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The Institute for Fiscal Studies (IFS) says there’s a conspiracy of silence at this election – that all of the major political parties aren’t being honest enough about their fiscal plans.

And it has a point. Most obviously (and this is the main thing the IFS is complaining about) none of the major manifestos – from Labour, the Liberal Democrats and the Conservative parties – have been clear about how they will fill an impending black hole in the government’s spending plans.

No need to go into all the gritty details, but the overarching point is that all government spending plans include some broad assumptions about how much spending (and for that matter, taxes and economic growth) will grow in the coming years. Economists call this the “baseline”.

But there’s a problem with this baseline – it assumes quite a slow increase in overall government spending in the next four years, an average of about 1 per cent a year after accounting for inflation. Which doesn’t sound too bad – except that we all know from experience that NHS spending always grows more quickly than that, and that 1% needs to accommodate all sorts of other promises, like increasing schools and defence spending and so on.

Ambulance outside a hospital Accident and Emergency department.
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NHS spending grows more quickly than the ‘baseline’

If all those bits of government are going to consume quite a lot of that extra money (far more than a 1% increase, certainly) then other bits of government won’t get as much. In fact, the IFS reckons those other bits of government – from the Home Office to the legal system – will face annual cuts of 3.5 per cent. In other words, it’s austerity all over again.

But here’s the genius thing (for the politicians, at least). While they have to set a baseline, to make all their other sums add up, the dysfunctional nature of the way government sets its spending budgets means it only has to fill in the small print about which department gets what when it does a spending review. And that spending review isn’t due until after the election.

The upshot is all the parties can pretend they’ve signed up to the baseline even when it’s patently obvious that more money will be needed for those unprotected departments (or else it’s a return to austerity).

So yes, the IFS is right: the numbers in each manifesto, including Labour’s, are massively overshadowed by this other bigger conspiracy of silence.

But I would argue that actually the conspiracy of silence goes even deeper. Because it’s not just fiscal baselines we’re not talking about enough. Consider five other issues none of the major parties are confronting (when I say major parties, in this case I’m talking about the Conservative, Labour and Lib Dem manifestos – to some extent the Green and Reform manifestos are somewhat less guilty of these particular sins, even if they commit others).

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Taxes going up

First, for all their promises not to raise any of the major tax rates (something Labour, the Conservatives and Lib Dems have all committed to) the reality is taxes are going up. We will all be paying more in taxes by the end of the parliament compared with today.

Indeed, we’ll all be paying more income tax. Except that we’ll be paying more of it because we’ll be paying tax on more of our income – that’s the inexorable logic of freezing the thresholds at which you start paying certain rates of tax (which is what this government has done – and none of the other parties say they’ll reverse).

Second, the main parties might say they believe in different things, but they all seem to believe in one particular offbeat religion: the magic tax avoidance money tree. All three of these manifestos assume they will make enormous sums – more, actually, than from any single other money-raising measure – from tightening up tax avoidance rules.

While it’s perfectly plausible that you could raise at least some money from clamping down on tax avoidance, it’s hardly a slam-dunk. That this is the centrepiece of each party’s money-raising efforts says a lot. And, another thing that’s often glossed over: raising more money this way will also raise the tax burden.

The Bank of England in the City of London
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Should the Bank of England be paying large sums in interest to banks? File pic: AP

Third is another thing all the parties agree on and are desperate not to question: the fiscal rules. The government has a set of rules requiring it to keep borrowing and (more importantly given where the numbers are right now) total debt down to a certain level.

But here’s the thing. These rules are not god-given. They are not necessarily even all that good. The debt rule is utterly gameable. It hasn’t stopped the Conservatives from raising the national debt to the highest level in decades. And it’s not altogether clear the particular measure of debt being used (net debt excluding Bank of England interventions) is even the right one.

Which raises another micro-conspiracy. Of all the parties at this election, the only one talking about whether the Bank of England should really be paying large sums in interest to banks as it winds up its quantitative easing programme is the Reform Party. This policy, first posited by a left-wing thinktank (the New Economics Foundation), is something many economists are discussing. It’s something the Labour Party will quite plausibly carry out to raise some extra money if it gets elected. But no one wants to discuss it. Odd.

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Brexit impact

Anyway, the fourth issue everyone seems to have agreed not to discuss is, you’ve guessed it, Brexit. While the 2019 election was all about Brexit, this one, by contrast, has barely featured the B word. Perhaps you’re relieved. For a lot of people we’ve talked so much about Brexit over the past decade or so that, frankly, we need a bit of a break. That’s certainly what the main parties seem to have concluded.

