Monthly Archives: December 2013

Kiran Stacey

The last PMQs before a recess is always important for doing what the session is really designed for: crystallising the mood of each side of the House.

Tomorrow MPs will head off to their constituencies for several weeks, where they will be unencumbered by daily Commons business and free of the whips’ influence. It is during these breaks that leaders can become unstable and plots can begin to form, and so it is even more important for the leaders of the two main parties to give their troops something to cheer at this time.

Under these terms, today’s PMQs was a clear victory for Cameron. Read more

Jim Pickard

There was an exchange in the Commons this week between Danny Alexander and former Labour Treasury minister John Healey over the stats in last week’s National Infrastructure Plan.

Healey challenged the chief secretary to the Treasury over a chart in the report (page 5) which shows higher infrastructure investment by the coalition than in the last five years of the previous Labour government. The Labour MP asked Alexander whether he would let the chart be vetted by the UK Statistics Authority or the Office for Budget Responsibility. Read more

Jim Pickard

Ed Miliband used to hate the Heathrow third runway project so much that he nearly quit as energy secretary towards the end of the Gordon Brown regime in protest.

Now, his aides say that he wants aviation expansion in the South-east and is open-minded about where that should be. One said his position on location is “neutral”. Another senior Labour MP said “all options are now on the table.” Read more

Jim Pickard

Vince Cable, the business secretary, yesterday warned of a danger of house prices “getting out of control” as Whitehall’s official forecasters predicted a near return to the bubble of 2007.

In real terms the market will by 2018 peak at just 3 per cent below the heights last seen six years ago, the Office for Budget Responsibility estimated in new figures produced on Thursday.

The OBR has revised upwards its forecast by some 10 per cent since March, in part because of the projected impact of the coalition’s controversial Help to Buy mortgage scheme.

Annual house price inflation is not expected to return to the giddy pace of the last decade, with in-year rises set to peak at 7.2 per cent in 2015, the OBR suggested.

But the inflation-busting rises from 2013 to 2018 will together add more than 20 per cent to a market that Read more

Janan Ganesh

Today, George Osborne had the rare pleasure of announcing economic news that is better – not worse – than was expected when he last held a major fiscal event. The Autumn Statement declared that growth, employment and the public finances are all heading in the right direction. Even some bad news from the past, such as the double-dip recession earlier in the parliament, was revised out of existence.

But the chancellor’s political challenge was to combine all this optimism with unwavering commitment to austerity, the cause that defines him and the government. Veering off this theme to join the opposition Labour party in a skirmish over living standards this autumn has left the Tories looking like slaves to the news cycle. Read more

John Aglionby

George Osborne has presented his Autumn Statement. Its highlights included a large increase in the economic growth forecast, a predicted budget surplus in 2018, a hike in the state pension age and free school meals for all infants.

By John Aglionby and Emily Cadman with contributions from FT colleagues

 

Jim Pickard

An eagle-eyed reader brings my attention to a curious little amendment that appears to speak volumes about Number 10’s fear of errant backbenchers.

Rewind the clock to this summer when two Tory MPs – John Baron and Peter Bone – put forward an amendment to the Queen’s Speech which turned into a full-scale uprising.

In the end some 130 MPs, mostly Tories, backed the amendment which called for the coalition to legislate for a 2017 EU referendum this side of the general election.

The vote was not technically a “rebellion” because there was no whip by either side. But it was a very vivid expression of Euroscepticism by the Tory benches.

Bear in mind that these MPs still voted against David Cameron even after he had gone Read more