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EU green rules blocking military expansion

EU green rules blocking military expansion

Telegraph2 days ago

European countries have blamed the EU's environmental regulations for hindering their preparations for defending against a possible Russian invasion.
In a leaked letter obtained by The Telegraph, the nations' defence ministers argued the rules had stopped the expansion of military bases and prevented fighter jet pilots from training.
'EU legislation may not prevent member states' armed forces from carrying out necessary activities to become operationally ready. But right now, it does,' they wrote in a letter to Andrius Kubilius, the defence commissioner.
'Mainly (but not exclusively) in the areas of procurement legislation, nature conservation and environmental protection, and more generally the administrative burden on defence organisations deriving from various EU legal acts.'
The letter was signed by the Dutch, Swedish, German, Belgian, Czech, Latvian, Lithuanian, Romanian, Finnish, Estonian and Danish governments.
In 2023, the commission published the 'Greening the armies' report, highlighting ways militaries present a challenge to climate change.
It pushed for European armed forces to consider more virtual training exercises, rather than real-world sessions, to cut down on emissions.
EU sources said directives on habitats, the protection of wild birds and waste were also standing in the way of European preparations for a Russian invasion.
The waste directive, for example, means militaries have to hit certain quotas for waste disposal, which could hinder their ability to exercise with live munitions.
'At the moment, some EU legislation forms a direct obstacle to the armed forces,' they wrote, adding: 'Credible deterrence in practice means growing the armed forces, which requires space for training, including flying, navigating and driving and building appropriate amenities.'
The ministers called for every new piece of EU legislation to be screened for its impact on the Continent's rearmament efforts before it is allowed to enter into force.
'Making the EU legal framework fit for this time, horizontally and especially in non-defence specific areas, is a crucial piece of the readiness puzzle,' they concluded.
The EU has set itself a target to be prepared for a potential Russian invasion in five years' time.
It is hoped the bloc's strategy will see around €800 billion (£674 billion) spent on defence in what period by relaxing debt rules and using joint debt to fund purchases.
The commission had promised to ease regulations that could hinder the rearmament efforts, but have yet to do so in any significant way.
Sustainable finance rules, which state that investments must be made with the environment in mind, have also been considered a hindrance.
Last week, The Telegraph reported that a Swedish businessman attempting to open only the bloc's second military grade TNT factory, used to produce artillery ammunition, land mines and grenades, was being held up by environmental permits.
Vladimir Putin, who European Intelligence officials believed will be ready to attack Nato within five years, does not demand the same environmental protections when opening factories across Russia.

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How the Vatican manages money and where Pope Leo XIV might find more
How the Vatican manages money and where Pope Leo XIV might find more

