Money

Before the pandemic hit, NHS England waiting lists were at a record high of 4.4 million. Three lockdowns later, they’ve risen to six million: an unacceptable figure for a Tory government that has spent years trying to rebrand itself as the ‘party of the NHS’. Boris Johnson’s decision to break his manifesto pledge and raise taxes was directly linked to the idea that the money would first be funnelled into the health service to fix the backlog. So can he now deliver for patients? When Health Secretary Sajid Javid announced his ‘elective recovery plan’ in the House of Commons on Tuesday, he said that the waiting list would start shrinking

Look up this year’s performance of the shares and bonds which make up your pension fund and you will see that BP and Shell are the rare chinks of light. BP is up 15 per cent and Shell up 20 per cent, with both enjoying bumper profits on the back of high oil and gas prices. Cue, then, for Labour and the Lib Dems to demand a windfall tax in order to confiscate some of these profits. The money ought to be used, Eds Miliband and Davey have said this morning, to help people pay their heating bills. In both their minds ‘dividends’ and ‘shareholders’ are rude words – whereas in

The emergence of Covid provoked a worldwide economic crash. That lasted a mere four weeks. By the time western countries were locking down, a bull market had begun afresh. Through months of lockdowns, soaring case rates and death rates, shares were not just rebounding but marking new highs – firstly involving tech shares and online retailers which had done well from social distancing, but then pretty much anything. The arrival of the first vaccine phase 3 trial results in November 2020 sent shares spinning upwards, yet the emergence of the Alpha and Delta strains didn’t seem to do any harm. And now that economies seem finally to be putting Covid

When it comes to addressing the cost of living crisis, the government has, so far, responded with a range of bad solutions. The energy price cap is being increased by £700 per household, interest rates have gone up for a second month in a row and the Bank of England is forecasting a two per cent drop in household incomes in real terms, the worst since records began in 1990. In response, the Government has announced a package of confusing and ill-targeted measures. This includes council tax rebates, that will extend to some homes valued over £1 million, and a £200 discount on energy bills through loans to energy firms –

In recent weeks alleged lockdown parties and suitcases full of wine have been the biggest threat to Boris Johnson’s premiership. But throughout the winter months, another threat has been brewing — one that could, in the longer term, determine the government’s fate. Britain’s cost of living crisis has been steadily worsening as price hikes for essential goods and services (food, transport) continue to outpace predictions. But the worst is still to come, with Ofgem’s announcement this morning that energy bills for the average household will be rising by nearly £700, as the energy price cap is lifted by 54 per cent come April. Enter Rishi Sunak with an emergency package

Regional agencies pumping money into research and development. Targets for education and healthcare. Another layer of meddling local government, and possibly a new bus route or two. The government plans for ‘levelling up’ unveiled today are a mixture of 1960s statism, which could have been taken straight from Harold Wilson’s government, mixed up with some wishful thinking. But don’t despair: there is a far better strategy. The Tories should simply offer some meaningful tax breaks and incentives and let the private sector do the hard work for us. That approach can’t be worse than what has been offered up by the government. Even by the recent dismal standards of the Johnson administration the ‘levelling

As the partygate furore rages on, Boris Johnson is retreating towards familiar territory: Brexit. A policy blitz is underway this week and the issue that guided him to power in 2019 has come first, with the announcement of a new Brexit Freedoms Bill. It will be brought forward to mark the two-year anniversary since we parted ways with the European Union. There are two flaws with Boris’s plan, however. First, recent polling found 46 per cent of Leave voters who backed the Tories in 2019 say he should resign, suggesting that Brexit doesn’t resonate in quite the same way as it did before the pandemic. Post-Brexit regulations are not inherently

A new report from Holyrood’s finance and public administration committee is unusually blunt in its assessment. But is the SNP up to the task of dealing with Scotland’s looming fiscal time bomb? It seems unlikely. The Scottish government has given no signal of being serious about facing up to that challenge. Indeed, if anything, the ruling SNP-Green coalition has an incentive to make the budget situation worse. If so, Nicola Sturgeon can’t say she wasn’t warned. In its report scrutinising the Scottish government’s proposed budget for 2022/23, the committee says:  ‘We consider that evidence showing that Scotland is lagging behind almost all other areas of the rest of the UK in

The way we measure inflation is changing, and there could hardly be a less crucial time for it to do so. The ONS will be updating the method for collecting individual prices from supermarkets, and will also publish new figures on inflation rates for different types of household. The anti-poverty campaigner Jack Monroe has tweeted that the ONS ‘have just announced that they are going to be changing the way they collect and report on the cost of food prices and inflation to take into consideration a wider range of income levels and household circumstances’. But Monroe, who hope that the new metrics will show that inflation is hitting poorer families harder, will

After promising not to raise National Insurance in the 2019 manifesto, the Tories are preparing to do just that in April with their new ‘health and social care levy.’ The levy is set to add £200 to the average worker’s tax bill. Why have the Tories broken this manifesto promise? Because there was a pandemic, the government says. There was no choice. Tory MPs are getting antsy. Backbenchers, including former cabinet ministers David Davis and Robert Jenrick, are calling for the National Insurance rise to be postponed or scrapped, as relatively high inflation and the cost-of-living crisis is creating enough of a burden on taxpayers already, even before the new

While the Tories limp from one scandal to the next, an opportunity has opened up for Labour when it comes to courting business. Although it’s unlikely many voters elected Boris Johnson into office because they trusted his moral compass they did at least think he would deliver on his promise of sunlit uplands. But two years and a pandemic later, government spending as a percentage of national income is set to top 45 per cent, we’ve yet to ignite a bonfire of EU regulations, inflation has reached 5.4 per cent (and still rising) and the cost of living crisis is rapidly worsening. Voters are starting to question whether, with the