Ross Clark is a leader writer and columnist who has written for The Spectator for three decades. His books include Not Zero, The Road to Southend Pier, and Far From EUtopia: Why Europe is failing and Britain could do better
So, no Black Friday. The pound is steady, the FTSE100 up 1.5 per cent, the FTSE250 up more than 3 per cent. Just as fears grew that the end of the Bank of England’s gilt-buying programme could send pension funds to the brink and precipitate a fresh market crisis, the opposite happens: markets embark on
All financial crises have their peak days, the moment of drama when everything comes to a head. Think of Black Monday – 19 October 1987 – when the bottom fell out of global stock markets, or Black Wednesday – 16 September 1992 – when the pound crashed out of the Exchange Rate Mechanism. With the
Kwasi Kwarteng’s mini-Budget was botched and the government has lost control of public spending. But this morning Jacob Rees-Mogg was not wrong to deflect at least some of the blame for current market turmoil on the Bank of England. The bank has been hopelessly behind the curve on inflation – in May last year it was
If I were boss of Shell I would be tempted to take the company overseas and live a quiet life. Do a Thungela Resources, in other words – the South African-based coal miner spun out of Anglo American in June 2021, dumped by British funds on its first day of trading. But, as coal power stations
Markets, we are told, are rebelling against the government’s irresponsible fiscal policy, not least the now-abandoned plan to abolish the 45p tax rate. If that is what they are doing, it marks a sharp change in their behaviour. For most of the past decade they have whooped with delight whenever a fantastically expensive stimulus package
When you have defined yourself against the nanny state and scorned the idea of limiting supermarket ‘two for one’ offers, it is only natural that you will go on to reject the case for a £15 million public information campaign to try to persuade people to take fewer baths and turn their thermostats down. The
According to Labour, solving the energy crisis is really very simple. Rather than funding an energy price cap through borrowing, as Liz Truss wants to do, it should be funded by a windfall tax on oil giants instead. In other words, let’s grab some of more of the gargantuan profits being made by these polluting companies
There is no hole deep enough that a Conservative minister cannot muster the spadework to excavate it to even greater depths. No sooner had Kwasi Kwarteng announced that he was dropping his proposed reduction in the upper rate of income tax, than Andrew Griffith, one of his ministers at the Treasury, declared that he would
Will the lights go out this winter? A letter from the energy regulator Ofgem reveals just how seriously it is taking the prospect, and lays out what would happen if the UK can’t get sufficient gas to meet demand. Ofgem declared that ‘here is a possibility that GB entering into a gas supply emergency’ this winter and
Is nationalisation the vote-winner which Keir Starmer believes it to be? We will find out in due course, but my hunch is that the British public as a whole care a lot less about who owns the train carriages they ride in and the power stations which generate their electricity than Labour MPs do. No
The ‘rabbit out of the hat’ in Kwasi Kwarteng’s mini budget this Friday is likely to be a cut in stamp duty on property purchases. If so, it will be a popular and wise decision. Not only might it help generate extra activity in a housing market which looks like flagging as interest rates bite
Should we despair that the pound has slumped again today, falling below $1.14 for the first time since 1985? Or should we rejoice? It was, after all, a collapse in the pound following Black Wednesday in 1992 – along with dramatically lowered interest rates — which precipitated a lasting economic recovery. It is all too
In this week of mourning, much of the news which would normally get covered has sunk without trace. Even so, this morning’s news of a drop in unemployment has managed to catch the eye. The unemployment rate has fallen by 0.2 to 3.6 per cent – below where it was at the beginning of the
Liz Truss’s ministers had not even got their feet beneath the cabinet table before they were treated to a barrage of objections to their appointments. Talk about playing the man rather than the ball. No sooner had Jacob Rees-Mogg been appointed business secretary than Caroline Lucas was declaring him unfit for the position because he
It is not unusual for promises made during an election campaign to fail to survive a headlong impact with reality, but if, as expected Liz Truss, announces an energy price freeze tomorrow, it will leave many Conservative party members who voted for her feeling somewhat cheated. For most of the leadership campaign Truss denounced the
Just what do you do with the rest of your life if, aged 58, you have been prised out of the biggest job in Britain? It is a question that Boris Johnson, having delivered his valedictory speech outside No. 10, is now having to answer. The possibility of him returning to Downing Street, as has been mooted
Look at the chart for interest rate expectations in isolation, and you might come to the conclusion that Rishi Sunak is right about Liz Truss’s fiscal policies. In June, markets were expecting rates to peak at around 3.5 per cent next year; now they are expecting them to reach close to 4.5 per cent. Moreover,
Few will be minded to believe Russia’s explanation for cutting off Nord Stream 1 pipeline – that it is a maintenance issue – and I don’t suspect we are expected to believe it, either – any more than we were expected to believe that the would-be Salisbury assassins had an interest in cathedral spires. It
When the next prime minister is installed in Downing Street on Monday, we can expect a package of initiatives to help households with their heating bills. But will Rishi Sunak’s existing scheme – which promised £400 worth of handouts to every household – survive if, as expected, Liz Truss walks into No. 10? The scheme
It is reported this morning that one of Liz Truss’s first acts as prime minister, assuming she wins the Conservative party leadership election, will be to grant new licences for North Sea oil and gas extraction. But will it be enough – and quick enough – to alleviate the energy crisis? There are still substantial known
