David Miliband's demolition of Osbornomics

Former foreign secretary deconstructs Osborne's economic myths.

David Miliband made a brilliant speech in the House of Commons yesterday in which he deconstructed four of George Osborne's key economic arguments, namely

1. That the Canadian example shows that a "contractionary expansion" is possible.

2. That private sector growth was previously crowded out by the public sector.

3. That the UK's record low bond yields are due to Osborne's deficit reduction programme.

4. That without austerity we would be in the same position as Greece.

As John Rentoul says, it's worth reading the speech in full, but to give you a taste, here's Miliband on why Osborne isn't responsible for falling bond yields.

The Chancellor says that international markets have voted with their feet in buying UK gilts and driving down yields over the last 18 months. However, the biggest buyer of gilts in recent years has been not the international markets but the Bank of England. I will not dwell on the fact that the Chancellor denounced quantitative easing when he was shadow Chancellor, but he surely knows that for this financial year the Bank of England will have bought no less than 42 per cent of gilt issuance. The Bank now owns more than 30 per cent of the total gilt stock, compared with zero in 2008, while the proportion of international market ownership has barely changed. Interest rates are low in this country because of Bank purchasing policy, not because of government fiscal policy.

George Eaton is political editor of the New Statesman.

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Supreme Court Article 50 winner demands white paper on Brexit

The Supreme Court ruled Parliament must be consulted before triggering Article 50. Grahame Pigney, of the People's Challenge, plans to build on the victory. 

A crowd-funded campaign that has forced the government to consult Parliament on Article 50 is now calling for a white paper on Brexit.

The People's Challenge worked alongside Gina Miller and other interested parties to force the government to back down over its plan to trigger Article 50 without prior parliamentary approval. 

On Tuesday morning, the Supreme Court ruled 8-3 that the government must first be authorised by an act of Parliament.

Grahame Pigney, the founder of the campaign, said: "It is absolutely great we have now got Parliament back in control, rather than decisions taken in some secret room in Whitehall.

"If this had been overturned it would have taken us back to 1687, before the Bill of Rights."

Pigney, whose campaign has raised more than £100,000, is now plannign a second campaign. He said: "The first step should be for a white paper to be brought before Parliament for debate." The demand has also been made by the Exiting the European Union select committee

The "Second People's Challenge" aims to pool legal knowledge with like-minded campaigners and protect MPs "against bullying and populist rhetoric". 

The white paper should state "what the Brexit objectives are, how (factually) they would benefit the UK, and what must happen if they are not achieved". 

The campaign will also aim to fund a Europe-facing charm offensive, with "a major effort" to ensure politicians in EU countries understand that public opinion is "not universally in favour of ‘Brexit at any price’".

Pigney, like Miller, has always maintained that he is motivated by the principle of parliamentary sovereignty, rather than a bid to stop Brexit per se.

In an interview with The Staggers, he said: "One of the things that has characterised this government is they want to keep everything secret.”

Julia Rampen is the editor of The Staggers, The New Statesman's online rolling politics blog. She was previously deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines.