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Ed, show us the alternative

In BBC Question Time, Government Spotlight, Home Affairs, Ideology, Party politics on April 6, 2011 at 7:21 pm

By James Bartholomeusz

Audience responses on the BBC’s Question Time usually range from the mildly interesting to the banal, providing little more than an identification of which panel member the viewer most aligns with. However, once in a while, someone says something so original and yet so obvious that it merits serious consideration. Such a thing was said on last Thursday’s episode: a woman, chosen by David Dimbleby to speak, asked why Labour, if it’s so committed to the alternative, doesn’t pen a Shadow Budget to lay out their alternative deficit reduction plan.

The panelists response to this was painfully predictable. Diane Abbott, as the Labour representative, spluttered something about it being nonsensical four years before an election, whilst Mark Serwotka, the head of the PCS union, repeated his tenuous claim that there is no necessity for any spending cuts whatsoever. And yet this idea of a Shadow Budget, levelled by someone so lowly as to not be a professional economist or politician, is one that, I think, should be adopted by the Labour Party without hesitation.

The current debate on the economy, both national and global, has lined up between the two foremost schools of economic thought: neo-classicalism and Keynesianism. The neo-classicalists, inspired primarily by the 19th Century economist David Ricardo, see budget deficits as dangerous and immoral: according the Ricardian equivalency, any national deficit between income and spending (the UK’s being approximately 10% of GDP) is just taxation deferred for future generations. By radically cutting public spending to balance the deficit (‘expansionary fiscal contraction’, or, in Cameron’s terminology, ”rolling back the boundaries of the state”) neo-classicalists believe that the private sector will be freed from taxation and competition with the public sector to drive the economy back to prosperity. Keynesian thought, meanwhile, led the original response to the financial crisis, bailing out the banks and implementing fiscal stimuli to drive the economy quickly out of the recession. Now out of the immediate danger zone, Keynesians, such as Robert Skidelsky and Joseph Stiglitz, do not dispute the need for eventual deficit reduction, but are concerned that a premature fiscal contraction underestimates how much the private sector relies on the public sector, and so will drop the UK economy back into recession. Instead, Keynesians argue for fiscal policy based on growth and investment to stably harbour the economy, whilst slowly but steadily cutting the deficit.

This is the debate which, since the initial crisis response, has been mapped on to British party politics. Last May, both the Labour manifesto was based on the Keynesian response, whilst the Conservative one was neo-classicalist, and the Lib Dems in between but Keynesian-leaning. At least partially on these grounds, the majority of commentators predicted, before the election, a Lib-Lab coalition in the event of a hung parliament. And a hung parliament we had, except that the Lib Dem high command, vested with the choice of how to form the next British government, elevated David Cameron’s Tories over Gordon Brown’s Labour. Now in government, Clegg and his allies have apparently been won over to the neo-classicalist, and by extension George Osborne’s, fiscal plan: to entirely eliminate the deficit by the end of the parliament through a 73:27 ratio of spending cuts to tax rises.

All the evidence suggests that Osborne’s economic management so far has ranged from lacklustre to abysmal. The Office of Budget Responsibility, set up by the current government, has downgraded its growth forecasts from 3-3.5% to 2.6%. Unemployment is still rising, now at a 17-year high, with one-fifth of all young people unable to find a job. Inflation is at 4%, the highest in 20 years. The Consumer Confidence Index was last measured at -29, the biggest drop since 1994. Even the mainstream centre-Right newspapers, which had previously praised the Chancellor’s conviction, have now turned their attention more to the human costs of deficit reduction than the stability it will ostensibly bring. Osborne’s attempt to blame poor economic performance on heavy snowfall over December fooled no one: the US, German, French and even Spanish economies grew by over 0.5% in the last quarter of 2010, whilst ours shrunk by more than 0.5%. The problem is, what is the alternative?

