Posts Tagged ‘cost of living’

It is the economy, stupid – but Labour needs a story of economic change

12/08/2022, 11:07:17 PM

by Jonathan Todd

Remember when the war on woke was going to keep the Tories in government till 2030s?

We used to hear more of this claim, a year or so ago. Lee Anderson was banning himself from watching the England men’s team nearly win the Euros. Tortoise was profiling anti-woke, power couple Munira Mirza and Dougie Smith. Brexit was an identity issue and others – such as, Anderson thought, taking the knee – would be stoked to retain the 2019 Tory coalition.

Since then, the economic challenges of Brexit (ask a trucker or holidaymaker queueing at Dover if Brexit is an identity issue) and the longer-term economic impacts of Covid-19 have crystallised.

Vaccine rollout powered a Tory victory in the Hartlepool byelection in May 2021 and a post-lockdown household spending surge. Meeting this demand has not always been easy. Long Covid diminished the UK workforce and global supply chains cannot be smoothly switched off and on – especially with China persisting with a damaging zero-Covid strategy.

These problems have been turbocharged by the war in Ukraine and associated energy sanctions on Russia – rapidly increasing UK inflation, now forecast to hit 13% during 2022.

Getting on top of the cost-of-living crisis – inflation outstripping wage growth, reducing the ability of households to afford their way of life – requires a restructuring of the UK economy much bigger than Tory imaginations.

Tax cuts and fracking is how putative PM Liz Truss says she will reduce energy bills. It is not much of an answer. Gordon Brown has some better ideas.

Truss has been critical of the Bank of England. The Bank is responsible for controlling inflation – but monetary policy in the UK is inadequate to seismic events in China and Ukraine.

Being a political teacher with a skill for explanation and making sense of complex issues is an essential qualification of successful PMs, according to Steve Richards’ engaging book on recent holders of this office.

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The real work for Keir Starmer starts here

16/07/2022, 09:47:50 PM

by Rob Marchant

Given that Boris Johnson’s prime ministership, however corrupt and venal it may have been, was always made of glass, one hopes that Labour’s leader and his team have been preparing for this sudden change at the top.

It is true that Johnson himself benefitted greatly from having, in Jeremy Corbyn, a disastrous figure as his initial chief opponent. And it is certainly open to question whether he would even have won against a half-decent opposition leader.

But just as the outgoing prime minister has benefitted from facing Labour’s worst-ever leader – as did his two predecessors – across the despatch box Starmer must also recognise that he has been the lucky recipient of the Tories’ own historic low point.

A man who was never going to last the distance, Johnson’s main gift has always been his success in selling undeliverable promises in the campaigning stage. But, to use Mario Cuomo’s adage, he could not handle the “governing in prose” stage.

If his only real achievement in government was to “get Brexit done”, then it was a Brexit that polls now show even most Leavers unhappy with. As it is, he has departed under the cloud that has followed almost all his other jobs; the cloud that all that have followed his miserable trajectory over the years predicted he would.

What, then, of a leader who is significantly better than Johnson, by the simple expedient of not being Johnson? We might look at the field of Tory candidates for the leadership and be uninspired. But we have no reason to believe there will not be a marked bounce in the polls for them, whoever is chosen. And that incoming PM will now very likely have two years to get their feet under the table before a general election.

There is an obvious conclusion to all this: Starmer now needs to up his game.

While we should not dismiss that he has made a great deal of progress in cleaning up the party, and gradually steering it towards being a party of government, he is not there yet. And, with Johnson’s political demise imminent, any honeymoon for Starmer’s leadership is now definitively over.

There are three areas which urgently need attention.

One: as Dan Hodges has pointed out, without the convenient own goals that Johnson has consistently provided in the guise of Partygate, Jennifer Arcuri, crony contracts during Covid, and so on, Starmer will need to tack from the personal to the political. No longer can Johnson’s personal failings be his stick to beat the Tories with.

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England’s coastal towns need Labour. We mustn’t forget about them

09/01/2015, 11:24:01 AM

by Nathan Bennet

The Labour party should aim to represent coastal towns across the whole of Southern and Eastern England.

We hold seats in Southampton and Plymouth. Many of our target seats are there – Brighton, Hastings, Great Yarmouth, to name just a few. But I’d go further and argue that there’s a case for Labour representation well outside of our usual battlegrounds.

First, let’s debunk the general myth some permeate that there isn’t really a case for Labour in southern England outside our target seats. Bin the North-South divide – the real world is far more complicated.

Look at wages: Labour’s Southern Taskforce have mapped data from the ONS’ Annual Survey of Hours and Earnings. We’ve shown that right round the coast of Southern and Eastern England, average wages are below the national average. There are 43 coastal constituencies here where a higher proportion of people earn less than the living wage than the national average.

