As the government announces its new immigration cap today, some in Labour may be tempted to re-visit the thesis that a tougher policy on immigration could have saved the party from electoral defeat in 2010. The idea that immigration played a critical and negative role for Labour in the general election is now well established; the evidence, however, simply does not support such a position.
Twenty four months into its economic crisis and Ireland is finally beginning to address the fundamental issues that caused its national disaster, starting with the unique Irish mentality and its parochial political system.
George Osborne “stands ready” to help Ireland in the midst of economic crisis. It’s the least he can do after cheerleading their disastrous economic policies as a “shining example”.
So much remains in doubt on bonuses. But what we know for sure is that the Treasury’s entire bank levy revenue estimates between 2011-2014 were made when bonus payments were anticipated to be higher than they had been in 2008. And the idea that the banks should be offered another sop when they should be paying for the mess they created simply demonstrates where this conservative coalition’s priorities lie.
The Financial Times reports today that home secretary Teresa May was forced to “water down” her first major speech on immigration last week, after an intervention from Downing Street and business secretary Vince Cable. Unnamed sources within the government told the FT that May’s original speech was “over the top” – with particular objections to passages which attacked the level of Tier 1 visas.
The problem with politics is it’s complicated. Take the issue raised this week by Sir Andrew Green in his ConervativeHome article on immigration. In making his argument about reducing immigration, Green carelessly glossed over some staggeringly complex arguments about what the current and future shape of the UK economy should be.
Fast-growing small businesses are the latest group to speak out against the immigration cap, saying the restrictions on hiring non-EU migrants are forcing them to turn away work because they are unable to hire the right people. The news follows twin criticisms of the cap last week from the prime minister’s election speechwriter and the House of Commons Home Affairs Committee.
The British right praised Irish policy before the recession, during the recession and continue to praise it now. They have been consistently wrong.
If Ireland tightens fiscal policy to reduce the deficit, output growth will be even weaker in the short-term, pushing the deficit back up again. And if it cuts taxes or increases spending to boost economic activity, the deficit will also increase. It is damned if it acts, and damned if it doesn’t. Unfortunately, the only way out may be recourse to the IMF.
The UK economy grew by 0.8 per cent in the third quarter of 2010, twice as fast as expected by City economists. As in the second quarter, growth was boosted by a large increase in the output of the construction sector, but manufacturing output also increased strongly and there were solid increases in output across the service sector. Growth in the last three quarters has averaged an annual rate of 3.2 per cent.