Ed Miliband’s Labour, having dithered in the autumn months, has now settled on maintaining Alastair Darling’s plan of halving the deficit in a single parliament. With Ed Balls as Shadow Chancellor, this position has now been confirmed. Labour has since busied itself with rebuking the Tory-led government on its choices for deficit reduction: the VAT rise to 20% (predicted to cost families with children £450 extra in 2011), the rise in higher education fees, and front-line cuts to public services have been particular targets of the Shadow Cabinet. But Labour has yet to commit to what it would cut, or which taxes it would rise, were it currently in government. Although exactly how much would have to be cut under Labour’s plan is unclear, Miliband and his colleagues have so far sidestepped the sticky issue of what their ‘alternative’ would actually entail. It is this, more than any other factor, which will cost them electoral support.

I marched, carrying a Labour Party banner, alongside up to half-a-million others in London two weeks ago. And yet, will Labour’s reticence to commit to a specific deficit reduction plan, I am losing faith that there is a credible alternative to the government’s plan, however badly executed. A YouGov poll conducted on the same day found that the majority of the population, 52%, now supports the campaign against public sector spending cuts. But Labour should not fool itself that, just because it happens to be in opposition to an unpopular government, it will automatically gain the support of the electorate. This was the mistake made, in the last two decades, by both Kinnock and Cameron; 1992 resulting in a narrow Tory victory, and 2010 in a hung parliament. Labour should pen a Shadow Budget, laying out exactly which cuts and tax rises it would make. Ed Miliband has rightly sounded the death knell of New Labour and embarked on a holistic policy review, refusing to make manifesto commitments before the cuts have really started to affect the nation. But reconstructing its economic credibility needs to be the party’s top priority, and Miliband cannot afford to be haunted by the ghost of Gordon Brown any longer.


Coalition: the free marketplace of ideas

In Constitutional Spotlight, Government Spotlight, Home Affairs, Ideology, Party politics, Regional politics, The Media on January 8, 2011 at 9:24 pm

Celebrating 100 posts

David Weber

It is ironic, that a country so associated with the development of a free marketplace as our own, should find itself so paranoid of the notion of freedom of political ideas. I am being slightly cheeky here: I do not refer to political freedom with a capital P: freedom of speech, freedom of the press, freedom of movement or freedom of entry into political parties. All such things are long established, and do credit to our political system. I refer to freedom of ideas within the political discourse.

The terms ‘freedom of ideas’, or ‘marketplace of ideas’ are often misunderstood as only applicable in a binary, “1st Amendment/Police State” sort of way, where the only barriers to freedom to focus on are legal restrictions and the threat of violence. Such concerns are, of course, tremendously important, so important that it is easy to understand why they dominate conversation about freedom. But they are the skeleton, without which the structure would not stand, rather than the flesh. What determines whether freedom flourishes is just as much the complex, multi-layered cultural climate that surrounds it, as it is the legal rules which govern it.

Just as if you pump carbon dioxide into the climate unsustainably, you risk turning the climate into a hostile, unfriendly place; if the climate for freedom of ideas is not right, the marketplace will suffer. It is such concerns which are fuelling debate about such diverse subjects as copyright law and patents; libel; privacy law; media ownership; party funding; cuts to the arts and humanities, subsidies to STEM subjects and Tuition Fees; Parliamentary Privilege; Electoral Reform; Devolution; Question Time; and Nick Clegg.

And I find these discussions just as fascinating, if not more so, than the adrenaline-fuelling outrage stories such as that of Paul Clarke’s Shotgun last year, or the Twitter joke trial. Those were undoubtedly the more exciting, more thrilling stories to ponder and agonise over, but they lack the infinite depth and complexity that some of the others engineer. Indeed, that is why outrage stories are more thrilling, because a bare-faced, unbelievable simplicity has been violated, whether freedom of speech, innocent until proven guilty, or any other principle of decency. But one’s mind chews over the detail of a thorny problem much longer than the simplicity of an obvious one. Consider it a contrast between the headline of a newspaper and the quality of its crossword. Though the headline might be why you buy the paper, it is often the crossword which dictates how much time you devote to it.

