Posts Tagged ‘economy’

Labour urgently needs a new narrative on the economy

20/05/2015, 11:15:22 PM

by Dan Cooke

One thing we learned in the election campaign was that the younger Ed Miliband, while apparently much in demand, was a lousy date who “only wanted to talk about economics”. We also learned something much more serious: the mature Miliband and his advisers were completely wrong to think Labour could win an election without talking about the economy.

The Tory narrative on the economy, before and during the campaign, was so clear and powerful that friend or foe could recite it in their sleep. They had a “long-term economic plan”, that got the economy “back on track” after Labour “crashed the economy” and the “money ran out”. This account of the recent past provided powerful rhetorical support to their forward offer of prosperity for all, including more investment in the NHS than Labour promised.

If this grates with unfairness to many of us, we have to bluntly ask:  did our party ever pose a counter-narrative to challenge this one?  The frank answer is – at least during the campaign – clearly no. The line to take, when it was put to Labour spokespeople that the Tory plan was working, was apparently  to say that the recovery was not felt by all, the proceeds of growth were unevenly distributed or, more abstractly, that the economy was run for the benefit of the rich and not ordinary people.

Unfortunately these were talking points only to avoid talking about what for most people is the central question of economic debate: who can be trusted to deliver growth and jobs. It sounded as though we were saying this did not matter because it was the “wrong growth” and the “wrong jobs”. By building a campaign around issues of how to regulate a successful economy, like banning zero hours contracts, we forfeited the debate on who can be trusted to deliver a successful economy in the first place – in other words the debate that actually decides votes.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Labour: on the verge of a historic victory, or partying like it’s 1992?

08/04/2015, 02:50:35 PM

by Rob Marchant

The short campaign has finally kicked off. Not that that usually makes much difference, and particularly not when we have all known the date of the election for the last four years. Perhaps fittingly, no party’s campaign has so far exactly knocked Britain off its feet.

In polling, Tories and Labour have been showing as neck and neck for some time, with each main party in turn delighted when a poll says it is a couple of points ahead. But within any measure of what statisticians call “standard error”, these polls tell us little.

In other words, any difference of this size – a few per cent – could just as easily be explained by the inaccuracy of polling as a predictor per se, as by a meaningful trend. In this strange, Alice-in-Wonderland world where the tossed coin seems to land on its side, we have to make our judgements using less obvious, but no less compelling, means.

Turn, for example, to that more traditional signal of electoral success, the bookies, and the story is a little different. It’s true that they are – by a rather small margin – predicting a Labour minority government as the most likely outcome from a number of difficult-to-predict outcomes, but now look at the party with most seats. It’s the Tories, odds on, by a mile. The next PM? Cameron, odds on, by a mile.

Now, on the back of the TV debates, Labour has had a welcome uptick in Miliband’s personal approval rating, it’s true. But this really needs to be seen in context: it is rather the difference between the cataclysmic (-46% a month ago) and the merely bad (-29%, against Cameron’s -2%).

And there has also been a positive story for Labour in the English marginals, according to Lord Ashcroft’s polling. But the story in Scotland is the opposite: even if it might not end up quite as badly as the Daily Mail might gleefully be predicting, it will certainly be bad.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Labour’s strategic priority must be to demonstrate how it will lead

23/02/2015, 05:52:03 PM

by Jonathan Todd

At the end of last year, I wrote on three reasons for Labour victory in 2015: brand, economy, and leadership. Let’s revisit them.

Brand

The Good Right – Tim Montgomerie’s campaign – understands the Tories’ brand problems. There has been a 7 per cent rise over the past year to 85 per cent in the proportion of people that see the Tories as being close to the rich. By having the likes of Peter Stringfellow along to a black and white ball and allowing Lord Fink to mishandle Ed Miliband’s questioning of his tax affairs, the Tory campaign appears determined to win over the remaining 15 per cent.

Reckless decisions over this parliament – the bedroom tax, scrapping the 50p income tax rate, and NHS restructuring – wouldn’t have happened if the Tories had been the Good Right throughout. To use the reported language of Miliband, they are “running out of runway” to turn around the perception before the election that they are “the party of the rich”. Given the Tory leads on economy and leadership, we might wonder what keeps them flat-lining at 30 per cent in the polls and the failure to address this perception is a prime candidate.

