Ed Miliband speaking at his weekly press conference in October Source: Getty Images
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Mehdi Hasan's PMQs review: MPs fiddle over borders as Europe burns

Miliband decided to go for Cameron over May but failed to land any significant blows.

PMQs was a disappointment. Few jokes, even fewer good lines - and no "gotcha" questions from Ed Miliband. Bizarrely, the Labour leader decided to devote all his six bites of the cherry to the ongoing border control row - despite the fact that, at the time of writing, Yvette Cooper has just kicked off a Labour opposition-day debate on the subject. And despite the fact that the eurozone is in meltdown, Italy's cost of borrowing has hit a new record and economic armageddon seems to be right round the corner. Oh, and despite the fact that Miliband didn't seem to be equipped with a set of killer questions. With Cooper sitting behind him, the Labour leader began with:

Can the Prime Minister tell us how many people entered the UK under the Home Secretary's relaxed border controls?

Cameron dodged the question, preferring to reel off a list of statistics ("The figures I do have are that the number of people arrested was up by 10 per cent...").

Later, Miliband asked:

Can he now confirm how many UK border staff are going to be cut under his government?

To which Cameron, having prepared for this particular question, responded by pointing out that there would still be 18,000 employees at the end of this parliament: "The same number as in 2006 when he [Miliband] was sitting in the Treasury and determining the budget". Ouch.

It was left to Labour MP Chris Leslie, later in the session, to provide a more challenging and interesting intervention, when he called on the Prime Minister to publish all the relevant Home Office documents on orders given to the UK Border Agency over the summer. Cameron didn't really have an answer ("All these issues will be aired...") but was able to joke that Leslie was trying to make up for ground "lost" by Miliband in the earlier exchange.

Miliband did have a few good-ish lines:

A month ago, he [Cameron] gave a speech called Reclaiming our Borders. . . His Home Secretary was busy relaxing our borders.

And:

He has been the Prime Minister for 18 months He cant keep saying it has nothing to do with him. It's his responsibility.

He also provided the Commons with a potentially-damning quote from the Home Secretary, from her opposition days:

I'm sick and tired of government ministers who simply blame other people when things go wrong.

I suspect May was squirming in her seat. Overall, however, what was striking was the Prime Minister's unflinching, wholehearted support for his Home Secretary throughout PMQs. As he pointed out, in his exchange with the Leader of the Opposition:

The simple fact is that the head of the UK border agency, Rob Whiteman. . . he said this: 'Brodie Clark admitted to me on the 2 November that on a number of occasions this year he authorized his staff to go further than ministerial action. I therefore suspended him from his duties. . . It is unacceptable that one of my senior official went further than what was approved.'

He also told the Commons that he backed the "suspension" of Clark (who has denied Theresa May's claims).

We can assume then that the PM has been well-briefed by May and is convinced that she hasn't done anything wrong - and, crucially, can survive this particular political crisis. Otherwise, I suspect, he would have hung her out to dry. As Sunday Telegraph political editor Patrick Hennessy noted on Twitter:

Contrast Cam's support for May - wants to cut immigration - with him saying Fox "has done" a good job at #PMQs before Fox quit

Cameron was also able to end on a high by once again quoting Maurice Glasman, the Blue Labour peer, ally and adviser to Miliband, who said earlier this year that Labour "lied" about immigration.

The Labour leader might have been thinking to himself, "With friends like these. . ."

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.

Photo: Getty Images
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There are risks as well as opportunities ahead for George Osborne

The Chancellor is in a tight spot, but expect his political wiles to be on full display, says Spencer Thompson.

The most significant fiscal event of this parliament will take place in late November, when the Chancellor presents the spending review setting out his plans for funding government departments over the next four years. This week, across Whitehall and up and down the country, ministers, lobbyists, advocacy groups and town halls are busily finalising their pitches ahead of Friday’s deadline for submissions to the review

It is difficult to overstate the challenge faced by the Chancellor. Under his current spending forecast and planned protections for the NHS, schools, defence and international aid spending, other areas of government will need to be cut by 16.4 per cent in real terms between 2015/16 and 2019/20. Focusing on services spending outside of protected areas, the cumulative cut will reach 26.5 per cent. Despite this, the Chancellor nonetheless has significant room for manoeuvre.

Firstly, under plans unveiled at the budget, the government intends to expand capital investment significantly in both 2018-19 and 2019-20. Over the last parliament capital spending was cut by around a quarter, but between now and 2019-20 it will grow by almost 20 per cent. How this growth in spending should be distributed across departments and between investment projects should be at the heart of the spending review.

In a paper published on Monday, we highlighted three urgent priorities for any additional capital spending: re-balancing transport investment away from London and the greater South East towards the North of England, a £2bn per year boost in public spending on housebuilding, and £1bn of extra investment per year in energy efficiency improvements for fuel-poor households.

Secondly, despite the tough fiscal environment, the Chancellor has the scope to fund a range of areas of policy in dire need of extra resources. These include social care, where rising costs at a time of falling resources are set to generate a severe funding squeeze for local government, 16-19 education, where many 6th-form and FE colleges are at risk of great financial difficulty, and funding a guaranteed paid job for young people in long-term unemployment. Our paper suggests a range of options for how to put these and other areas of policy on a sustainable funding footing.

There is a political angle to this as well. The Conservatives are keen to be seen as a party representing all working people, as shown by the "blue-collar Conservatism" agenda. In addition, the spending review offers the Conservative party the opportunity to return to ‘Compassionate Conservatism’ as a going concern.  If they are truly serious about being seen in this light, this should be reflected in a social investment agenda pursued through the spending review that promotes employment and secures a future for public services outside the NHS and schools.

This will come at a cost, however. In our paper, we show how the Chancellor could fund our package of proposed policies without increasing the pain on other areas of government, while remaining consistent with the government’s fiscal rules that require him to reach a surplus on overall government borrowing by 2019-20. We do not agree that the Government needs to reach a surplus in that year. But given this target wont be scrapped ahead of the spending review, we suggest that he should target a slightly lower surplus in 2019/20 of £7bn, with the deficit the year before being £2bn higher. In addition, we propose several revenue-raising measures in line with recent government tax policy that together would unlock an additional £5bn of resource for government departments.

Make no mistake, this will be a tough settlement for government departments and for public services. But the Chancellor does have a range of options open as he plans the upcoming spending review. Expect his reputation as a highly political Chancellor to be on full display.

Spencer Thompson is economic analyst at IPPR