In case you think I am joking by making an example of Nick Clegg (and I certainly was by making one of Question Time), think again. Nick Clegg, along with David Cameron, David Laws and collected others from their parties, have done more to further the interests of the free marketplace of ideas than any other politicians have this year. Although this may be a small order of merit compared to the champions of libel reform, and the heroes who fight bad laws in court, it is still an important one, and one which is quietly having a beneficial effect in freedom’s favour.

In case you think this is a political defence of the Coalition’s agenda, do not worry yourself. Feel free to hate the Coalition with as much passion as you can muster for what it intends to do. My interest is purely in what it is, for many of its members, unintentionally doing. It cannot be intentional for most of the Conservatives in government to fight against the collected traditions of cabinet government down the ages in stifling freedom of information, diversity of ideas and honesty of opinion. Nor can it be pleasing for the Liberal Democrats to have to expose the divisions in their own party, the limits of its honesty, its crimes of opportunism, and its members’ addiction to doing things together, like mythical lemmings.

Nevertheless, the Coalition is quietly but systematically dismantling much of what is wrong with British politics. It is testing the boundaries of what collective responsibility can censor. It is practically writing a textbook about the limitations of our political system for honouring promises, representing public opinion and giving people a democratic voice. And this is good, because it aids the truth. Britain does not have a particularly democratic system of government. It does not represent its people well. And promises are rarely kept in politics, they are merely normally managed better. There is a long and ignoble tradition of parties spinning their way out of promises, and it is refreshing to see some more bald-faced confessions.

The irony is that until the election, many would have spun these traditions as good things. Evasiveness and dishonesty lead to Collective Responsibility (with a capital C and R). Single-party and undeserved winners lead to strong government. Honouring manifesto pledges in letter but not in spirit is an example of a peculiar marriage between delegate and representative traditions, with MPs making fine independent judgements whilst scattering breadcrumbs of honesty to their constituents. Such is the balanced way in which the British constitution works, it would be argued, long has it functioned and long may it continue to.

Such arguments convey an inability to cope with uncomfortable truths. If what we are experiencing now is an example of constitutional imbalance, then I say we could all do with a continued dose of it. It seems to me ridiculous to assume that the average citizen will worry about the niceties of Constitution whilst being unable to cope with the occasional expression of honest ministerial opinion. It is equally ridiculous to think that people cannot prefer honest confession of broken promises to spin and obfuscation. And the very idea of coalitions automatically leading to instability and stagnation is already almost extinct after nearly 8 months of good practice.

But of course, the truth is that my opening premise works both ways. Coalition in the United Kingdom is being shown to work because the climate is already supportive of it. Radicalism is low, common sense in reasonable supply and if anything, our problem of apathy works to its advantage. If  you compared to Italy, you would find that it has historically failed to cope well with Coalition not because of PR, but because of a climate which has dominated its politics for decades. But even then, Coalition can arguably be used as a solution to division and extremism as well as being a freedom which mature nations qualify for, and benefit from. Part of Italy’s problem probably stems from choice of coalition. Whereas the strength of the Northern Irish system, as I argued in my previous article, is the lack of any such choice, and the democratic structure of the legal requirement, which automatically requires the largest two parties take part in government, and entitles smaller ones to cabinet seats. Of course, such a system would not have worked had Northern Ireland not been at a stage where, in general, it wanted it to.

So Coalition cannot always work, but the situations where it can are varied and diverse. It is a political freedom which requires maturity and a beneficial climate, but wherever it can work it has the potential to improve not only the freedom of political ideas, but the use to which such freedom can be put. Honesty has proved empowering. The Coalition is considering a faster pace of reform than single-party government has given us for a decade. You may disagree intently with what that is resulting in, but freedom is not defined by whether you like the use it is put to, apart from perhaps the consideration of its own long-term future.

