On the Osborne affair

I didn't get a chance to comment on the George Osborne saga yesterday,maybe a day to reflect on the menacing clouds may not have been a bad move.

I agree with John Redwood's simple synopsis

What a fuss about nothing. If the Conservatives had taken money from a British company (legal) as a conduit for money from an overseas resident (illegal) that would have been an interesting story and a complex web to untangle

Unfortunately with the media spotlight on him,it was never going to be as simple as that.

Regardless of the ins and outs of the story,it shows a lack of judgement by someone who could potentially in a couple of years be a holder of one of the great political offices of state.

A desire to be seen on the yacht of a Russian billionaire seems to have got in the way of political ambition.

Likewise his laying of a poison trap for Peter Mandleson has backfired and he has obviously lost a good friend in Nathaniel Rothschild in betraying a mutual friend.

Is this a resigning issue? A good question.It shouldn't be but I just wonder whether the media frenzy might turn it into one.

One thing it does once again highlight though is the need to move to state funding for the political parties with spending limits.This would prevent politicians in the future from getting embroiled in any future allegations

More Sleaze,more problems for Brown and for Jacqui Smith

Another Sunday morning and more problems for Gordon Brown.Many of the papers saying that he will plunged into crisis over the resignatio of Wendy Alexander and the forhcoming by election in Glasgow East but it doesn't end there.

The Sunday Times carries a report on its front page that Labour's Donors are falling out of favour with the party,according to the paper

Key donors who bankrolled new Labour are now reluctant to support Brown, claiming he lacks the qualities required to salvage the party’s fortunes.
— The millionaire businessman Sir Maurice Hatter, who has donated more than £176,000 to the party since 2001, said it was time for a change of leader.
“He hasn’t got the charisma,” he said. “He was a good number two, but he is not a number one. I just don’t think he is a prime minister.”

The Observer meanwhile focuses on problems for the Home Secretary

The home secretary is at the centre of the worst race row to engulf the police service for almost a decade as chief constables stand accused of blocking an inquiry into discrimination against Muslim officers.
Jacqui Smith will be asked to intervene tomorrow after the damning revelation that at least 20 police forces refused to co-operate with the first audit into the treatment of Muslim and black officers. Information from those forces that did take part suggested there was routine racial discrimination against them.

The Mail meanwhile discovers another political sleaze story claiming that

More than 100 MPs are using their expenses to commit a multi-million-pound tax dodge, it was claimed last night.
They are accused of using huge sums in parliamentary allowances to fund a second home while telling HM Revenue & Customs that it is in fact their main home.
Because MPs' second homes are usually in London, where property is more expensive, they can avoid massive capital gains tax bills by nominating the second home as their main home, because main homes are exempt from the tax.

Funding problems for Labour

This morning's Guardian brings bad news for the Labour but this time it is not opinion polls,by elections or back bench rebellions.

According to the paper

Senior officials in the Labour party, including Gordon Brown, could become personally liable for millions of pounds in debt unless new donors can be found within weeks, the Guardian has learned.
The party has five weeks to find £7.45m to pay off loans to banks and wealthy donors recruited by Lord Levy, Tony Blair's former chief fundraiser, or become insolvent. A further £6.2m will have to be repaid by Christmas - making £13.65m in all. The sum amounts to two-thirds of the party's annual income from donations.

The Telegraph adds

It is understood that it was concern that he might be bankrupted by this personal liability that led City financier David Pitt-Watson to turn down the post of party general secretary earlier this year.

Guido reminds us

The Co-operative Bank is calling in £2.61m in loans, Unity Trust Bank owned by the Co-op and the unions has a further £1.54 m due at the same time. In total £7.45m is due next month. Money that Labour simply does not have. Guido is willing to risk buying Labour Party debt at 10p in the £1...

Now the Tories must become transparent

The revelations that the Tory shadow cabinet is in effect being funded by big business is no real suprise.
Unlike the rules for the Cabinet where no conflict of interest is allowed,the rules don't apply to the shadow team.

However surely with David Cameron harping on about transparent politics,would it not be prudent to have declared these interests.

I agree with Guido who says

It turns out that the Tory frontbench is awash with covert cash from vested interests. Mortgage brokers funding the office of the Housing Shadow is pertinent. Cameron gave a high ground speech promising transparency and openness only two months ago. Well get on with it. If this is the finest democracy that money can buy, we want to know at least who is doing the paying. No more shadowy cash, if public money is paying we want receipts for every last single penny.