The Cameron transcript: Part II

George Osborne has embraced the 50p tax as a central tenet of the “We’re all in this together” theme. CoffeeHousers will be aware of my deep scepticism about this. It is justified on presentational grounds: if you squeeze the rich, and their pips squeak, it will create ‘permission’(to use that Blairite phrase) to do the horrible things like deny pay rises to nurses and social workers. Ergo, presentation and economics are fused together on this issue, he says. Without popular support for the cuts agenda, it cant happen and the deficit won’t be tackled. So the 50p tax should be judged not on its own merits, but on the grounds of its ability to unlock the ability for deeper cuts to be made.

At a CPS fringe event last night, there was plenty support in the audience for this principle. “Don’t you think it is worth the price?” he said.