The Independent

time31 minutes ago

  • The Independent

How the Vatican manages money and where Pope Leo XIV might find more

The world's smallest country has a big budget problem. The Vatican doesn't tax its residents or issue bonds. It primarily finances the Catholic Church 's central government through donations that have been plunging, ticket sales for the Vatican Museums, as well as income from investments and an underperforming real estate portfolio. The last year the Holy See published a consolidated budget, in 2022, it projected 770 million euros ($878 million), with the bulk paying for embassies around the world and Vatican media operations. In recent years, it hasn't been able to cover costs. That leaves Pope Leo XIV facing challenges to drum up the funds needed to pull his city-state out of the red. Withering donations Anyone can donate money to the Vatican, but the regular sources come in two main forms. Canon law requires bishops around the world to pay an annual fee, with amounts varying and at bishops' discretion 'according to the resources of their dioceses.' U.S. bishops contributed over one-third of the $22 million (19.3 million euros) collected annually under the provision from 2021-2023, according to Vatican data. The other main source of annual donations is more well-known to ordinary Catholics: Peter's Pence, a special collection usually taken on the last Sunday of June. From 2021-2023, individual Catholics in the U.S. gave an average $27 million (23.7 million euros) to Peter's Pence, more than half the global total. American generosity hasn't prevented overall Peter's Pence contributions from cratering. After hitting a high of $101 million (88.6 million euros) in 2006, contributions hovered around $75 million (66.8 million euros) during the 2010's then tanked to $47 million (41.2 million euros) during the first year of the COVID-19 pandemic, when many churches were closed. Donations remained low in the following years, amid revelations of the Vatican's bungled investment in a London property, a former Harrod's warehouse that it hoped to develop into luxury apartments. The scandal and ensuing trial confirmed that the vast majority of Peter's Pence contributions had funded the Holy See's budgetary shortfalls, not papal charity initiatives as many parishioners had been led to believe. Peter's Pence donations rose slightly in 2023 and Vatican officials expect more growth going forward, in part because there has traditionally been a bump immediately after papal elections. New donors The Vatican bank and the city state's governorate, which controls the museums, also make annual contributions to the pope. As recently as a decade ago, the bank gave the pope around 55 million euros ($62.7 million) a year to help with the budget. But the amounts have dwindled; the bank gave nothing specifically to the pope in 2023, despite registering a net profit of 30 million euros ($34.2 million), according to its financial statements. The governorate's giving has likewise dropped off. Some Vatican officials ask how the Holy See can credibly ask donors to be more generous when its own institutions are holding back. Leo will need to attract donations from outside the U.S., no small task given the different culture of philanthropy, said the Rev. Robert Gahl, director of the Church Management Program at Catholic University of America's business school. He noted that in Europe there is much less of a tradition (and tax advantage) of individual philanthropy, with corporations and government entities doing most of the donating or allocating designated tax dollars. Even more important is leaving behind the 'mendicant mentality' of fundraising to address a particular problem, and instead encouraging Catholics to invest in the church as a project, he said. Speaking right after Leo's installation ceremony in St. Peter's Square, which drew around 200,000 people, Gahl asked: 'Don't you think there were a lot of people there that would have loved to contribute to that and to the pontificate?' In the U.S., donation baskets are passed around at every Sunday Mass. Not so at the Vatican. Untapped real estate The Vatican has 4,249 properties in Italy and 1,200 more in London, Paris, Geneva and Lausanne, Switzerland. Only about one-fifth are rented at fair market value, according to the annual report from the APSA patrimony office, which manages them. Some 70% generate no income because they house Vatican or other church offices; the remaining 10% are rented at reduced rents to Vatican employees. In 2023, these properties only generated 35 million euros ($39.9 million) in profit. Financial analysts have long identified such undervalued real estate as a source of potential revenue. But Ward Fitzgerald, the president of the U.S.-based Papal Foundation, which finances papal charities, said the Vatican should also be willing to sell properties, especially those too expensive to maintain. Many bishops are wrestling with similar downsizing questions as the number of church-going Catholics in parts of the U.S. and Europe shrinks and once-full churches stand empty. Toward that end, the Vatican recently sold the property housing its embassy in Tokyo's high-end Sanbancho neighborhood, near the Imperial Palace, to a developer building a 13-story apartment complex, according to the Kensetsu News trade journal. Yet there has long been institutional reluctance to part with even money-losing properties. Witness the Vatican announcement in 2021 that the cash-strapped Fatebenefratelli Catholic hospital in Rome, run by a religious order, would not be sold. Pope Francis simultaneously created a Vatican fundraising foundation to keep it and other Catholic hospitals afloat. 'They have to come to grips with the fact that they own so much real estate that is not serving the mission of the church,' said Fitzgerald, who built a career in real estate private equity. ___ AP reporter Mari Yamaguchi in Tokyo contributed. ___ Associated Press religion coverage receives support through the AP's collaboration with The Conversation US, with funding from Lilly Endowment Inc. The AP is solely responsible for this content.

