Faisal Islam: Chancellor's attempts to boost vibes may limit tax rises

The chancellor may have thought about shifting the venue of his first major speech this morning.

It was an absolute and total coincidence that he chose to make it in the Coventry Manufacturing and Technology Centre (MTC), just a few minute's drive from the city's totemic HQ of Jaguar Land Rover (JLR).

In the event, no one was pulling punches. The 4,000 office-based job losses at JLR were confirmed as John Healey answered questions a few miles away.

Healey chose to lean into it as an example of the global turbulence against which the UK needs more resilience.

The difference between this chancellor and his predecessor was he also feels that stressing fiscal discipline should instil confidence in consumers, businesses and investors, and not sap it away amid rolling fears of tax hikes.

So the prime minister and his chancellor have been engaged in a conscious attempt to boost the economic vibes - "a new story", as he called it.

In his speech, and in a BBC interview afterwards, this was clear. There are some positive underlying signs from consumer, business and recruiter confidence measures that indicate this message has been heard, although the hot weather and World Cup have also been factors.

The Downing Street duo are trying to maintain this precious commodity of confidence and the promotion of economic animal spirits that have been suppressed by years of political and economic chaos.