Morning Call: pick of the papers

The ten must-read pieces from this morning's papers.

1. Margaret Thatcher's biggest debt was to Argentina's navy (Guardian)

If not for Alfredo Astiz, 30 years ago Britain would have lost the Falkland Islands and Thatcher her political career, says Simon Jenkins.

2. Those hard Tory heads and hearts are back (Times) (£)

Not only is the 50p tax cut indefensible, but the Chancellor's cuts are grossly unfair in their effect on the poor, argues Philip Collins.

3. France is a deeply racist country, and Toulouse will only make that worse (Independent)

The French have transferred their resentments from Jews to Arabs, says Adrian Hamilton.

4. Chancellors cross the elderly at their peril (Daily Mail)

Osborne is blithely ignorant of the pain the elderly have suffered in the past few years, says a Daily Mail editorial.

5. Osborne gets bolder with each Budget - but it's still not enough (Daily Telegraph)

The Chancellor's slow-motion cuts are dragging out the austerity process, says Fraser Nelson.

6. A budget for Tory blowhards and Redwood dreamers (Guardian)

Forget mugging grannies, George Osborne's 50p rate gamble reveals a naked yearning for the glory days of Thatcher, writes Polly Toynbee.

7. Osborne's 'granny tax' does not go far enough (Financial Times)

Pensioners have had an easy recession so far, writes Tim Leunig.

8. Hague could learn from Operation Babylon (Daily Telegraph)

Israel's 1981 bombing raid on Iraq's nuclear reactor has echoes for the Middle East today, says Azriel Bermant.

9. Obama gets the conservative vote (Financial Times)

The Republicans are trailing in places where they have traditionally had a strong edge - both home and abroad, writes Philip Stephens

10. The British high street is dead - let's celebrate (Guardian)

Most town centres are boring clones, and the closure of large retailers will open up creative space for quirky start-ups, writes Wayne Hemingway.

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Can Philip Hammond save the Conservatives from public anger at their DUP deal?

The Chancellor has the wriggle room to get close to the DUP's spending increase – but emotion matters more than facts in politics.

The magic money tree exists, and it is growing in Northern Ireland. That’s the attack line that Labour will throw at Theresa May in the wake of her £1bn deal with the DUP to keep her party in office.

It’s worth noting that while £1bn is a big deal in terms of Northern Ireland’s budget – just a touch under £10bn in 2016/17 – as far as the total expenditure of the British government goes, it’s peanuts.

The British government spent £778bn last year – we’re talking about spending an amount of money in Northern Ireland over the course of two years that the NHS loses in pen theft over the course of one in England. To match the increase in relative terms, you’d be looking at a £35bn increase in spending.

But, of course, political arguments are about gut instinct rather than actual numbers. The perception that the streets of Antrim are being paved by gold while the public realm in England, Scotland and Wales falls into disrepair is a real danger to the Conservatives.

But the good news for them is that last year Philip Hammond tweaked his targets to give himself greater headroom in case of a Brexit shock. Now the Tories have experienced a shock of a different kind – a Corbyn shock. That shock was partly due to the Labour leader’s good campaign and May’s bad campaign, but it was also powered by anger at cuts to schools and anger among NHS workers at Jeremy Hunt’s stewardship of the NHS. Conservative MPs have already made it clear to May that the party must not go to the country again while defending cuts to school spending.

Hammond can get to slightly under that £35bn and still stick to his targets. That will mean that the DUP still get to rave about their higher-than-average increase, while avoiding another election in which cuts to schools are front-and-centre. But whether that deprives Labour of their “cuts for you, but not for them” attack line is another question entirely. 

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to domestic and global politics.

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