How Europe could go ‘Mega' by 2027
How Europe could go ‘Mega' by 2027

Telegraph

timean hour ago

  • Telegraph

How Europe could go ‘Mega' by 2027

Poland's new president is a Trump-inspired nationalist. The government in the Netherlands has just been felled by an anti-migrant firebrand. Right-wing parties are already in government in Hungary and Italy, and in Berlin, the far-Right Alternative for Germany (AfD) is the main opposition after it was endorsed by JD Vance and Elon Musk in the February elections. As Europe begins a cycle of crucial elections over the next two and a half years, the radical insurgent Right has the momentum. By 2027, there could be eight nationalist prime ministers in the 27-member-strong European Union, which has already swung to the Right. Meanwhile, Donald Trump's White House is determined to 'Make Europe Great Again'. Allies in the right places could prove very useful to Mr Trump, who accuses the EU of trying to 'screw' the US on trade and through the regulation of American technology firms. If 2027 is the year Europe does indeed go 'Mega', there will be serious ramifications for EU policies on migration, Ukraine and net zero, as well as a push to assert national leadership over Brussels. Experts believe this week's win in Poland and ructions in the Netherlands will bolster the 'Mega' wing in Europe with proof of concept. 'I don't believe in domino effects, but I do believe in a demonstration effect,' said Pawel Zerka, a senior policy fellow at the European Council on Foreign Relations think tank. In other words, people in other countries are aware of and influenced by politics elsewhere. 'The biggest demonstration effect is coming not from other European countries, but from the US,' he said. 'The election of Donald Trump gives a legitimacy boost and a confidence boost to plenty of the far-Right parties across Europe and their electorates.' Many of the parties had 'ever tighter links to the Maga movement' and 'practical support' to get better results, he said. The Netherlands Geert Wilders led his Party for Freedom (PVV) to the hard-Right's first-ever general election win in November 2023. But the 'Dutch Trump' was forced to sacrifice his dream of being prime minister in coalition talks after his shock victory on a platform of 'zero asylum'. This time, he would become prime minister, he told reporters in The Hague, as he vowed to once again defeat the establishment conservative and Left-wing parties in October. The shock-headed populist may struggle to repeat the trick, or to find willing coalition partners, after toppling the government for not backing his hardline migration plans. Current polls have him with a narrow lead of one percentage point over the Left-wing GroenLinks-PvdA. But Mr Wilders was enjoying highs of 50 per cent before forming a coalition government that struggled to implement its strictest ever asylum policy. He is banking on those numbers recovering, and White House officials have already made clear he has Mr Trump's backing. With enough vote share, he could form a new conservative coalition with the pro-business VVD, provided it also posts strong results. Tellingly, its leader has not yet ruled out a second alliance with Mr Wilders. Poland Mr Trump hosted Karol Nawrocki at the White House before the Law and Justice-backed former historian won a knife-edge victory on June 1. The role of president is largely ceremonial in Poland, but it comes armed with the power of veto over new legislation. Law and Justice (PiS) won the popular vote (35.4 per cent), but fell short of a majority at the last general election in Poland. Donald Tusk, who won 30.7 per cent of the vote, cobbled together a large and unwieldy centrist coalition to take power. Since then, prime minister Tusk has sought to steer Poland back to the European mainstream. His reforms, including the liberalisation of some of Europe's strictest abortion laws, are set to be frustrated by Mr Nawrocki's vetoes. Mr Tusk has called for a vote of confidence on June 11 to shore up his restive coalition, which is trailing PiS in the polls. Even if that passes, it looks very unlikely his government will survive to the end of its term in 2027, and while it is unclear who the PiS's candidate could be in the next general election, a hard-Right prime minister is not unlikely. Czech Republic Businessman turned politician Andrej Babis is leading in the surveys – consistently polling about 30 per cent – ahead of October's general election in the Czech Republic. The last election saw him lose to a Conservative-Liberal coalition by just a handful of votes. Babis's party, ANO, obtained 27.13 per cent of the vote, while Spolu, which leads the coalition of the current government, won 27.79 per cent of the vote. If he scrapes together a few more votes, the populist will become prime minister for the second time. During his first spell in office, he donned a Trump-style red baseball cap. A Babis victory would mean that he, and potentially Mr Wilders, would join the highly influential European Council, which meets regularly in Brussels to give the EU institutions political direction. At present, the hard-Right have Italy's Giorgia Meloni and Hungary's Viktor Orban in the room, but their numbers could double by the end of the year to include Mr Babis and Mr Wilders. Hungary (2026) Mr Orban nailed his colours to Mr Trump's mast a long time ago and is a darling of American conservatives. The EU's longest-serving prime minister is looking to win a fifth consecutive term in office in elections in 2026. In 2022, his party obtained 54.13 per cent of the vote – the highest vote share obtained by any party in Hungary since the fall of Communism in 1989. His policies, such as laws insisting Hungary only legally recognises two genders, have drawn praise and emulation from Maga supporters. But he has angered Western EU member states by opposing sanctions on the Kremlin and banning gay pride marches. Mr Orban is currently the most vocal nationalist leader in