4.15pm Local government: Council byelection results from yesterday

3.30pm JP Floru on Comment: f.a.o. George Osborne: Hong Kong’s HK $71.3 billion budget surplus

3pm LeftWatch: Media reaction to Ed Miliband's Shadow Cabinet reshuffle

Watson UFO - Copy1.45pm MPsETC: Should Tom Watson (and Michael Fallon) be allowed to stay on a Select Committee?

12.45pm Local government: Hilary Benn is the new Shadow Communities Secretary

12.30pm LeftWatch: Ed Miliband's new shadow cabinet possesses youth, street-fighters and THIRTY-ONE members

Noon ToryDiary: Another Liberal Conservative joins 10 Downing Street

Noon ConHomeUSA: Today's top Republican and American political news

11.30am MPsETC: Cameron doesn't rule out fat tax as Tory peer says obesity crisis could destroy NHS

11am See bottom-of-post update to this ToryDiary on Osborne's new doctrine on climate change

ToryDiary: Ideas to win the next election

Truss Liz Liz Truss MP on Comment notes that Labour's policies halved the number of childminders and almost doubled childcare costs: We need a childcare revolution

Lord Ashcroft on Comment: From Kylie Minogue to a new £35m complex; why these are such exciting times at my university

LeftWatch: What's the Labour leader's biggest weakness? Is it the Red Ed or Odd Ed factor?

Local government: Boris launches Olympics poetry competition

WATCH: Liam Fox attacks "wild allegations" of improper business relationship with close friend

Three more senior writers follow up on ConservativeHome's story on party members being excluded from expensive party conference

  • There's no room for the ordinary party member in politics today – Peter Oborne in The Telegraph
  • The conference season – dominated by lobbyists and media and devoid of any debate – has long outlived its purpose – Martin Kettle in The Guardian
  • "As they have gradually migrated from inexpensive seaside towns to slick city centres such as Manchester and Birmingham, ordinary party members have been priced out. Lobbyists from the commercial, public and charity sectors have filled the gap. So for politicians eager to cultivate and rouse their activists, and for journalists trying to take the pulse of a party, the annual conferences are increasingly useless." – Janan Ganesh in The Economist

> Yesterday's ToryDiary: This was a party conference without party members

Iain Duncan Smith finds £300 million extra for childcare

Duncan Smith On Marr "Work and Pensions Secretary Iain Duncan Smith said: "We are determined to help more parents take their first steps into work, but under the current minimum hours rule parents are trapped in state dependency without the childcare support they badly need – providing yet another barrier to work."" – BBC

  • "Ian Mulheirn, director of the Social Market Foundation, said: “The £300m to fund the extension has been found from elsewhere in the universal credit pot, so will take funds away from the same group of people – families on low and middle incomes." – FT (£)
  • IDS explains why work is now central to welfare policy in an article for The Guardian.

Much scepticism on Right about Quantitative Easing

  • "Unless there is a significant further downturn, increasing QE at this stage is likely to boost inflation and create an unsustainable boom. Whereas in 2009, the price level was falling and it was vital to try to limit the amount of deflation occurring, prices today are rising at around 5 per cent a year and likely to rise faster." – Andrew Lilico in The Telegraph
  • "It is bad news for pensioners and savers. It will worsen pension fund deficits and liabilities, and make annuities more expensive. If, as is likely, QE causes inflation, then all those on fixed incomes, especially pensioners, will be badly hurt." – Telegraph leader
  • "How silly of me not to realise we could simply create £75 billion to sort out our problems." – John Redwood
  • "Given that inflation is the biggest drag on demand in the UK at present, as a result of falling real wages and wealth, QE right now makes no sense at all." – Allister Heath in City AM
  • "The fragile finances of families, savers and pensioners suffered a huge blow yesterday when the Bank of England launched a desperate new bid to stave off recession." – Daily Mail
  • QE may increase the risk of inflation but it should help the UK avoid a recession – Hamish McRae in The Independent
  • "Alistair Darling, the former chancellor, told the BBC that the move looked “like the beginning of Plan B where George Osborne is getting the Bank of England to do something that he knows is necessary, and that is start to put more money into the economy”." – FT (£)

Justice Secretary unlikely to survive next reshuffle as No 10 backs Home Secretary in fall out over Human Rights ActGuardian

Clarke Ken May 2011 "The Justice Secretary said that he regretted using “colourful language” as he tried to draw a line under their dispute over the Human Rights Act. But he stopped short of apologising after he had accused Theresa May of making “laughable and childlike comments” about immigration law." – Times (£)

"Allowing a senior minister repeatedly to trash another in public sends a disastrous signal that can only undermine the esprit de corps that is essential to any successful government. Clarke should be sacked today." – Express leader

Green-image David Cameron's green Tory agenda fades after Osborne's call for 'realism' – Extended Guardian report on environmental groups' disappointment with Cameron's climate change agenda.

  • Carbon capture plan may be scrapped as costs run out of control – FT (£)

> Yesterday's ToryDiary: Osborne puts Cameron's huskies on to a tight leash

Employers and union leaders are increasingly optimistic that they can agree a deal to reform the pension plans of thousands of local government workersIndependent

Liam Fox has ordered an investigation into accusations that he endangered national security by providing a friend with access to the Ministry of DefenceTimes (£)

HOWARTH GERALD Tory MPs should have a free vote on gay marriage, says defence minister Gerald HowarthTelegraph

"More Mr Nice Guy"

The Economist on Cameron's determination to present a one nation conservatism: "Tory modernisers want to finish what they started in 2005, when Mr Cameron took over. How to convey compassion without spending cash is the conundrum for modern Conservatives—but Mr Cameron had a go. He said his schools policy (a mix of market-based ideas and tougher discipline) was better for poor children than “liberal-left” orthodoxy. He presented his welfare reforms as salvation not punishment for the chronically unemployed. He defended his decision to exempt not only health care but also foreign aid from cuts, and announced his support for gay marriage and easier adoption rules. The intervention in Libya was invoked as an act of moral, not just strategic, leadership. He wanted to show that Tory motives are high-minded, and that the coalition’s good works are not delegated to the Lib Dems."

Why isn't Number 10 working?

"Everyone has a favourite theory – they miss Andy Coulson; they need a Jonathan Powell; Craig Dre and Gabby B are at daggers drawn; George Osborne is too busy with his day job; the policy unit is run by Jeremy Heywood, not by a political appointee; policy is being set by focus group." – Benedict Brogan in The Telegraph

McLetchie David McLetchie backs Murdo Fraser for Scottish Tory leaderTelegraph

Tory peer, Lord McColl, tells British fatties to 'just eat less'The Sun

Sam Bowman: The Conservative Party isn't libertarian

"On issues like sound money, the NHS (“the most precious institution in our country”, according to the PM), bank bailouts, farm subsidies, personal freedoms, localism, economic regulation, migration, foreign interventionism, drugs, defence, corporate welfare, and others, the leadership and/or membership of all of the UK's mainstream parties are set against even moderate libertarian stances." – Sam Bowman on the ASI blog

LibDemVoice survey finds that support for Cable rising among activists and falling for HuhneIndependent

John Denham and John Healey are to leave the shadow cabinet as part of Ed Miliband's reshuffleBBC

Scotland's top civil servant has come under fire in the House of Lords, with peers claiming he has abandoned impartiality to help to advise the SNP on breaking up the United KingdomScotsman

Poland's electoral choice shows the country’s political maturityFT leader (£)


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