Farage has a point, the UK should stop subsidising Scotland
It may have lost him the byelection, but Nigel Farage has a point about Scottish spending, writes Paul Ormerod Last week, Nigel Farage created a bit of a storm north of the border when he suggested that the longstanding formula for calculating how much Scotland receives from the UK Treasury needed “looking at”. Some commentators […]
From rare bees to miners’ pensions, money is now no object in parliament
Miners’ pensions, indigenous rights, the shrill carder bee – parliament and the public have lost touch with the reality of public spending, writes Paul Ormerod Early day motions (EDMs) are a longstanding feature of parliament. Some are tabled for local publicity for the MP, such as the one last week congratulating Peterhead on being champions […]
If the ONS can’t measure productivity, how are we meant to improve it?
The ONS’s shortcomings are far from trivial, its bad maths is holding back the UK economy, writes Paul Ormerod The Office for National Statistics (ONS) has come in for a lot of criticism for the accuracy of its labour market data. More specifically, its estimates of how many people there are in employment have become less […]
Method in Trump’s madness? What economic theory teaches us about tariffs
Trump’s tariffs have sent the world into a frenzy but there could be method yet. Economic theory shows that tariffs can in some cases reduce prices, writes Paul Ormerod The reactions to President Trump’s tariffs have been frenzied, to say the least. The headline on many of the stories about them might well have read “The […]
Reeves’ black hole alarmism is creating something scarier: A real one
Reeves’ fearmongering has scared Brits into saving. The consequences will be more frightening than Reeves’ ‘black hole’, writes Paul Ormerod A very bad piece of news for the Chancellor, Rachel Reeves, slipped out last week with relatively little comment. The personal savings ratio – the proportion of incomes, net of borrowing, which individuals save – rose […]
If crises are the test of a nation, Western Europe is failing
The financial crisis and the pandemic have shown how Western Europe deals with crises. And it’s not pretty, writes Paul Ormerod Karl Marx certainly had the ability to encapsulate a complex phenomenon in a pithy and memorable paragraph. In a pamphlet on the Crimean War of the 1850s he wrote: “The redeeming feature of war […]
What ever happened to levelling up?
Levelling up has all but disappeared from the government’s agenda. That’s a big mistake for growth, writes Paul Ormerod Later this month Chancellor Rachel Reeves will deliver her Spring Statement. It seems to be waited on more in fear than hope. But one area of policy appears to have more or less disappeared from the […]
Starmer’s labour market reforms will put people out of work
Keir Starmer’s Labour Party is frequently criticised for the lack of detail around most of its policy pronouncements. One area where this is far less justified is the labour market, where a whole raft of proposals has been put forward. The initial set included ending the two year period before full employment rights kick in, […]
The history of rail suggests renationalisation will make little difference
Getting the railways to function properly has been a problem ever since they were first invented. The opening ceremony of the Liverpool and Manchester railway in 1830 was a major event in world history. For the first time ever, two cities were connected by a form of transport which could go considerably faster than a […]
Have we passed peak electric car?
This week I got rid of my electric car. As a car, it was a pleasure to drive. I also enjoyed the fact that it disconcerted at least some of my liberal friends who would not naturally associate me with such a ‘progressive’ consumer choice. But the downsides, as increasing numbers of people are realising, began to […]
