The deal ...

The Conservative and Liberal Democrat parties have done a deal - you can find a copy here.

Looking at the deal, I have to say that I am surprised by bits, but content with almost all of it.  I say 'almost' as some will need much more explanation to persuade me that it is sensible.

The section on 'Deficit Reduction' recognises that the authorship of the deal comes from 2 parties with different views of priorities.  I am glad that we are seeing immediate steps being taken to tackle the deficit and it appears that the Governor agrees with it.  What a pity that so much effort in the election went into arguing about what appears sensible in the cold light of day ...

I am glad that reduced spending appears to be being prioritised over tax rises - although it has to be said that we shall wait and see what the details are in both the budget in 49 days' time and the comprehensive spending review in the autumn.  Having said that, the situation left to the new administration is so dire that the economists are predicting that tax rises are ineviotable (in particular VAT).  I hope not ... but as will all of this, it depends on the figures.

The funding for the NHS and schools are things that I support anyway.  The need for a strategic defence review is obvious - and yes, the effect and effectiveness of Trident should always be included in such a review, although I anticipate no change. 

Restoring the link between the state pension and earnings was a manifesto commitment that I supported - and the Liberal Democrats' 'triple lock' appears to be simply a different way of expressing the same commitment (as it has to be doubted that in the current environment inflation will exceed the rise in earnings) - although 2.5% may be a marginal increase ahead of prices if the economy continues to be sluggish.

On tax, I am pleased that there is a commitment to raise the threshhold - it is something that most conservatives and Conservatives would and do support (provided that it can be afforded) - and I am glad that realism is maintained in respect of it.

To seek a detailed agreement on fixing CGT rates at rates similar or close to those applied to income is difficult to swallow - it appears to be a near doubling of CGT for many people and although there are to be 'generous exemptions' for particular entrepeneurs, I shall await the detail with interest.  Having said that it removes the incentive to capitalise income for higher rate taxpayers which is a fairly simple and effective tax avoidance measure that arises from the fact that CGT rates are less than half of those on income.

The proposals on Banking reform are not nearly detailed enough to be discussed in detail.  We shall wait and see ...

On immigration, I suspect that most voters that I met will be content.

On political reform, the proposal for a fixed term is interesing and in essence appears to remove the Prime Ministers power to decide alone and surprise others; although I have real difficulty with the attempt to entrench Government.  I am pleased with the proposal to adjust and redcue the number of constituencies and to reform the size of them to equalise them.  As to the vote on AV: I will oppose the change, although I can see no real problem with there being a referendum on the issue.

The power of recall is another interesting idea - and I can see there being complaints that it doesn't go far enough.  The power can be exercised only where there has been 'serious wrongdoing' and a petition of 10% of the constituents.

Completing the reform of the House of Lords is sensible; although I am sad at the loss of expertise and specialist knowledge, the continuation of the half reformed oddity that is the current House of Lords is not sustainable and I would rather that we influenced the change than it being done by others - my main concerns are that the reform should strengthen the Unions (not the Trade Unions!) and create a body that cannot usurp the power of the Commons.

The Wright proposals are sensible and dealing with electoral fraud is an urgent problem.  Dealing with the 'West Lothian' question is increasingly urgent - and a referendum on further devolution to Wales is something that cannot be avoided.  Increasing local autonomy and devolving power is something that I agree with - indeed it may be part of the answer to the West Lothian question - although it will have significant effect on the provision of local services with noticeable differences appearing as a consequence, and people will need to be aware and understand that before it is implemented.

On Pensions and welfare, the proposals are sensible and those on Education are radical, interesting and we shall need to observe and adjust the proposals as they are implemented to remove difficulties that arise.

On the EU, it is remarkable that any agreement has been reached at all - that it appears to follow sensible scepticism is pleasing.

The agreement on freedom is good news - and while I am still unconvinced about parts of the 'green agenda' which I suspect is being pursued for reasons unconnected with concern for the environment, the proposals in the agreement are sensible and proportionate given the concerns that any parent will have for the future.