Economics newsletter
Britain’s state pension is about to blow
Health Secretary Wes Streeting says that the changes to the Welfare Bill will ‘give people peace of mind’. Perhaps for some, but certainly not economists. Britain’s welfare crisis is staggering – £313 billion a year is spent on disability payments, Universal Credit, winter fuel payments, Motability, child benefit, and, most expensive of them all, the
If AstraZeneca quits the London Stock Exchange, it will be a disaster
It was already a bad enough week for the Prime Minister Sir Keir Starmer and the Chancellor Rachel Reeves, what with the collapse of their welfare reforms. But now news has leaked that AstraZeneca’s CEO Sir Pascal Soriot has reportedly discussed moving its listing from London to New York. There is nothing official yet, and
Labour MPs need a reality check on Britain’s ballooning benefits bill
‘No one votes Labour to cut the welfare state. People vote Labour to grow the welfare state. That’s the role of the party.’ That’s what John McTernan, Labour strategist, said on Coffee House Shots last week. He’s absolutely correct, of course. But the ballooning cost of the benefits bill means that Labour now faces an
Northern Ireland is still paying a heavy price for Brexit
This week heralds the arrival in Northern Ireland of yet more overregulation, bureaucratic overreach, and political incompetence. No, Keir Starmer isn’t making an unannounced visit to Belfast. From this month, many thousands of food products imported from Great Britain to Northern Ireland will have to display warnings on their packaging highlighting that these goods are not
Britain is racing towards a fresh cost-of-living crisis
The poorest Brits now owe £6.6 billion in unpaid council tax – a record high and up some 85 per cent since before the pandemic. That’s according to data released this morning by the Ministry of Housing, Communities and Local Government, which suggests Britain is plunging back into a cost-of-living crisis. What’s more, a report
Your pension fund is right to flee Labour’s Britain
One of Chancellor Rachel Reeves’s few big ideas for boosting growth was to persuade pension funds to invest more of their assets in Britain. But hold on. Today, we learned that Scottish Widows, one of the biggest funds, is dramatically reducing its exposure to this country – and it is quite right to do so.
Why is the ONS saying inflation has gone down?
The rate of inflation remained flat at 3.4 per cent in May – still well above the Bank of England’s 2 per cent target. Bizarrely, the Office for National Statistics (ONS), in their figures released this morning, claims this is down from 3.5 per cent the month before, even though just a couple of weeks
Rachel Reeves’s non-dom crackdown has truly backfired
Rachel Reeves may finally have seen sense. A report in this morning’s Financial Times suggests she is ‘exploring’ performing a 180 on the changes to inheritance tax rules which meant non doms would have to pay the death tax on their global assets – even on wealth earned before they came to the UK. As I explained in
The good and bad news about the UK-US trade deal
Donald Trump and Keir Starmer’s transatlantic trade deal has finally been signed. Before making an early exit from the G7, the US president approved an executive order giving legal effect to parts of the US-UK deal. The outline of the agreement was settled weeks earlier during a conference call, with Trump in the White House
Motability won’t give up its lucrative business without a fight
Motability, the scheme set up to provide vehicles, scooters and powered wheelchairs to disabled people, has become something of a monster. By the end of 2024, Motability supported a staggering 815,000 vehicles, up by 200,000 in the last two years alone. It is clear that the scheme has extended way beyond its original purpose and is