Uk politics

Don’t expect repatriation in this Parliament

When David Cameron wielded his veto at the European Council in December many Tories thought this was the beginning of a process of repatriation of powers from the EU. Myself, I thought it would be the high water mark of the government’s Euro-scepticism — and so it has proven. But things are about to get even worse for the Bill Cashes of this Parliament. In the short-term, at least.   Why so? Well, the government appears to be concluding that it will not get a receptive ear from its European partners on any repatriation bid. The other European leaders are simply too busy fixing the euro to even read any UK proposals. And what's clear already is that they will remain too busy not just for another few months, but for another year or more.

CPS to announce tomorrow whether it’ll charge Chris Huhne

Keir Starmer, the Director of Public Prosecutions, will annouce at 10 o'clock tomorrow morning whether or not the Crown Prosecution Service will bring charges against Chris Huhne. If he is charged, it could spark a Cabinet reshuffle — the Energy Secretary is now odds on to be the next Cabinet member to leave, at 4/6 with Ladbrokes.

What difference the Scottish independence question makes

A very useful contribution from Lord Ashcroft this morning, in the form of a poll he’s commissioned on Scottish independence. What sets Ashcroft’s poll apart from previous surveys is that he asks three different questions to three different sets of around 1,000 Scots.   The first is the question Alex Salmond wants on the ballot paper at the referendum: ‘Do you agree that Scotland should be an independent country?’ 41 per cent say ‘Yes’ and 59 per cent say ‘No’. The second alters the wording only slightly, to ‘Do you agree or disagree...’ and finds 39 per cent agreeing (i.e. supporting independence) and 61 per cent disagreeing.

Why David Miliband’s article matters

The most curious thing about David Miliband's article for the latest New Statesman — which is causing quite a stir this morning — is that it should appear now. After all, the Roy Hattersley essay that it purports to be responding to was published, so far as I can tell, last September. That's five months ago. Which is fine, if it's really taken MiliMajor that long to get around to it. But it certainly fuels the idea that he has chosen now, this moment, to make a political intervention — and Hattersley is just an excuse. And the intervention itself? Basically, Miliband warns against what he calls 'Reassurance Labour', a strain within the party that has cosy ideas about a big, centralised state and its capacity to do good.

The MoD wastes another opportunity

Today’s White Paper on defence procurement makes disappointing reading for the UK defence industry — and for anyone who believes that one of the lessons of the last few years is that we need a more active industrial policy. IPPR set out the case in a recent report on globalisation, arguing for sustained support for industries, like defence, which have high potential for growth, for exports, and for high-skill manufacturing jobs. We need robust safeguards on the sale of defence equipment to repressive regimes, as well as greater transparency on government lobbying to avoid a return to the bad old days of the Pergau Dam — or minor embarrassments like David Cameron’s attempt to rebadge an export drive in the Gulf as a tour of the Arab Spring.

Labour vote to the Tories’ benefit

Labour has just marched into the trap that George Osborne set them and voted against the benefits cap — again. As one gleeful Tory says, ‘we’re going to make sure everyone in the country knows how they voted on this.’   I suspect that in every Labour-held marginal that the Tories need to win to get a majority in 2015 the benefit cap will feature prominently on Tory literature. Labour MPs will be faced with the unenviable task of explaining why an able-bodied household where no one works should receive more in benefits than the average wage.   The cap chimes with the public’s sense of fairness — as the huge support for it shows.

Today’s NATO leak highlights the need for more realism over Afghanistan

Today’s leaked NATO report on ‘the state of the Taliban’ has generated the predictable responses: excessive attempts by the media to hype it up, and excessive attempts by NATO and the Pakistani government to play it down. What is its true significance? It’s a good scoop, but there is little or nothing in it which really counts as ‘news’ to anyone who has been following the debate. The report is the latest in a series going back several years (I remember reading earlier versions during my time in government), which summarises thousands of interviews with captured insurgents and others, in an attempt to build up a picture of the state of the insurgency to inform strategic and operational decision-making.

Your six-point guide to the Green Budget

As promised earlier, here's my more detailed supplementary take on today's IFS Green Budget. I've distilled it down into six points, but obviously there's much, much more in the actual document itself. I'd recommend that you read the chapters on public sector pensions and pay, the 50p rate, and child benefit, in particular, if you're so minded — as they're very good summaries of some complicated fiscal areas. Anyway, here are my points: 1) The scary graph. As it does every year, the IFS has produced what I call the ‘scary graph’. It shows what our debt/GDP ratio would look like for decades hence under various circumstances.

Tories push benefit cap in PMQs, Miliband ignores it

As expected, the Tories did everything they could to make the benefit cap the subject of PMQs. One Tory MP managed to slip in a question on it just before Miliband got up, allowing Cameron to press the Labour leader on the issue even before he had started speaking. Tory MPs kept coming back to the benefit cap — there were five questions on it in all — allowing Cameron to repeatedly mock the Labour front bench for not saying what its position is. ‘Just nod — are you with us or against us?’ was one of the lines Cameron tried to goad them with. But in the main clashes between the two leaders, which were on top pay and the NHS, Miliband actually did pretty well.