calling for pan-European alliances of hard-Right parties to radically reform the EU. His party is in a European Parliament alliance with the parties led by Mr Wilders, Marine Le Pen, Ms Meloni's coalition partner Matteo Salvini, and Spain's Vox. Sweden (2026) Prime minister Ulf Kristersson's coalition is propped up by the hard-Right Sweden Democrats, which remains formally outside of government despite coming second in a 2022 election dominated by fears over immigration and crime. The far-Right nearly doubled their vote share between 2014 and 2022, from 12.86 per cent to 20.54 per cent, which is largely down to the Sweden Democrats. The Sweden Democrats have exerted considerable influence over the government and its agenda. The question is whether voters will give Jimmie Akesson enough of a mandate to finally bust the taboo that has so far kept a party partially founded by Nazi sympathisers from being formally in government. Italy (2027) Giorgia Meloni has emerged as a genuine stateswoman since she took power in 2022, and experts believe her example of government has made the hard-Right in Europe more credible. She has kept her Right-wing coalition together, which is no easy task in Italy. She positioned herself as a mediator between the EU and Mr Trump while successfully spearheading a drive to get Brussels' tacit backing for offshore migrant detention camps. Thanks to her, the Italian hard-Right's vote share has risen from just 1.97 per cent in 2013 to 27.2 per cent in 2022, and she will be optimistic of another victory in 2027's general election. She has much in common politically with Mr Orban, but they are divided over Ukraine, which has split the European hard-Right. She shares a European political party with Poland's Law and Justice, which is hawkish on Russia and will be contesting the general election in 2027 if Mr Tusk's vote of confidence passes next week. Spain (2027) Spain's conservatives won the popular vote – 33.1 per cent – in the last general election, but fell short of a majority. Their potential coalition allies, Vox, the far-Right and Trump allied nationalists, underperformed, obtaining just 12.4 per cent of the vote. That opened the door for socialist prime minister Pedro Sanchez to assemble an extremely broad coalition of the centre-Left, communists and Catalan and Basque separatists. Polarised Spain's culture wars have only got worse in the years since the 2023 election and the start of the divisive Mr Sanchez's second term. The pardoning of Catalan separatists and political discussions with former terrorists, as well as corruption allegations about his wife and allies, could cost him in 2027. France (2027) Emmanuel Macron called snap parliamentary elections, effectively daring the French to hand over power to the hard-Right, after Marine Le Pen's National Rally defeated him in the European Parliament elections last summer. National Rally did not get a majority, after a group of different parties united to keep out the hard-Right. But Mr Macron's party lost its majority in the National Assembly and has been a lame duck domestically ever since. Head of the largest single party in France, Ms Le Pen is well positioned for presidential elections in 2027, in which Mr Macron cannot stand. But Ms Le Pen was banned from running for the presidency in March after being found guilty of embezzlement. It drew immediate comparisons to the 'lawfare' waged on Mr Trump, who offered his support. She is appealing, but her protege Jordan Bardella will run in her stead if necessary. Polls are showing that either could win against Gabriel Attal, a contender to succeed Mr Macron as candidate – if they were to run. Ms Le Pen would beat him 53 per cent to 47 per cent, Bardella by 52 per cent to 48 per cent. The question is whether the 'front republican' will once again emerge in the second round of the presidential elections to keep the National Rally from power. Or, as it did this week in Poland, fall just short. The election of a Eurosceptic leader to the presidency of France, the EU's most influential member state alongside Germany, would be a political earthquake that would shake Brussels to its core. Why now? Andre Krouwel, who teaches political science at the Vrije Universiteit Amsterdam, said the populist parties in Europe were comparing notes as they plotted their routes to power. He said: 'They use the success and failure of other parties to learn from and use in campaigns. You see a lot of copying of strategies, such as victim playing or attacking so-called elites.' In general, traditional parties had an advantage in their experience and ability to govern, he added. Mr Wilders' decision to pull the plug on his coalition was an example that proved populists were 'good at saying things, not doing them.' The parties were also 'super-unstable' and given to infighting. For Prof Krouwel, the rise of the populist Right across Europe has its roots in economic anxiety as well as fears over immigration. 'There was always an expectation that your children will do better than you. You can't say that now,' he said, adding that Dutch children were staying home far longer because they can't afford to move out. 'We are all becoming southern Europe and that is an explanation for the populist surge,' he said. Maria Skora, visiting researcher at the European Policy Centre think tank in Brussels, said there were certain broad trends common to many EU countries where the hard Right was on the rise. There have been 15 years of difficulties, including the eurozone and migrant crises. The pandemic was followed by the war in Ukraine and the resulting cost of living crisis. That all contributed to the sense that traditional parties were not delivering. Meanwhile, parties like the AfD were extremely effective at using social media and digital campaigning. 'It's a digital revolution, as big a revolution as you know, radio back in the day,' Ms Skora said. 'I think this feeds into this tribalism and polarisation, which we see in more countries.'

