Sunday, 20 November 2011

Getting it from both sides

Following suspicions aroused by Boris Johnson that David Cameron might have been holding his euro-bazooka the wrong way around, a series of salvoes are delivered against the government from two normally opposing fronts.

Eighteen Church of England bishops have signed an open letter, criticising the government's proposed welfare changes. Writing to the Observer, the bishops say the cap of £500 a week in benefits would be "profoundly unjust" to children in the poorest families.

The letter is regarded as a rebuff for the likes of tory MP Harriet Baldwin, a member of the Commons work and pensions committee, and recently wrote that unemployed families should get child tax credits for no more than four children.

At the sharp end, research by the CBI says firms are reviewing investment plans after a "sharp fall" in confidence among senior business leaders. Interviews held with 122 company bosses people found 70% were less optimistic about the future than in August. Two out of five were freezing recruitment or laying off staff.

The employers organisation stopped short of an outright call for a rethink in government policy but urged the Chancellor George Osborne to unveil a "Plan A Plus" in his autumn statement later this month.

"The chancellor needs to use his autumn statement to boost business confidence with game-changing new ideas," said a spokesman.

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