Category: Party Politics

BUDGET BETTER GO WELL.

 

TAX AND SPEND

I think the fevered talk of plots to dislodge the Prime Minister is exaggerated. Whoever is PM on Brexit Day better stand by for massive criticism either for paying the Europeans too much or keeping us too close to the EU. Better to leave Mrs May to take the flack is surely the wise course for aspiring leaders. Reports that some Tory MPs want to go into opposition to refresh the party are ridiculous.

All that said the government is in a fragile state and is relying on Philip Hammond to deliver a good budget next week. I’ve got a lot of time for Phil The Till. When you look around the Cabinet table and see charlatans like Johnson and Gove, there is something reassuring about the grey man with his spreadsheets. He knows Brexit is a dangerous threat to the economy. He knows we are spending billions servicing our debts. Yet he is bated for exuding gloom when he should be apeing Johnson’s unfounded cheerfulness.

On Wednesday the Chancellor ought to loosen the purse strings to help with housing, the NHS, and elderly care. He needs to address our woeful productivity and skills record. But he should be bold enough to put up some taxes to pay for it and go back on a manifesto promise to raise the 40p income tax threshold to £50,000. The elderly should have to pay some National Insurance to begin the task of tackling intergenerational unfairness.

Unlike many commentators I don’t think a General Election is at all likely so now is the time in the political cycle to take a risk with incurring the wrath of those opposed to any tax rises.

But Phil Hammond faces strong opposition in his own party. Former Minister Nick Boles wants the Chancellor to scrap his deficit reduction target. He believes it is fine for the annual deficit to remain at 2.6% indefinitely. This in the face of an Institute for Fiscal Studies warning the deficit could be on course to be £20bn higher than expected by 2021/22.

GORDON BROWN.

The former Prime Minister has been in the North this week to boost sales of his memoirs. I had a lot of time for the granite integrity of this Scottish son of the manse. His one great achievement in No 10 was in October 2008 when he showed global leadership in the middle of the economic crisis.

His great flaw was his undermining of Tony Blair in his desire to be Prime Minister. Why did he want the job so badly? When he got it, he didn’t know what to do with it. Was he a continuity man for New Labour or something else?

He claims his differences with Blair were over policy and he had nothing to do with the personal attacks. The fact is Brown could have reigned in his spin doctors Damian McBride and Charlie Whelan who were constantly briefing against the Prime Minister.

Blair should have sacked Brown after the 2001 General Election, but it’s not just weak Prime Ministers who find it hard to dismiss troublesome Cabinet colleagues.

Follow me @JimHancockUK

A DISMAL TIME FOR POLITICS

 

THE RESHUFFLE.

I would have backed Preston North MP and Security Minister Ben Wallace to be the new Defence Secretary. He was in impressive form at a terrorism seminar I attended during the Tory Party conference in Manchester. He probably lost out to Gavin Williamson because he was a staunch supporter of Boris Johnson in last year’s Tory leadership election.

But at least we have seen the promotion of another North West MP. Esther McVey was reflecting recently at a Downtown event about the fluctuating fortunes of a political life. Defeated in Wirral West in 2015, she was back representing Tatton after this year’s General Election. Now she is promoted to Deputy Chief Whip, a key post in a hung parliament where the government is trying to drive through our exit from the European Union.

THE SCANDAL.

The reshuffle was made necessary by the resignation of Defence Secretary Sir Michael Fallon as the crisis over MPs sexual behaviour began to unravel.

The reputation of our MPs has never recovered from the 2009 expenses scandal. The disillusionment, which partly explains the Brexit vote, was still with us as the latest revelations about sexual misbehaviour and misogyny broke. It affects all political parties so hopefully we can be spared party point scoring. The solution will require MPs to loosen further their adherence to the view that, as independent legislators, they must be free of outside regulation.

But the damage is done. It remains true that most MPs enter public life to make society a better place, but the cynics who have always claimed that they are in it for what they can get out of it feel vindicated. The critics who say MPs adopt a high moral tone in debates which is not matched by their private behaviour, have been proved right in some cases.

BEYOND PARODY.

The toxic chemistry of people with power being near young employees desperate for jobs is also present in the media.

So, it jarred with me that Radio Five Live’s Pienaar’s Politics recently had the presenter discussing MPs inappropriate behaviour one minute and following it immediately with a feature where a female MP was invited to say whether she would “snog, marry or avoid “a series of male politicians.

While I’m at it here’s another “beyond parody” moment from my week’s radio listening. Footballer Joey Barton, banned from football after betting on games he was playing in, was giving expert analysis on a talkSPORT commentary of Leicester v Everton where his fellow commentator was giving frequent plugs for betfair.

THE ROSCOE LECTURES.

Sticking to the media theme, I attended a lecture by the BBC Director General Tony Hall this week in Liverpool. He was the latest speaker in the Roscoe Lecture series promoted by Liverpool John Moores University. All credit to them for the events they mount in the impressive St George’s Hall.

The DG was worrying about the growing spending power of Netflix and Amazon. The bigger danger to the BBC comes from the constant sniping of the Murdoch press trying to bring down one of our few remaining assets that is the envy of a world where trash programmes peppered with advertising are the norm.

Follow me @JimHancockUK

 

 

 

 

 

 

 

 

‘ELF AND SAFETY JOKE ANYONE ?

 

CHANGING TIMES.