It may yet prove that such freedom in political ideas without democratic reform to accompany it, and force it into greater accountability, is dangerous. But the indications are favourable, indeed, for democratic reform itself. The Coalition has a short-term rather than a long-term vision of reforming the House of Lords; a long overdue alternative form of representation, which will hopefully complement the purpose of the House of Commons rather than replacing it. It intends to introduce the Alternative Vote if the public vote in favour, which is a small but crucial reform for polite discourse during elections. At present, the system makes parties all too happy to turn their opponents against each other, which is a malicious and cruel incentive. And above all, the one way in which freedom of ideas is destined to flourish is the utter inability of the Prime Minister to habitually shuffle individuals between jobs like a pack of cards. His is truly the primus inter pares, not just technically.

I would also like to raise a glass to the Coalition for setting yet another example in the Daily Soapbox’s favour, of professional collaboration, courteous disagreement, and “an independent community, recognising that we all think better when people of different views express them clearly”. This is our 100th Post. Here’s to the future.

This is the second in a series of posts considering the nuances of democracy, intended as something of a response to polarii’s epic summer trilogy. Do take a read of that as well, if you have a spare week.

Concerning Devolution, and Democracy

In Constitutional Spotlight, Government Spotlight, Home Affairs, Ideology, Parliamentary Spotlight, Party politics, Regional politics, The Media on January 6, 2011 at 12:49 am

David Weber

Warning: long article approaching

For a while I’ve been wanting to write something equivalent, or at least in response to polarii’s analyses of democracy, not just to outline differences in opinion but also to cover issues which, I feel, were not discussed. The cut and thrust of this article, and possible future ones, will mainly focus (through the prism of a leading issue) of on the general untidiness of democracy; in attempting to define it, assessing its qualities, and outlining solutions. We will start by looking at Devolution.

Devolution has been in the news recently, and for once it isn’t the arguments about a Scottish independence referendum. The new powers proposed by the Calman commission are (partially) being unveiled by the new government, which seeks to deliver a certain amount of tax-raising power to Scotland, presumably not least with the intention of forcing it onto a more equal fiscal footing with England. That Scottish Government ministers are protesting that it will make Scotland worse off in cash terms seems to be evidence in support of this.

I do not have a great deal of sympathy for the Scottish government here, not least because the level of Scottish spending seems unnecessarily disproportionate to England. Obviously, Scotland being in general poorer than England, a degree of higher spending is needed, but for that to extend to free University tuition seems ridiculous, when there is no evidence that English students are particularly disadvantaged by the system which applies to them. Clearly, in this place, if in no other, there is some fat which could be trimmed.

But while the Commission’s terms of reference were the fiscal imbalances in Scottish devolution, I will be looking at democratic imbalances of devolution in general. According to some schools of thought, these are so grave as to override any merits the policy may have, and make abolition of the devolved assemblies the only solution. I am not so sure. I will begin, however, by outlining the case against Devolution.

The first, and most obvious attack, is the “West Lothian Question”. This actually originates from a theoretical question asked by the eponymous MP for West Lothian, Tom Dalyell, in 1977, long before the 1998 Scotland Act came into force:

“For how long will English constituencies and English Honourable members tolerate … at least 119 Honourable Members from Scotland, Wales and Northern Ireland exercising an important, and probably often decisive, effect on English politics while they themselves have no say in the same matters in Scotland, Wales and Northern Ireland?”

The word “decisive” is crucial, as some might hope this question away as an eternally theoretical one, with majorities never slim enough for it to truly make a difference. This is wishful thinking. Labour governments often rely on Scotland for a lot of their support, and indeed the Labour government in 1979 was brought down by the votes of Scottish National Party (SNP) MPs. More recently, in 2006, the vote on — you guessed it — University top-up fees was won based on the support of Scottish MPs; had they abstained, it would likely have been defeated. Democratic Unionist Party MPs voted in favour of raising detention without trial to 42 days in 2008, which passed by a majority of exactly the same number as the 9 DUP MPs, although that particular bill was rejected by the House of Lords.

