[Re: Study Italy’s election: It is the shape of things to come in the UK, yesterday]
A very good column. Economic failure will always be accompanied by political upheaval. I don’t think Italy’s result is worrying, however. Democracy is never worrying, except to those to whom it poses a threat. And at least the comedian Beppe Grillo has connected with the public through his internet-based campaigning. Over 70 per cent of his registered supporters are under 30. The message to our own disconnected political elite is clear. Stop talking to yourselves and start listening to your overtaxed electorate, or see the consequences play out at the ballot box.
[Re: Simpler energy tariffs will worsen fuel poverty and harm innovation, yesterday]
The effect of simpler tariffs will be marginal compared to the damage to competition caused by the Energy Bill. This is the destruction of an energy market, with prices set by civil servants. They will determine what capacity is built, while being insulated from scrutiny when they get it wrong.
Energy suppliers are already simplifying their tariffs (to damaging effect). E.On has withdrawn all tariffs that don’t include a standing charge, with the result that those with very low consumption are forced to pay just to have a supply they rarely use.
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The EU’s stooge Mario Monti got 10 per cent, while anti-politician Beppe Grillo got 25 per cent. My faith in Italy is restored.
Lars Feld, member of panel of economic advisers to Angela Merkel, says the euro crisis is to return “with a vengeance”.
Negative interest rates – more punishment for savers and unlikely to help our economy. Likely to depress the pound even more.
Paul Tucker’s remarks about negative interest rates are odd as the Bank of England has comprehensively rejected them so far.
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