Ross Clark

Ross Clark

Ross Clark is a leader writer and columnist who has written for The Spectator for three decades. He writes on Substack, at Ross on Why?

Should people with big gardens pay more for their water?

From our UK edition

According to Cathryn Ross, Thames Water’s co-interim chief executive, householders with large gardens should be paying a higher price for their water than people with small or no gardens. Actually, they already almost certainly do. If they have a metered supply, their bills will be proportional to how much water they use – and will be bearing the full cost of watering the lawn or the flowerbeds. If they are unmetered they will be charged a rate that reflects the size of their property. If, on the other hand, Ross means that people who own large gardens should be paying a higher rate for each unit of water they use, it might make sense for monopolistic suppliers to suggest this, as it would raise more cash for them in the politically easiest way. But it is otherwise illogical.

Is Jeremy Hunt following in Gordon Brown’s footsteps?

From our UK edition

Anyone fancy having a flutter with 5 per cent of their pension fund on unlisted start-ups? It is not necessarily a bad idea – it is only 5 per cent, after all. As part of a portfolio which is balanced by more bread and butter investments it need not be reckless. At best, you might just pick a future Microsoft or Google – and at worst, well, the other 95 per cent of your investments could smother your losses. But it seems that we are not really going to have the choice – at least not those of us who have defined contribution pension funds.

Is Joe Biden really a close friend of Britain?

From our UK edition

According to Joe Biden on the steps of Downing Street, by travelling to the UK he ‘couldn’t be meeting with a closer friend and greater ally. Our relationship is rock solid’. Really? In that case, will Biden be using his time in London to start talks for a US-UK trade deal? Will he be changing his mind and back Ben Wallace, rather than Ursula von der Leyen – who was an embarrassing failure as German defence minister – as the next secretary-general of Nato? Will he be taking notice of Britain’s objections to sending cluster bombs to Ukraine? The answer to the above questions, of course, is ‘no’, ‘no’ and ‘no’. Even allowing for the truth-stretching demanding by international diplomacy, Biden’s words come across as hollow.

The BBC is falling short on its climate protest coverage

From our UK edition

According to a YouGov poll this week 64 per cent have an unfavourable view of Just Stop Oil (only 17 per cent have a positive view and the rest aren't sure). Unfortunately, however, none of these people appear to feature in the contacts books of BBC producers. The Today programme this morning attempted to have a discussion on the tactics of Just Stop Oil on disrupting sports events such as Wimbledon and Ashes test matches. The whole exercise was somewhat hampered by the fact that the two guests which the BBC saw fit to invite, Chris Packham and Lord Deben, could hardly bring themselves to say a negative word about the pressure group. Rather they both wanted to say that if we didn't want to see such protests it was down to the government to do more to cease oil production.

The housing crash we’re heading for might not be the one you think

From our UK edition

Are house prices falling? The Halifax house price index, published today, is finally showing a significant year on year fall: average prices are 2.6 per cent down in the 12 months to June. This is the biggest annual fall shown by the index in 12 years. But it is still hard to depict what is happening in the housing market as a bloodbath. The finer print shows that prices are actually up over the last quarter, by 0.3 per cent – with the 12 monthly figure pulled down by what happened by last autumn. As has happens so often in the housing market, predictions of deep gloom (or deep joy, if you are a frustrated first time buyer looking for an opportunity to enter the market) have been followed by nothing more than stagnation.

Starmer’s right to roam pledge puts the Tories in a bind

From our UK edition

Keir Starmer has come up with a good policy for once. He is promising to offer a Scottish-style right to roam across England, which would open up vastly more tracts of land for public recreation. The right to roam granted by the Blair government 20 years ago applies only to moorland, which is rare in the South East, while Starmer's proposal would extend to woodland and other areas of uncultivated land. It is a clever policy not just because it is popular in itself – according to a YouGov poll today 62 per cent of voters are in favour and 19 per cent against; even among Conservative voters it is supported 56 per cent to 31 per cent.

Don’t be fooled by profiteering banks

From our UK edition

What a handy distraction it makes for the banks to stand accused of closing down accounts held by Nigel Farage and others on the basis of their political views. It is a distraction because otherwise the big banking story this week would be a meeting between the Financial Conduct Authority (FCA) and the large banks to discuss just why savings rates have failed to keep pace with mortgage rate rises. According to Moneyfacts, the average rate of a two year fixed-rate mortgage has climbed to 6.4 per cent. Meanwhile, savers with instant access accounts have to make do with a measly 2.4 per cent. That is a yawning gap which simply wasn’t possible to maintain during the long years of near-zero base rates. But it is a powerful generator of profits now.

