Another day, another stonker of an initiative from Gordon Brown, our new Chancellor. The way things are going, anyone would think he was the Prime Minister, not Tony Blair. Mr Brown has hit the ground not so much running as sprinting, and while this latest piece of reform may lack the same seismic, long-term import of his previous announcement affecting the Bank of England, this is none the less big-league stuff.

Britain has leapt up the world competitiveness league as the privatisation and deregulation of the Conservative era finally pay dividends, according to a study published today.

The performance of the British economy is routinely accorded centre stage in any election campaign, but hardly ever do the protagonists land a knock-out punch. The complex nature of economics means that it is always possible for both sides to select variables, or time periods, which show that the other lot could not manage the proverbial celebration in a brewery, at least when compared to some foreign country, or to this country over some appropriate previous period. Sensible electors probably regard this as so much noise, and go about their daily business without further ado.

Davos - Competitiveness, the network society, monetary union, blah, blah, flexible labour markets, the pensions timebomb, currency stability, blah, blah, cybermoney, globalisation, blah, blah, deepening financial crisis, blah, blah, the yen-dollar exchange rate, systemic financial risk, blah, blah, blah, yawn.

A grand ceremony took place in Bonn last week. Chancellor Helmut Kohl paid his respects to the memory of Ludwig Erhard, born 100 years ago. Erhard was briefly Chancellor in the 1960s. But he is revered for the years before that, when he served as Minister of Economics and was worshipped as the father of the West German "Economic Miracle" - the Wirtschaftswunder.

Billionaire currency speculator and philanthropist George Soros is preparing to put a considerable part of his fortune into promoting a "Congress of Europe" to bring about political reform in the European Union.

INSIDE BUSINESS

Well, there's a thing. The two Swiss organisations which used jointly to produce the only serious attempt to rank countries by their competitiveness have this year gone their own separate ways. And yes, they have come up with startlingly different findings. With the benefit of hindsight, the World Economic Forum's divorce from the Institute for International Management Development was perhaps inevitable for the two seem to have radically different views of what matters in economic success.

Britain has jumped three places higher in the world competitiveness league, pulling ahead of all other EU countries except Denmark, according to a report published today.

PHIL REEVES

The governing coalition partners in Poland yesterday put forward a former Communist, Wlodzimierz Cimoszewicz, for the post of prime minister following the resignation of Jozef Oleksy over allegations that he had spied for the KGB.

Economy: Report highlights deteriorating skills performance, education and attitudes to work

CABINET divisions over Europe were exposed again last night as Michael Heseltine, President of the Board of Trade, fired a warning shot against the Euro-sceptics. Mr Heseltine, a prominent pro-European, warned colleagues not to "wrap themselves in the flag", and hinted that concessions might have to be made in the 1996 inter-governmental conference.

Britain's uncoordinated, underfunded approach to transport policy is ba d for business