And it’s not always in the places you’d expect. In Torridge, West Devon average wages are just over £15,000 a year – £7,000 less than the national average. 38.6% of workers don’t earn a living wage. A report by Sheffield Hallam University and CRESR highlighted the dependency of much of the coast on seaside tourism. It employs 140,000 people in the South and East, and towns like Salcombe, Fowey, Southwold, New Quay, and Aldeburgh are heavily dependent on it. Yes they’re jobs, but they’re often seasonal and low paid, meeting few aspirations and offering few chances to get on

Rebalancing these local economies is as important here as in declining former industrial tows. The coalition’s reliance on market forces clearly isn’t delivering. The southern and eastern coastal communities, need an active government, willing to devolve power and resources, reforming the banks to support small business, delivering on real improvements in broadband, and tackling persistent failings in many schools that leave too many children poorly qualified and means that, even in regions of high HE participation, children from the poorer areas are missing out.

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For Labour, the “cost of living” debate is dead

17/12/2013, 09:53:44 AM

by Alex Chalmers

A month ago, the next election was going to be decided by “the cost of living crisis”; the electorate would see through the economic growth figures, feel the pinch, and elevate Ed Miliband, scourge of the energy fat-cats, to Downing Street. The government’s response to the energy price freeze was inconsistent and unintelligible, the public seemed to love the policy, and for a moment, the opposition looked like it had a leader. Yet within a few weeks, Labour’s poll resurgence had turned into full-on retreat. Today, YouGov has Labour’s lead down to 2 points.

So what went wrong? On a very simplistic level, elections are not won or lost on one policy. An idea, even a popular one, cannot hold media or public attention for more than a fairly short period of time. Unless it is part of a broader theme or narrative, and is followed by a series of other well-timed announcements, it will quickly become buried under a tide of other news stories. Labour cannot agree on one policy and prepare to collect the keys to Number 10. The public liked the sound of it, some other things happened, and then they moved on. If Miliband truly wishes to define the next election in terms of the cost of living, then he has to say a lot more about it.

Unfortunately, this is something of a recurring theme. At the height of the NHS reorganisation fiasco, the next election was going to be about that, but once the reforms started to be implemented, the party suddenly quietened down. A limp half-hearted campaign based on the Twitter hashtag #dropthebill unsurprisingly made little impact. Retweeting to the converted does not an election win. Nothing was made of the collapsing patient satisfaction ratings, whilst the attempts to focus on staffing levels were wrought with statistical errors and easily batted away by the government. The NHS is now in the headlines again, but Labour appears to be making no effort to communicate its message. In the days of New Labour, the media operation would have been ruthlessly hammering five key pledges home, trying to make sure the issue caught the public imagination. Ed Miliband’s “Zen-like calm” interspersed with cries of, “same old Tories” is simply no substitute.

The party’s strategy of choosing a key issue and promptly forgetting it is going to cost it dear come the next election. For the vast majority of its term in office, the coalition has managed to frame the main debates. It has managed to paint Labour as the public spending bingers and the friends of the scroungers.

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Is the cost of living distracting Labour?

08/11/2013, 03:46:31 PM

by Renie Anjeh

Ed Miliband has finally set the political scene alight and he should be praised for it. It has been several weeks since Miliband announced the energy price freeze policy in his conference’s speech, putting an end to the party’s reticence about future policies.

In spite of attacks from the Tory press (and a recalcitrant New Labour grandee), the policy didn’t look particularly socialist but it became popular.  I am not sure whether an energy price freeze will actually work but the public love it!

80% of the public back the policy leaving the Tories on the backfoot.  Honourable one nation Conservatives, such as Sir John Major and Robert Halfon, have sought to address their party’s problem by calling for a windfall tax on the privatised utilities to fund measures to reduce utility bills (as suggested by Labour’s Manifesto Uncut).  Fortunately for the Labour party, their wise advice has fallen on deaf ears and a coalition split has emerged over green taxes.

However, despite of Ed Miliband’s laudable attempt to shift the debate onto cost of living, the party is still not where it needs to be if it wants to be certain of a majority in 2015.

Labour’s lead is beginning to shrink with just eighteen months to go until the general election.  One poll saw our poll lead over the Tories cut from 11% to 6%, even though the party has announced its new popular policy.

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Labour’s manifesto uncut: How to win in 2015 and why

26/09/2013, 01:50:49 PM

Launched at Labour party conference 2013, Labour Uncut’s first book, “Labour’s manifesto uncut: How to win in 2015 and why” maps out a centrist view of what the party’s electoral offer could be at the next election.

It directly answers the question of how to fund a radical Labour alternative in a time of austerity with a suite of fully costed policies that would redraw the current political dividing lines and reduce peoples’ cost of living.

The whole of this book is greater than the sum of its parts. Individually, each chapter tactically addresses a discrete area for action. Together, they paint a picture of how Labour can win the next election and change Britain for the better.

And now the book is available online.

Click here to read or download.

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