Why Boris’s critics might regret celebrating his downfall

From our UK edition

Imagine a Tory prime minister who gave the liberal left almost everything that it wanted. Higher migration? Sure, let’s treble it. End austerity with more tax and spending? Sure, let’s pay the wages of 9 million people from the state’s purse, hand the NHS another £34 billion – and let’s jack up corporation tax to pay for it. Climate change? Let’s close down every gas-fired power station by 2035, ban fracking and lumber oil and gas companies with a windfall tax. Culture wars? Let’s make gay conversion therapy a crime.     You might think that the liberal left would at least bring itself to show some gratitude, but apparently not. We already have had a Tory PM who has brought about all of the above. His name is Boris Johnson.  But thanks?

Don’t get too excited about deglobalisation

From our UK edition

One difference between the rivalry with China and the cold war is that the Soviet Union was completely economically segregated from the western world. That is not the case with China nowadays: cheap goods have flooded western markets for decades. But are we heading back to the multipolar world of the 20th century? China and the West are out of step in terms of monetary policy. China’s central bank actually moved to reduce interest rates this morning, after stronger-than-expected data on wages. A short-term lending rate was cut from 2 per cent to 1.9 percent. How come? Because inflation in China is beginning to go into reverse as its economy sags.   China’s Consumer Price Index (CPI) is running at just 0.2 per cent.

Is Justin Trudeau right to blame Canadian wildfires on climate change?

From our UK edition

Planes grounded in New York, people told to stay indoors – and an actress forced to leave the stage on Broadway because of the smoke. Canada is ‘on fire’ and New York is choking from the drifting smoke – and it is all the result of man-made climate change. We know this because Justin Trudeau and other have told us so.  'We’re seeing more and more of these fires because of climate change,' tweeted Trudeau this week, 'We’ll keep working – here at home and with partners around the world – to tackle climate change and address its impacts.'  US vice president Kamala Harris added her ha’porth of wisdom of wisdom by tweeting: 'Millions of people are experiencing dangerous air quality due to wildfires across Canada, which are intensifying because of the climate crisis.

Is AI all it’s cracked up to be?

From our UK edition

So is Artificial intelligence (AI) to be a new engine of growth for the UK economy? That is Rishi Sunak’s hope. Ideally, he might have been using his trip to Washington to announce a trade deal between the UK and the US. Of course, that's not going to happen: Joe Biden has made it clear that he doesn’t regard trade deals – with anyone – as a priority, not least because the crowning achievement of his administration so far, the Inflation Reduction Act, is a huge protectionist device dressed up as a fiscal and environmental measure. The Prime Minister then seems to have decided that securing something on AI is the next best thing.

Labour’s tax raid on private schools isn’t the money spinner it thinks

From our UK edition

Would Labour’s plan to impose VAT on private school fees really raise £1.6 billion, as the party claims? Not according to a research paper by the education think tank EDSK. The £1.6 billion figure is often attributed to the Resolution Foundation, yet the original source, says EDSK, is a paper by the Fabian Society in 2011 – a paper which it says got its figures wrong in several different respects. It started with the assumption that there were, in that year, 628,000 pupils enrolled in independent schools. Yet this government figure did not just include pupils at fee-paying schools, but also children enrolled at academies and city technology schools. These were described as ‘independent’ because they were outside the control of local authorities.

A universal basic income wouldn’t help unemployed Brits into work

From our UK edition

If you think nothing works in Britain now, just wait. Wait, that is, until a future government (I’ll guess a Labour one, but can never tell with the Conservatives any more) introduces a universal basic income – that is a guaranteed, unconditional income for everyone, regardless of means, and regardless of whether they are working, looking for work or completely hostile to the concept that they should ever be expected to earn their keep. Some on the left have been plugging away at the idea of a basic income for years, but the left-wing think tank Autonomy has now announced a pilot scheme by which 30 volunteers will be randomly selected to receive £1,600 a month for two years. It says it is seeking funding from councils, philanthropists and local authorities.

