Travelling in turbulent times - News - Evening Standard
       

Travelling in turbulent times

The collapse of travel company XL Group, the third-largest package operator in the country, is another gloomy indicator of the state of the economy. As an airline operator, XL was particularly exposed to soaring fuel costs but the wider pressures are clear. The failure comes hard on the heels of unusually critical comments from the Governor of the Bank of England, Mervyn King, about the Government's economic rescue plan. He warned that the Prime Minister's measures to kick-start the housing market risk damaging recovery in financial markets.

Meanwhile, Bank Monetary Policy Committee member David Blanchflower, testifying to the Commons Treasury Committee with Mr King, predicted a "horrible" unemployment surprise for Britain.
It adds up to an increasingly grim public mood. So how will the Government convince sceptical voters that it can turn things around? In our interview today with Jack Straw, the Justice Secretary concedes that people are feeling "destabilised and unhappy" and that the length of time that Labour has been in power is a problem. But he offers no real clue to how the Government will respond to the public mood, except, implicitly, by digging in and waiting for things to get better.

He does, however, spend more time criticising the Conservatives than ministers have tended to recently. As the Government's woes mount, the Tories are being looked at increasingly seriously as an alternative: this week has seen much analysis of their plans. But while Mr Straw seizes on the admission of shadow chancellor George Osborne that the Tories would not attempt to match Labour's spending as proof that their plans do not add up, he should beware the Tories' new-found confidence on such questions. Mr Osborne's comments offer proof, rather, that the Conservatives feel able to set out a clear alternative to Mr Brown's strategy of high spending on the public sector for patchy results. That could end up being as dangerous to Labour as the Prime Minister's powerlessness in the downturn.

Zimbabwe hope

News of the power-sharing deal hammered out in Zimbabwe between President Robert Mugabe and his challenger, Morgan Tsvangirai, is welcome —but should be greeted with caution. Certainly such a deal seemed unlikely in May, when Mr Tsvangirai seemed to have won the presidential election but Mr Mugabe effectively annulled the result, triggering a wave of repression that left hundreds dead and thousands injured. Anything that ends the bloodshed is positive for those suffering in Zimbabwe — but will it lead to anything resembling democracy?

Details have yet to be annnounced. But the danger is that Mr Mugabe, who has refused to step down as President, will continue to hold the reins of power and that his security forces will maintain their grip, leaving Mr Tsvangirai theoretically in office but without power— and with his credibility diminished. Moreover, there is no sign that those in the regime and security forces responsible for gross human rights violations will face any sanction.

Mr Tsvangirai may be able to use the momentum of this agreement to push for control and a scaling-down of Zimbabwe's security state. But Mr Mugabe is a legendarily slippery operator. The international community should not let him off the hook yet.

Proms triumph

The last night of the Proms tomorrow ends one of the most extraordinary Proms seasons of recent years. The Proms concerts were well loved but came around each year without generating much excitement in the music world.

Building on Nicholas Kenyon's legacy, this year the BBC has transformed the series under the directorship of Roger Wright. Quirky performers such as Nigel Kennedy and a more daring programme have delighted concert-goers and BBC listeners. As Norman Lebrecht argues on these pages, this year's Proms are a reminder of how good the BBC can be.

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