Daily Archives: August 30, 2011

Jim Pickard

David Cameron’s plan to redraw Britain’s electoral map is under threat amid fears that many Lib Dem and Tory MPs could rebel against the proposals. Tensions are rising ahead of September 12, when the Boundary Commission will reveal its first draft of the English electoral landscape (Wales, NI and Scotland follow soon after). The mood is one of trepidation and resentment.

This issue is likely to turn nasty not only because many Lib Dems are not in the mood to keep their promise over boundaries – because they feel that Cameron helped to squash their cherished AV referendum, which was the other half of the deal. There are also many Tory MPs who would rather ignore the whips and vote against their own side in order to keep their own seats. (The issue will go to a vote in late 2013). Right now we just don’t know who they are, because no one has seen the revised boundaries. Read more

Jim Pickard

We reported in mid-August that Vince Cable and George Osborne are at odds over bank reforms, in particular over the timing. Osborne is understood to have let banks believe that 2019 is a realistic timetable for the completion of the Vickers reforms – but Cable wants the internal ring-fences to be achieved as soon as possible.

And now John Cridland, director-general of the CBI, has weighed in, saying the government would be “barking mad” to press ahead with the reforms straight away. “Unilateral” changes of this nature could threaten the ability of banks to provide crucial finance for the economic recover, Cridland argued in an interview with the FT. Read more