Not only this, but there is also a more fundamental undemocratic charge against Devolution. It provides some people more representation than others, creating a two-tier or even a multi-tier system, where geography determines strength of political representation. Thus in Scotland, voters elect not only sovereign Westminster MPs, with theoretical responsibility for everything, but near-as-sovereign Holyrood MPs, with very real responsibilities for Health, Education, Justice etc. into the bargain. The voter therefore has two calls for help if something goes wrong, and, in theory, twice as much leverage in their everyday battles. In contrast, a voter in Herefordshire elects a sovereign Westminster MP and a couple of rather dusty councillors, if they even know that a local election is on. Voters in Wales have something of a half-way house between English anonymity and Scottish power. Voters in Northern Ireland — well, I’ll not get into that minefield (until later).

As suggested by the preceding paragraph, devolution is also unequal between regions. The Welsh Assembly does not (yet) have the extensive powers of the Scottish Parliament. London has the Greater London Assembly which, although weaker still, is far more powerful than most local government in England. So in summary, the picture painted by devolution is a very uneven and untidy one, resembling the sort of painting which attaches a lot of importance to the leaves of a tree but somehow fails to convey the basic structure of the trunk with balance and accuracy.

Such is the case against devolution. And before I go into any further, and consider the counter-argument, it is worth considering the fact that nothing argues for the current system quite so well as the inability of its opponents to outline sensible solutions.

One such solution is “English Votes on English Laws”: barring Scottish and Welsh MPs from voting on English legislation. This has a certain long-enduring popularity, and it is often assumed, most often by Conservatives, that this would solve the Question in a blow.

Now, if there is any one phrase I have grown to hate, normally because it is nearly always misapplied, it is “constitutionally illiterate”. Yet I am tempted to apply it here. Devolution, as some opponents evidently fail to grasp ten years after its implementation, is not the same thing as Federalism. The official power of the UK Parliament to overrule the Scottish Parliament is absolute. Parliament is sovereign. It’s political power is, of course, limited severely by devolution. But this is not to say that it will never overrule the devolved assemblies.

And whereas the ability of regional MPs to overrule the will of English MPs is limited, due to their small number, the scope for English MPs to overrule the will of the devolved assemblies, should they wish to, is far greater. Therefore the only way “English Votes on English Laws” would be constitutionally balanced would be to similarly ban English MPs from voting to overrule the devolved assemblies. Which would mean that for each of the four countries, there would be matters where the UK Parliament had no say. Far from strengthening the Union, English Votes on English Laws would go some way towards dividing it permanently.

There are also more practical objections. There is the fact that it probably wouldn’t lead to equality of representation in the first place, because it doesn’t address the “different quality of representation depending on region” criticism of devolution that I outlined earlier. Scottish, Welsh and Northern Irish voters would still have far stronger local democracy than England, although I acknowledge that the situation is almost impossibly complex to assess when it comes to Northern Ireland. But the gravest objection is that it would throw up the possibility of two different majorities being available in the House of Commons, one for English legislation and another for UK legislation.

Such a possibility would not result in, say, a Conservative English legislative agenda put forward by a Labour UK government, because a Labour government would never allow it. The result would be stagnation, or at best, coalition between the two parties on English legislation.

Here is the fundamental problem. People seem to think, against all political observation, that the devolved legislatures are the only important part of devolution. The fact is, however, that without devolved government, devolution is at most a panacea. So quite apart from the constitutional issues, changing the rules governing English legislation would at best only be a half-way step towards the full-blooded localism which has transformed Scottish and Welsh politics.

