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A reality check for both wings of the Tory party A reality check for both wings of the Tory party | |
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As the chancellor sat down, commentators and politicians began to muse whether they had just witnessed a true heir to Tory predecessor George Osborne, or a man intent in following in the footsteps of Labour’s Ed Balls. | As the chancellor sat down, commentators and politicians began to muse whether they had just witnessed a true heir to Tory predecessor George Osborne, or a man intent in following in the footsteps of Labour’s Ed Balls. |
Philip Hammond was clearly not mimicking the dancing style of the former Labour MP. However, he did seem comfortable announcing almost Keynesian large-scale investment projects and high levels of borrowing to invest, in a statement that, unquestionably, had an interventionist touch. | Philip Hammond was clearly not mimicking the dancing style of the former Labour MP. However, he did seem comfortable announcing almost Keynesian large-scale investment projects and high levels of borrowing to invest, in a statement that, unquestionably, had an interventionist touch. |
That alongside, at best, moderate action for just managing families and stark forecasts in the face of Brexit uncertainty left Hammond facing possible angst from both sides of his party. | That alongside, at best, moderate action for just managing families and stark forecasts in the face of Brexit uncertainty left Hammond facing possible angst from both sides of his party. |
One Conservative MP, making his way from the House of Commons’ chamber to an office in Portcullis House, parliament’s glass-roofed annexe, admitted that he was a little concerned. “There is some worry about them shifting to a more interventionist position, especially among those of us who are more free marketeers,” said the politician. “I can see why they want to do it. It is seductive to step in if an industry is in trouble. But they have to be careful not to go too far.” | One Conservative MP, making his way from the House of Commons’ chamber to an office in Portcullis House, parliament’s glass-roofed annexe, admitted that he was a little concerned. “There is some worry about them shifting to a more interventionist position, especially among those of us who are more free marketeers,” said the politician. “I can see why they want to do it. It is seductive to step in if an industry is in trouble. But they have to be careful not to go too far.” |
Nearby, a Tory on the left wing of the party was critical for a different reason. “What was there for just managing families?” they asked, shrugging their shoulders and rolling their eyes. “The sandwich didn’t have much jam!” | Nearby, a Tory on the left wing of the party was critical for a different reason. “What was there for just managing families?” they asked, shrugging their shoulders and rolling their eyes. “The sandwich didn’t have much jam!” |
And yet, while there was the odd grumble, the backbench concern did appear to be largely muted. Most Tory MPs wandering around the Commons seemed relatively pleased with what they had heard. | And yet, while there was the odd grumble, the backbench concern did appear to be largely muted. Most Tory MPs wandering around the Commons seemed relatively pleased with what they had heard. |
Heidi Allen, a key figure who has been pushing hard for the government to offer relief to universal credit recipients who are facing massive cuts, seemed satisfied with what she had heard. | Heidi Allen, a key figure who has been pushing hard for the government to offer relief to universal credit recipients who are facing massive cuts, seemed satisfied with what she had heard. |
Although Labour said a change in the benefit’s taper rate fell well short of undoing the damage caused by the original decision, Allen insisted that it was a start. “You are always a little bit disappointed because you dream of utopia and I hoped we might have more,” she told the Guardian’s Politics Weekly podcast. | Although Labour said a change in the benefit’s taper rate fell well short of undoing the damage caused by the original decision, Allen insisted that it was a start. “You are always a little bit disappointed because you dream of utopia and I hoped we might have more,” she told the Guardian’s Politics Weekly podcast. |
But alongside continued increases to the personal allowance and a rise in the minimum wage, she argued that “a billion pounds into universal credit plus” was pretty good. | But alongside continued increases to the personal allowance and a rise in the minimum wage, she argued that “a billion pounds into universal credit plus” was pretty good. |
Others simply felt that the chancellor had done what he had to. “Philip Hammond delivered the autumn statement you’d expect him to,” said backbencher James Cleverly, a Tory MP who backed Brexit. “It was not flamboyant, there were no bells and whistles. There was some difficult economic news, but still with spending on areas that Conservatives care about – transport, broadband, fuel duty.” | Others simply felt that the chancellor had done what he had to. “Philip Hammond delivered the autumn statement you’d expect him to,” said backbencher James Cleverly, a Tory MP who backed Brexit. “It was not flamboyant, there were no bells and whistles. There was some difficult economic news, but still with spending on areas that Conservatives care about – transport, broadband, fuel duty.” |
Nicky Morgan, who supported remain and has been an increasingly vocal member of the backbench awkward squad, also described it as “steady as he goes”. | Nicky Morgan, who supported remain and has been an increasingly vocal member of the backbench awkward squad, also described it as “steady as he goes”. |
Backbenchers also pointed to Hammond’s expectation management, through which he made sure the media, but also Conservatives, weren’t clamouring for much. It was noted that Hammond had addressed a meeting of the 1922 backbench committee where he stressed to colleagues that showmanship (think rabbits, sweets, gimmicks) wasn’t his style. | Backbenchers also pointed to Hammond’s expectation management, through which he made sure the media, but also Conservatives, weren’t clamouring for much. It was noted that Hammond had addressed a meeting of the 1922 backbench committee where he stressed to colleagues that showmanship (think rabbits, sweets, gimmicks) wasn’t his style. |
And so gone were the four to five pages that Osborne would have dedicated in the “green book” to regional giveaways (through which the A14 appeared to have been resurfaced several times). Hammond’s approach was to focus on investment in specific industrial areas, not parts of the country. | And so gone were the four to five pages that Osborne would have dedicated in the “green book” to regional giveaways (through which the A14 appeared to have been resurfaced several times). Hammond’s approach was to focus on investment in specific industrial areas, not parts of the country. |
And then there was Brexit. Even those who campaigned for the UK to leave the EU admitted the economic news was tough. But the argument was that Hammond provided the Conservatives with a “bullet-proof” messenger given that he had campaigned to remain. | And then there was Brexit. Even those who campaigned for the UK to leave the EU admitted the economic news was tough. But the argument was that Hammond provided the Conservatives with a “bullet-proof” messenger given that he had campaigned to remain. |
Brexit-supporting MPs also argued that the borrowing figures were over a long period, and pointed out that Hammond would have pleased leavers by starting his speech with a booming introduction about the robust health of the British economy. | Brexit-supporting MPs also argued that the borrowing figures were over a long period, and pointed out that Hammond would have pleased leavers by starting his speech with a booming introduction about the robust health of the British economy. |
On this thinking, Hammond’s cautious approach to the question of Brexit so far (critics have accused the chancellor of being a doom-monger) also gives him the advanage that people take him even more seriously when he sounds upbeat. | On this thinking, Hammond’s cautious approach to the question of Brexit so far (critics have accused the chancellor of being a doom-monger) also gives him the advanage that people take him even more seriously when he sounds upbeat. |
But perhaps MPs are hearing what they most want to. While Brexiters have seized on Hammond’s positive start, remainers were instead taken by a more worrying end. As one MP fighting for a soft Brexit put it: “This was the first reality check about just how difficult this is going to be for the British economy.” | But perhaps MPs are hearing what they most want to. While Brexiters have seized on Hammond’s positive start, remainers were instead taken by a more worrying end. As one MP fighting for a soft Brexit put it: “This was the first reality check about just how difficult this is going to be for the British economy.” |