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Mr Brown and his ever fewer friends

Evening Standard comment
21 May 2009


It was a very far cry from the good times for the economy, when Gordon Brown's meetings with the business community were the occasion for mutual congratulation.

Last night, at the annual dinner for the CBI, the outgoing president, Martin Broughton, launched a scathing attack on Gordon Brown's performance - in the presence of the man himself - with particular reference to the budget deficit and the increase in the top rate of taxation to 50p, a move he described as "economic vandalism".

It was not the first time a CBI leader has criticised Mr Brown to his face but it shows the extent of the alienation of the once-friendly business world from a Prime Minister who, as Chancellor, had gone to pains to bring it into the New Labour orbit.

Finance and industry had during the years of economic growth delivered high levels of corporate taxation to the Treasury, and helped make possible the large public spending increases over which Mr Brown presided. Those days are gone.

Mr Brown said in response to Mr Broughton's criticisms of the 50p tax rate that "it was not my desire or wish" to raise taxation, yet that will not be enough to win back support from CBI bosses who are, frankly, alarmed by the drastic increase in the level of public borrowing, from six to 12 per cent of economic output.

Most of them share Mr Broughton's view that the Government should focus on core services rather than stimulating growth through increased spending - though in fact the idea that the Government is in any position to spend its way out of recession now seems remote from reality.

The truth is that the Prime Minister has ever fewer friends. The continuing public outrage at revelations of MPs' abuse of the expenses and allowances system has fallen on all the major parties - today's story that the taxpayer has paid for a Tory grandee's floating duck island is particularly riveting - but has diminished Mr Brown's standing more than Mr Cameron's.

But once that outrage subsides to the extent that the electorate can think of anything else, the focus will once again return to the fundamental question of Mr Brown's economic competence. And the verdict is likely to be harsh.

A new archbishop

The Catholic church in England and Wales gets a new leader today, and London a new archbishop of Westminster, with the installation of Bishop Vincent Nichols in Westminster Cathedral.

He takes on the leadership of the church at an exceptionally difficult time, in the wake of the publication of a harrowing report on abuse of children within church-run institutions in Ireland. Vincent Nichols has said, commendably, that those responsible should be brought to account.

Yet in London, the church has an important role, particularly in terms of its - largely admirable -church schools and charities for the homeless and disabled, and the new archbishop, a London man, has the qualities to build on those strengths.

He is assured in the world of politics and journalism with which every church leader must engage, and he has shown that he is perfectly willing to speak his mind.

Within London's rich ethnic mix, many from immigrant communities look to the church for support and spiritual identity.

A Christian leader who can bring a distinctive voice to public debate while reinforcing the church's social role will be a real asset to the capital.

Easy riders

Motorcyclists in Westminster can celebrate their small victory in forcing parking fees down to £1 from £1.50 but it doesn't address the real problem - lack of parking space.

The charge of £1.50 was steep but until the council finds space for more parking bays on its crowded streets, bikers will continue to be frustrated.

Meanwhile, the rest of central London's drivers and riders will hope that with this concession, the motorcyclists' mass protests end. Our streets are crowded enough without 1,000 angry bikers to deal with.

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No the protests will not end until the tax on parking motorcycles is scrapped. Motorcycles make the streets less crowded so why disencourage them by making them pay to park. Not only pay to park but tax them so the council can raise funds for other hairbrained schemes.

- Nick, Luton, 22/05/2009 09:34
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