Ed Conway Profile picture
May 14, 2021 24 tweets 12 min read Read on X
THREAD: How did we end up here? With the UK’s plans to lift lockdown threatened by a new variant. Just as we taste freedom, it might be stolen from us! Well. It’s a slightly long and circuitous story and, believe it or not, the best place to start is with Brexit…
No. Don’t worry. This is not not a thread about Brexit. But Britain’s departure from the EU is the starting point for one of this govt’s overarching policy objectives: the need to seek out a trade deal with key partners. And one of those key partners is India.
That’s partly why @BorisJohnson made India the destination for his very first International visit. But then #COVID19 got in the way. The first slated trip in Jan was postponed. Then it was rescheduled for Apr 19. But then cases picked up in the Indian sub-continent…
The rise in COVID didn’t go unnoticed in Whitehall. Indeed on Apr 2 govt announced it was adding Pakistan and Bangladesh to the “red list” of countries which means non-residents/citizens cannot enter the UK & those coming in have to do hotel quarantine gov.uk/government/new…
India was not added to the red list at this stage. This was odd. The explanation, as repeated by @BorisJohnson in today’s press conference, was that variants of concern had been detected in Pakistan/Bangladesh but not India (the latest variant was not then officially a VOC). But.
Variants are not the only reason to put countries on the red list. Overall case numbers are also a key factor. And look: case numbers in India were far higher than in Pakistan/Bangladesh on Apr 2. There were numerous reports coming from India of cemeteries being over-capacity
Weeks passed. The situation in India worsened. During this period Downing Street maintained it was still planning to visit India later in the month. Cases, as you saw from that last chart, mounted to unprecedented levels. Only on Apr 19 did Downing St finally cancel the trip
A few hours after the announcement of the cancellation, India was added to the “red list”. Some 17 days had passed since Pakistan and Bangladesh had been added to that list. It’s hard to know for sure whether the two things - the PM trip and the decision - were linked.
In those 17 days we now know the Indian variant was establishing a foothold in the UK. You get the sense of that from this chart
White bit: cases imported from India. Black bit: domestic cases
So: imported cases in early April began to seed domestic cases
Quite advanced by Apr 19
Acc to data from @PHE_uk the new variant cases were brought into the UK primarily on flights from Mumbai & Delhi. This was happening long after Indian cases had begun to soar, when the country’s terrible crisis was already in the headlines. But it wasn’t on the red list.
And that’s not all. Although the govt announced its plan to put India on the red list on Apr 19, the plan wasn’t to be implemented until 4am on Apr 23. Three and a half days. During this period demand for flights India - UK went through the roof bbc.co.uk/news/business-…
On the basis of @PHE_uk data we now know the single biggest increase in the % of cases testing positive for the new variant of concern (B.1.617.2) happened in this week beginning 19 Apr, as travellers rushed to beat this deadline. (Note the purple bit in the second chart down)
Worth saying: there’s no hard & fast rule abt how quickly govt can implement these red list decisions. The India decision was slightly quicker than usual. But it was a long way from the “we could do this in HOURS” pledge made when the rules were introduced thetimes.co.uk/article/changi…
Still: it does seem in retrospect that it was this critical period in April when the variant gained a foothold in the UK. Raising the question: what next? Before we get to that though it’s worth remembering this chart for context. Cases are REALLY LOW! That’s v good news.
And when you look at the Indian variants (there are actually three though it’s B.1.671.2 people are most worried about) they are still dwarfed by the Kent variant that basically comprises most #COVID19 in this country. But…
The Indian variant is spreading far more quickly than any other variants discovered in recent months. Much faster than S Africa or Brazil, for instance. In fact, it’s on about the same trajectory as Kent - and we know where that ended up.
Here’s a better way of showing that. Same data but this time with a logarithmic axis. You can see those lines are on similar paths. This helps explain why @CMO_England reckons the Indian variant could supplant Kent as the main variant. By some measures it’s MORE transmissible
That q - how transmissible - MATTERS. Assume vaccines are effective (and the news there is promising as we’ll see). Even if you bear this in mind, a 40% more transmissible variant could nonetheless see hospitalisations near peak 1 levels, so says Warwick: assets.publishing.service.gov.uk/government/upl…
That being said, we’ve seen charts like this before. Everyone focuses on the scary lines/areas at the top. Consider this one from Imperial a few months ago when the lockdown lifting plan was announced. 60k hospitalisations! Now (chart 2) look at what HAPPENED…
Let’s hope the same thing happens. And don’t worry: we at @skynews will keep tabs on the figs to keep you up to date on that. The good news is twofold: first, as I said above, overall cases are still v low. We’re talking pockets, not widespread contagion.
Second: data tentatively suggests the vaccines are working well against the Indian variant of concern. Here’s a chart we ran on @skynews last night. Shows case levels in Bolton by age group. Look: while it’s spreading QUICKLY among under-60s, over-60s aren’t seeing a big pick-up.
If you’re interested in more on this, here’s longish read on the @skynews website: The three days in April that could have fuelled the outbreak of the Indian variant in the UK. news.sky.com/story/covid-19…
Btw: was it inevitable the UK would have seen rises in this variant even if it put India on the red list sooner? Not necessarily. While there’s some of the variant (GREEN in these charts) in Ireland and Switzerland (& LOTS in Italy), it’s hardly ubiquitous covariants.org/per-country
Here, for anyone who prefers their analysis in video form, is my @skynews data dive into the current state of play with the Indian variant and, more broadly, #COVID19 in the UK. Apologies: somewhat longer than usual

