Rates up, oil down

Plus: why the Right should cheer Trump’s defeat, and why it's time to ease the tax squeeze

Nov 05, 2026

Happy Guy Fawkes Night. Enjoy your noisy fireworks while you can: the fun police are on the case.

After the Republicans took a bruising in the US midterms, oil prices fell sharply, on the expectation that the rebuke from voters could push President Trump to end the Iran war.

That prospect didn’t stop the Bank of England raising interest rates today – for the first time in more than three years – as it looks to head off the risks of inflation from the energy shock. So, is the Government pushing energy security to the top of its agenda? What do you think?

John Stepek@John_Stepek

Worth remembering re the BoE move, that it's mostly about oil/energy costs, and the last two days have seen those change rapidly. Note too though that it highlights UK's ridiculous energy fragility - your mortgage is rising because our MPs refuse to prioritise energy security.

12:27 PM · Nov 5, 2026 · 20.3K Views

30 Replies · 91 Reposts · 441 Likes

Below you’ll find all the latest pieces from CapX, plus what we’re reading from around the web.

Marc Sidwell
Editor, CapX

Today’s Takes

Fresh thinking from CapX

The midterms are good news for the British Right

James Price

‘The British Right has a much better chance of “vibing” with a future DeSantis administration than it ever could with Trump.’

Ron DeSantis broke ranks just before the US midterms, saying that Trump’s war in Iran had been a big drag on Republicans. The midterm results proved him to be right, as Democrats won both the House and the Senate. The fact he has kept himself distant from Trump’s tariffs and the MAGA circus puts him back in the 2028 presidential race. It’s a good sign for the British Right, who would get on much better with him. Read More

Stat of the Day

Best of the Web

Minimum wage rises make jobs rarer

Daniel Herring, ConservativeHome

‘The Government should not be heaping additional costs on employers via taxes or the minimum wage when they are already struggling with spiralling energy bills.’

The minimum wage is going up again. It was originally brought in by Tony Blair, but the real rise began when the 2015 Conservatives promised to raise it to 60% of median earnings. This is one factor among many making it increasingly difficult for young people to find work. The only way to help everyone is through growing the economy. Read More

The tax squeeze that dare not speak its name

Ryan Bourne, The Times 🔒

‘[John Healey] tells the Commons he avoided raising taxes on working people, while continuing to squeeze them stealthily.’

Only one taxpayer in 15 paid the 40% rate in 1990/91. By 2030/31, the OBR expects almost one in four to pay at least that much. The freeze in tax thresholds is one of the biggest tax rises we’ve seen, with £26 billion still to come. Because it’s a stealth tax, successive chancellors have got away with it. They don’t deserve such an easy ride. Read More