Welfare Universal Credit: winners and losers 17 November 2011 by Vidhya Alakeson Iain Duncan Smith has found an extra £300m for childcare in his Universal Credit, but women who want to work longer hours will lose out. The result is only going to make households worse offEarlier this month, the government announced the level of support that would be available for childcare under Universal Credit when it … Continued READ MORE
Living standards Goodbye to the good life 16 November 2011 by Gavin Kelly and James Plunkett In the three months from July to September, Britain’s economy actually grew—by 0.5 per cent. That performance was less bad than many had feared, and some have seized on it as a source of hope. For Chancellor George Osborne it was a “positive step… laying the foundations for the future success of the country.” Even … Continued READ MORE
Economy and public finances Learning the right lessons from Labour’s economic record 15 November 2011 You might think the one thing the world doesn’t need right now is yet another instant history about the Labour years. But here one comes — this time, though, with a difference. The authors certainly won’t be dining out on the royalties and there’s no insider gossip or “he said, she said” revelations about rows … Continued READ MORE
Housing Why Britain’s households got richer – and why they stopped 6 November 2011 by Gavin Kelly Before there is any prospect of shaking the economic pessimism that has engulfed the country we need first to alight upon a credible account of how working families will boost their living standards in the years ahead. At the moment no-one is mapping out this course to a more prosperous future; but more surprising, perhaps, … Continued READ MORE
Economy and public finances Getting from economic bingo to a growth plan 3 November 2011 The last week has produced a bumper crop of economic reports and statistics – resulting in a form of daily economic bingo – which will define the political and economic debate for the rest of the autumn and set the scene for the run into 2012. It’s a week that has sharpened the economic and … Continued READ MORE
Labour market The Breakdown in the Relationship Between Economic Growth and Pay 28 October 2011 With the fragile recovery in the global economy at very real risk of derailment, strategies for growth remain at the top of agendas across the world. But if we look at the period prior to the crisis of 2008-09, it becomes clear that we need to aim to do more than simply return to ‘normal’. Long … Continued READ MORE
Living standards Occupy the Bank 26 October 2011 At last we are getting some hard-hitting ideas about how to reign in and reform free-booting finance capitalism. From those camped outside St Paul’s? A new left wing think-tank? Perhaps a leading financier gone-rogue in the manner of Soros or Buffett? No, nothing so predictable. The new ideas are flowing from that well known citadel … Continued READ MORE
Living standards Obama: Mr 99%? 14 October 2011 Just a bunch of ‘kids and kooks’ or the early and messy stirrings of a deeper shift in US politics? That’s the question pre-occupying US politicians and assorted commentators from left to right as the one month old occupation of Wall Street spreads to a growing number of cities. They call themselves the ‘99%’ – … Continued READ MORE
Living standards Getting the measure of a better capitalism 12 October 2011 Today the Institute for Fiscal Studies has launched an Exocet at the Coalition’s claims to be a one-nation government taking a lead on poverty reduction. Nearly all measures of poverty are set to rise over the next five to ten years and the Coalition’s policies are part of the cause.But underneath the headlines the IFS analysis serves … Continued READ MORE
Living standards The coalition is actively increasing child poverty 11 October 2011 As has been widely reported, new figures published today by the Institute for Fiscal Studies forecast that the number of children in poverty is set to rise. Specifically, child poverty will rise continually during the first half of this decade and stay at approximately the same level until 2020, when there will be over three million children … Continued READ MORE
Living standards Child poverty: We need to rethink our 2020 target 11 October 2011 This morning the IFS published its latest projections for poverty. The stats have been widely reported, with most coverage focusing on the ‘unprecedented’ seven percent squeeze on middle incomes. But perhaps the more surprising figures are those for long-term trends in child poverty. On our current path, 800,000 more children will fall into poverty by … Continued READ MORE
Welfare Tories dodge a bullet on childcare 7 October 2011 In the past year the government has proven good at cauterising self-inflicted wounds. This morning’s announcement from Iain Duncan Smith on childcare stems another potential bleeder. His department have found an extra £300m to prevent further cuts to childcare support. It’s a welcome reversal of an ill-advised plan and a narrowly averted political foul-up. The extra money … Continued READ MORE
Welfare U-turn on childcare cuts: is the coalition waking up to its women problem? 7 October 2011 Sooner or later something had to give. And today it has. Following much speculation the government has finally announced a change in its planned cuts to childcare, a key area of concern for many working mothers (and fathers). The recent heat about fast falling support for the coalition among key groups of women voters is … Continued READ MORE
