Is Michael Gove now going to be held to account for his advisers' "bullying tactics"?

There are accusations the Education Secretary misled Parliament.

Last week, my colleague Rafael Behr warned that the "ultra-partisan tactics" being used by Michael Gove at the Department for Education and reported by the Observer were just the start, given that the Education Secretary is considered to be one of the most effective Tory minister in government.

He's been proved right, and perhaps more quickly than we could have guessed, as today's Observer carries further details of how Gove is now facing accusations that he "may have misled parliament over claims of bullying and intimidation by key advisers". Toby Helm reports:

The Observer can reveal that a senior civil servant in the education secretary's department has received a secret payoff of about £25,000 out of public funds, after a lengthy grievance procedure involving members of Gove's team, including his special adviser, Dominic Cummings, and the department's former head of communications, James Frayne.

While an investigation within the department cleared the men, and said no disciplinary action was necessary, the final judgment made clear that their conduct had on occasions fallen short of the levels expected and that the behaviour of Cummings and Frayne, who has since left the department, "has been perceived as intimidating". After the internal investigation was launched in the spring of 2012, the civil servant also decided to lodge a case with a tribunal, where the allegations would have been heard in public. A date was set for last month, but after further negotiations the financial settlement was agreed and the tribunal was cancelled.

On 23 January, however, Gove – who under the ministerial and special advisers' codes is responsible for the behaviour of his advisers (known as Spads) – denied knowledge of any allegations of misconduct during an appearance before the education select committee.

Observer columnist Nick Cohen has also weighed in on the subject, explaining how Gove stays above the fray as a "Tory gentleman", allowing his advisers to do his enforcing:

Here is how the retaliation works. The gang around him treat any slight to their master as an affront. The lead comes from his special advisers Dominic Cummings and Henry de Zoete. Cummings is a piece of work. He is a political hack of such reputation that Andy Coulson tried to blackball him from working for the coalition. If a former editor of the News of the World, now awaiting trial, warned me that a potential employee was too unsavoury to touch, I would pay attention. Gove did not.

Cummings and de Zoete can call on the services of Paul Staines, author of the Guido Fawkes website. They also have Telegraph journalists, the Murdoch press and most of the rightwing blogosphere at their disposal.

Part of the allegations against Gove's advisers revolve around their alleged use of the @ToryEducation Twitter feed to publish personal, partisan attacks against Gove's critics. If Gove's special advisers are indeed behind it, it would constitute a breach of both the special advisers' and the civil service code. The virulent nature of its attacks have started attracting wider attention in recent weeks, as NS deputy editor Helen Lewis noted recently:

It's long been suspected that Gove considers himself a viable future Tory leader. As a former journalist, he already has excellent contacts among right-wing hacks, and it would seem that his advisers have made pains to maintain those links. Most definitely one to watch.

Michael Gove - a "Tory gentleman"? Photograph: Getty Images

Caroline Crampton is assistant editor of the New Statesman.

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I was wrong about Help to Buy - but I'm still glad it's gone

As a mortgage journalist in 2013, I was deeply sceptical of the guarantee scheme. 

If you just read the headlines about Help to Buy, you could be under the impression that Theresa May has just axed an important scheme for first-time buyers. If you're on the left, you might conclude that she is on a mission to make life worse for ordinary working people. If you just enjoy blue-on-blue action, it's a swipe at the Chancellor she sacked, George Osborne.

Except it's none of those things. Help to Buy mortgage guarantee scheme is a policy that actually worked pretty well - despite the concerns of financial journalists including me - and has served its purpose.

When Osborne first announced Help to Buy in 2013, it was controversial. Mortgage journalists, such as I was at the time, were still mopping up news from the financial crisis. We were still writing up reports about the toxic loan books that had brought the banks crashing down. The idea of the Government promising to bail out mortgage borrowers seemed the height of recklessness.

But the Government always intended Help to Buy mortgage guarantee to act as a stimulus, not a long-term solution. From the beginning, it had an end date - 31 December 2016. The idea was to encourage big banks to start lending again.

So far, the record of Help to Buy has been pretty good. A first-time buyer in 2013 with a 5 per cent deposit had 56 mortgage products to choose from - not much when you consider some of those products would have been ridiculously expensive or would come with many strings attached. By 2016, according to Moneyfacts, first-time buyers had 271 products to choose from, nearly a five-fold increase

Over the same period, financial regulators have introduced much tougher mortgage affordability rules. First-time buyers can be expected to be interrogated about their income, their little luxuries and how they would cope if interest rates rose (contrary to our expectations in 2013, the Bank of England base rate has actually fallen). 

A criticism that still rings true, however, is that the mortgage guarantee scheme only helps boost demand for properties, while doing nothing about the lack of housing supply. Unlike its sister scheme, the Help to Buy equity loan scheme, there is no incentive for property companies to build more homes. According to FullFact, there were just 112,000 homes being built in England and Wales in 2010. By 2015, that had increased, but only to a mere 149,000.

This lack of supply helps to prop up house prices - one of the factors making it so difficult to get on the housing ladder in the first place. In July, the average house price in England was £233,000. This means a first-time buyer with a 5 per cent deposit of £11,650 would still need to be earning nearly £50,000 to meet most mortgage affordability criteria. In other words, the Help to Buy mortgage guarantee is targeted squarely at the middle class.

The Government plans to maintain the Help to Buy equity loan scheme, which is restricted to new builds, and the Help to Buy ISA, which rewards savers at a time of low interest rates. As for Help to Buy mortgage guarantee, the scheme may be dead, but so long as high street banks are offering 95 per cent mortgages, its effects are still with us.