But while the impact of leaving the European Union is often overstated (no, it’s not responsible for every one of our economic problems) it’s far from irrelevant to our economic plight. And where we go with our economic neighbours is a non-trivial issue in the future.

Anyway, this brings us to the fifth and final thing no one is talking about. The fact that pretty much all the guff spouted on the campaign trail is completely dwarfed by bigger international issues they seem reluctant or ill-equipped to discuss. Take the example of China and electric cars.

File pic: Victoria Jones/PA
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Brexit has barely featured in the election. File pic: Victoria Jones/PA

Just recently, both the US and European Union have announced large tariffs on the import of Chinese EVs. Now, in America’s case those tariffs are primarily performative (the country imports only a tiny quantity of Chinese EVs). But in Europe‘s case, Chinese EVs are a very substantial part of the market – same for the UK.

Raising the question: what is the UK going to do? You could make a strong case for saying Britain should be emulating the EU and US, in an effort to protect the domestic car market. After all, failing to impose tariffs will mean this country will have a tidal wave of cars coming from China (especially since they can no longer go to the rest of the continent without facing tariffs) which will make it even harder for domestic carmakers to compete. And they’re already struggling to compete.

By the same token, imposing tariffs will mean the cost of those cheap Chinese-made cars (think: MGs, most Teslas and all those newfangled BYDs and so on) will go up. A lot. Is this really the right moment to impose those extra costs on consumers?

In short, this is quite a big issue. Yet it hasn’t come up as a big issue in this campaign – which is madness. But then you could say the same thing about, say, the broader race for minerals, about net zero policy more widely and about how we’re going to go about tightening up sanctions on Russia to make them more effective.

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Parochial election

Elections are always parochial but given the scale of these big, international issues (and there are many more), this one feels especially parochial.

So in short: yes, there have been lots of gaps. Enormous gaps. The “conspiracy of silence” goes way, way beyond the stuff the IFS has talked about.

But ’twas ever thus.

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Think back to the last time a political party actually confronted some long-standing issues no one wanted to talk about in their manifesto. I’m talking about the 2017 Conservative manifesto, which pledged to resolve the mess of social care in this country, once and for all.

It sought to confront a big social issue, intergenerational inequality, in so doing ensuring younger people wouldn’t have to subsidise the elderly.

The manifesto was an absolute, abject, electoral disaster. It was largely responsible for Theresa May‘s slide in the polls from a 20-point lead to a hung parliament.

And while most people don’t talk about that manifesto anymore, make no mistake: today’s political strategists won’t forget it in a hurry. Hence why this year’s campaign and this year’s major manifestos are so thin.

Elections are rarely won on policy proposals. But they are sometimes lost on them.

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With the final hours upon us, Labour insiders remain cautious – but can’t help feeling the party’s time has come

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With the final hours upon us, Labour insiders remain cautious - but can't help feeling the party's time has come

Finally, after six long weeks, the final 24 hours of campaigning is upon us. Rishi Sunak and Sir Keir Starmer will be dashing around the country as they make their final pitch to voters.

The prime minister, who may well be out of that job in less than 48 hours, will be sticking to Tory territory in Hampshire and the South East.

The man who is looking almost certain to replace him – Sir Keir – will be touring the three nations of the UK where he is fielding candidates, as he begins the journey to Number 10 via Wales, Scotland and England.

In the Labour camp, they are still intent on turning out the vote and assuming nothing.

One insider suggests to me there are still, as polling day arrives, 60-70 seats which are a “toss up and could go either way”. But there is a quiet admission too that, after four election defeats on the bounce, Labour’s time has finally come.

Election latest: ‘I just want to lose,’ says Tory minister – as poll tips Labour to beat Blair’s 1997 landslide win

But this likely victory – if/when it happens on the night – will require a double take, even if there has been a lack of jeopardy for Labour in this election campaign as the Conservatives failed to shift the polls.

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That’s because the scale of the achievement is quite simply astonishing. Labour put in its worst performance since 1935 at the last election, returning just 202 MPs as Boris Johnson won the biggest Conservative landslide since the days of Margaret Thatcher.

Pretty much everyone in the party, bar Sir Keir and his campaign chief Morgan McSweeney, believed Labour would be locked out of power for a decade. The Labour leader told me repeatedly he could turn it around in one term. I thought he was wrong – it now looks like he’s about to be proved right.

