Dr Eamonn Butler writes for the Times: "Politicians should butt out of bonuses"

Director of the Adam Smith Institute, Dr Eamonn Butler, wrote an op-ed for the Times: "Politicians should butt out of bonuses"

“Barclays argues that we should stop moaning about bonuses, and it’s right. To most, bank bonuses of more than £1 million or 200 per cent of basic pay seem truly astonishing.

“Especially when banks are losing money. You can see why they blame the financial crash on such “greed”.

“Politicians happily fan this bonus envy because its is one of the things that diverts attention from their own hand in the crisis – their years of inflating a cheap-credit, loose-money, over-spending, over-borrowing bubble that inevitably had to burst…”

ASI Director Eamonn Butler writes for the Daily Mail: "We need a real recovery, not a political fantasy"

Director of the Adam Smith Institute, Dr Eamonn Butler, wrote an op-ed for the Daily Mail: "We need a real recovery, not a political fantasy."

Read the full article here.

"We can forgive Chancellor George Osborne for looking smug. His efforts seem to be paying off. 

"Wage increases are overtaking price rises. Unemployment is falling. House prices are soaring. 

"Consumers are in the shops again. Economists predict near-record growth, and the IMF says the UK is likely to be the fastest-growing economy in the developed world.

"But actually, if you look more closely, these are all worrying signs."

Sam Bowman quoted in the Daily Mail, Independent

Research Director of the Adam Smith Institute, Sam Bowman, was quoted in the Daily Mail and the Independent, arguing that Labour's proposed rent control policies are "stunningly bad idea(s) that could devastate Britain’s cities and clobber renters."

Read the Daily Mail article here.

Read the Independent article here.

ASI Research Director Appears on BBC Daily Politics

Research Director of the Adam Smith Institute, Sam Bowman, appeared on BBC Daily Politics (1 May 2014) to discuss Labour's election pledge to control rent prices.

Adam Smith Institute Featured in the Mail Online

The Adam Smith Institute's comment on sky-rocketing housing prices in London was referenced in a Mail Online article.

Read the full article here.

Sam Bowman quoted in City AM's front page story

Research Director of the Adam Smith Institute, Sam Bowman, was quoted in City AM's front page story on Labour's election pledge to control rents.

Read the full article here.

Sam Bowman of the Adam Smith Institute called the announcement: “One of the worst policy decisions in the history of modern British politics.”

Sam Bowman featured in the Telegraph

Research Director of the Adam Smith Institute, Sam Bowman, was quoted in the Telegraph, arguing that Labour's campaign promise to control rents is a "stunningly bad idea."

Read the full article here.

"Free-market economists criticised the Labour plan.

"Sam Bowman of the Adam Smith Institute said: "Rent control is a stunningly bad idea that could devastate Britain’s cities and clobber renters. To paraphrase the socialist economist Assar Lindbeck: the only thing worse for cities than rent control is bombing them."

Press Release: Rent controls are flat earth economics

Commenting on Labour's election pledge to impose rent controls and three-year tenancy standards, Research Director of the Adam Smith Institute Sam Bowman said:

"Labour’s announcement that it will impose rent and tenancy controls is one of the worst policy decisions of recent years. It goes against one of the only true consensuses that exists among professional economists. No doubt with the best of intentions, Labour has unwittingly announced a policy that would devastate Britain’s cities by creating massive slums and exacerbate the housing crisis.

"Rent controls fail the most basic test of supply and demand. A price ceiling on rents leads to a reduction in the quality and quantity of places to live – as the market-clearing price rises above the price ceiling, the quality of existing stock degrades, eventually turning into slums. New construction is disincentivised and available housing becomes scarce. In Britain, this would escalate the housing crisis to an unprecedented level.

"The evidence bears this out: In a 1968 study by Paul Niebanck, 29% of rent-controlled housing in the United States was in a deteriorated state, compared to only 8% of uncontrolled housing. (http://www.walterblock.com/wp-content/uploads/publications/RentControlMythsRealities.pdf p. 68)

"Rent control is not a left-right issue: rent controls are opposed both by right-wing economists and left-wing economists like Paul Krugman and Emmanuel Saez. A confidence-weighted 2012 survey of economists found that 95% thought that rent controls had done damage where they were applied. (http://www.igmchicago.org/igm-economic-experts-panel/poll-results?SurveyID=SV_6upyzeUpI73V5k0)

"The very announcement of this policy will probably do some damage: if there’s a danger that your investment might be subject to punitive state-imposed price ceilings, it’s probably better to play it safe and invest in something else.

"The only good way to lower rents is to allow more construction in places people want to live. We simply must build more.

"Rent control is a stunningly bad idea that could devastate Britain’s cities and clobber renters. To paraphrase the socialist economist Assar Lindbeck: the only thing worse for cities than rent control is bombing them."

For further comment or to arrange an interview, contact Kate Andrews, Communications Manager, at kate@adamsmith.org / 07980 627940.

The Adam Smith Institute is an independent libertarian think tank based in London. It advocates liberal public policies to create a richer, freer world.

Eamonn Butler on BBC Radio Five Live

Director of the Adam Smith Institute, Eamonn Butler, featured on BBC Radio Five Live's programme Wake Up to Money to discuss whether a 'Made in Britain' tag is valuable to UK business.

Listen to the whole interview here. (start 27:18)

Sam Bowman Debates Union Action Restrictions in City AM

Research Director of the Adam Smith Institute, Sam Bowman, debates the Director General of the Institute of Directors on whether the recent tube strikes indicate that the government should restrict union action.

Read the full debate pieces here.