Housing Personal debt – the PM should be careful what he wishes for 5 October 2011 According to reports this morning, David Cameron will use his conference speech this afternoon to call on Britain’s households to pay down their debts. He will say that dealing with debt means not just paying down public debt but also “households – all of us – paying off the credit card and store card bills.” Such comments … Continued READ MORE
Labour market Lifting the lid on Low Pay Britain 4 October 2011 The National Minimum Wage rose by 15 pence per hour to £6.08 over the weekend, providing a timely boost to the incomes of the very lowest paid workers. On Sunday, new research by the Resolution Foundation put that rise into the broader context of low pay in modern Britain. Around one fifth of all employees in the … Continued READ MORE
Labour market The only way is up? The minimum wage and Britain’s low paid workers 30 September 2011 Tomorrow sees a 15p pence per hour pay rise for Britain’s lowest paid workers. Of course, every penny helps, but don’t expect to hear much gratitude. With RPI inflation running at 5.2%, this year’s VAT increase still being absorbed, tax credits being stripped back and any number of other pressures on the cost of living, … Continued READ MORE
Living standards Want to earn your way up? Fine – just don’t be a woman, live outside of London, or work part-time 23 September 2011 Who earns their way up in today’s Britain? Recent work suggests the story of mobility is not all doom and gloom. It showed a significant rise in overall earnings mobility in the 2000s compared to the 1990s, admittedly starting from a low base. More people are now climbing the earnings ladder in their own lifetime, … Continued READ MORE
Economy and public finances The coalition’s £11bn stealth cut 21 September 2011 A technical quirk will allow the government to skim small amounts each year from lower income households.What’s the biggest cut George Osborne has made as Chancellor? Scroll through the Budget Red Book and the answer may surprise you. There’s the removal of child benefit from higher rate taxpayers, clocking in at £2.5bn by the end of the … Continued READ MORE
Labour market New figures show women’s employment prospects the worst for decades 14 September 2011 With the coalition’s efforts to win back female voters in the news today, this morning’s new employment stats (pdf) couldn’t have come at a worse time. The figures on women’s employment are terrible. First, underemployment – an area of particular importance to women in the jobs market – has reached historic highs: • The number of people … Continued READ MORE
Labour market The coalition’s woes with women 13 September 2011 If you want to see a fearful expression, talk to senior coalition members about shifting patterns of support among women voters. Call it a cold-sweat, or a premature onset of mid-term jitters — they are distinctly, indisputably on edge. Which is odd, at least on the face of it, given that the Conservatives — if … Continued READ MORE
Welfare Taxing times for the coalition (contd…) 12 September 2011 by Gavin Kelly Just in case there was any risk of the coalition row on tax policy cooling down for a day or two, along comes a new report today, Tax and the Coalition, to fan the flames.We do, of course, need to bear in mind that in this choppy pre-party conference period, there is bound to be a … Continued READ MORE
Living standards Telling the story of the recession 12 September 2011 One of the toughest challenges of economic policy is effective and timely communication. Few Governments will survive long if their economic message is out of alignment with what people are feeling. That’s why when ministers point to ‘green shoots’ too early you can expect a speedy retraction. But in a subtler way, it’s also why the … Continued READ MORE
Labour market America’s skills crisis carries lessons for Britain 10 September 2011 by James Plunkett Yesterday’s FT contained one of those ominous stories that only grow in significance over time – the findings of a survey by Nielsen that reveals a huge, looming skills shortage in the US as the baby boomer generation retires. In the next five years, America’s top 100 industrial companies face an average training bill of … Continued READ MORE
Welfare Childcare double whammy: help is cut as costs soar 9 September 2011 The survey (pdf) published yesterday by the Daycare Trust and Save the Children was a stark reminder of the soaring costs of childcare and the impact they are having on family budgets. Fifty eight per cent of parents in severe poverty said they were no better off working once they’d paid for childcare; 41% said they were considering giving … Continued READ MORE
Living standards Willetts plays snakes and ladders 7 September 2011 by Vidhya Alakeson Social mobility has become something of a hot topic for the coalition. February’s Social Mobility White Paper made it the government’s number one social policy goal. Yet arguments over tuition fees have rather drowned out much of what they have to say on the topic, particularly when it comes to education and skills. So it … Continued READ MORE
