Opinionomics | 9 May 2012

Must-read comment and analysis. Featuring exhortations to buy a house but not to buy a Death Star.

1. How the Chancellor made the right decision about the timing of austerity (Not the Treasury View)

Jonathan Portes looks back in time to understand the relationship between austerity and growth.

2. Greece, France and the future of the euro (BBC News)

The more that investors and policymakers think about the results in Greece and France, the more worried they are - for good reason, writes Stephanie Flanders.

3. Chart of the day: Let’s go buy a house! (Reuters)

Felix Salmon shows how Americans can now take advantage of long-term fixed financing to own a home for a monthly payment less than the cost of renting.

4. ‘Understood properly, the Death Star is not worth it.’ (Washington Post | Wonkblog)

Gregory Koger addresses the most important policy question of the millennium: Should we build a Death Star?

5. Germany’s reaction to the newly elected French President (Bruegel)

Philine Schuseil rounds up the German reaction to the election of Hollande.

The Death Star. We shouldn't build one, apparently.

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

Grant Shapps on the campaign trail. Photo: Getty
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Grant Shapps resigns over Tory youth wing bullying scandal

The minister, formerly party chairman, has resigned over allegations of bullying and blackmail made against a Tory activist. 

Grant Shapps, who was a key figure in the Tory general election campaign, has resigned following allegations about a bullying scandal among Conservative activists.

Shapps was formerly party chairman, but was demoted to international development minister after May. His formal statement is expected shortly.

The resignation follows lurid claims about bullying and blackmail among Tory activists. One, Mark Clarke, has been accused of putting pressure on a fellow activist who complained about his behaviour to withdraw the allegation. The complainant, Elliot Johnson, later killed himself.

The junior Treasury minister Robert Halfon also revealed that he had an affair with a young activist after being warned that Clarke planned to blackmail him over the relationship. Former Tory chair Sayeedi Warsi says that she was targeted by Clarke on Twitter, where he tried to portray her as an anti-semite. 

Shapps appointed Mark Clarke to run RoadTrip 2015, where young Tory activists toured key marginals on a bus before the general election. 

Today, the Guardian published an emotional interview with the parents of 21-year-old Elliot Johnson, the activist who killed himself, in which they called for Shapps to consider his position. Ray Johnson also spoke to BBC's Newsnight:


The Johnson family claimed that Shapps and co-chair Andrew Feldman had failed to act on complaints made against Clarke. Feldman says he did not hear of the bullying claims until August. 

Asked about the case at a conference in Malta, David Cameron pointedly refused to offer Shapps his full backing, saying a statement would be released. “I think it is important that on the tragic case that took place that the coroner’s inquiry is allowed to proceed properly," he added. “I feel deeply for his parents, It is an appalling loss to suffer and that is why it is so important there is a proper coroner’s inquiry. In terms of what the Conservative party should do, there should be and there is a proper inquiry that asks all the questions as people come forward. That will take place. It is a tragic loss of a talented young life and it is not something any parent should go through and I feel for them deeply.” 

Mark Clarke denies any wrongdoing.

Helen Lewis is deputy editor of the New Statesman. She has presented BBC Radio 4’s Week in Westminster and is a regular panellist on BBC1’s Sunday Politics.