The problem with calculating climate-related excess deaths

From our UK edition

Another week, another extravagant claim for climatic doom goes unchallenged. Speaking on the Today programme on Wednesday morning, Dale Vince – the founder of Electrocity and donor to both Don’t Stop Oil and the Labour party – asserted: '40,000 people across Europe died from excess heat last summer. That’s part of the climate crisis. People are dying, people are being made homeless, whole countries are flooding.'  Whole countries flooding? It is unclear which countries Vince claims have flooded in their entirety, but a claim by a Pakistan government minster that a third of that country was under water in floods last summer has been thoroughly debunked by UN satellite data, which shows that the area affected by floods at some point last August was around 8 per cent.

Abolishing inheritance tax would be a mistake for the Tories

From our UK edition

Liz Truss’ fallen star has been rising again of late (at least a few degrees above the horizon) as gilt yields return to the heights they reached during her brief premiership. Together with sluggish GDP figures this has led many to wonder whether she was not right, after all, to make growth the absolute priority of her economic policy. Whether she can maintain her momentum following her latest intervention, adding her name to the 50 Conservative MPs calling for the abolition of inheritance tax, is another matter. There would be nothing more fatal to the Tories than to go into the next election offering one tax cut – for millionaires – after having raised taxes for ordinary working people.

Could falling house prices be here to stay?

From our UK edition

Not for the first time, a gulf has opened up between house price indices. This morning, Nationwide reports that average prices fell by 0.1 per cent in May (following a surprise rise of 0.4 per cent in April), taking annual house price inflation down to minus 3.4 per cent. That will surprise no-one, given the rise in interest rates over the past year. Except, that is, for the fact that the Office for National Statistics (ONS) reported last week that average prices are up by 4.1 per cent over the year. On the one hand we appear to be entering a slide, which could easily turn into a crash. On the other, the market ploughs on ahead, shrugging off the negative influence of rising interest rates and making people wonder whether the UK housing market will ever fall.

When will striking rail workers admit defeat?

From our UK edition

It is nearly a year now since the latest round of rail strikes began. They have cost union members thousands of pounds in lost income. But according to Mick Whelan, general secretary of Aslef, on the Today programme this morning the union has made ‘zero progress’ in its negotiations with the Rail Delivery Group, which represents train companies. This was the point, eleven months in, at which Arthur Scargill finally gave up and sent his members back to work ‘with their heads held high’. But not Whelan, apparently. He indicated that he is digging in for the even longer haul, contemplating another year's worth of strikes.

Brexit could fix inflation

From our UK edition

Has food price inflation finally peaked? Figures released by the British Retail Consortium (BRC) this morning reveal that food prices were up 15.4 per cent in the past 12 months, down from 15.7 per cent in the year to April. Last week’s figures from the Office of National Statistics also showed a small fall, from 19.2 per cent in March to 19.1 per cent to April. The BRC’s methodology is different from the ONS’s, not only in that it tends to produce slightly lower figures but that it also runs slightly ahead. The inflation story has subtly changed, from being one led by energy prices to being dominated by food prices Over the past few months, the inflation story has subtly changed, from being one led by energy prices to being dominated by food prices.

Keir Starmer has become the Just Stop Oil candidate

From our UK edition

So, Just Stop Oil is now His Majesty’s Official Opposition. Keir Starmer has adopted the group’s main demand – no development of new oil and gas reserves – as his own. Presumably he hopes to attract green votes, especially in Scotland where the SNP has a similar policy. But it means going into the next election with a policy which is both economically and environmentally illiterate. Even with a drive towards clean energy – and even if tricky targets to outlaw new gas boilers and petrol and diesel cars could be met – Britain is going to remain dependent on oil and gas for decades to come. In spite of a boom in the construction of wind and solar farms, solar and wind currently accounts for little over 4 per cent of our total energy needs.

The madness of Sunak capping food prices

From our UK edition

It wasn't long ago that supermarkets stood accused of selling food too cheaply. Their price wars and two-for-the-price-of-one deals were destroying farmers, undermining local shops and making us fat. How long ago that now seems, with the government now considering 1970s-style price controls. While the measures would apparently be voluntary, they would fix the prices of a number of basic foodstuffs – the sort which Jack Monroe keeps her eyes on. The price of price-fixing is likely to be more pictures of empty shelves, which of course will be blamed on Brexit You don’t need to have studied economics in any depth to understand the problem with price controls. In a free market, prices settle at the intersection of the supply and demand curves, ensuring that both are kept in balance.