It is, of course, possible to engineer a more low-key, slimmed down version of English Votes on English Laws. The Democracy Taskforce, set up by David Cameron in 2006 and chaired by Ken Clarke, recommended changing Parliamentary practice to make it convention for regional MPs not to be involved in English legislation during committee and report stages only, without banning them from doing so; thus avoiding the constitutional objections. and limiting the potential for deadlock (as all MPs would vote during first and second reading, thus the whole house would initiate English legislation). In seeking to be so reasonable, the Taskforce created an opposite problem: the solution would be far too limited to address the extent of the problems. Not only this, but the potential for deadlock and odd results would still be very real: a bill could be re-written or sabotaged in committee and report stage, creating a legislative mess and confusion about where accountability lies.

So what other solutions? English devolution holds some attraction and almost certainly far more merit, but would run up against some much stronger political roadblocks. The amount of power it would be necessary to give away even to grant it the same stature as the Welsh devolution would entirely transform the way UK government works, and might alarm even the most ‘radical’ of reforming governments, who rarely give away power with no thought to the consequences, which would be unknown in such a big step. More problematic would be the size of England: with approximately 80% of the people in the whole Union, an English system of government would operate very similarly to the UK one. Such an idea also ignores the political motivations behind devolution to begin with, which I will come to shortly.

So were, or are, the opponents of devolution right? Is it impossible for the system to work democratically, or ‘neatly’? Is it crucial for the future of the Union that the devolved assemblies be abolished? Should we offer the regions (and perhaps Cornwall) an “all-in/all-out” referendum? It is at this point where I realise that I am vaguely puzzled, because no opponent of devolution ever makes the case that before devolution, the UK was a model of democratic perfection. This is because it wasn’t.

In fact, the democratic imbalances inherent in UK government before devolution far eclipse any created by devolution since. In 1979, Scotland went from one extreme of propping the Labour government up to being positively ignored for the following 18 years. Wales was in a similar position during the mid-80s, with Plaid Cymru at one point selling “Tory-free” mugs in celebration of Wales’ utter lack of connection to the UK government. In contrast, in 1997 virtually all of Scottish and Welsh representatives supported the incoming government.

In fact, what opponents of devolution really fail to grasp is that the UK system of government has never been particularly democratic when it comes to a matter of detail. If you wanted completely democratic government, then all elected representatives would govern in coalition. Elections as we know them are about winning. Winning is incompatible with everyone being listened to. In a competition, there are winners and losers, which leaves some people with power and some people without it.

In fact, the only system which comes close to being democratic is the devolved Northern Irish assembly, where the two biggest parties must by law be in coalition, which ironically is as a consequence of their historic inability to co-operate with each other. Winning is only proportionate to a public mandate, and the voice of the loser is granted equal respect as the voice of the winner. The lessons learnt from Northern Ireland’s history should, I hope, actually go some way in helping people to appreciate the importance of taking note of everyone’s voice, no matter whether they conform to a majority, plurality, minority, or just form one person’s opinion.

And this is what devolution to Scotland and Wales also set out to do, to end the ludicrous situation where UK politics regularly left regions polarised and often marginalised. Opponents of devolution rather remind me of people stood with a magnifying glass in front of a work of art, moaning about a hairline crack in the middle of the darkest shade, while utterly failing to appreciate the beauty of the picture as a whole. In fact, in my dedication to creating a fair and exhaustive summary of the flaws of devolution, I have been rather complicit in this myself. No doubt there is still much room for improvement. England lacks the local voice that, in time, it may find it needs. Westminster could do much more to prevent regional MPs from acting undemocratically. And Scottish politics is still alarmingly close to polarisation, with a separatist party viewed as the official alternative to Labour. But Scotland has found itself open to far more political plurality than it ever understood before, with the Liberal Democrats finding a voice in its previous government, with the SNP winning Westminster seats which would previously have been considered solid Labour territory, and with a proportional legislature which has quite failed to self-destruct and has quietly governed on a cross-party basis. Far from being a thorn in its side, devolution could teach the Union quite a few lessons for its future.


