Hung parliament hopes and fears

There’s no doubt, pressure to discuss the consequences of a hung parliament will intensify, above and below the surface. It’s started to dawn on both Labour and Conservatives that a state of public denial will do them positive damage. Nick Clegg has four big tasks, says my colleague Robert Hazell writing in the Guardian. (My post below is a projection of his analysis). Who to negotiate with first; minority government or coalition? ; change of Labour leader?; and selling whatever agreement is reached to the flakier members of the Lib Dems rank and file. Reuters reports that sterling won’t go into free fall at the prospect of a hung parliament – provided the parties have a deal wrapped by Sunday May 9, according to one banking analyst! .

  • I would have thought that the biggest fears that the market would have is the worry that a particularly ideological government (say, Labour if it had taken the AES to the voters in the early 1980s) would get in.

    There’s no danger of that with any of the three contenders and a coalition would certainly further constrain the politicians to the satisfaction of the markets.

  • percy

    Clegg has to stand firm, to be in the strongest poss position before considering a deal.
    Meanwhile why are there no opinion polls in NI?
    they don’t get to Slugger’s anyway?

  • Driftwood