David Cameron and Ed Miliband walk through the Members' Lobby before the Queen's Speech at the State Opening of Parliament. Photograph: Getty Images.
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PMQs review: Miliband halts Cameron's advance on the economy

The Labour leader won a rare victory on the Tories' strongest territory. 

The fallout from the Autumn Statement and the focus on the cuts the Tories would make means that Labour is feeling better about its position on the economy than it has done for months. Voter anxiety about the threat to public services, they believe, could turn the election in their favour. In a sign of this new confidence, Ed Miliband led on the issue (on which the Conservatives have long held the advantage) at the final PMQs of the year. Noting that it was the Office for Budget Responsibility that first drew attention to the fact that public spending would fall to its lowest level since the 1930s under George Osborne's plans, he quipped: "Why does he believe the OBR has joined the BBC in a conspiracy against the Conservative Party?" Having been criticised in the past by Labour MPs for dropping messages too quickly, Miliband is determined to keep pushing the "1930s" line. 

Cameron replied that in real-terms public spending would merely fall to the same level as in 2002-03, but Miliband had a neat riposte: "He's spent four years saying we spent too much. Now he's saying we spent too little." The PM later turned to the deficit and the fact that Labour's plans would allow greater borrowing than the Conservatives'. But Ed Balls's pledge to cut the deficit every year and the Tories' promise of £7bn of unfunded tax cuts means that Miliband is better-armed than in the past. As well as creating a sense of risk around public services, Labour is now able to point to the danger of another VAT rise: something Cameron notably refused to rule out today. The PM was able to turn the leaked Labour strategy document on immigration to his advantage, highlighting its reference to the Conservatives' 17-point lead on managing the economy. But Miliband remained unruffled. The Labour leader never quite landed a knock-out blow. Yet given that the ecnomy is traditionally the Tories' strongest suit, and today's positive employment and earnings figures, Miliband will be content with a points victory. 

The two men's closing exchange neatly framed the battle to come: Miliband charged the Tories with a plan not for "balancing the books" but for "slashing the state". Cameron declared: "They can't talk about the deficit because it's fallen, they can't talk about growth because it's rising, they can't talk about jobs because we're increasing them." Miliband's aim is to persuade voters that the threat to public services is too great to award the Tories another term in government. Cameron's is to persuade them that the threat to growth and jobs is too great to gamble on an untested opposition. The election will likely turn on which scenario voters fear more. 

George Eaton is political editor of the New Statesman.

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Want to send a positive Brexit message to Europe? Back Arsene Wenger for England manager

Boris Johnson could make a gesture of goodwill. 

It is hard not to feel some sympathy for Sam Allardyce, who coveted the England job for so many years, before losing it after playing just a single match. Yet Allardyce has only himself to blame and the Football Association were right to move quickly to end his tenure.

There are many candidates for the job. The experience of Alan Pardew and the potential of Eddie Howe make them strong contenders. The FA's reported interest in Ralf Rangner sent most of us scurrying to Google to find out who the little known Leipzig manager is. But the standout contender is Arsenal's French boss Arsene Wenger, 

Would England fans accept a foreign manager? The experience of Sven Goran-Eriksson suggests so, especially when the results are good. Nobody complained about having a Swede in charge the night that England won 5-1 in Munich, though Sven's sides never won the glittering prizes, the Swede proving perhaps too rigidly English in his commitment to the 4-4-2 formation.

Fabio Capello's brief stint was less successful. He never seemed happy in the English game, preferring to give interviews in Italian. That perhaps contributed to his abrupt departure, falling out with his FA bosses after he seemed unable to understand why allegations of racial abuse by the England captain had to be taken seriously by the governing body.

Arsene Wenger could not be more different. Almost unknown when he arrived to "Arsene Who?" headlines two decades ago, he became as much part of North London folklore as all-time great Arsenal and Spurs bosses, Herbert Chapman or Bill Nicholson, his own Invicibles once dominating the premier league without losing a game all season. There has been more frustration since the move from Highbury to the Emirates, but Wenger's track record means he ranks among the greatest managers of the last hundred years - and he could surely do a job for England.

Arsene is a European Anglophile. While the media debate whether or not the FA Cup has lost its place in our hearts, Wenger has no doubt that its magic still matters, which may be why his Arsenal sides have kept on winning it so often. Wenger manages a multinational team but England's football traditions have certainly got under his skin. The Arsenal boss has changed his mind about emulating the continental innovation of a winter break. "I would cry if you changed that", he has said, citing his love of Boxing Day football as part of the popular tradition of English football.

Obviously, the FA must make this decision on football grounds. It is an important one to get right. Fifty years of hurt still haven't stopped us dreaming, but losing to Iceland this summer while watching Wales march to the semi-finals certainly tested any lingering optimism. Wenger was as gutted as anybody. "This is my second country. I was absolutely on my knees when we lost to Iceland. I couldn't believe it" he said.

The man to turn things around must clearly be chosen on merit. But I wonder if our new Foreign Secretary Boris Johnson - albeit more of a rugger man himself - might be tempted to quietly  suggest in the corridors of footballing power that the appointment could play an unlikely role in helping to get the mood music in place which would help to secure the best Brexit deal for Britain, and for Europe too.

Johnson does have one serious bit of unfinished business from the referendum campaign: to persuade his new boss Theresa May that the commitments made to European nationals in Britain must be honoured in full.  The government should speed up its response and put that guarantee in place. 

Nor should that commitment to 3m of our neighbours and friends be made grudgingly.

So Boris should also come out and back Arsene for the England job, as a very good symbolic way to show that we will continue to celebrate the Europeans here who contribute so much to our society.

British negotiators will be watching the twists and turns of the battle for the Elysee Palace, to see whether Alain Juppe, Nicolas Sarkozy end up as President. It is a reminder that other countries face domestic pressures over the negotiations to come too. So the political negotiations will be tough - but we should make sure our social and cultural relations with Europe remain warm.

More than half of Britons voted to leave the political structures of the European Union in June. Most voters on both sides of the referendum had little love of the Brussels institutions, or indeed any understanding of what they do.

But how can we ensure that our European neighbours and friends understand and hear that this was no rejection of them - and that so many of the ways that we engage with our fellow Europeans rom family ties to foreign holidays, the European contributions to making our society that bit better - the baguettes and cappuccinos, cultural links and sporting heroes remain as much loved as ever.

We will see that this weekend when nobody in the golf clubs will be asking who voted Remain and who voted Leave as we cheer on our European team - seven Brits playing in the twelve-strong side, alongside their Spanish, Belgian, German, Irish and Swedish team-mates.

And now another important opportunity to get that message across suddenly presents itself.

Wenger for England. What better post-Brexit commitment to a new Entente Cordiale could we possibly make?

Sunder Katwala is director of British Future and former general secretary of the Fabian Society.