Mr Bean’s revenge

In Events, Government Spotlight, Home Affairs, Party politics, The Media on December 22, 2010 at 12:47 am

David Weber

Vince Cable famously said of Gordon Brown “from Stalin to Mr. Bean”. Yet it is Mr. Bean today, long since politically deceased, who must be celebrating (or at least mildly pleased). For Vince Cable has suddenly affected a transition of similar proportions himself, and the worst of it is that he can blame few people other than himself.

True, he can blame the Telegraph, which must be furious for failing to fell a second cabinet minister; and Robert Peston, and the BBC. But such a strategy will do little to comfort him: journalists are ever trying to sniff out facts to undermine politicians, parties and governments. And the manner of his falling seems careless: it is one thing to be secretly recorded having discussions with senior party figures and wealthy businessmen, but it is another for these quotes to slip out during constituency surgeries.

In fairness to Dr. Cable, we should take into account the Liberal Democrat fragility. It is understandable that members are particularly concerned about the impact of coalition on their majorities, given their national showings in the polls, and the sense that they will be punished for being the junior partner in the Coalition. It is also understandable that the people they find most difficult to deal with will not be their colleagues or department connections and interests, but party activists, members and voters. It is those people who will be the most difficult to win over.

Despite this, the effect on the reputation of Dr. Cable will be considerable. Having built a reputation for being a sensible pair of hands, long-sighted and competent, he now is dangerously close to Mr. Bean, and does not convey the same easy amiability. Rivals and ill-wishers will have serious ammunition, and his Liberal Democrat colleagues will probably take steps to distance the party from him. He may well no longer be seen as a pivotal figure.

Though superficially it may seem that the Daily Telegraph, and the BBC — who broke the most controversial comments concerning the BSkyB takeover — are the chief beneficiaries, this is not the case. In fact it may be that through being overenthusiastic in lighting the blue touchpaper, they have been somewhat burned. Both parties are opposed to the BSkyB takeover, and this leads to the significant problem that their own interests may be seriously set back in the near future.

The News Corporation takeover bid for BSkyB, the subject of Dr. Cable’s political near death experience, now looks healthier. Had Dr. Cable kept his cards to himself, he may well have been able to block the takeover even if few independent justifications were at hand. However, with his stated intention to “declare war” on Murdoch’s “empire”, and “win”, the government’s decision will be far more explosive. Add into the equation the EU regulator’s recent green light, and the future looks rosy for Murdoch.

The Telegraph, however, was one of the signatories to the letter opposing Murdoch’s bid, sent to the Business secretary, Dr. Cable himself, only recently. And this may be the reason why it was the BBC who released the most controversial part of the story, concerning Murdoch’s “empire”, and not the Telegraph. That certainly appears to be the claim of the original whistleblower, who complained about the way the Telegraph was releasing the information.

Yet it is difficult to see how the Telegraph could have avoided this story emerging, particularly after giving such a high profile to the first part of the story (concerning Dr. Cable’s relationship with the Coalition). Indeed, from the very moment when the investigation was successful, it must have only been a matter of time before the information emerged into the public domain. Perhaps they intended to make certain of Dr. Cable’s resignation, by releasing the quotes at a time which maximised damage. Or perhaps they intended to bury the more dangerous comments about News Corp, to favour their own interests. We will never know.

So who are the winners in this? It is David Cameron who must now be feeling pleased. Dr. Cable owes his position to him, which will make him far less of a problem for the time being, and easier to remove in the future, as his party will be keen to end their reliance on him.Thus the Liberals’ standing in the coalition is reduced, and Cameron’s control over his government increased. Better still, the issue of Conservative party relations with News Corp, a thorny issue, may yet resolve itself in his favour. If regulators continue to sign off the bid, his Culture Secretary, Jeremy Hunt, might even be able to approve it with little controversy, and use it to testify to the Coalition’s political diversity of opinion, and the Conservatives’ independence from the Liberal Democrat party. Relations between News Corp and the Conservative party would improve considerably, and the approaching election in 2015 would look that little bit less difficult. Except for the Liberal Democrats…