And Sir Keir’s three-nation dash is designed not as a victory lap, but a signal of intent because it symbolises how he has repeatedly said he wants to govern, for the whole of the United Kingdom: “Country first, party second” is his common refrain.

He says he wants to be a prime minister that can bring the country back together after the Scottish referendum, Brexit wars, partygate and more latterly the Tory wars and hopes the contours of an election win on Thursday night will be the first step.

Labour’s internal polling points to the possibility that the party could become the largest party by vote share and even seats – although Scotland looks very touch and go – in all three nations for the first time in 24 years. Sir Tony Blair was the last Labour leader to pull that off, in his second landslide of 2001.

But his team are acutely aware that a victory on Thursday is just the end of the beginning and the hard work begins.

Mr Johnson is a shining example of a leader who appeared to have redrawn the political map only to find out that his landslide was built on very shaky ground.

The coalition of voters he amassed to “Get Brexit Done” and keep out Jeremy Corbyn melted away for a myriad of reasons, not least his own conduct in office and a failure to deliver on Brexit promises to level up the country and control immigration.

“If you go from having 200 seats to 360 or 370, you can travel that far again in the opposite direction,” says one Labour insider.

“It is in your hands, but you cannot assume that a possibly big majority means anything in the next election. We are going to have to work extremely hard to keep those votes and to try and get those who don’t vote for us to vote in the future.”

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Starmer criticised for Friday 6pm finish plan

Because what Sir Keir’s team are also acutely aware of is that their victory is predicated, in a large part, not on what the Labour leader is offering but a collective sentiment in the country that voters want the Conservatives out.

Wherever I have travelled in this campaign, I cannot find a voter with a positive view of this Conservative government, with polling showing three out of four voters are dissatisfied with it.

It is difficult to reconcile the fatality of the blow that could be landed on the Conservatives by an opponent wielding the weapon. Sir Keir has nowhere near the favourability ratings of Sir Tony or even Lord Cameron, but could be heading for a big majority nevertheless.

But it also means that if Sir Keir manages to seal the deal with the voters in a meaningful way on Thursday night, he could find himself in the shortest of PM honeymoon periods.

He might be able to pick up a wide base of support, but, as his team acknowledge, it could be very shallow too.

“For some voters, all they want to do is get the Tories out. So we have to win them over again in office in order to try to win them over again at the next election,” says one senior Labour figure.

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It will, Labour insiders concede, take time. The scale of the victory – be it two figures or over 100 – won’t change the reality that Sir Keir has sold a cautious mandate to the country. “Whatever the upper number we could win, it doesn’t change how much money we have available to spend,” cautions a Labour operative.

“When Labour figures talk about being more radical, they mean tax more, perhaps spend more. But that is not the change we are driving at, we have to change people’s lives by growing the economy and it will be the same whether a majority came in at 50, or 80 or over 100.”

Another figure close to Sir Keir puts it like this: “A big Labour majority does not boost public finances, but it gives you a mandate for what you are elected on and it makes it important to stick to that agenda.”

But Sir Keir will want to show he’s hitting the ground running.

The annual summer recess will be the shortest in memory, as the summer sitting is extended to the end of July and MPs are asked to return on 2 September. There will be a bumper King’s Speech on 17 July laying out Sir Keir’s legislative plan and a big house building announcement from deputy Labour leader Angela Rayner in the weeks after victory.

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‘Labour will clean up Tories’ mess’

As for the Conservative Party, it will have to weigh up what comes next as contenders for the leadership line up to replace Mr Sunak.

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One former cabinet minister insists Mr Sunak should stay on until a new leader is elected in time for the Conservative Party conference at the end of September. Those who know the prime minister well say only he’ll do the right thing and is not a man to cut and run.

Mr Sunak took the gamble in May to call the summer election, and now it looks like Sir Keir will reap the rewards.

He is poised to be the first Labour leader in nearly three decades to win from opposition and lead the first Labour government in 14 years.

That makes the win historic, as any change of power between parties always is. Whether Sir Keir’s victory will prove as consequential for the United Kingdom as the landmark governments of Clement Attlee in 1945, Margaret Thatcher from 1979 or Tony Blair’s three terms remains to be seen.

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Boris Johnson revs up the faithful with vintage performance – but the cameo’s too late to save the Tories

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Boris Johnson revs up the faithful with vintage performance - but the cameo's too late to save the Tories

He’s still got it. Boris Johnson may have left it late before coming to the party – the Conservative Party, that is – but his 11th-hour rallying cry to the Tory faithful was vintage Boris and just like the old days.

