Tonight:
5°c
THE PRIME Minister's trip to Washington this week is billed as an attempt to recruit President Obama for a co-ordinated rescue of the global economy.
Certainly, Mr Brown's address to Congress on Wednesday is likely to focus on the importance of ensuring that the world, led by the US, pulls together in its response to the crisis. That is laudable. He should however have a tougher message for President Obama on trade and protectionism.
The warnings this weekend of a "new iron curtain" in Europe highlight the dangers of a retreat into protectionism. In his election campaign, Mr Obama inevitably focused more on his own backyard, but he has in the past also shown signs of a less liberal approach to world trade than his predecessors. We urgently need a new international trade deal, which will be one point under discussion at the G20 London summit in April. Mr Brown should also be preparing the ground for that meeting over the next few days by focusing on measures to boost demand, particularly on the part of credit-rich countries.
For the Prime Minister, a more useful effect of aligning himself with President Obama will be to put the problems of the British economy into perspective. Next month's Budget is likely to see the Chancellor, Alistair Darling, go far beyond the already-announced stimulus package of £20 billion, quite apart from the far greater sums that have gone to insure the banks against failure. The Treasury is about to embark on its policy of "quantitative easing" - printing more money. Mr Brown will hope that President Obama's $787 billion rescue package makes his own look manageable.
For the pressure on Britain's public finances is mounting, with the public liability from bank bail-outs to date amounting to perhaps £1,500 billion. While the Prime Minister basks in Mr Obama's reflected glamour, he is under increasing pressure to show that the massive bail-outs are working. Mr Brown badly needs a political boost at home from his new friend in Washington.
Crossrail blunder
The comments on Crossrail from Network Rail chairman Ian McAllister will be deeply irritating to London commuters and businesses - quite apart from highlighting Network Rail's own lazy attitudes to the service it provides.
Mr McAllister's comments appear in a secret report by consultants PWC. He reportedly said that he "needs Crossrail like a hole in the head" because of the alleged disruption the new link would cause to existing services. Network Rail emerges from the report as a mediocre organisation, with its risk-aversion and dedication to official targets "holding back the development of the railway infrastructure".
Crossrail, the planned Heathrow to Stratford rail link, is the single most vital improvement to London's public transport. Without its extra capacity, the system faces overload, making the capital less attractive as a place to live and to do business. The Government has now recognised this: construction gets under way this year. Inevitably, this huge project will cause disruption - but to use that as a reason to hold back on crucial infrastructure is utterly short-sighted. Mr McAllister and Network Rail should remember commuters and get behind Crossrail now.
Going electric
BORIS Johnson's interest in a public electric rental car scheme for London is welcome, if ambitious. Paris will launch a fleet of them next year, following the success of its Vélib' bike-hire scheme, yet London's own Vélib scheme remains more than a year off. Still, there is no reason why, with enough new charging points, our late start should prevent London becoming, as Mr Johnson puts it, "the electric capital of Europe". It would improve air quality - and perhaps even reduce the thunder of traffic on Hyde Park Corner.
