The irony of Rishi Sunak’s long-term vision is the short-term political calculation behind it

Published

2 years ago

October 4, 2023

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He may have been prime minister for a year, but his speech to the Conservative Party conference in Manchester felt almost like the moment Rishi Sunak introduced himself for the first time.

A speech rich in announcements and packed with messages about Rishi the man and his values.

He and his team knew the speech would be critical to resetting his stuttering leadership.

And you could see that in the overarching theme he returned to throughout – whether it was his description of his childhood, his political priorities or the sort of leader he wants to be, the ultimate message was “take a look at me again”.

That theme is a tacit acknowledgement that after nearly a year in office, working tirelessly hard, there has been very little apparent change in the public’s appetite for the Conservative Party led by him.

This was the first, and perhaps the only chance, that Mr Sunak will get to lay the foundations of his leadership pitch before a general election.

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The speech aimed to do three things: First, to define his values and priorities of leadership. Second, to set out priorities that support the assertion that he is willing to take “tough decisions” in the country’s long-term interests. Third, to present himself as the ‘change candidate’ who can take the fight to ‘status quo’ Labour.

By doing this, his close advisers hoped he would present himself as a leader who wants to “do what works” and as a traditional Conservative who wants to “make things better for the next generation”.

He sought to project the values of common sense and social conservatism – drawing parallels between himself and Margaret Thatcher by painting the Conservatives as the party of the “grocer’s daughter and pharmacist’s son”.

At its root was the claim that he is the heir to Thatcher – a leader who will “fundamentally change our country”.

“Where a consensus is false, we will challenge it,” he said. “Where a vested interest is placing itself above the needs of the people, we will stop it. And where common sense is under attack from an organised assault, we will defend it.”

There was a triad of policies to back up this pitch: the curtailing of HS2, an overhaul of further education and a crackdown on smoking.

The PM confirmed he was scrapping the northern leg of HS2, describing the rail project as “the ultimate example of the old consensus” and sticking with a project even when the “facts have changed”. He insisted the £36bn of funds freed up would be reinvested into other transport projects.

On education, the PM promised radical reforms for 16-19-year-olds, with a new “Advance British Standard” that would merge A-levels and the vocational T-levels into one qualification. Students would have to study Maths and English until they are 18 and study five subjects rather than three.

And tacking back to social conservatism, the prime minister also announced the legal age for smoking would be raised by one year, every year so that a 14-year-old would never legally be sold cigarettes.

What all these pledges had in common was their long-term nature.

The smoking ban, which the government is expected to introduce into the King’s Speech later this year, will take at least four years to implement, according to Number 10.

The education reforms, which the prime minister claimed would be his top spending priority, will be a decade-long project.

And the radical ripping up of HS2 and his new Northern network transport plan is an endeavour that would run into the coming decades.

The irony of all of this is that the politics of much of this long-term agenda is based on short-term calculations.

On HS2, he’s made a huge decision on a multi-decade project, in part because it gives Labour a real headache.

Do they recommit the money and be framed by the Tories as reckless spenders, or do they follow his lead, with all the backlash that would bring?

What this shows is that, in reality, the speech was far less about the actual policies and all about the politics of a leader who wants to present as a change candidate and paint his opponents as the party of the ‘status quo’ – unwilling to go against the prevailing political consensus.

I do not need to tell you how hard it will be for Sunak to pull this off. He is the leader of a party that has been in government for 13 years and is hugely trailing in the polls. But there are two things that explain the approach.

First, with a Conservative Party truly out of favour with the public, this prime minister has to turn any campaign into one centred on himself – a different kind of leader, disassociated from the Conservative brand.

Second, he doesn’t really have a choice. In a country where voters seem desperate for change, he can hardly pitch himself as a continuity candidate or run on a ‘stick with us’ ticket.

It’s an audacious approach, but what does he have to lose? His party is massively behind in the polls and already looking to who comes next.

If we learnt anything today, it was this: if Sunak is going down, he intends to go down fighting.

Politics

Italy finance minister warns US stablecoins pose bigger threat than tariffs

Published

6 hours ago

April 16, 2025

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Italy finance minister warns US stablecoins pose bigger threat than tariffs

Italy’s minister of economy and finance warned that US stablecoin policies are more concerning than President Donald Trump’s tariffs, citing the potential for these crypto assets to undermine the euro’s dominance in cross-border payments.

Speaking at an event in Milan, Giancarlo Giorgetti said that while trade tariffs dominate headlines, new US policies on dollar-backed stablecoins present an “even more dangerous” threat to European financial stability, according to a Reuters report.

US stablecoins allow users to invest in a widely accepted method for cross-border payments without opening a US bank account, Giorgetti said. He warned that the growing appeal of US stablecoins to Europeans should not be underestimated.

Giorgetti urged European Union lawmakers to take more steps to boost the euro’s position as an international currency. He added that the digital euro under development by the European Central Bank (ECB) will be essential to minimize the need for Europeans to resort to foreign solutions.

US lawmakers advance stablecoin bills

Presently, stablecoin regulation in the US remains fragmented. Instead of a unified framework, multiple agencies apply existing laws to regulate stablecoins. However, lawmakers are working to implement changes, with several pieces of stablecoin legislation progressing.

On April 2, the US House Financial Services Committee passed the Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE) Act. The bill is now headed to the House floor for a full vote.

The bill was introduced on Feb. 6 by Committee Chair French Hill and the Digital Assets Subcommittee Chair Bryan Steil. It would ensure that stablecoin issuers provide information on their businesses, including how their tokens are backed.