It was the kind of shambolic, chaotic but barnstorming box office performance that he used to give at packed Tory conference fringe meetings when he was the king over the water and greeted like a rock star by his adoring fans.

Back then he used to upstage and humiliate David Cameron and then Theresa May.

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This time his victim was Rishi Sunak, who Mr Johnson’s cheerleaders accuse of knifing him in the back and leading the charge to oust him.

Et tu, Brute? More like Et tu, Boris. As well as answering the call in the Tories’ hour of need, he’d clearly come to settle some old scores, defend his record and remind the Tory faithful he hasn’t gone away.

And he certainly did all of those.

Pic: PA
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Pic: PA

But while Tory activists who turned out at nearly 10pm adore him, is he still a vote winner? Or for undecided voters, is he a reminder of partygate, sleaze and Tory chaos?

But he was there on his terms, as he made clear.

Mr Johnson made a point of beginning his speech, from scribbled notes on crumpled paper, by saying he’d been asked to speak at this rally.

In other words, Mr Sunak had begged him to come to his rescue at the end of a disastrous Tory election campaign. He wasn’t going to offer. He wanted Mr Sunak to grovel and beg.

Pic: PA
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Rishi Sunak also addressed supporters after Mr Johnson. Pic: PA

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There wasn’t a word of praise for Mr Sunak in his speech. No handshake, either.

There may have been other speakers – first Michael Gove and later Mr Sunak – but this was the Boris show and a one-man show.

Although the PM made perhaps his most punchy speech of the campaign when he spoke after him – why leave it so late? It was Mr Johnson who was the star of the show, topping the bill, obviously, and had the Tory faithful screaming his name.

‘Past Starmer’s bedtime’

After a warm-up speech by Mr Gove and then a low-key announcement which seemed to take the audience by surprise, the star turn shuffled on to the stage in an ill-fitting suit, hair unkempt and uncut for weeks and considerably heavier than in his Number 10 days.

When did he last visit a barber?

He always messes up his unruly mop of blond hair before a speech. All part of the act. The late Ken Dodd used to do that. Fans would say Boris the comedian is just as funny as the man from Knotty Ash.

What a mess he looked, though. Not that the audience cared. They chanted “Boris! Boris!” just like they did when he was the darling of the conference fringe.

Pic: PA
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Pic: PA

He began – predictably – with a gag at Sir Keir Starmer‘s expense, the man he used to call “Captain Crasheroonie Snoozefest” at prime minister’s questions.

He thanked the audience “for coming so late tonight to this venue, way past Sir Keir Starmer’s bedtime”. Boom, boom! The Labour leader will have to live with jokes about his 6pm Friday curfew for some time.

“I was glad when Rishi asked me to help,” he claimed. “Of course I couldn’t say no.”

Well, probably not. But those Red Wall Tories now facing defeat on Thursday will have wished he’d answered the call a lot earlier in the campaign.

Turning on Farage

We got the usual Johnson defence of his handling of the pandemic and the roll-out of the vaccines. And he boasted several times, not surprisingly: “We got Brexit done.” It was “a proper Brexit”, he said, a “Brexit government”.

Maybe. The audience loved all that, but why are so many Tories turning to Reform UK if it was such a triumph?

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Next, Sir Keir was ridiculed as “Jeremy Corbyn’s disciple” and accused of “taking EU law by dictation” and “poor old Starmer” was “reluctant to explain the difference between a man and a woman”, he claimed.

Then he turned on Nigel Farage, something Mr Sunak and his senior ministers should have done weeks ago.

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Reform UK was “full of Kremlin crawlers” and Putin’s “pet parrots”, he said. “Shame on them!” he declared, to wild applause.

And then a typical Johnson gag: “Don’t let the Putinistas deliver the Corbynistas!”

Vintage, yes. Funny, naturally. A great showman, definitely.

But is he still an asset, when so many voters appear to want to punish the Conservatives for his time in Downing Street rather than blame Mr Sunak for Tory failures?

Whatever voters think of Boris Johnson, his last-minute cameo has almost certainly come too late to save the Conservatives from the heavy defeat the polls are predicting.

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South Korea crypto body says mass token delistings ‘unlikely’ amid new laws

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South Korea crypto body says mass token delistings ‘unlikely’ amid new laws

South Korea’s incoming crypto investor protection laws will see local exchanges review over 1,300 listed tokens over the next six months.

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