Economy

Back to work, back to school, back to politics: the French call it la rentrée and my own summer idyll in their country must end soon too. Back to the miserabilism of Starmerland – where all news, especially good news, must be seen as bad. What good news is that? I mean that shop prices fell this month by 0.3 per cent, after heavy discounting of non-food goods, for the first time since 2021; overall UK inflation having fallen close to the Bank of England’s 2 per cent target. Which makes autumn interest-rate cuts all the more likely, improving the outlook for mortgage borrowers and increasing the chance that the

According to popular imagination, the skies over Britain have been full these past few months of fleets of private jets carrying their non-dom owners to fiscally safer climes. According to your point of view, this has either rid the country of parasites or denied us investment and trickle-down wealth. Two glossy reports pumped out by financial companies in the past month seemed to promote the idea and were immediately leapt upon by those who oppose the abolition of non-dom status. First, there was the UBS Global Wealth Report 2024, which predicted that the number of dollar millionaires living in Britain will plunge by 17 per cent between 2023 and 2028.

Home Nigel Farage took over leadership of the Reform party from Richard Tice and is standing for parliament in Clacton. This came as news on Monday to Tice, and to Reform’s candidate for Clacton, Tony Mack. Outside the Wetherspoons pub where he launched his campaign, Farage had a McDonald’s banana milkshake thrown over him. Farage proposed net-zero immigration. The Conservatives then said they would ask the independent Migration Advisory Committee for a recommended level for an annual cap on visas, and put that to a parliamentary vote. Invasive Asian hornets, which can eat 50 bees a day, were found to have survived a British winter and might stay permanently. Rishi

A giveaway Budget in March preceding a general election in May against an improving economic backdrop: that, we’re told, is Downing Street’s favoured scenario. But still the election is Keir Starmer’s to lose, so here’s my start-the-year advice to him. Don’t bang on about Rishi Sunak being too rich; don’t make immigration the issue, because you have no solutions; don’t pretend to admire Margaret Thatcher; but do channel John Major – to whom you bear much closer comparison – and offer a new Citizen’s Charter. What? Isn’t that 1991 exercise in footling managerialism, forever associated with the ‘cones hotline’, remembered as a laughable failure? Maybe, but its intention was good:

Once or twice, when on a crowded overnight flight, I have taken a sneaky stroll through the different cabins for the purpose of comparison. My reaction on first peering into each cabin goes like this. First class: ‘Gosh, this is fabulous. It’s like a restaurant in the air.’ Business class: ‘Ooh, this is nice; they get flat beds and everything.’ Premium economy: ‘Well this is OK; the seats seem comfy and it’s all pretty civilised.’ Economy: ‘It’s the “Raft of the Medusa”.’ Now here’s the thing. In terms of comfort, the biggest gap between two adjacent flight classes is between economy and premium economy. This improvement is simply achieved with