Crap and courage of convictions: the political problem with Osborne's payday loan plan

There is still a great deal of heat and rather a little less light over George Osborne’s decision to ‘step in where government needs to step in’ and cap the cost of payday loans. Does this mean he’s actually a lefty? What is he up to?

Writing for the Telegraph, David Skelton, founder of the very thoughtful Renewal campaign to broaden the Conservative party’s appeal, argues that this is ‘the right thing to do and it sends a powerful signal that the party will tackle rip-off companies and help the vulnerable’. But Allister Heath argues in his City AM column that this is not the right way to help those in financial difficulty, pointing to research suggesting that caps could actually lead to lenders becoming more aggressive in chasing borrowers who default and an increase in the price of loans.