Osborne almost choked halfway through his speech. Let’s hope the rest of us don't do the same.

Budget 2013

As last year’s Budget proved only too well, the devil is always in the detail. And while according to opposition leader Ed Miliband this was a Budget from a downgraded Chancellor, there was substantially more in George Osborne’s fourth outing than many observers expected, with the possible exception of the Evening Standard, which broke an embargo on most of the proposals

There were changes to the remit of the Governor of the Bank of England, a new employment allowance to encourage entrepreneurs and small businesses to employ more people, new initiatives to encourage more mortgage lending and stimulate the housing market and even an unexpected one penny drop in the price of beer.

The Budget Book will be less digested (and less digestible) than his speech (Osborne’s knack of almost filibustering through his Budgets means it is quite hard to pick out the important announcements), and it might be there that details will be found on the costing of announcements such as reducing corporation tax for large companies down to a flat rate of 20 per cent for all companies regardless of size and the abolishing of stamp duty for shares traded on smaller markets, such as AIM. These were both welcome as part of a wider plan to make the UK the most attractive place to start and run a business.

But the government’s ease with the idea that it’s OK for multinationals to seek to reduce their tax bill by picking the best place to locate is slightly at odds with an apparent disgust at other forms of sensible tax planning. Osborne claimed that they will be naming and shaming those who advise companies and/or individuals how to avoid tax (which means accountants as much as tax lawyers and others) and suggested that the already heavily-trailed General Anti-Abuse Rule (GAAR) would raise £3bn, with £1bn coming from offshore avoidance.

This matches the amount by which Osborne claimed to be boosting infrastructure spending, with the usual focus on broadband internet and odd projects such as Battersea Power Station singled out for the nod.

The truth is that Osborne had as little room for growth as expected with the Office for Budget Responsibility (OBR) again downgrading growth forecasts for several years to come. Osborne made much of the international picture and placed much of the blame for this year’s forecast rate of 0.6 per cent growth on the eurozone. In truth if the uncertainty in Cyprus continues or spreads, even that anaemic rate will look optimistic.

All government departments will be forced to make further cuts to their budgets, in total a further £1.5bn on top of the £10bn announced in December. These will be achieved through greater efficiency and better financial controls, so at least it seems Osborne does see a positive role for accountants after all.

Perhaps more disappointing was that the detail of how the government intends to get money out to SMEs remained unclear. There was a brief mention of the Business Bank early on but no more detail in the speech.

Osborne almost choked halfway through delivering the Budget speech. Let’s hope there is nothing in the detail that makes the rest of the country do the same.

This article first appeared on economia.

Photograph: Getty Images

Richard Cree is the Editor of Economia.

ELLIE FOREMAN-PECK FOR NEW STATESMAN
Show Hide image

Notes from a crime scene: what Seymour Hersh knows

Xan Rice meets the tireless Seymour Hersh to talk My Lai, pricey coffee and Bin Laden.

It’s late on a lazy Wednesday afternoon when Seymour Hersh comes bounding down the stairs. “Let’s find somewhere to sit,” the American investigative journalist says, striding over to the café area of the hotel in Bloomsbury where we meet.

Not quiet enough, Hersh decides, and he marches into an adjoining branch of Steak & Lobster, past a startled waiter who tries to explain that the restaurant isn’t open yet. “He’ll have a coffee,” Hersh tells the man laying the tables, gesturing in my direction. When the drink arrives, he remarks that, at £4.39, it’s the most expensive coffee he has bought in some time.

“I’m older and crankier than [Bernie] Sanders,” the 79-year-old says with a smile, leaning back in his seat, his tie loose and his top button undone. Hersh’s many notable stories include the My Lai Massacre and cover-up in Vietnam, which he exposed in 1969, and the Abu Ghraib prison scandal during the Iraq War. He’s in good health, relishing his speaking tour of London to promote his new book, The Killing of Osama Bin Laden, and hearing “how wonderful I am”.

“I come home from a trip like this,” he says, “and my wife can’t stand me. She says, ‘Get away, I don’t want to talk to you because you want everybody to bow and scrape.’”

Hersh never planned to be a journalist. After he was thrown out of law school for poor grades in 1959, he heard about an opening for a police reporter at a small news agency in Chicago. “I was reasonably coherent and could walk in a straight line, so they hired me,” he explains. Hersh learned on the job, covering his beat with a zeal that did not always impress his editors, one of whom liked to address him, without fondness, as “my good, dear, energetic Mr Hersh”.

“He saw me as a bleeding heart,” Hersh says, “who cared about people ‘of the Negro persuasion’ dying.”

Half a century later, he cannot say exactly what drove him to become an investigative reporter. “What defect did I have in my life that made me want to make everyone else look bad?” he wonders. “I almost viewed myself like a public defender: my job was to be there on the scene of a crime and to write about it in such a way that the police could not have the only call.”

Later, as his range widened, Hersh came to see his role as keeping in check “the nincompoops and criminals and fools running the world”.

He had been a journalist for ten years when he received a tip-off about an army officer being court-martialled for killing civilians in Vietnam. After investigating, he broke the story of the massacre at My Lai, in which a group of US soldiers murdered at least 347 people. The work earned him a Pulitzer Prize and soon afterwards he wrote his first piece for the prestigious New Yorker magazine. After sending in a draft, he was told that it would be read by the editor, William Shawn, and that he would receive a proof copy in the mail.

“Seven days later, the envelope comes and I’m terrified,” he recalls. “It was a writer’s magazine and any change they wanted, they asked you about. On the third page, I had some cliché or figure of speech. It was circled and in
the margin Mr Shawn had written: ‘Mr Hersh. Pls use words.’ I had a one-year course, a Master’s degree in journalism, in one sentence!”

Hersh has written regularly for the New Yorker over the years, though the relationship has recently come under strain. After researching the death of Osama Bin Laden, he became convinced that the Obama administration’s account of what happened before, during and after the raid in which Bin Laden was killed was a lie. He argued that the al-Qaeda leader had been captured by Pakistani intelligence in 2006 and held in Abbottabad until the US navy Seals operation five years later, which, Hersh claimed, was conducted with Pakistan’s assistance – rather than being a daring mission into hostile territory.

The New Yorker declined to run the story, so Hersh wrote it for the London Review of Books, which published it last year. The piece was read widely but attracted criticism from some American journalists who argued that it relied too heavily on a single, unnamed source and veered dangerously in the direction of conspiracy theories. Hersh is convinced that his version is correct and makes no apologies.

“I remember saying to my wife, ‘Don’t [these journalists] have mothers that tell them what to do better?’ . . . They insisted what they knew, what they wrote, had to be the story.”

Hersh’s mistrust of the official line is undiminished. His new book also questions whether it really was the Assad regime that carried out the chemical attacks in Ghouta, Syria, in 2013. Even the culprits of the recent Paris and Brussels massacres are not beyond doubt. “I don’t think Isis had a goddam thing to do with these kids,” he says. “The truth is, I don’t have any idea. I’m just telling you, heuristically, it’s an idea I would pursue if I was still a reporter.”

There is more to tell but Hersh has another interview. “Talk to me tomorrow,” he says, running back upstairs to collect his coat. “I’ll be around. I still have a lot of energy.” 

Xan Rice is Features Editor at the New Statesman.

This article first appeared in the 28 April 2016 issue of the New Statesman, The new fascism