Hague set to replace Osborne

He may be a smug git but give Vince Cable his due, not only has he demolished the Tories almost amateurish proposals for Northern Rock, he's almost certainly ended George Osborne's tenure as Shadow Chancellor.

Osborne has never before looked so out of his depth as he did today. Cable's comment that the Shadow Chancellor was in danger of castrating himself as he straddled both sides of the fence summed up the incoherent strategy adopted by the Shadow Treasury team ever since the Northern Rock crisis began.

I'd say William Hague is odds on to replace him at the next reshuffle.

Which just leaves the question of whether Osborne was deliberately done up like a kipper or conveniently done up like a kipper? Either way, David Cameron will sleep easily tonight knowing that he's seen off yet another of his leadership rivals.

John Redwood: 'How Mr Darling lost the government's economic reputation' - "The Northern Rock crisis has undermined this government's economic reputation, and deservedly so."

Tom Watson: "The fascinating thing about this affair is how it has exposed David Cameron's uncertainty when faced with tough choices. The Tory leader's response to Northern Rock would have won an Olympic medal for back-flipping."