Economy

One line jumped out at me in David Cameron’s Marr interview this morning. When Andrew Marr asked him if he thought we were halfway through the Euro crisis or nearing the end of it, Cameron replied: ‘I don’t think we’re anywhere near half way through it.’ Cameron clearly does not believe that any resolution to the crisis is in sight. Given that, as long as the Eurozone crisis rumbles on it is hard to see how the British economy returns to robust growth, this is immensely significant. It does, though, make me wonder if the government’s approach to the crisis should now change. If the Eurozone isn’t going to accept,

As Paul Goodman suggests, there is something significant about Liam Fox’s article for the Daily Telegraph this morning. It’s not that we haven’t heard similar from the former Defence Secretary before — we have. It’s more that his economic prescriptions are being made, we learn from the Sun, with the ‘explicit approval’ of his buddy George Osborne. And what are those prescriptions? Well, the main one is for further spending cuts, and Fox also waxes enthusastic about greater deregulation and about protecting the defence budget (at the expense of international aid). He also has some firm advice for the Lib Dems. ‘They make up only one sixth — not one

So who killed the recovery? Ed Balls points to a ‘recession made in Downing St,’ and has gone on a victory tour today. ‘I have consistently warned David Cameron and George Osborne for over a year that going too far and too fast on spending cuts would backfire,’ he says. ‘Arrogantly and complacently they ignored those warnings, and the country is paying a heavy price.’ Facts are always the remedy to an outbreak of Balls. The government releases monthly spending figures, which show an increase overall. That’s due to the rising cost of debt and dole, you might say, but strip those two out and you have what the ONS

Every so often, British sportsmen are prevailed upon not to go to certain countries, in protest at some usually-hideous policy. Now it’s the turn of our racing drivers. Yvette Cooper said on Question Time last night that, at the very least, Jenson Button and Lewis Hamilton should pull out of the Formula One race this weekend. Ed Miliband wants the race to be cancelled. What baffles me is that the racing drivers should be seen as so controversial, whereas (so far as I can tell) neither Cooper nor Miliband has had anything to say about the British government approving the sale of arms to Bahrain long after its uprising started

Chris Grayling gave a speech today that mirrored his response to the recent work experience brouhaha: punchy, practical and broadly persuasive. Except there were some parts that might cause a few jitters, and which are certainly representative of jitters along Downing Street. First, this passage: ‘It’s easy to hire someone from Eastern Europe with five years’ experience and who has had the get-up-and-go to cross a continent in search for work. But those who look closer to home find gems too. Very often the surly young man in a hoodie who turns up looking unwilling to work can turn into an excited and motivated employee.’ And then this: ‘I personally

In his cover piece for this week’s magazine, Neil O’Brien describes the great divide between London and the rest of the UK. One of the main differences he highlights is in their economies. He says: ‘In inner west London, economic output per head is £110,000 a year. In an important sense, these people are not living in the same country as the inhabitants of Gwent or the Wirral, whose output is just a tenth of this.’ In fact, London is set apart not just from those two poorest areas, but every other area in the country. You see, the second richest area — Edinburgh — has an output per head