Coalition

So how much do you really like The Smiths, Dave?

David Cameron’s love of The Smiths has been tested numerous times, in the press, in person and at PMQs. But today, there’s new dimension to the saga. Johnny Marr, the group’s former guitarist, has announced he will delight fans and reform the band – but only if the Prime Minister steps down: ‘We won’t be reforming this week. Maybe if the government stepped down. If this government stepped down, I’ll reform the band. How’s that? That’s a fair trade, isn’t it? I think the country would be better off, don’t you? I’ll do it if the coalition steps down.’ As a dedicated fan, it’s certainly a tough call for Dave

What will the UK’s proposed ECHR reforms actually come to?

Two items of news that may unsettle stomachs in Euroland today: i) that Ireland is planning to hold a referendum on the new European fiscal treaty, and ii) that the UK is pushing — as April’s European summit in Brighton approaches — for the European Convention on Human Rights to be rewritten so that national courts have greater discretion and power. The BBC’s James Landale has more details on the latter here, but the basic point is that the government has circulated a ‘position paper’ that proposes injecting a few principles and particulars into the ECHR. One of these is ‘subsidiarity’, the idea that decisions should be made at the

Why the immigration cap isn’t biting — and why that is good news

The government’s official advisers on immigration, the Migration Advisory Committee, have today published a report into the restrictions on skilled migrant workers from outside the EU. Turns out that the much-vaunted ‘cap’ on skilled workers has only been half taken up — with numbers likely to be around 10,000 against the cap of 20,700 — and that this is offset by the high numbers of workers, around 30,000, coming to the UK on ‘intra-company transfers’. (These transfers are designed for multinational companies wanting the flexibility to move their employees around the world: the example used by the Committee’s chairman today was of ‘Japanese auto-engineers testing cylinder-heads made in Japan’ for

A tax battle that the government won’t be able to avoid

The government is very pleased with itself today for closing a couple of tax loopholes such that Barclays will have to pay £500 million more to the Exchequer. And little wonder why. Not only does it support their rhetoric about a ‘tougher approach’ to tax avoidance, but — on the principle that ‘every little helps’ — it also hammers another few chips from the deficit. Broadly speaking, this sort of action is uncontroversial. In the battle of wits over taxation, the government is well within its legal rights to close loopholes, just as companies are well within theirs to exploit them. But this case is complicated by the fact that

So much for taking the politics out of the NHS

So here we are again. At least Lord Justice Leveson had the humanity to give us a couple of weeks off whining celebrities, shifty ex-journalists and declaiming newspaper editors. From the Health and Social Care Bill there is no respite. The Bill is back in the House of Lords and Liberal Democrat guerrillas are wound up for a fresh assault on the lumbering mule train as it passes through. Does anyone care any more which bit of this battered and bleeding legislation has been chosen for further victimisation in this week’s shenanigans? In case you do, it is part three of the Bill, the casket that carries the remains of

Osborne faces the fire over fuel duty

Will fuel ever stop being a cause of political discontent? It was the fuel protests of 2000 that first tarnished Blair’s electoral allure, according to some of the advisors who were around him at the time. It was a question about petrol prices that provided Gordon Brown with one of the most awkward moments of his premiership. And it was the same issue that punctuated the build-up to George Osborne’s Budget and Autumn Statement last year, and now to next month’s Budget too. The Mail, the Sun, Tory backbenchers and others are once again lobbying the Chancellor to act. Of course, there are clear reasons why fuel is always such

The private sector must be revived in Northern Ireland

One quirk of the welfare reform debate is that many of the reforms won’t automatically apply in one of the parts of the United Kingdom with the worst welfare problems: Ulster. As Owen Paterson, the Northern Ireland Secretary, points out in a speech tonight, ‘Northern Ireland has proportionately one third more households living on out of work benefits as the rest of the UK’. He also notes that 1 in 10 of the population there are on Disability Living Allowance, double the UK average. But the Work Programme doesn’t apply in Northern Ireland and any welfare reform there will have to be done by the Executive. Paterson is now campaigning

James Forsyth

Clegg shifts into NHS attack mode

The letter from Nick Clegg and Shirley Williams to Lib Dem MPs and peers raises several interesting questions. The first of which is why did Clegg champion these health reforms back in the day? Four days after the first reading of the bill, the deputy Prime Minister had this exchange with Andrew Marr: Andrew Marr: ‘Huge change to the NHS just coming down the line. Was that in the Liberal Democrat manifesto?’ Nick Clegg: ‘Actually funnily enough it was. Indeed it was.’ Second, how does the Clegg-Williams claim that ‘This is not the Bill that we debated as a party last March’ fit with the Tory line that the amendments to

Fraser Nelson

What’s going on over the Lords — and where to read about it

Finally, Lords reform becomes interesting: it could be the issue that splits the coalition. Lord Oakeshott’s admission of this yesterday has made the newspapers today — but it will come as no surprise to Spectator readers. James Forsyth drew out these battle lines for his cover story last week, and it’s worth reprising his arguments as the rest of the press has yet to catch up.   Self-preservation is a powerful force in politics. Even if the Lib Dem vote recovers, it’s likely to do so in different constituencies, meaning most Lib Dem MPs are likely to lose their seats. As Lembit Opik’s music career demonstrates, it’s tough to find

Raise the tax threshhold and let youth prevail

Youth unemployment is approaching crisis levels in Britain. For almost two decades, Britain’s more flexible labour market had favourable effects on youth employment. But the re-regulation of the British economy has narrowed the difference between our jobs market, and that of the continent. Meanwhile the British poverty trap has been strengthened by a dysfunctional welfare state: British workers can in some circumstances keep as little as 5p in every extra pound they earn if they find work. Who would break their back for less than 50p an hour? We’re paying people not to bother, so little wonder that most of the employment rise — in the last government, and under