The view from the Institute for Fiscal Studies

It's the halftime coffee break here at the launch of the Institute for Fiscal Studies' Green Budget, so I thought I'd send CoffeeHousers a quick update. But first, just to be clear, that's green meaning green, not green meaning environmental. This is the IFS's annual, different-hued version of the Treasury's Red Book. It's their overall take on the economy and public finances. So far, there has been little that will surprise or disconcert George Osborne as he prepares his own Budget: the picture is expectedly grim. As John Walker, chairman of Oxford Economics, put it in his warm-up routine on the general economy, 2011 was ‘disappointing’ and 2012 will be ‘another difficult year’.

The battle for ‘fairness’ continues

Today’s PMQs will be another skirmish in the battle for fairness. All three parties know that there is no more potent word in British politics at the moment than fairness and they all want to be its champion. But what will make PMQs interesting today is that Cameron and Miliband each have a powerful weapon in the fairness debate, but also a vulnerability. Miliband’s weapon is bankers’ bonuses – the government’s inaction over Stephen Hester’s bonus has given him plenty of material. But he’s acutely vulnerable over the benefits cap. Cameron will be desperate to move the debate onto this territory.

Freedom for Shetland!

If Scotland can claim independence — and a 'geographical share' of the oil regardless of population — then why can't Orkney & Shetland? It's the Up Helly Aa festival in Lerwick tonight, where men dress up as vikings and set a longship ablaze. Not a very Scottish festival, but when your nearest city is Bergen how Scottish do you feel? Laurance Reed, a former Hebridean resident (and ex-MP), has a piece in this week's magazine pointing out that, by the Salmond doctrine, there is nothing to stop the Scottish islands breaking off, claiming the oil wealth and becoming the Dubai of the north. His piece is below. Freedom for Shetland!

Fred shredded down to size

The removal of Fred Goodwin’s knighthood serves the coalition’s political purposes. It shows them being tough on a bad banker and reminds everyone that these problems happened on the last government’s watch and that Alex Salmond was cheering on RBS’s bid for ABN Amro. There are even some in government who are up for a fight over clawing back part of his pension or past bonuses believing it would put both Goodwin and the human rights act in the dock. This is not to say that the removal of his knighthood was not merited. Goodwin didn’t do much of a service to banking, after all. There’s another lesson in this: honours shouldn’t be awarded to people when it is too early to know what they have actually achieved.

<del>Sir</del> Fred Goodwin

And so Fred Goodwin has lost his knighthood. Here's the Cabinet Office statement (and some of my previous thoughts here): 'It will soon be announced in the London Gazette that the Knighthood conferred upon Fred Goodwin as a Knight Bachelor has been cancelled and annulled. This decision, not normally publicised in advance, was taken on the advice of the Forfeiture Committee, which advised that Fred Goodwin had brought the honours system in to disrepute. The scale and severity of the impact of his actions as CEO of RBS made this an exceptional case.

Cameron cheered by the Lib Dems, spared by the Tories, mocked by Labour

If you wanted proof that Cameron has softened his stance towards Europe since the hard chill of December, then just look to the Lib Dems. Nick Clegg, unlike then, was sat next to the Prime Minister as he gave his statement to the Commons this afternoon. And the questions that followed from the likes of Menzies Campbell and Simon Hughes were generally warm and approving. Campbell started by, in his words, ‘praising the pragmatism of the PM’. Hughes celebrated a ‘more successful and satisfactory summit than the one in December’. That praise, while friendly enough, creates obvious problems for Cameron — and it was those problems that Ed Miliband sought to exploit in his questions to the PM.

The Tories are extending their lead on the economy

It looks like Dave’s still made of Teflon. Even after the economy shrank by 0.2 per cent and the unemployment rate rose to its highest point since 1995, the public still think his party is better at handling the economy than Labour. And the Tories’ lead on what is by far the most important issue to voters hasn’t just survived all this bad economic news — it’s actually grown. Before Christmas, 31 per cent said the Tories would best handle the economy, against 27 per cent for Labour.

A poll to darken Salmond’s day

It looks like Fraser was right to question Vision Critical’s recent Scottish independence poll. That poll surveyed just 180 Scots and found 51 per cent saying they would vote ‘Yes’ to Alex Salmond’s referendum question – ‘Do you agree that Scotland should be an independent country?’ – and just 39 per cent saying ‘No’. Today, Ipsos MORI has released a somewhat more reliable poll, sampling 1,005 Scots. It finds 50 per cent saying they’d vote ‘No’ and just 37 saying ‘Yes’. So, it looks like even if the referendum asks Salmond’s leading question, the Nationalists are likely to be defeated.

Miliband the eurosceptic? Not yet

Ed Miliband is not naturally a eurospectic, but he certainly sounded like one during his appearance on ITV's Daybreak show earlier. ‘I'm very concerned about what David Cameron has done,’ he said in reference to the PM's equivocation over Europe yesterday. ‘He's sold us down the river.’ Whether this is Miliband committing towards the sort of euroscepticism that is being urged on him by some of his colleagues, it's too early to say. It's only words, after all. But my guess is that — just as when Miliband attacked Cameron for not signing up to the latest treaty, but couldn't say whether he'd have signed it himself — this is more him trying to have his cake and eat it.