OBR head rebukes Osborne: the UK was never at risk of bankruptcy

Office for Budget Responsibility chief Robert Chote dismisses the "danger of insolvency".

In the weeks after he took office, George Osborne justified his austerity programme by claiming that Britain was on "the brink of bankruptcy". He told the Conservative conference in October 2010: "The good news is that we are in government after 13 years of a disastrous Labour administration that brought our country to the brink of bankruptcy."

It was, of course, nonsense. With its own currency, its own monetary policy and the ability to borrow at historically low rates, the UK was never at risk of bankruptcy. In extremis, the Bank of England could simply buy up government debt (as it has done through its quantitative easing programme).

So it was pleasing to see the head of the Office for Budget Responsibility (OBR), Robert Chote, state as much on last night's edition of Newsnight. He told Jeremy Paxman (from 15:17):

In terms of thinking about whether the government's finances are sustainable, a key difference [between the UK and the eurozone] is that we are in a position where we have our own currency and in that sense we have a greater degree of flexibility that means the notion of the danger of insolvency is a much different question for us.

Having established the OBR to act as a check on the government (something for which Osborne deserves praise), the Chancellor might want to listen to its head and finally concede that there was no basis for his claim in 2010.

Office for Budget Responsibility head Robert Chote at the body's briefing on the Autumn Statement yesterday.

George Eaton is political editor of the New Statesman.

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A man who accused a gay donkey of trying to rape his horse runs for Ukip leader

Another high-quality candidate.

John Rees-Evans, the Ukip candidate for Cardiff South and Penarth in the 2015 general election, is the latest to enter the Ukip leadership contest. And just as your mole thought bigotbait factory Breitbart’s Raheem Kassam was the fruitiest character in the running.

Rees-Evans, a Wales-based Ukipper who used to be in the army, is best-known for a bizarre story he told protesters outside his office in 2014. In which he accused a gay donkey of trying to rape his horse.

Having been asked to respond to a comment by a fellow party member – Julia Gasper – claiming “some homosexuals prefer sex with animals”, Rees-Evans replied:

“Actually, I’ve witnessed that. Yes! I was personally quite amazed. I’ve got a horse and it was there in the field. My horse is a stallion, right. And a donkey came up, which was male, and I’m afraid tried to rape my horse . . .

“So in this case, it’s obviously correct because the homosexual donkey tried to with an animal. But I don’t think that’s what it meant, it’s just a bizarre coincidence.”

Since making his bid for Ukip’s leadership, Rees-Evans has had to take back his controversial claim about the gay donkey on the BBC’s Daily Politics.

He said:

“It was a bit of playful banter with a mischievous activist, OK? . . . I concede it was a mistake to be playful with an activist in the street. The point is I’m not a politician. The guy was just asking me questions in the street. It was an error of judgement. I was very early coming into politics and I’m sorry if I offended anyone by doing that but please can we move on?”


Rees-Evans also made headlines by telling VICE that he persuaded IKEA staff to let him take a gun into a branch of IKEA in Bulgaria last year to protect him in the event of a terrorist siege.

Your mole thinks Nigel Farage is beginning to look like Abraham Lincoln.

I'm a mole, innit.