Cameron backs his Chancellor on the minimum wage - but has 'no plans' to intervene in process

Prime Minister David Cameron talks to Political Editor Tom Bradby in Davpos. Credit: Twitter/@David_Cameron

So it's that time of year again. I have just arrived in Davos to rub shoulders with the world's bureaucrats - that international class which always seems so strikingly well-coiffeured, well-fed and well-dressed it is hard to entirely banish the thought that perhaps Karl Marx had a point.

I am here because David Cameron is paying his annual visit and the most striking thing about it is how much has changed in the twelve months since he last made the journey.

Back then, every single economic figure seemed to come out worse than expected. Now, the reverse is true.

He and George Osborne must have to stop themselves involuntarily punching the air when they get out of bed every morning.

But the polls are not yet shifting in a way that conventional wisdom might expect.

This may easily change in the run-up to the election, but the party's leaders do seem to be battling a deep seated scepticism on the question of whether the Tories can make the recovery work for ordinary working men and women.

George Osborne's recent intervention on the minimum wage was designed to partly address this and the Prime Minister today weighed right in behind his Chancellor.

He said he wanted to see a minimum wage of £7, but he insisted he had "no plans" to intervene to over-rule the low pay commission.

So this remains a stalled play. They could intervene, but they won't. Or to put it another way, they would like the credit without making the policy change which could squarely land it.

But that said, David Cameron is indisputably in a buoyant mood.

David Cameron bumps into former Labour business secretary Peter Mandleson in Davos. Credit: ITV News

In political terms, this recovery could not be better timed. When I pushed him this afternoon, he seemed to accept that another bust was inevitable one day.

He might have added, but didn't, please Lord, not yet.