In addition, the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act establishes rules that require issuers to maintain reserves backed one-to-one, comply with Anti-Money Laundering (AML) laws, protect consumers and boost dollar dominance in the global economy.

The GENIUS Act still requires approval by both chambers of Congress and a presidential signature before becoming law.

ECB exec renews digital euro push

Apart from Giorgetti, ECB Executive Board member Piero Cipollone also urged European lawmakers to intensify their efforts to combat dollar-backed stablecoin dominance in Europe. On April 8, Cipollone wrote an article expressing concerns about the growing popularity of US stablecoins.

The official suggested launching a central bank digital currency to combat this threat to the euro. He said this would aid in preserving the monetary sovereignty of the eurozone.

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Politics

OKX reenters US market following $505M DOJ settlement

Published

7 hours ago

April 16, 2025

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OKX reenters US market following 5M DOJ settlement

Seychelles-based cryptocurrency exchange OKX announced that it is reentering the US market.

According to an April 16 blog post, OKX will return to the United States market along with the appointment of former Barclays director Roshan Robert as its US CEO. Robert said in the post:

“Today, I’m thrilled to announce the launch of OKX’s centralized crypto exchange and OKX Wallet in the United States, alongside the establishment of our regional headquarters in San Jose, California.“

All existing Okcoin users will be migrated to the new platform, which Robert said will lead to a better overall experience. The promised improvements include deeper liquidity, lower fees and advanced trading tools.

OKX reenters US market following $505M DOJ settlement — *Source:* *OKX*

Step by step

OKX will not roll out the upgrade in one shot. Instead, the new platform will take a phased approach to onboard new customers. The exchange plans to follow the cautious approach with a nationwide launch later in 2025.

“We’re beginning with a phased rollout for new customers to ensure a smooth and secure onboarding process, with a broader nationwide launch planned later this year,“ Robert said.

OKX also promised integrations with local banks and support for major assets, including Bitcoin (BTC), Ether (ETH), USDt (USDT) and USDC (USDC). Robert noted that the company maintains a global proof of reserves for all its assets, which is published monthly by cybersecurity firm Hacken.

Hacken had not responded to Cointelegraph’s request for comment by publication time.

In addition to its trading platform, the firm is also rolling out OKX Wallet to its US-based customers. The wallet supports 130 blockchains and features a decentralized exchange (DEX) aggregator, allowing access to over 10 million tokens on platforms including Ethereum, Solana and Base.

OKX gets out of US troubles

The report follows OKX hiring former New York Governor Andrew Cuomo to advise it over a federal probe that resulted in the firm pleading guilty to several violations and agreeing to pay $505 million in fines and penalties.

The exchange admitted on Feb. 24 to operating an unlicensed money-transmitting business in violation of US Anti-Money Laundering laws. As a consequence, OKX agreed to pay $84 million worth of penalties while forfeiting $421 million worth of fees earned from primarily institutional clients.

After the investigation concluded, OKX said it would seek out a compliance consultant to remedy the problems revealed by the federal probe and improve its compliance efforts. OKX’s CEO Star Xu wrote in a Feb. 24 X post:

“Our vision is to make OKX the gold standard of global compliance at scale across different markets and their respective regulatory bodies.”

OKX had not responded to Cointelegraph’s request for comment by publication time

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Politics

Government claims car interventions will save £500 a year – but only if you hit a pothole

Published

8 hours ago

April 16, 2025

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Government claims car interventions will save £500 a year - but only if you hit a pothole

Hitting potholes is “all too common”, a minister has insisted amid scrutiny of the government’s claim that new road measures will save drivers £500 a year.

Lillian Greenwood told Sky News Breakfast with Anna Jones that people face “eyewatering” costs if a pothole causes more damage to their car than a puncture, with the average repair job setting them back by £460, according to the RAC.

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This, along with the continued freeze on fuel duty, will save drivers over £500 a year, the government has said, claiming its interventions are easing the cost-of-living crisis for drivers.

It was put to Ms Greenwood that the savings only apply if you hit a pothole in the first place.

Asked if she thinks it’s a common occurrence, she said: “Unfortunately, it’s all too common. And because we’ve had more than 10 years of the Conservatives under investing in our road network, that’s left it absolutely cratered with potholes.”

She said potholes are “probably the biggest issue” when she doorsteps constituents, adding: “They’re really angry about the state of their local roads.

“Far too many people are hitting a pothole and finding they’re having to fork out to get their car fixed.”

Earlier this year, an annual industry report estimated that 17% of the local road network in England and Wales are in poor condition.

It predicted that the one-time catch-up cost to clear the backlog of maintenance issues would cost £16.81bn and take 12 years to complete.

Chancellor Rachel Reeves’s autumn budget contained a £1.6bn investment to maintain roads and fix potholes, which it said was an increase of £500m on the 2024-25 budget.

Local authorities will get the first tranche of that money this month.

It comes ahead of the local elections in May, when support for drivers could become a dividing line.

It was put to Ms Greenwood that while trumpeting its motorist-friendly credentials, Labour has also introduced a £1.7bn car tax raid and backed more 20mph low tariff neighbourhoods.

She said the government has left decisions on Low Traffic Neighbourhoods to local authorities and many people “want to see drivers going slower”.

The government’s announcement on savings today came alongside a pledge to remove 1,000 miles of roadworks over the Easter weekend in a bid to cut journey times.