David Laws resignation

David Laws has just announced his resignation in a dignified statement at the Treasury.

I'm gutted that he has gone. I genuinely thought that he would stay - partly because it is not clear that he has broken the rules - he certainly has not profited from any breaches of the rules. Also, for the purely political reason that it is early in the new coalition government and troubles now can be got over simply because the new administration is enjoying a honeymoon period. Biut mainly, because he is damn good at the job.

That he has chosen to resign reflects both his character - he didn't want to spend the government's goodwill which might be required later - and his determination to keep the coalition on a sound footing. In 1997, the new Blair Government survived the Bernie Ecclestone donation row but was somewhat tainted from then on. Compare and contrast...

What now for David Laws?

Clearly David has some time to reflect and to try to rebuild everything that has been torn apart over the last 24 hours. I hope that he and Jamie - who has been a friend of mine for many years - will be able to get to grips with their new circumstances in the public eye.

David is and will remain a great talent for the Lib Dems. I have no doubt that, once the investigation is over, he will be able to return to Government if he chooses to. He really is too big a talent to be ignored. It's wrong to compare the dignified and honourable Laws with Peter Mandelson, but Mandelson proved that it is possible to come back to Government after resignation. Both, in their very different ways, are indispensible to their parties.

What about Nick Clegg?

Nick was faced with a very difficult situation. He has just lost the star of the first fortnight of the coalition and had to choose someone to replace him. By picking Danny Alexander he is asking a lot of a man who he has come to rely on for political advice but who has not been at the forefront of economic policy within the Party. He's not David Laws mark 2, but I believe he will do a more than competent job.

Presumably, we will also shortly see the announcement of a new Scottish Secretary. My hope is that it will not be another minister being promoted - if only because the new government has only just started work and to have a long consequential reshuffle now would be incredibly disruptive.

Jo Swinson anyone? - No sooner said than not done as Michael Moore has got the job.

David Laws - the best of times, the worst of times

Yesterday, Lib Dem Chief Secretary of the Treasury David Laws was winning rave reviews for his poise at the dispatch box. Tonight he is in hot water after the Daily Telegraph revealed that he had been using his expenses to rent property from his long-term partner.

David Laws has been a revelation to people both in and outside the Lib Dems since his appointment to the Cabinet. He is no longer the obscure Orange booker but a supremely talented minister fully on top of his brief and more than justifying the decision of Nick Clegg to nominate him to a top job.

The full story about the expense claims will come out over the next day or so, but the Telegraph claims:

"David Laws, the Chief Secretary to the Treasury, claimed up to £950 a month for eight years to rent rooms in two properties owned by his partner. The claims could be against parliamentary rules governing MPs’ second home expenses.

On Friday night, Mr Laws apologised and announced that he would “immediately” pay back tens of thousands of pounds claimed for rent and other housing costs between 2006 and 2009. He also referred himself to the Parliamentary Standards Commissioner"

According to BBC News, David Laws did not comply with rules prohibiting financial dealings between family and partners in part because he did not want to disclose his sexuality.

David has apologised, pledged to repay the money claimed and referred himself to the Standards Commissioner.

My take on this is as follows:

David Laws, as anyone, has a right to keep his sexuality to himself. Those of us within the Party who have known he is gay for some time have not made it public out of respect for him. The Parliamentary rules put him in an invidious position. On documents that would be made public, David would have to disclose the nature of the relationship.

Of course David was wrong if he broke the rules and is right to repay the money and offer himself up to the Standards Commissioner, but the rules themselves would appear to be prejudicial in this respect.

There will, of course, be those who demand resignations over this and I assume that Labour's John Mann will be on our TV screens soon. But I think we have seen over the last few days why David Laws needs to stay in the Cabinet for the good of the Party, the coalition and, dare I say it, the country.