George Osborne isn't clashing with Vince Cable: he's starting to agree with him

By this stage in the Coalition, everyone would have expected at least one major bust-up between George Osborne and Vince Cable. But his evidence to today’s Treasury Select Committee suggested that the Chancellor isn’t so much involved in a stand-off with the Business Secretary as he is taking on his point of view. It was significant how many times Osborne had to explain a softening in what were previously hard-and-fast economic rules, and hard-and-fast policies.

His refusal to rule out replacing the Bank of England’s inflation target with a growth target is the most significant sign of a coalescing between the two men. Osborne told the committee that the current target ‘has served this country well and provided stability’, but he added that he was ‘glad’ the next Bank of England governor Mark Carney was involved in the ‘debate about the future of monetary policy’. Moving to a growth target would be an endorsement of Vince Cable’s focus on growth rather than deficit reduction.