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More from @EdConwaySky

May 15
V interesting new analysis out today from the @IPPR.
There have been plenty of reports saying we need to do what we can to rebuild manufacturing & grow green tech.
But WHICH SECTORS could the UK actually compete in? This report provides some of the answers news.sky.com/story/rapid-st…
Full report here👇
It's precisely the kind of forensic work this govt (or the next one) needs to do on industrial strategy. We can't hope to compete with China & the US in EVERY field. So what do we focus on?
They say: heat pumps, wind and green transport ippr.org/articles/manuf…
Now a few key charts from the @ippr report. Some are also in the TV report we're running on @skynews today.
First off (and most depressingly) the UK has deindustrialised faster than any other developed economy. We've actually LOST a lot of our expertise and competencies Image
Read 6 tweets
May 14
🧵
Joe Biden has just confirmed he's going to raise the special tariff on electric vehicles coming from China to 100%.
Also new tariffs on batteries and solar panels.
What's going on here?
Here's a quick primer with some charts 👇
First off, a recap on what's happened with tariffs.
The standard tariff on cars is 2.5% - that's what most other nations pay.
Trump levied an extra 25% tariff on China in 2018.
Now far from changing course, Biden is doubling down - or rather quadrupling down.
Now it'll be 102.5%
Why is this happening?
Well, a big part of it is politics.
But the other part of it comes back to this chart👇
China has come from nowhere in the past few years to become a car exporting powerhouse.
Just look!
And this is almost entirely because of electric cars Image
Read 13 tweets
May 2
I hate to be pedantic (and no doubt this will mean I'll be labelled as one of those doomsters @KemiBadenoch is calling out here) but there's a few problems with the data the biz/trade sec is quoting here.
When you correct them, the picture looks a little different...
🧵
Let's start with the big one.
In all the charts in the @biztradegovuk document she quotes from, it looks like export volumes are bigger than ever before 👇
Hurrah!
Except this is true only when you fail to adjust for inflation. Which, as we all know, has been VERY high recently Image
Let's take the same @ONS database and use the inflation-adjusted series, as we really should when comparing flows over time.
Suddenly, what looked like an ever-increasing volume of trade is actually a lot more flat.
Goods exports (dark blue bars) are still well below pre-Brexit. Image
Read 14 tweets
Mar 18
NEW
Britain's motoring lobby group the @SMMT has insisted that an unprecedented 2,000% increase in car exports to Azerbaijan has NOTHING to with Russia and is explained by the fact that this former Soviet state is a “flourishing market in its own right”.
This is rather... odd
🧵 Image
Before we get onto that, some background (thread on this here👇).
TLDR: UK car exports to Russia have collapsed, because of sanctions. But UK car exports to countries neighbouring Russia have suddenly risen by nearly the same amount. Esp Azerbaijan
Following my original report we now have new figs on UK car exports.
They show flows to Azerbaijan have continued. £42m in Jan. 3rd highest EVER.
Now there's no way of being 100% sure what's going on here. you can't track consignments beyond Azerbaijan (if they ever reach Az) Image
Read 13 tweets
Mar 12
🚨The strange tale of British luxury cars & Russian sanctions🚨
🧵A thread on some v striking charts which raise some disturbing questions abt the car industry.
Let's start at the start.
Wealthy Russians love high-end British cars.
Don't just take it from me. Take it from her 👇
So when Russia invaded Ukraine, it was not without significance that all Britain's major carmakers said they would stop sending their cars to Russia.
Anyway, shortly afterwards, the UK imposed sanctions which made it illegal to do so anyway...
There are two sanctions of note here.
First, UK companies cannot send "dual use" items to Russia which could be turned into weapons.
Second, there was a specific ban on the sale of any car over £42k👇
So it's pretty simple. No cars. Esp not luxury cars. legislation.gov.uk/uksi/2022/452/…
Image
Read 15 tweets
Mar 6
💷BUDGET THREAD💷
A few thoughts on what was supposed to be a big event but ended up feeling, well, a wee bit thin.
And that’s the first thing to say.
Strikingly, this Budget was HALF as big as the Autumn Statement. Look at the difference between the scorecard totals 👇
Image
Image
Was it a tax-cutting Budget?
I mean… not really.
Well, OK, the net impact is taxes aren’t going up as quickly as they were 6 months ago.
But (and I think this is pretty crucial) THEY’RE STILL GOING UP. The tax burden will be higher at the end of this Parliament than before.
Here’s a good illustration of that.
The bars here show you the impact, across the economy, of the decision a few Budgets ago to freeze tax allowances. The bars are in negative territory.
People are paying more in taxes as they get dragged into higher thresholds… Image
Read 14 tweets

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