick’s performance tonight as testament to how keen the Liberal Democrat top brass are to see Livingstone defeated in London. They know that if Labour fails to win in London, the pressure on Ed Miliband

Cameron’s tragic flaw

The latest issue of The Spectator is out tomorrow, of course – but we thought CoffeeHousers might like to read this piece by Ross Clark in advance. It’s about what he calls David Cameron’s ‘tragic flaw’: impoliteness. Premierships do not end in failure, as Enoch Powell once asserted, but in tragedy. They start with a beaming figure disappearing behind the door of No. 10 – even Edward Heath, immortalised now as the Incredible Sulk, entered with a radiant grin. And they end with a haunted shadow of a politician creeping out to a waiting car, his every character flaw having been chiselled to destruction. Over the past week, the tragedy

Ed Davey’s ‘pro-European’ claim has Tory ministers fuming

There’s barely disguised fury among Conservative ministers about Ed Davey’s claim that the coalition may well be more pro-European than the Labour government was. One complained to me earlier that it was typical Lib Dem mischief making and that ‘if they are not going to behave like normal ministers then we shouldn’t either’. Indeed, this minister went on to suggest that William Hague should publicly slap down Davey for his comments. I doubt this is going to happen. Davey is the leading Lib Dem on the Cabinet’s European Affairs Committee and I suspect there’s little appetite in the Foreign Office for a coalition row over Europe. But Davey’s comments do

The Lib Dems will relish a scrap over civil liberties

They’re languishing in the polls, their leader is considerably more unpopular than either David Cameron or Ed Miliband, they face a difficult set of local elections in May — and yet the Lib Dems still seem relatively upbeat at the moment. Why so? Mostly, I think, it’s because they feel that asserting themselves is starting to pay off. Not in votes, perhaps, but in perceptions. They cite the Budget as a defining moment in this respect: they got the increase in the personal allowance that they wanted, the Tories got most of the blame for everything else. That’s why I suspect some Lib Dems will be quietly delighted at the

Boris is right, but will anyone listen?

The tensions that have been bubbling away in the London mayoral contest spilt out into the open today with Boris Johnson accusing Ken Livingstone of lying about both of their tax affairs. On the facts of the matter, it looks pretty clear that Boris is right: he doesn’t use a company to reduce his tax liability. There are, though, those claiming that accusing Livingstone of being an ‘f***ing liar’ will hurt Boris. But I doubt this; it is hard to imagine Boris as an angry or mean-spirited person. What this exchange does do, though, is raise the stakes for their televised hustings tomorrow night. I expect that Livingstone will try and

Sarkozy shows extremists the door

Who on earth does Nicolas Sarkozy think he is? The answer, of course, is President of the French Republic. And from that position — and propelled by the Toulouse shootings and doubtless by the imminent election — he has chosen to expel a number of people from the Republic whose views, actions and teachings are deemed inimical to the State. Sarkozy gave the order yesterday and a couple of hours later the men were on planes back to their countries of origin. As the Times reports, the Algerian Islamist Ali Belhadad was flown back to Algiers and Almany Baradji, an imam, was sent back to Mali. The French Interior Ministry

More poll woes for the coalition

You certainly don’t need polls to tell you that it’s been a bad couple of weeks for the coalition – but we’ve got them anyway. Pete noted on Sunday that the government’s approval rating was at its lowest since the start of this Parliament, and it’s actually dropped another three points since. Today’s YouGov poll finds just 21 per cent giving the coalition the thumbs up, against 64 per cent who disapprove. That’s almost identical to the 20-64 split YouGov found for Gordon Brown’s Labour government back in January 2010. The below graph shows how public opinion has turned against the coalition over the past two years: Today’s poll also