Jeremy Hunt vs Allister Heath: ‘Starmer's EU sell-out is Gordon Brown's gold scandal on steroids'
Jeremy Hunt vs Allister Heath: ‘Starmer's EU sell-out is Gordon Brown's gold scandal on steroids'

Telegraph

timean hour ago

  • Telegraph

Jeremy Hunt vs Allister Heath: ‘Starmer's EU sell-out is Gordon Brown's gold scandal on steroids'

I've visited plenty of poky parliamentary offices in my time, some little larger than cubby holes and designed without any interest in ergonomics. Jeremy Hunt's digs are something else. They are palatial, as befits a former holder of two of the greatest offices of state, and a runner-up in the contest to become Tory leader. A Spectator magazine cover takes pride of place on the wall. I can't avoid doing a double take. The cartoon depicts a triumphant Hunt and a defeated Boris Johnson, with the headline marvelling at the political upset of the century. Hunt notes my surprise at this extraordinary historical revisionism. He explains that it was an unpublished draft produced just in case and gifted to him by the Speccie's former editor Fraser Nelson, following his defeat in the 2019 Conservative leadership contest. I like Hunt, even though we have jousted over the years and despite his conviction that I'm an incorrigible purveyor of declinism. A former chancellor, foreign secretary and health secretary, he is now on a mission to convince Britain not only that our country can be great again, but that we retain far more power, wealth and influence than we realise. He believes the world needs us to be successful and engaged, fighting for free trade, defence, the environment and human rights. I wanted to read Hunt's new book to find out which kind of optimist he is. The good news is that he is no Panglossian, convinced, like Candide's glib tutor in Voltaire's masterpiece, that all is already for the best in the best of all possible worlds. Centrist dad types often fall into that delusional category, citing long-run GDP figures or life-expectancy data to lecture us that we have no right to moan about anything. Instead, Hunt can best be described as a rational optimist, to adapt a phrase coined by British writer Matt Ridley, somebody who accepts that the world is in a bad place but who is aware of what is still going right and believes that what has gone wrong can be repaired. His book, Can We Be Great Again? Why a Dangerous World Needs Britain, is extremely readable, and an excellent, nuanced contribution to what the UK's role should be in today's multipolar world. 'Because I put up taxes, there was this view that I was happy for taxes to go up' Given that title, I point out, if Britain isn't great today, that must in part be the fault of his government. 'If I was going to look back over 14 years, were we as transformative as Margaret Thatcher?' Hunt responds. 'No, but in our defence, we had to deal with three global shocks: the financial crisis, Covid and a 1970s-style energy shock. We did the one thing everyone expects from Conservative governments, which is to take the tough decisions to right the economic ship,' he says. As a result, 'There were lots of other things that we didn't do.' He is proud that, during his tenure as Chancellor, inflation fell back dramatically, and that he managed to increase defence spending. He also has regrets: 'My biggest disappointment was that we didn't go further, faster on welfare reform and getting taxes down. My biggest personal failure was not getting a message across that the Conservatives really did want to bring down the tax burden. Because I put up taxes, there was this view that I was happy for taxes to go up.' That is to profoundly misunderstand his belief system, Hunt maintains. He highlights his reductions to National Insurance, and his introduction of full expensing for corporate capital spending. 'I am a small-state conservative for principled reasons to do with the fact that governments should expropriate the minimum possible for its citizens, but also because of the practical reason that the fastest-growing economies are the ones with the lowest tax rates.' The language is noteworthy: many of his colleagues aren't interested in political philosophy, and have become unused to talking about economics, preferring to focus exclusively on culture wars. Unlike many Tories, Hunt isn't scared to argue that the better off should be levied less too. 