i am surprised the lib dems still have any support, as they are allowing the tories, to make ordinary, hardworking people, pay for the bankers greed. Most of the cabinet are so wealthy that they don't even take their salaries, and a whip round would probably reduce the defecit significantly. Once the tories are done, their popularity will be on a par with the lib dems.

@Greg asked "Where's the evidence that the VAT reduction had any stimulating effect?"

Centre for Economics and Business Research study 26 December 2009

“… the often criticised VAT cut has also had a significant impact on households’ finances. Lowering the standard VAT rate by 250 basis points is the equivalent of an additional £300 disposable income for each household in 2009 –if most firms passed on the cut, that is. The latest consumer price data suggest they actually did so. … This is broadly consistent with our estimate that the VAT cut increased disposable income by 1.2per cent –a noticeable boost to household finances.”

“…we calculate that the VAT cut boosted consumer spending by some £6.8 billion. Given this increase, the VAT reduction boosted gross domestic product by some 0.5 percent in 2009.”

http://bit.ly/943XLQ

The Condem alliance is clearly taxing the people's politician, Vince Cable. When in the wilderness Vince had a voice and he was heard 'now does he feel his title hang loose about him,like a giant's robe upon a dwarfish thief' Macbeth stole power and felt it hang about his shoulders, Vince needs to regain integrity and conVince us all again.What cost power?

Shame the Lib Dems don't have 15% of seats!

One swallow does not a summer make. It is the trend that matters, statistically and politically. We are still in the honeymoon period.

The facutal correction above is, itself, incorrect. Following the 1987 fiscal retrenchment in Ireland there was an election in 1989. Fianna Fails vote remained at 44% (as in '87) but they lost 4 seats (81 to 77) and formed a coalition with the Centre Right Progressive Democrats.

I think its appalling how drastically they have cut public funding and have not issued what will be put in place because of the extreme cuts.

The graduate tax takes the biscuit - graduates are striggling tofind jobs yet apparentley it seems a 'marvellous' idea to impose a tax when it is a difficult job market for many especially those from lower backgrounds.

What is clear from the cuts is how transparent the divide between the social classes will become and again as a 'civilised' and 'developed' nation we seem to be sliding back into primitive and territorial means between the rich of the poor.
We need progress not division.

I sincerely hope that the Lib Dems will continue to see their support decline and that as a result there will be a resounding no to the their campaign on AV. This party campaigned on a number of issues such as the pace of deficit reduction and then after the formation of the coalition agreed to a faster pace. Obviously Clegg is far too young to remember the 1980s and early 1990s and the devastation caused to our manufacturing industry and the lost generation of young people unable to find gainful employment. I really do wonder if some of our leading politicians have the intellectual capacity to understand the implications of the policies which they are promulgating. It is obvious that Danny Alexander is completely out of his depth at the Treasury, I suggest he needs to study some texts on economics - Stiglitz would be a good place to start.

@Tom

"Labour put VAT up from 15% to 17.5%"

Rather a selective memory there. Labour reduced VAT up from 17.5% to 15% in a (successful) attempt to stimulate the economy and stop the recession getting worse. After a year, they restored it, as planned, to its previous rate.