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Something strange seems to be going on in the Conservative government.

Recent weeks have seen ministers announce mandatory vaccination to enter nightclubs, speak supportively of businesses that demand workers are jabbed and moot the idea of barring students from university who’ve not been inoculated.

Novel developments for members of the self-professed “freedom-loving” party.

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The question being asked in Westminster is whether this is genuine policy – or just a PR stunt.

“There’s a lot of attempts to drive vaccine uptake and lots of concepts being mooted subtly or not so subtly with no real intent behind them,” said one Whitehall official.

Conservative MPs agree, with several telling Sky News earlier this week they didn’t think plans to restrict access to nightclubs and other events would ever materialise.

One of the proposals has already been shelved, with the government announcing this weekend there are now no plans to use the COVID pass for access to learning.

More on Covid-19

Education Secretary Gavin Williamson is understood to have made clear there would have been legal implications and potentially little benefit, given polling shows a vast majority of students say they will have the jab.

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A look at the data to see whether people are returning to their pre-pandemic lives

But the fact these ideas are even being suggested is enough to drive some backbenchers potty.

Several MPs have already said they won’t be attending this year’s party conference if they are forced to show their vaccination status.

Others worry about sailing too close to compulsory vaccination and the ethical implications of a heavy-handed approach.

“It was wrong-headed and should have been done by carrots,” says one senior backbencher of the plan for universities.

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Explainer: Are COVID-19 cases really rising?

Those carrots now appear to be sprouting, with companies like Uber and Deliveroo offering discounts to customers who get vaccinated.

Scientists say these approaches are not without risk, but still avoid many of the problems of the negative incentive “stick” strategy.

“They are less likely to lead to perceptions of compulsion and generate a process of ‘reactance’ where people resist in order to reassert their autonomy,” said Professor Stephen Reicher, an advisor to the government on public behaviour.

But as well as the societal impact, there’s also a business impact.

Those in hospitality say Health Secretary Sajid Javid’s initially bullish tone on reopening led to share price boosts and funds flowing in.

Speculative stories about COVID passports disrupt that, with a single front page story potentially undoing weeks of growing confidence.

The calculation in government may be that the longer-term benefit of high vaccine uptake to the economy and society is worth any short-term bumpiness.

But some, like Professor Reicher, worry that neither the carrot nor the stick will be sufficient on their own.

“What is critical is to show people that the authorities are of the community and acting for the community,” he said.

“That is why processes of engagement are generally much more effective than processes of incentivisation.”

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Millionaire former Tory donor defects to Reform

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Millionaire former Tory donor defects to Reform

Millionaire Tory donor Malcolm Offord has defected to Reform UK, saying he would be campaigning “tirelessly” to “remove this rotten SNP government”.

Nigel Farage announced the former Conservative life peer’s defection during a rally in the Scottish town of Falkirk, where regular anti-immigration protests have taken place outside the Cladhan Hotel – which is being used to house asylum seekers.

Mr Farage, Reform UK’s leader, said he was “delighted” to welcome Greenock-born Lord Offord to Reform, describing his defection as “a brave and historic act”.

He added: “He will take Reform UK Scotland to a new level.”

During a speech, Lord Offord, who previously donated nearly £150,000 to the Tories, said he would be quitting the Conservative Party and giving up his place in the House of Lords as he prepares to campaign for a seat in Holyrood in May.

The 61-year-old said he wanted to restore Scotland to a “prosperous, happy, healthy country”.

“Scotland needs Reform and Reform is coming to Scotland,” he told the rally.

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“Today I can announce that I am resigning from the Conservative Party. Today I am joining Reform UK and today I announce my intention to stand for Reform in the Holyrood election in May next year.

“And that means that from today, for the next five months, day and night, I shall be campaigning with all of you tirelessly for two objectives.

“The first objective is to remove this rotten SNP government after 18 years, and the second is to present a positive vision for Scotland inside the UK, to restore Scotland to being a prosperous, proud, healthy and happy country.”

The latest defection comes as Mr Farage finds himself at the centre of allegations of racism dating back to his time in school.

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Claims made against Nigel Farage

Sky News reported on Saturday that a former schoolfriend of Mr Farage claimed he sang antisemitic songs to Jewish schoolmates – and had a “big issue with anyone called Patel”.

Jean-Pierre Lihou, 61, was initially friends with the Reform UK leader when he arrived at Dulwich College in the 1970s, at the time when Mr Farage is accused of saying antisemitic and other racist remarks by more than a dozen pupils.

Mr Farage has said he “never directly racially abused anybody” at Dulwich and said there is a “strong political element” to the allegations coming out 49 years later.

Reform’s deputy leader Richard Tice has called the ex-classmates “liars”.

A Reform UK spokesman accused Sky News of “scraping the barrel” and being “desperate to stop us winning the next election”.

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‘European SEC’ proposal sparks licensing concerns, institutional ambitions

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‘European SEC’ proposal sparks licensing concerns, institutional ambitions

The European Commission’s proposal to expand the powers of the European Securities and Markets Authority (ESMA) is raising concerns about the centralization of the bloc’s licensing regime, despite signaling deeper institutional ambitions for its capital markets structure.

On Thursday, the Commission published a package proposing to “direct supervisory competences” for key pieces of market infrastructure, including crypto-asset service providers (CASPs), trading venues and central counterparties to ESMA, Cointelegraph reported.

Concerningly, the ESMA’s jurisdiction would extend to both the supervision and licensing of all European crypto and financial technology (fintech) firms, potentially leading to slower licensing regimes and hindering startup development, according to Faustine Fleuret, head of public affairs at decentralized lending protocol Morpho.

“I am even more concerned that the proposal makes ESMA responsible for both the authorisation and the supervision of CASPs, not only the supervision,” she told Cointelegraph.

The proposal still requires approval from the European Parliament and the Council, which are currently under negotiation. 

If adopted, ESMA’s role in overseeing EU capital markets would more closely resemble the centralized framework of the US Securities and Exchange Commission, a concept first proposed by European Central Bank (ECB) President Christine Lagarde in 2023.

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EU plan to centralize licensing under ESMA creates crypto and fintech slowdown concerns

The proposal to “centralize” this oversight under a single regulatory body seeks to address the differences in national supervisory practices and uneven licensing regimes, but risks slowing down overall crypto industry development, Elisenda Fabrega, general counsel at Brickken asset tokenization platform, told Cointelegraph.

“Without adequate resources, this mandate may become unmanageable, leading to delays or overly cautious assessments that could disproportionately affect smaller or innovative firms.”

“Ultimately, the effectiveness of this reform will depend less on its legal form and more on its institutional execution,” including ESMA’s operational capacity, independence and cooperation “channels” with member states, she said.

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Global stock market value by country. Source: Visual Capitalist

The broader package aims to boost wealth creation for EU citizens by making the bloc’s capital markets more competitive with those of the US.

The US stock market is worth approximately $62 trillion, or 48% of the global equity market, while the EU stock market’s cumulative value sits around $11 trillion, representing 9% of the global share, according to data from Visual Capitalist.

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