'I would like to bring down all levels of tax. I'm very worried about the flight of millionaires,' he says. He highlights the absurdity caused by the tapering of the personal allowance on incomes between £100,000 and £125,000 a year, an unfashionable cause but one that is hammering the incentives of professionals. 'There are lots of anomalies in the tax system, such as having [an effective] marginal rate of tax of 62 per cent over £100,000 a year. People on lower incomes also need to see that their tax bill is going down. Nigel Lawson brought down everyone's taxes.' Many on the Right – Tories, as well as, increasingly, Reform – are scared to discuss cutting spending, partly because of the realignment that has sent so many lower-income voters their way. Not so Hunt: 'Welfare reform and lower taxes are the only way that we are going to change this country, culturally, economically and fiscally.' Spending could be cut drastically. 'There were lots of problems in the benefits system in 2019, but even if we just turn the clock back five years for working-age adults, getting the benefits bill to where it was before the pandemic, we would save just under £50 billion a year.' He believes Rachel Reeves should have focused on a comprehensive reform of the benefits system rather than on the now-derailed attempt at removing pensioners' winter fuel allowance. 'The Government has used up all the capital that it might have had on what is, in Treasury terms, a relatively trivial amount of money, [saving] around £1 billion, when they could have taken the same hit for £50 billion, and would have improved work incentives.' 'We need to start trying to be the country that I know we can be' Hunt is a born-again Brexiteer, and embraces an open, Singapore-style future of globally competitive businesses and free trade. 'I didn't vote for Brexit, but I've never had any doubt that we can make a huge success of it. I see no reason why we couldn't be a completely independent, sovereign country like Canada or Australia.' He believes Keir Starmer's 'reset' was a political catastrophe. 'I cannot understand why the Government is agreeing to pay money into the EU. The Government cunningly didn't tell us how much they're going to pay, but it's going to be billions. They're going to have to justify cutting benefits for pensioners at the same time as increasing payments to the EU.' Starmer's sell-out will have cut-through, Hunt believes. 'It is going to be Chagos on steroids, Gordon Brown's gold scandal on steroids. It's a very big political mistake. Why would a sovereign country pay to do a reciprocal trade deal? Canada wouldn't do that. Australia wouldn't do that. The United States wouldn't do that. It betrays a mentality that we are the junior partner.' This is where Hunt's rational optimism shines through. 'We have the top military in Europe, the top universities in Europe, the top tech sector in Europe. We have more hard and more soft power than any other European country. We are an equal partner.' This goes to the heart of Hunt's thesis. 'We need to get back our self-confidence. The world is in an incredibly dangerous state. We've got Ukraine, Taiwan, we've got an unpredictable president in America. We've got a migration crisis. We've got so many things that are going wrong. Countries that have power or influence need to use it. Do we just hold our hands up and say we're screwed and there's nothing we can do about it because we're such a weak and ineffective country, or do we look at the facts, which are that on every single major global issue, we are one of the top 10 most powerful countries on the planet, and if we choose to, we can have a decisive influence in solving problems? We need to start trying to be the country that I know we can be.' Hunt thinks defence spending should increase. 