Osborne ramps up fear of a hung parliament

David Cameron said last week it was “disgraceful to try and frighten people”. But the Tories are focusing on false market fears of a hung parliament.

In last week’s leaders’ debate, David Cameron said it was “disgraceful to try and frighten people”. The press conference delivered by George Osborne and Jeremy Hunt this afternoon on the risk of a hung parliament was therefore surprising.

As he presented a new party election broadcast from the “Hung Parliament” party, Osborne cited evidence that business leaders, including the British Chamber of Commerce, feared a hung parliament. But as Left Foot Forward’s Varun Chandra pointed out last week:

• Goldman Sachs have argued that markets are already “comfortable” with the idea of a hung parliament;

• The pound has risen in the last month against the euro and the dollar; and

• Moody’s – one of the two most important ratings agencies – have suggested that a coalition government may actually help politicians deal with the deficit.

Indeed, Osborne’s scaremongering unravelled as soon as these points were raised. A reporter from Dow Jones said, “the financial markets themselves don’t seem to be reacting, they haven’t fallen in the last few weeks, they don’t seem nearly as concerned as you are”. While Channel 4’s Faisal Islam pointed out that “gilt yields are down below 4%, the pound’s gone up a little bit”. In response to the Dow Jones question, Osborne unbelievably said:

“There are still many people who hope and expect there’s going to be a Conservative majority. And I think the markets have always, to a degree, in recent months, had that priced in and I think we can deliver that.”

Watch it:

So what is it George? Are the markets scared or not?

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17 Responses to “Osborne ramps up fear of a hung parliament”

  1. House Of Twits

    RT @leftfootfwd New post: Osborne ramps up fear of a hung parliament http://bit.ly/9zwItZ

  2. Will Straw

    Which is it Osborne? Are markets scared of a hung parliament or not? http://bit.ly/9zwItZ (via @leftfootfwd)

  3. Lee Griffin

    RT @DuncanStott: RT @leftfootfwd New post: Osborne ramps up fear of a hung parliament http://bit.ly/9zwItZ

  4. The Common People

    Nonsense. There are 16 countries in the world with a triple-A financial stability rating (the highest possible rating) 10 of those are run by coalition governments.


  5. Duncan Stott

    RT @leftfootfwd New post: Osborne ramps up fear of a hung parliament http://bit.ly/9zwItZ

  6. uberVU - social comments

    Social comments and analytics for this post…

    This post was mentioned on Twitter by houseoftwits: RT @leftfootfwd New post: Osborne ramps up fear of a hung parliament http://bit.ly/9zwItZ

  7. Robert

    Men may lie.

    Markets never.

  8. Ryan Bestford

    "Osborne ramps up fear of a hung parliament" – http://bit.ly/bC6GHS (via @leftfootfwd)

  9. Jonathan Taylor

    Cameron said it is “disgraceful to try & frighten people" yet Osborne ramps up fear of a hung parliament http://bit.ly/9RDO48 #SameOldTories

  10. Richard T

    It’s clearly no coincidence that the noise from business about the risk of a hung Parliament has increased markedly in the last few days. Presumably these will be the same as those who have signed up to the threat to jobs from the NI increase. As an aside, how many of those shouting about the risk to British jobs have offshored work?

  11. Politics Summary: Tuesday, April 27th | Left Foot Forward

    […] that would “paralyse” the country. But at the press conference, the shadow chancellor appeared confused as to whether markets were spooked or […]

  12. Will Straw

    RT @SamuelCoates: Friends don't let friends vote for the Hung Parliament Party << more Tory scare tactics http://bit.ly/9RDO48

  13. Charles

    RT @Jon2aylor:Cameron said it's “disgraceful to try & frighten people"yet Osborne ramps up fear of hung parliament http://bit.ly/9RDO48 #r4

  14. Tory scare tactics on hung parliament & economy are "irresponsible" | Left Foot Forward

    […] that a hung parliament will lead to economic meltdown for the UK. As Left Foot Forward has clearly pointed out, suggesting that coalition government will necessarily lead to a sterling crisis and the IMF being […]

  15. Look Left – The Week in Fast Forward | Left Foot Forward

    […] The start of the week was dominated by the Tories’ scare tactics, negative campaigning and fearmongering over the “threat” of a hung parliament – just a week after David Cameron said it […]

  16. Cameron ad to avoid “Hung Parliament” « Mind Your Language

    […] Osborne ramps up fear of a hung parliament (leftfootforward.org) […]

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