Clegg slaps down Cable on borrowing

Deputy PM comes to Cameron's aid and warns that borrowing for growth would risk a spike in interest rates.

Downing Street has responded to Vince Cable's dramatic intervention in the New Statesman by seeking to paint the Business Secretary as a lone maverick and Nick Clegg has just come to their aid. On his phone-in show on LBC this morning, the Deputy PM said of Cable's call for the government to borrow for growth: 

If you do decide to say: 'to hell with it, let's borrow £40bn – £20bn' –huge amounts of money – because there is no point doing it unless you do it on a big scale – there are risks of course, and I know Vince acknowledges it, you unwittingly make it more difficult for everyone else because interest rates might then go up.

He added: "The question is not whether capital investment is a good thing – everyone in the coalition agrees that – but how do you pay for it? This is where the balance of judgment is; you need to balance the risk."

While Cable argues that the risks of borrowing to invest are now outweighed by the risks of not doing so, Clegg has stuck firmly to the Cameron-Osborne line that deficit-financed stimulus would cause a spike in interest rates. 

Clegg's intervention is helpful for Labour as well as the Tories. Team Balls responded to Cable's essay by similarly portraying the Business Secretary as an isolated figure. "His words today read like they have been written by a Secretary of State who despite being in office, is not in power," said shadow financial secretary Chris Leslie. Clegg's rebuke to Cable means Balls and Miliband can continue to argue that only Labour is offering a genuine plan B. 

Nick Clegg speaks at last year's Liberal Democrat conference in Brighton. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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For a mayor who will help make Londoners healthier, vote for Tessa Jowell

The surgeon, former Labour health minister and chairman of the London Health Commission, Ara Darzi, backs Tessa Jowell to be Labour's candidate for London mayor.

London’s mayor matters. As the world’s preeminent city, London possesses an enormous wealth of assets: energetic and enterprising people, successful businesses, a strong public sector, good infrastructure and more parks and green spaces than any other capital city.

Yet these aren’t put to work to promote the health of Londoners. Indeed, quite the opposite: right now, London faces a public health emergency.

More than a million Londoners still smoke tobacco, with 67 children lighting up for the first time every day. London’s air quality is silently killing us. We have the dirtiest air in Europe, causing more than 4,000 premature deaths every year.

Nearly four million Londoners are obese or overweight – and just 13% of us walk or cycle to school or work, despite half of us living close enough to do so. All Londoners should be ashamed that we have the highest rate of childhood obesity of any major global city.

It’s often been said that we don’t value our health until we lose it. As a cancer surgeon, I am certain that is true. And I know that London can do better. 

For that reason, twice in the past decade, I’ve led movements of Londoners working together to improve health and to improve the NHS. Healthcare for London gave our prescription for a better NHS in the capital. And Better Health for London showed how Londoners could be helped to better health, as well as better healthcare.

In my time championing health in London, I’ve never met a politician more committed to doing the right thing for Londoners’ health than Tessa Jowell. That’s why I’m backing her as Labour’s choice for mayor. We need a mayor who will deliver real change, and Tessa will be that mayor.  

When she invited me to discuss Better Health for London, she had the courage to commit to doing what is right, no matter how hard the politics. Above all, she wanted to know how many lives would be saved or improved, and what she could do to help.

In Tessa, I see extraordinary passion, boundless energy and unwavering determination to help others.

For all Londoners, the healthiest choice isn’t always easy and isn’t always obvious. Every day, we make hundreds of choices that affect our health – how we get to and from school or work, what we choose to eat, how we spend our free time.

As mayor, Tessa Jowell will help Londoners by making each of those individual decisions that bit easier. And in that difference is everything: making small changes individually will make a huge difference collectively.  

Tessa is committed to helping London’s children in their early years – just as she did in government by delivering Sure Start. Tessa will tackle London’s childhood obesity epidemic by getting children moving just as she did with the Olympics. Tessa will make London a walking city – helping all of us to healthier lifestyles.

And yes, she’s got the guts to make our parks and public places smoke free, helping adults to choose to stop smoking and preventing children from starting.   

The real test of leadership is not to dream up great ideas or make grand speeches. It is to build coalitions to make change happen. It is to deliver real improvements to daily life. Only Tessa has the track record of delivery – from the Olympics to Sure Start.   

Like many in our capital, I am a Londoner by choice. I am here because I believe that London is the greatest city in the world – and is bursting with potential to be even greater.

The Labour party now has a crucial choice to make. London needs Labour to choose Tessa, to give Londoners the chance to choose better health.