'Three per cent is the minimum. America spends 3.4 per cent, so you probably want something along those lines.' It is usually a cliché to describe somebody as irrepressible, but that is Hunt. Nothing seems to drag him down, even irritating journalists such as myself, who spent 15 years accusing him of being too Left-wing. He always bounces back, and can take almost any criticism. He is energetic, repeatedly running the London marathon. He tries to marshal reason and facts to convince his critics, a counter-cultural approach in an era of social media attack dogs and demagogues. The son of an admiral and a father of three, 58-year-old Hunt attended Charterhouse School and was president of the Oxford University Conservative Association during Thatcherism's heyday. He had a buccaneering streak and, after a couple of years in consultancy, headed to Japan, where he learnt the language and taught English. On his return, he founded several businesses, making millions. His eyes bulge when he makes important points, a trait his enemies have mocked but that, in private, merely underlines his earnestness. Many critics of the historic catastrophe that was Britain's Covid lockdowns point to Sweden or Florida as role models. Hunt looks instead to Korea and Taiwan. 'Korea had a much more effective test and trace scheme, and quarantined people who had the virus quickly. They avoided any lockdowns at all in the first year, all the restaurants stayed open for the whole of the first year, and there was much less economic damage.' He doesn't believe lockdowns reduced the number of deaths and blames them for destroying the work ethic. This is a core Huntian value: he believes in hard work, in self-reliance, in upward mobility and in ensuring tax and red tape don't discourage it. 'The real problem with lockdowns was a cultural one. They got us out of the habit of hard work. Working from home has become a virus which is incredibly damaging to our work ethic,' he argues. He adds of lockdowns, 'They created a mentality that if there's any big problem, the state will always step in, and we are still paying the price, and the worst place of all we're paying that price is the benefits system.' He's a fan of Iain Duncan Smith's welfare reforms. The issue is that at around the same time, 'Britain passed a law saying there had to be parity of esteem between mental and physical health. This was a good thing for the NHS, because it needed to treat mental illness more seriously. But it was a terrible thing for the benefits system, because people realised they could increase their points and therefore their likelihood of qualifying for disability benefits or higher levels of Universal Credit. By drawing attention to mental illness, we create an incentive, not just for people to use mental illness to qualify for benefits, but for people not to get better.' Hunt is passionate about the scandal of Britain's exploding numbers of adults on out-of-work benefits. 'It is not just economically barmy. It is immoral. About half the people who are signed off having to look for work are now done so primarily for mental health reasons. If you are mentally ill, one of the most important things is social contact. The last thing you want is to condemn them to a life of daytime TV. If you have mild depression, it is likely to make it severe depression and far worse. We are doing a massive disservice to these people.' 'Which EU country would dare oppose reforms that give people control of their borders? There is a point in the life of a Tory politician when they undergo a metamorphosis. They go to bed one evening as an ex-Cabinet minister and wake up the next morning as a grandee. Hunt has completed that process, though he may not have realised it yet. Being a grandee confers a number of advantages upon the beholder. They are given a fairer hearing, and that is something Hunt certainly deserves. He was treated abominably when he was health secretary, demonised by imbeciles who should have known better. The NHS will never be well managed – it is impossible for anybody to effectively run a gigantic socialist behemoth – but it was vastly better when Hunt was at its helm than it is today. I ask him whether the NHS can still be saved as a universal, state-owned, taxpayer-funded system that is free at the point of use. 'There are a lot of social insurance systems in Europe that have better outcomes and sometimes for less money than the NHS costs us,' Hunt says. 'But I don't believe that any party will ever persuade the British people to switch to it, because the principle of the social insurance system is that everyone gets bronze-level insurance, and that's paid for by the state. But those who can pay [can opt for] silver- and gold-level insurance.' I put it to him that the NHS is in fact a bronze-level system already. He deflects my trouble-making, offering two suggestions to ensure we 'get as good a result as they get in the Netherlands or Israel on our system'. First of all, 'We've got to get rid of these national targets that have made the NHS the most centralised, micromanaged healthcare system in the world. Stalin would be proud.' His second reform would be to regionalise the NHS, making it report to locally elected mayors. More generally, Hunt's solution for economic rebirth is radical devolution. The current model hands some spending power to local authorities but does not make them responsible for raising funds, creating mismatched incentives. Power must come with accountability. 