<font face="Times New Roman" size="3">21.4.07</font>

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<font face="Times New Roman" size="3">Tony Blair refuses a referendum</font>

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<font face="Times New Roman" size="3">I have twice been delighted about EU policy in the UK. The first time was when I and others managed to force both Major and Blair into offering a referendum on the single currency. I knew then we had saved the pound. The second time was when Blair promised us in the Commons a referendum on the EU constitution, whatever the other countries decided in their referenda and Parliamentary processes. If he had kept his word we would by now be well advanced with negotiating a different relationship for the UK with the whole centralised mess of the EU.</font>

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<font face="Times New Roman" size="3">Instead, Blair first prevaricated about honouring his pledge, and now seems to be walking away from it as a prelude no doubt to some dreadful deal where yet more of the UK’s powers are given away needlessly to the EU.</font>

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<font face="Times New Roman" size="3">If we can get a referendum on any aspect of the EU the British people will have a chance to give voice to their commonsense opposition to the transfer of our powers of self government and our liberties to this continental construction. Blair has shown repeatedly just how Euro-enthusiast he is, and is now backing off from letting the British people defend themselves from another EU power grab. </font>

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<font face="Times New Roman" size="3">22.04.07</font>

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<font face="Times New Roman" size="3">Bank of England independence</font>

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<font face="Times New Roman" size="3">The latest inflation figures 4.8% on the RPI compared with the old 2.5% target for it are either an indictment of independent central banks, or proof that the UK’s is not independent. No-one can say it is a good performance. The UK’s inflation rate is higher than Japan’s, Euroland’s and the USA’s, and our interest rates are higher too.</font>

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<font face="Times New Roman" size="3">It is safest to blame the Chancellor rather than the Bank. It was probably Gordon Brown’s idea to switch the target from 2.5% on the RPI to 2%on the CPI which threw the Monetary Committee off course, at that crucial point before the 2005 election when Brown must have realised that they put up rates more if he stayed with the RPI target. Changing targets in mid cycle does not make it easy for the MPC, and shows how much the Chancellor can influence things if he wishes.</font>

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<font face="Times New Roman" size="3">The Chancellor also has strong influence over who sits on the Committee, choosing the outside members, and choosing the Governor of the Bank who promotes the internal Bank people onto the Committee.</font>

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<font face="Times New Roman" size="3">Gordon Brown tells us the era of spin will?? be over if he becomes PM. Yet he has pulled off the most powerful spin of all the ideas that the Bank is independent, and that it has been so successful. Compared with our competitor economies we have had higher interest rates and now have higher inflation. Not a great success, but more the fault of the government than the Bank. Brow’s own policies of spending, wasting and borrowing too much, and allowing public sector productivity to perform so badly, lie behind the disappointing overall economic performance.</font>

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