Policy exchange

Data issued yesterday by the Incomes Data Services indicated that average pay settlements over the first quarter of 2011 in the public sector were close to 0 per cent. However, pay settlements in the private sector were closer to 3 per cent. Does this mean that Policy Exchange were wrong in a recent report to conclude that public sector workers are overpaid compared to their private sector counterparts? The basic answer is no. We highlighted that on a range of measures, workers in the public sector were overpaid compared to their comparators in the private sector. Even on our most conservative measure, which accounted for compositional differences in terms of

Despite the focus on the government’s controversial plans to reduce the prison population, the troubled Prison Service continues to cause headaches for Ministers in another way — by failing to get on top of the security problems plaguing the estate In the 1990s, when Michael Howard was in Ken Clarke’s position, the concern of ministers was escaping inmates. The Prison Service has made huge strides on this, despite ongoing issues with the open prison estate and day-release of some inmates. But now the ever-present problem is lax internal security and especially drug-infestation. The jailing this week, for two years, of a prison officer based at Feltham Young Offenders Institution is

What is going on with the government’s health reforms is highly unusual. Normally, once a bill has gone through second reading and committee stage in the Commons there are very few changes made to it. But the coalition is considering some fairly significant changes to the Health and Social Care Bill in a bid to make it more politically palatable. It is hardly a model of good government.   This state of affairs provides ample opportunity for Ed Miliband to land some blows on the coalition, as he did in this morning’s speech delivered — symbolically — at the RSA, the new home of Blair’s former policy chief Matthew Taylor.

What is a “Budget for Growth,” and how can one be delivered? These questions have been preoccupying civil servants across Whitehall, policy folk in think tanks, and the press since the coalition announced in November that it would be reporting back on its “Growth Review” in the 2011 Budget. While foreign events rightly moved discussion of the impending Budget further back in last weekend’s papers, there was extensive coverage of the potential for targeted tax cuts and reliefs and incentives targeted at particular industries or sectors. The obvious problem with a number of these is that they cost money, and this is something the coalition does not have in spades.

The ruckus over sending a high-speed railway roaring through some of Southern England’s most prized back gardens might be dominating the headlines. But another, separate row over planning is brewing. Behind closed doors, ministers are straining to develop a coherent plan to build the new houses that Britain – especially the South East needs – in a way that is politically feasible. Whitehall is wrestling with how to reform a planning system that has led to more expensive housing and offices, developments that are often ugly and cramped, and soaring costs for everyone – the government included. Housing benefit costs more than the Home Office and Ministry of Justice combined.

We shouldn’t have believed the hype. For all of Tony Blair’s earnest focus on Anti-Social Behaviour Orders, this flagship policy was barely in effect at all. By the latest figures, only 18,670 ASBOs were issued between April 1999 and the start of 2010. According to this Policy Exchange report – the best on the subject that I’ve come across – that accounts for around 0.009 per cent of all incidences of anti-social behaviour. So let’s not pretend that the coalition is upending the criminal justice system by shifting away from ASBOs today. Neither, on the evidence at hand, is it doing away with an effective policy. Here’s a graph that

Today, the government publishes its consultation proposals for reform of the electricity generation market. The key debate over the next few months will be whether Britain continues to have a competitive market, or reverts to central planning of the power generation sector. New Labour paid lip-service to a competitive electricity market, while chipping away at its ability to operate effectively – through a constant accretion of new policies, typically promoting renewables. The effect has been to salami-slice the market into technology-specific segments, to increase political and regulatory uncertainty, to encourage lobbying and rent-seeking, and to increase financing costs. Instead of competing by taking investment decisions and innovating, market players wait for

The financial services industry in the UK is at a crucial juncture. Our new research report “Not with a Bang but a Whimper” – published tomorrow –  highlights the decline in the UK’s competitiveness as a domicile for this sector, and the increasing likelihood that both companies and workers will take the leap and choose to base themselves elsewhere. Many will see this as a good thing. The economy is still recovering from the financial crisis, the eventual cost to the public purse of the bank bailouts remains unknown, and the yearly round of hated bank bonuses are impending. On the other hand, losing such a significant contributor to GDP,

Directly-elected Police & Crime Commissioners (PCCs) are the boldest reform of policing since the 1960s. In May 2012 there will be 41 new political beasts in England and Wales with large, direct mandates. They look set to transform policing and public debate about crime. The new Commissioners will replace weak and invisible police authorities who, despite costing £65m a year and spending £25m in the last 3 years alone on expenses and allowances, have failed to hold chief constables to account. As a result, police chiefs have become too powerful, too detached and too risk-averse – with failure to tackle crime often just excused. Commissioners will be elected to oversee

With the latest round of international climate change negotiations at Cancun less than a week away, Policy Exchange has published research showing that the UK’s and EU’s performance in reducing carbon emissions is not quite what it seems.   According to the official measure, used to determine performance against the Kyoto agreement, the UK’s emissions have fallen.  The UK is set to exceed its Kyoto target of 12.5 percent reduction from 1990 levels.  But, in our new report Carbon Omissions, Policy Exchange has estimated that total UK carbon consumption emissions in fact rose by 30 percent between 1990 and 2006.   The reason is that we import and consume a

Policy Exchange’s work on Islamism has been some of the most important undertaken by a think-tank in recent years. It has influenced and bolstered the thinking of brave politicians in both the last government and the current one. That’s why it is so important that Policy Exchange came off best in the libel case brought against it by North London Central mosque. The case is now over and the mosque has made, what Policy Exchange calls, ‘a substantial contribution’ towards the think tank’s costs. Policy Exchange has stated that it never meant to suggest that extremist literature was sold or distributed on the mosque’s grounds with the consent of the

The Fire Brigade’s Union (FBU) have called for strike action in London during the busiest firefighting night of the year: Bonfire Night.  Attempts to renegotiate work patterns (already changed in several fire brigades but unchanged in London for thirty years) have been hysterically termed ‘sacking’ all London firefighters by the union.  Rather like the threatened British Airways strike during Christmas 2009, this is a clear attempt by a trade union to use its monopoly power to force an employer into accepting its terms by inflicting maximum possible damage on the general public.   This is clearly worse than a normal strike, however.  If, say, all Asda employees went on strike,