'It needs to be about local empowerment, civic leadership, giving local mayors and elected authorities the power to pull themselves up by the bootstraps.' Hunt 'favours elected mayors with four-year terms' in place of local authorities. He does not want to spread the 'grievance model' promoted by the SNP in Scotland or Sadiq Khan in London. He describes himself as a 'passionate supporter of free trade'. He says, 'Britain basically invented free trade, and the British Empire laid the foundations of the global free trade system. But we didn't make sure the benefits were spread evenly. The average wage in Manchester is some £10,000 pounds lower than the average wage in London. Boris was absolutely right to champion levelling up. The bit that was missing is that levelling up should not just be about Westminster doling out cash to left-behind regions.' Hunt, whose wife, Lucia, is Chinese-born, has a nuanced grasp of the immigration debate. 'Immigrants living here are among the strongest voices for controlling migration, partly because they are worried about social instability,' he points out. Hunt agrees the Conservatives proved too liberal on immigration. 'We allowed companies to increase their workforce by hiring cheap foreign labour, which allowed them to ignore the six million adults of working age in the UK who are not in work. That is expensive for the state and a morally bankrupt position.' His views on asylum and refugees have shifted. 'The ECHR and the 1951 Refugee Convention were written for a different age and urgently need reform, because they make it too hard to stop people coming here and too hard to get people out who shouldn't be here. Keir Starmer, a human rights lawyer, could do that with extraordinary credibility. Which European country is going to dare to oppose reforms that give people proper control of their borders? It is that kind of energy we need to see when it comes to Britain's place in the world.' In the absence of reform of the ECHR and Refugee Convention, withdrawal is the only solution. 'In the end, if we can't reform them, I would support leaving them. But the trouble with just leaving them is that you don't stop thousands of boats crossing the Mediterranean, let alone the Channel.' Ever the optimist, Hunt isn't one of those who think the Tories are about to be supplanted by Reform: 'I don't believe the Conservative Party is extinct. Our share price is low at the moment, but we'll come back because we are the only party that really understands and cares about wealth creation.' I wonder whether Hunt, who chose to step down from the shadow cabinet, may yet feel the hand of history tapping on his shoulder one more time, especially if the Tory party were to implode after next May's elections. Stranger things have happened, including when Hunt, who was preparing to wind down his career, was contacted out of the blue by Liz Truss. A message from an unrecognised number stated simply, 'Liz Truss here. Please can you give me a call.' He thought it was a trick. 'Was the prime minister really trying to contact me? Surely not. It was mid-October 2022 and she had been in Downing Street for a little over a month,' Hunt recalls. He told Lucia, 'Someone just tried to message me pretending to be Truss. I can't believe how naive people think I am. It's probably a radio show host trying a hoax call.' It was indeed the prime minister, and he was appointed Chancellor the next day. Ultra-experienced politicians who pen policy books are rarely content with becoming pundits shouting from the sidelines. Hunt is highly supportive of Kemi Badenoch and was effusive about her performance at Prime Minister's Questions on the day we met. I don't doubt his sincerity. Yet Hunt wouldn't be human if he didn't think that maybe – just maybe – he could still have something valuable to contribute to his country at the highest level.

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