James Forsyth

The coalition for a Boris victory

When David Cameron addressed Tory MPs on Friday, he told them that the London Mayoral elections were ‘the binary moment of 2012’. He argued that if Labour lost in London, one of their traditional strongholds, it would be a disaster for Ed Miliband. In the Cameron narrative, a Boris victory in May would mean that the Labour leader would remain under pressure and continue to be the subject of regular attacks in the press. Interestingly, there are Liberal Democrats close to Nick Clegg who share this analysis. Their worry is that a Livingstone victory combined with bad local election results for Lib Dem could turn the deputy Prime Minister back

Willetts tries to dampen the flames around Ebdon

Siphoning the contents of two brains through one mouth and on to a single page will generally produce eclectic results. And that’s certainly the case with David Willetts’ interview with the Times (£) this morning. The universities minister manages to range across subjects that include Robert Falcon Scott, climate change, the Falklands and universities access. He even reheats one of his old theories about Feminism and social mobility in a way that (coupled with the interview’s headline: ‘Moving on and up is very hard — and feminism is partly to blame’) makes it sound far more provocative than I think it’s meant to be, and much weaker for it. The

Tim Farron wants competition dropped from the Health Bill

Will there be further changes to the Health and Social Care Bill? Liberal Democrat President Tim Farron certainly wants some, as he told ITV’s Party People last night: ‘If the new competition introduced through this Bill is removed, then I think it’s better on the books than it is off it… What I want is for the Lords to propose changes that will remove the new competition elements from the Bill and I would like the Government to give way on those things. It’s all to play for.’ Farron’s echoing the call made by fellow Lib Dem Shirley Williams last week and by a group of activists who have submitted

James Forsyth

Gove knows the importance of adoption

The coalition’s work on adoption is one of its more impressive bits of public service reform. It starts from the right premise, that adoption is vastly preferable to children being in care. It then uses changes to the regulations, transparency and a plethora of providers to try and increase the number of adoptions. It is, for example, absurd that the current system has left to children being left in care because of worries that their ethnicity does not match that of their potential adopters. Or, that people are being denied the chance to adopt because they smoke. These reforms are being pushed hard by both Number 10 and the Department

The tension’s rising inside the coalition

Talking to a Downing Street adviser earlier this week, I was struck when they observed that a ‘2014 election wouldn’t be too bad really. David would have done his best, Nick would have done his best. But they just couldn’t make it work anymore.’   The Tories have spent some time recently contemplating the possibility that the coalition might not run for the full length of the parliament. At a recent Chequers away day, the prospect of the Liberal Democrats walking out in 2014 was openly discussed.   That this possibility is even being talked about is revealing of the mood inside the coalition, which is the subject of my

Fraser Nelson

Why George should listen to Danny

In the new Spectator, we back the Liberal Democrats’ plans to raise the tax threshold to £10,000 — provided that the money is found by cuts in state spending rather than the pensions raid they propose. It’s not top of my list of tax cuts, but we have to accept the realpolitik. It’s the only tax-cutting option that has advocates in the Treasury. There are plenty of proposals around to cut taxes and wake the British economy from its ‘lost decade’ slumber. The need to use tax cuts as a remedy to the deficit will be familiar to anyone who has followed the American presidential debate: every candidate, even Romney,

Your guide to all those tax cut proposals

Nick Clegg, Ed Balls, Liam Fox, David Davis, the Centre for Policy Studies, the Centre for Social Justice and the Sun. It seems almost everyone thinks George Osborne should cut taxes in his Budget next month — the only disagreements are over how. Here’s a quick guide to the main proposals so far: There will doubtless be other suggestions before 21 March when we will finally learn which, if any, Osborne has chosen. UPDATE: The table originally gave the cost of the CPS’ corporation tax cut as £8.5bn. This is their ‘static’ estimate of the cost, but a more realistic estimate, derived from the Treasury’s ready reckoner, is £4bn.

James Forsyth

Miliband revels in his NHS attack

Today’s PMQs was a reminder that whenever Ed Miliband goes on the NHS he is guaranteed a result. Indeed, I don’t think I’ve ever seen Miliband enjoying himself as much in the chamber as he was today. When Andrew Lansley leaned over to try and tell Cameron the answer to a question, Miliband mockingly remarked ‘Let me say to the Health Secretary, I don’t think the PM wants advice from you’. As Cameron’s assaults became more direct, Miliband did not — as he often does — go into his shell. As he sat down at the end of it all, the Labour leader had to push down on his knee to

James Forsyth

A taxing problem for George Osborne

Today’s FT reports that additional council tax bands are being considered as part of the Budget process. But there are several problems with introducing new council tax bands. First, this would require a wider revaluation, something that the coalition has ruled out explicitly and that would almost certainly drive up council tax for most people.   A revaluation, as a parliamentary question from George Osborne’s former chief of staff Matt Hancock established, would cost around £200 million. It would also take two to three years to complete, meaning revenues from any new band wouldn’t start accruing until either very close to, or even after, the next election.    Finally, higher

When failure actually counts as success

Michael Gove’s latest prognosis for schools was delivered at a lunch in Westminster yesterday, but it’s important enough to repeat the morning after. The Independent has a full report here, but the key quotation is this: ’Education is like trying to run up a down escalator. There are some uncomfortable decisions that will have to be taken. There will be years when, because we are going to make exams tougher, the number of people passing will fall. There are headteachers who have been peddling the wrong sort of approach to teaching for too long, who are going to lose their jobs.’ Just read that bit again: ‘the number of people