How long can the Tory line on "cuts" hold?

The IMF, and the public, are sceptical

Here is the IMF's Dominique Strauss-Kahn, speaking at the CBI's annual conference on Monday, where he talked of the world's "debt of gratitude" to Gordon Brown and seemed sceptical of Tory plans to cut spending as soon as possible:

We recommend erring on the side of caution, as exiting [from the fiscal stimulus] too early is costlier than exiting too late.

And here is the Financial Times on a new poll guaging the public's attitude towards spending cuts:

That is the latest finding from the regular Ipsos/MORI public spending index which shows that the public remains split on the issue. Forty-three per cent agree spending needs to be cut but 44 per cent still disagree -- a net balance of 1 percentage point who disagree against a gap of 11 points in June.

The FT adds:

Just over half -- 53 per cent -- want spending maintained even if that means higher taxes.

Music to my ears!

The bad news is that the government is in no real position to capitalise on the IMF's verdict, or on public opinion, having fallen for what Seumas Milne calls the Tories' "brilliant political manoeuvre". Writing in the Guardian in September, Milne pointed out:

Twelve months on, the Conservatives have succeeded in turning the entire focus of political debate on its head. Instead of an argument about how to beat the slump triggered by the banking crash, all three main political parties are now competing over how to cut public spending and services. Cheered on by the bulk of the media, Cameron and Osborne have executed a startling sleight of hand, persuading a large section of the public that the real crisis facing the country isn't the havoc wreaked on jobs and living standards by the breakdown of the free-market model -- but the increase in government debt incurred to pay for it.

Yep, Brown and Darling have opted for a crazy and counterproductive plan to cut the deficit in half over the next four years as part of a pointless and perhaps dangerous "fiscal responsibility" bill. Own-goal, or what?


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Mehdi Hasan is a contributing writer for the New Statesman and the co-author of Ed: The Milibands and the Making of a Labour Leader. He was the New Statesman's senior editor (politics) from 2009-12.

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The government needs more on airports than just Chris Grayling's hunch

This disastrous plan to expand Heathrow will fail, vows Tom Brake. 

I ought to stop being surprised by Theresa May’s decision making. After all, in her short time as Prime Minister she has made a series of terrible decisions. First, we had Chief Buffoon, Boris Johnson appointed as Foreign Secretary to represent the United Kingdom around the world. Then May, announced full steam ahead with the most extreme version of Brexit, causing mass economic uncertainty before we’ve even begun negotiations with the EU. And now we have the announcement that expansion of Heathrow Airport, in the form of a third runway, will go ahead: a colossally expensive, environmentally disastrous, and ill-advised decision.

In the House of Commons on Tuesday, I asked Transport Secretary Chris Grayling why the government is “disregarding widespread hostility and bulldozing through a third runway, which will inflict crippling noise, significant climate change effects, health-damaging air pollution and catastrophic congestion on a million Londoners.” His response was nothing more than “because we don’t believe it’s going to do those things.”

I find this astonishing. It appears that the government is proceeding with a multi-billion pound project with Grayling’s beliefs as evidence. Why does the government believe that a country of our size should focus on one major airport in an already overcrowded South East? Germany has multiple major airports, Spain three, the French, Italians, and Japanese have at least two. And I find it astonishing that the government is paying such little heed to our legal and moral environmental obligations.

One of my first acts as an MP nineteen years ago was to set out the Liberal Democrat opposition to the expansion of Heathrow or any airport in southeast England. The United Kingdom has a huge imbalance between the London and the South East, and the rest of the country. This imbalance is a serious issue which our government must get to work remedying. Unfortunately, the expansion of Heathrow does just the opposite - it further concentrates government spending and private investment on this overcrowded corner of the country.

Transport for London estimates that to make the necessary upgrades to transport links around Heathrow will be £10-£20 billion pounds. Heathrow airport is reportedly willing to pay only £1billion of those costs. Without upgrades to the Tube and rail links, the impact on London’s already clogged roads will be substantial. Any diversion of investment from improving TfL’s wider network to lines serving Heathrow would be catastrophic for the capital. And it will not be welcomed by Londoners who already face a daily ordeal of crowded tubes and traffic-delayed buses. In the unlikely event that the government agrees to fund this shortfall, this would be salt in the wound for the South-West, the North, and other parts of the country already deprived of funding for improved rail and road links.

Increased congestion in the capital will not only raise the collective blood pressure of Londoners, but will have severe detrimental effects on our already dire levels of air pollution. During each of the last ten years, air pollution levels have been breached at multiple sites around Heathrow. While a large proportion of this air pollution is caused by surface transport serving Heathrow, a third more planes arriving and departing adds yet more particulates to the air. Even without expansion, it is imperative that we work out how to clean this toxic air. Barrelling ahead without doing so is irresponsible, doing nothing but harm our planet and shorten the lives of those living in west London.

We need an innovative, forward-looking strategy. We need to make transferring to a train to Cardiff after a flight from Dubai as straightforward and simple as transferring to another flight is now. We need to invest in better rail links so travelling by train to the centre of Glasgow or Edinburgh is quicker than flying. Expanding Heathrow means missing our climate change targets is a certainty; it makes life a misery for those who live around the airport and it diverts precious Government spending from other more worthy projects.

The Prime Minister would be wise to heed her own advice to the 2008 government and “recognise widespread hostility to Heathrow expansion.” The decision to build a third runway at Heathrow is the wrong one and if she refuses to U-turn she will soon discover the true extent of the opposition to these plans.

Tom Brake is the Liberal Democrat MP for Carshalton & Wallington.