The General Election result indicated a turning of a corner in the sentiment of the nation, the reaction to the dreadful Grenfell Tower fire, confirmed it.

The tide of anti-State, anti EU feeling is on the ebb. People are beginning to realise that a lot of “red tape” is there to protect people and keep them safe. I doubt if ministers will be calling for three regulations to be abolished for every new one in the future. That’s not to say business should not continue to identify silly or bureaucratic impediments to commercial transactions. But where regulations are in place to protect people, we should recognise their purpose and remember the poor victims of Grenfell Tower.

On Europe, a YouGov poll this month showed most people now think it was wrong for us to vote to leave the EU.

Tory and Labour politicians need to take this changing world into account. There are signs from the Queen’s Speech that the Conservatives will modify their austerity agenda and use some of the £23bn slack in the government coffers available to 2021 to fund schools and public sector pay rises.

It is going to be down to Labour to reflect the changing sentiments on Europe. Apart from that poll, there were two developments this week which show the stupidity of leaving the EU. On the very first day of the Brexit talks we had a taste of the EU’s strength. The idea that we could negotiate future trade in parallel with the divorce terms was blown out of the water. Then came the Queen’s Speech and the revelation that eight huge pieces of legislation are going to be needed over the next two years to implement this wholly negative exercise.

So, whilst we fail to deal with pressing issues like the future of social care, MPs will be up all night repatriating powers over nuclear waste or money laundering which having a glaring need to be done across the EU.

THE CROWNLESS QUEEN.

The low-key State Opening of Parliament seemed appropriate. The Queen didn’t ride to Westminster in her golden carriage and the crown rested on a table beside the monarch as she delivered the paired down proposals of the government. She looked as if she was being delayed in getting to Ascot and the whole occasion which usually anticipates a new government with interesting proposals was flat and dreary.

There is considerable anxiety that government momentum behind the Northern Powerhouse has drained away. We’ll get a better sense of that following an important transport conference in Manchester on Monday. But in the Queen’s Speech I only noticed a bill to extend HS2 from Birmingham to Crewe and a reference to the new industrial strategy.

Business needs to speak out about issues around skills, productivity and the Northern Powerhouse. I don’t know if bosses felt restrained by the election campaign. They shouldn’t have been because that is the very time to speak out. Anyway, the net result has been that business and the economy were topics that dare not speak their name.

Theresa May could stumble out of office at any time but I still think she’ll last two years. People who think Boris Johnson is the answer should listen to his car crash performance on “PM” on Radio 4 on Wednesday. His “wing it” approach to policy was effectively exposed. The nation should tire of this clown.

 

MAGNIFICENT MANCHESTER

 

TONY SPEAKS FOR THE CITY.

Not for the first time a Tony speaks for Manchester. Ten years ago, it was the late Tony Wilson who could express the character of this kind, gritty city. On Tuesday it was poet Tony Walsh. His composition “This Is The Place” read out to a huge crowd in sunny Albert Square was just what was needed to try and pierce the blackness and fear caused by the abominable attack on young people at the Manchester Arena.

Terrible events bring out the best in the vast majority of us. If only, if only it wasn’t needed so often these days. But there it was for the world to see. The interviews with the young people who were at the Arena, and survived,were eloquent, thoughtful and sensitive. What a world we are handing over to them. We don’t deserve them. Then there were the Asian taxi drivers, waiving their fares to get people home and the takeaway shops throwing open their doors. That’s the answer to the so-called Islamic State’s attempt to divide us.

BACK TO THE ELECTION.

Terrorists hate democracy and therefore I agree, for once, with UKIP who were first to resume campaigning. It is a difficult matter to balance respect for the searing pain the bereaved and injured will be suffering and the need to demonstrate that we will not be prevented from our democratic business.

What effect will the terrorist attack have on the election? Casual and cynical observations that it will help the “law and order Tories” are offensive. Conservative candidates are overwhelmed with sadness in the same way as anyone else; and Mrs May has the burden of this tragedy being on her watch. There is a perception that people will swing to the right under terrorist provocation. That did not happen in France, although Marine Le Pen was a far less palatable candidate than Mrs May.

I’m sad to say that Labour could suffer from this terrible event, not because of a natural swing to the right in such circumstances, but because Jeremy Corbyn continues to be damaged by past ambiguous answers on his attitude to the IRA.

WOBBLY MAY.

Until Monday’s atrocity, Theresa May’s assertion that her strong and stable leadership was just what was wanted for those Brexit talks, was looking far less credible.

I don’t want antagonistic negotiations with 27 countries that should still be our partners in building an ever closer union. However, that ship seems to have sailed. If voters are looking for a Prime Minister who knows her mind, thinks things through and isn’t blown off course by the first whiff of trouble, why would you vote for May?

She called a General Election that she vowed not to do. She raised National Insurance contributions for self-employed workers and then back tracked. She then proposed a system whereby long term dementia sufferers could pay hundreds of thousands of pounds in home care fees before announcing a cap four days later. The EU negotiators must be rubbing their hands.

A final point, I gave some stick to Labour last week for uncosted manifesto promises. The Tory manifesto is also littered with them. The cost of cutting immigration, the £8bn for the NHS, and the cut off point for winter fuel allowances all have no price tags. Perhaps they are going to pay for it with rises in National Insurance and Income Tax!

 

 

Follow me @JimHancockUK