Economy

One of the odd things about the polls at the moment is that the Tories lead on economic competence and leadership, traditionally the two most important issues, yet trail overall. There are, I argue in the column this week, three possible explanations for this polling paradox. The first possibility is that Ed Miliband is right, that the link between GDP growth and voters’ living standards is broken. A consequence of this is that voters put less emphasis on economic management in the round. Instead, they want to know which party will do most to help them with their cost of living. Then, there’s the possibility that the traditional political rules

Why did the Prime Minister give a statement in the Commons on the outcome of last week’s European Council summit? Though he is expected to report back to MPs each time one of these jamborees takes place, David Cameron didn’t really have a great deal to tell them other than the tantalising suggestion that the leaders had made progress on cutting red tape and the declaration that ‘the EU is changing’. It was hardly one of those statements where Cameron can wave a budget cut or some other great policy victory at MPs. listen to ‘David Cameron’s statement on the European Council summit’ on Audioboo

One man who isn’t on message at the start of the government’s economy week is Justin Welby, who has been warning against excessive jubilation at the end of this week when the next tranche of GDP figures are released. He told the Telegraph: ‘A flourishing economy is necessary but not sufficient. A healthy society flourishes and distributes economic resources effectively, but also has a deep spiritual base which gives it its virtue.’ This sounds a little bit like pre-2010 David Cameron, but it doesn’t quite chime with the political offensive that the Tories want to go on this week, accusing Labour of making consistently bad predictions about the economy. The

The coalition wants this week to be all about the GDP figures, out on Friday. As I say in the Mail on Sunday, Downing Street is confident that they’ll show the economy is continuing to grow at a relatively decent clip and is already working out how to make political out of that. They have, as Simon Walters reports, already prepared a video mocking Labour’s claims that the coalition’s polices would lead to a million more people on the dole. Ed Miliband’s circle expects that the GDP numbers will again be positive. But they take the view that as long as prices are increasing faster than wages, squeezing voters’ living

You know you’ve been in politics too long when you’re onto your tenth ‘Red Tape Challenge’. I remember Neil Hamilton as Deregulation Minister in the Major Government in ’92 promising to slash the jungle of red tape. Every time I cheered. Every time the flood of Regulations and Directives kept pouring out of the Whitehall and Brussels machine. But hardened Red Tape Analysts of all stripes will notice something a bit different about yesterday’s news of the Prime Minister’s commitment to implement the deregulatory proposals of the Business Task Force. He has explicitly linked it to the historic Renegotiation and Referendum strategy launched in his Bloomberg speech. So this time

Poor old Ed Balls. He’s been making predictions of doom that now appear to have gone too far and too fast. The latest blow to the Shadow Chancellor is that the IMF, which he went through a period of definitely liking a lot when its lieutenants started suggesting that austerity was ‘playing with fire’, has upgraded its growth forecasts for the UK by more than any other major economy. This map from the organisation’s latest World Economic Outlook illustrates rather neatly how well the IMF expects the UK to do in comparison to other European economies. Obviously this doesn’t mean that everything is fine and dandy and that everyone in the UK can

Fraser Nelson thinks it was the ‘language of someone happy with the economy’. James Forsyth saw it as renewed hope for leading the Conservative party. On this special View from 22 podcast, we analyse George Osborne’s speech to Tory conference this morning; whether the economic measures mentioned were sensible and what it says about the Chancellor himself. You can subscribe to our podcast through iTunes and have it delivered to your computer every week, or you can use the embedded player below: listen to ‘Spectator Podcast: @frasernelson and @jamesforsyth discuss Osborne’s speech’ on Audioboo

Gordon Brown was notorious for complicating our already over-complicated tax system, and it seems that his former aide, Ed Miliband, wants to emulate the master. The danger is that Ed Miliband would do so against the backdrop of a vulnerable economy in a very mobile global market place. His latest idea is to put up corporation tax, arguing that this will “pay” for a freeze in business rates on small firms. In fact, the net burden on business will remain unchanged, so his tinkering would be little help to the small businesses that he allegedly wants to help. There are more devils in Miliband’s detail: the freeze would only apply

Below is the text and full audio of Ed Balls’ conference speech given today in Brighton, as released by Labour’s press office. But there’s one section missing. It’s the one where Balls said:- listen to ‘Ed Balls: ‘I just thought it was a surprisingly small towel’’ on Audioboo

Nick Clegg’s strategy of getting his party to approve his position on a number of contentious issues reaches its most awkward stage today, with the votes on the economy and taxes that are causing the greatest grief with activists. It’s complicated by Vince Cable’s plan to be a no-show at the economy debate in an attempt to hold onto his Jeremiah credentials. The votes are being billed as a clash between the leadership and its activists, but it’s a little more complicated than that. Last night I attended a fringe held by Liberal Reform, a group in the party that campaigns for a market-based approach to policy-making. It’s reasonably young,

Poor Vince Cable. He just can’t help but brim with joy about the economy. He’s often spotted skipping across Parliament square to the Business department, humming ‘Oh, Happy Day!’ under his breath at the latest set of GDP figures. George Osborne and Cable’s Tory colleagues are always having to tell Vince to calm down a bit: he doesn’t want to seem too complacent about the clouds lifting from the economy. But even such a joyful Lib Dem as Dr Cable must have been a little dispirited to read that everyone has written his speech this morning up as an attempt to undermine George Osborne. ‘I think George Osborne’s comments the