Time to be honest, Andy
Plus: giving driverless cars the green light, and the mother of all biases
It’s a scorcher – or kokushobi, as they say in Japan. I just wish I were writing this from one of Japan’s ‘human fridges’. Failing that, somewhere in the world where air conditioning isn’t treated like witchcraft.
With Westminster half-empty and those of us who remain melting where we sit, the Government chose a good time to release the official analysis of its plan to restrict zero-hour contracts. The report shows that, if implemented in full, the reforms could cost businesses up to £3 billion a year, with the hospitality sector and youth employment hardest hit. Just what everyone needs after the hike to employers’ National Insurance went so well.
Meanwhile, we await the by-election result in Clacton overnight. Due to the unprecedented number of candidates, it will take longer than usual to count, but the result should be in between 5–7am. It will at least be a bit cooler by then.
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
Let's get real about Britain's finances
John Penrose
‘Rather than creating fiscal headroom to justify extra Government borrowing and debt, an honest set of figures would reveal the exact opposite.’
Andy Burnham has pledged fiscal prudence, while asking his Chancellor how to allow more borrowing. It’s no wonder well-known and respected economic experts like Jim O’Neill seem reluctant to join the Government. Burnham should be honest instead, and admit the true state of the public finances – including huge future liabilities like the state pension. Read More
Driverless cars can save Britain
James Price
‘Instead of being afraid of technological progress, imagine if Britain embraced it.’
In 1865 Parliament passed the ‘Red Flag Act’ that slowed any car on Britain’s roads to walking speed. Perhaps we have learned our lesson. Londoners have been allowed to join a waiting list to try the latest robotaxis. And why not? They have proven incredibly successful in the US and much safer than human drivers. Britain could be a leader in this industry, if it gets the rules right. Read More
Stat of the day
Best of the Web
The economy is growing – but not enough
Michael Simmons, The Spectator
‘These relatively “robust” figures we’ve seen today do little to distract from the longer-term troubles coming down the road.’
The economy grew 0.4% in the second quarter. That’s better than forecast, and gives John Healey more room to fund discounted Scampi Fries in every postcode or whatever Burnham’s latest scheme is. But with children born in the next few years set to spend £1 in every £5 on government debt interest payments, it’s not nearly enough. Read More
We need more than easy wins
Emma Revell, ConservativeHome
‘In many ways, Burnham is just adding sprinkles to the taxpayer-funded ice cream cone his predecessor has already handed out.’
Andy Burnham is making the most of recess with his summer cost-of-living tour, announcing a run of small, crowd-pleasing measures. But cheaper buses and easier subscriptions aren’t a plan for Britain. The hard questions – on welfare, housing, the triple lock – still need real answers. Is Burnham willing to make some unpopular decisions? Read More
The bias that's destroying civilisation
Matt Ridley
The Capitalist: Richard Hanania on populism
And if you want more...
– Is scientific progress slowing down? Maybe not (The Economist 🔒)
– Samuel Hughes: a new way to cool English homes (X)
– What happened to liberal democracy? (Conversations with Tyler 🎧)
Can we make CapX better?
Or reply to this email to let us know your thoughts.
We'll be back tomorrow.