UPDATE :Am particularly impressed with the insight of Edmund Conway, the Telegraph’s economics editor, with the base rate now at 1.5% he sagely tells us “Interest rates are now nearing their bottom”. Well spotted Ed.
He is not the only one, Rachel Reeves, former Bank of England economist turned Labour candidate for Leeds West, writes in the latest Fabian Review:
Print More Money
Quantitative easing, a radical policy option which was used in Japan in 2005 to end their 15 year recession, could be used now in the UK. Quantitative easing is a policy tool used when conventional monetary policy no longer works – as they nominal interest rate approaches zero. The Bank of England can either print more money or buy government and corporate debt so that long term interest rates fall. Quantitative easing is not without risks (it can push up inflation) but the potential benefits now outweigh these risks. Such a strategy is increasingly seen as a way to kick-start the economy and should be adopted.
Guido warned about the coming of Mugabinomics in November, when Gavyn Davies advocated a wheel barrow based monetary policy. What should you do in this situation? If you don’t have productive assets (such as being a business owner) exchange cash for hard assets, gold is the traditional refuge.
Sir Michael White sneered at Guido last year for telling co-conspirators to buy gold. In a period when stocks fell some 30%, sterling denominated investors who bought at the beginning of the year have seen it rise 41% from £424 to £599 an ounce today. If this year we see “quantitative easing” (printing money), holding gold will be insurance as much as an investment. The economic prospect is frightening, this isn’t about making a profit, it about holding on to what you have got…
A Guido co-conspirator writes:
With my (state school educated) son trying for Oxbridge, I decided to give him a better chance against the private school competition by shelling out £295 for an interview training day, held in Birmingham.
As I waited for my son in the foyer, I was suprised to see Geoff Hoon, Minister of Transport, sitting a couple of seats away from me. Labour Minister gives offspring an unfair advantage in applying to top university? Surely not!
Mr Hoon was studiously perusing a sheaf of papers, writing notes in the margin. Perhaps some papers relating to the third runway at Heathrow? Our Transport Minister had to answer a call of nature, and left the room, leaving the pile of papers unattended on his chair. As a loyal citizen, I kept a protective watch over what may have been very important documents. I should have taken a picture too…
In due course his six foot tall daughter emerged from the lecture room and the two left in a hurry.
Miss Hoon is in fact so tall that she was identified by the UK government’s Sport’s “Sporting Giants” scheme. The scheme was launched in conjunction with the English Institute of Sport to identify those tall athletes who have the potential to excel in handball, volleyball and rowing, and at 6ft Miss Hoon was among those attending a Manchester session in the summer of 2007.
Wonder if Hoon got his money’s worth and she got an offer?
If, as sources claim, the Lyon inquiry reports that there is no evidence of deliberate wrongdoing or a breach of Commons rules, Cameron will not sack her from the Shadow Cabinet.
This will infuriate many parents who have to pay for childcare out of post-tax income, to pay a nanny costs middle-class parents some £40,000 a year in pre-tax income. No private sector employer will pay for a nanny. We are expected to believe that Spelman’s nanny was actually her constituency secretary* paid for by the taxpayer and that in return for her childcare duties her only compensation was room and board. Who really believes that the money was not payment for her childcare duties? Unbelievable, it simply does not wash.
If anyone knows of a nanny willing to work for only room and board can you please let Mrs Fawkes know, because we have never heard of such a deal. This is a complete and utter piss-take out of the taxpayer. Here is the acid test – if it really was completely above board and as she claims – why stop the arrangement?
Before anyone complains that she is a woman and she was new in a tough job, bear in mind that her and her husband are more than wealthy enough to afford a nanny. She is a smart, tough cookie, not some weak innocent. She has been caught abusing the system, at the very least she should pay back the money she fiddled.
*Spelman’s family home at the time was in Kent, some 140 miles from her West Midlands constituency. The nanny, Tina Haynes, told Michael Crick last year that she also took occasional phone messages and posted documents. For this she was paid tens of thousands of pounds.
“The dividing lines between the parties remain blurred.”
Tuesday, 6 January 2009
“It’s taken a recession for Brown to be candid about what it takes to make a fairer society. Suddenly the dividing lines in British politics are vividly clear.”
Tuesday, 25 November 2008
Based in central London this person will act as the administrator / organiser for a new independent Labour supporting campaigning organisation. They will have close contact with senior party figures and will assist with a brief that includes research, media management, writing and new media initiatives. The work will be rewarding and exciting and would be an excellent step to further work in Labour circles. It requires someone with good Labour party knowledge and contacts and will initially run for a three month trial period.
Guido is sure Derek said it was going to launch before Christmas. Can’t wait…
From: BURT, Lorely
Sent: 29 December 2008 08:59
To: Commons Members Staff
Subject: Change of password
Apologies for the previous email you have received in error. It was from a brainless MP (ie myself) trying to set up an email group. Please ignore the contents.
From: BURT, Lorely
Sent: 29 December 2008 08:39
To: Commons Members Staff
Subject: Change of passowrd