Britain remains trapped in poor economic policy | Letters

Randeep Ramesh certainly tackles a worthwhile and complex modern economic policy conundrum (Labour could find the money it wants without raising taxes. This is austerity by amnesia, 29 June). But his opinion that the Bank of England should simply hand over the cash proceeds from quantitative tightening (QT) and that central bank independence is somehow partly responsible for Britain’s economic woes, are misguided.Central bank independence was hard-won and has largely proven a resounding success in the developed world for more than 30 years. Allowing a central bank to hand over substantial moneys from QT revenues to the Treasury would be a recipe for disaster, against the spirit if not the letter of the law, as well as a dangerous precedent

Rishi Sunak takes advisory role with Goldman Sachs while serving as MP

Rishi Sunak is to take on a new job as an adviser to the investment bank Goldman Sachs while still serving as an MP.The Conservative former prime minister will be restricted from lobbying the government on behalf of the bank for another year and will give his salary from the role to the Richmond Project, a charity he set up to encourage numeracy.In the role, which marks Sunak’s return to the bank he first worked for in the early 2000s, he will advise clients of Goldman Sachs on economic and geopolitical interests.Announcing the appointment, David Solomon, the chief executive of Goldman Sachs, said: “I am excited to welcome Rishi back to Goldman Sachs in his new capacity as a senior adviser.”The Advisory Committee on Business Appointments (Acoba) set some conditions for the appointment, including the standard two-year ban on lobbying from the point of Sunak leaving ministerial office in July 2024

James McMurdock will not seek Reform UK return after Covid loan questions

The former Reform UK MP James McMurdock has suggested he will permanently quit the party after receiving legal advice about his business conduct related to Covid loans.McMurdock, the MP for South Basildon and East Thurrock, surrendered the party whip last week in anticipation of revelations in the Sunday Times, which claimed there were questions over loans totalling tens of thousands of pounds.On Tuesday, McMurdock said he had decided to remain as an independent MP rather than seek to return to Reform UK.“I have now had a chance to take specialist legal advice from an expert in the relevant field,” he posted on X. “In light of that advice, which is privileged and which I choose to keep private at this time, I have decided to continue my parliamentary career as an independent MP where I can focus 100% on the interests of my constituents

UK public finances on ‘unsustainable’ path amid growing climate, debt and pension costs

The UK’s public finances are on an unsustainable long-term trajectory, given the growing cost of state pensions and the mounting climate emergency, the Office for Budget Responsibility has warned.Richard Hughes, who chairs the budget watchdog, said government debt would rise to 270% of GDP by 2070 – up from less than 100% today – if current policies were left unchanged.“The UK public finances are in an unsustainable position in the long run. The UK cannot afford the array of promises that it has made to the public,” he said.In its annual assessment, the OBR points out that the UK has “the sixth-highest debt, fifth-highest deficit and third-highest borrowing costs among 36 advanced economies”

Norman Tebbit, former Tory cabinet minister, dies at 94

Norman Tebbit, the former Conservative cabinet minister and one of Margaret Thatcher’s most loyal supporters, has died at the age of 94.Tebbit represented the constituencies of Epping and Chingford as an MP for 22 years before receiving a life peerage, making him Lord Tebbit of Chingford. He retired from the House of Lords in 2022.During his long political career he served as employment secretary, trade and industry secretary, chancellor of the duchy of Lancaster and chair of the Conservative party.His death was confirmed by his son, William, who said in a statement: “At 11

Labour picks on kids as Farage reaches for his human punchbag

Gluttons for punishment. You’d have thought that after their experience of the last week in which they were forced to make not one, but two U-turn concessions to secure the support of MPs over the welfare bill, Labour would have been after a little down time. A chance to build bridges with its own backbenchers. A moment to regroup and hope the media can run stories about something other than where it all went wrong for Labour in its first year. Or just a chance to run down the clock to recess in a fortnight’s time