Economy

What could happen between now and 7 May to eradicate the Tory poll lead on the economy? It’s not hard to imagine scenarios emanating from Greece, the Middle East and Ukraine that have serious negative economic shocks. But would the Tories be blamed? Or the nurse that is held more tightly for fear of something worse?

When looking toward Labour victory, I wrote that George Osborne “overplayed his hand in the Autumn Statement, leaving bombs, unexploded since the 1930s, beneath the Tory campaign”. Have they gone off? Do you discern a widespread anxiety about what Osborne portends for the size and capacities of the state?

If such anxiety were deep enough to overhaul the Tory lead on the economy, we might have expected it to have done so by now. There is an argument – which Uncut has been preeminent in advancing – that if Labour had been clearer about how we’d go far enough on the deficit, the way in which the Tories are going too far would become more apparent and more damaging for them.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Some gloomy general election predictions

06/01/2015, 08:55:06 AM

by Atul Hatwal

The next election is not too close to call. Neither is it a contest where the current party system is under threat nor one where voter volatility renders meaningful predictions impossible.

There are excuses wheeled out by pundits and pollsters who are frit. Here are my predictions.

The Conservatives are going to repeat their 2010 performance and secure 36% of the vote while suffering a small fall in their number of seats to the range 290 to 300.

Labour will struggle to 32%, boosting its seats by 20-25 to the high 270s or low 280s and the Lib Dems will exceed their current polling to get to 16% with seats in the high 30s or very low 40s.

Ukip will under-perform their current poll rating to achieve 7% with one seat (Douglas Carswell) while the SNP will lose to Labour in Scotland. However, they will make some progress, boosting their representation by taking 6-10 Labour seats and reducing the majorities for most of Labour’s Scottish MPs.

This is why.

As May 7th draws near, three shifts will take place in the way that the voting public go about their choice that will move the current polling.

These changes happen in every electoral cycle and are the reason that decades of forecasts of new settlements, moulds being broken and unprecedented uncertainty are usually wrong.

They relate to the nature of the decision that voters are making, the criteria they use to make it and how they judge the parties meet that criteria.

First, the way most voters perceive their choice fundamentally changes in the run up to a general election.

For the majority of the parliament, when pollsters (or indeed friends and family) ask about voting preference, the question is taken as a referendum on the government.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Three reasons for Labour victory in 2015

31/12/2014, 08:28:22 AM

by Jonathan Todd

Tony Blair might be despondent about Labour’s prospects but all is not lost, there are three reasons for Labour victory in 2015: leadership, economy and brand.

Uncut has consistently warned about the dangers attaching to Labour’s poor polling on leadership and economy. The own goals and gaffes of Conservatives, however, open the door to these improving. Labour enjoys an advantage on brand, which is similarly assisted by Tory missteps.

If David Cameron’s party were a character on Thomas the Tank engine, the Fat Controller would be bellowing at them that they have caused confusion and delay. He’d be saying the same to Labour. Labour is not as popular or convincing as we would like. But Tory error is giving Labour the opportunity, should we seize it, to be marginally and decisively less unpopular and unconvincing.

Labour would be the least unpopular in the unpopularity contest that is this general election. Arriving in government in such circumstances would bring its own challenges. Not least as precipitous demands will be placed on whoever forms the next government by the UK’s fiscal position, underperforming economy and ageing society, as well as looming questions involved with everything from Vladimir Putin’s intentions to Nigel Farage’s staying power about our place in the world.

Someone will have a Labour plan for all of this. Charlie Falconer, perhaps. I think he leads Labour’s preparation for government work. If so, noting his chapter on delivery in the Uncut book, he should call Paul Crowe. The Hollande scenario that troubles Crowe must be averted. One way in which it might become existential for Labour is if UKIP establishes itself as the second party in much of northern England at the general election and then use the frustrations of an administration as disappointing as Hollande’s to further advance.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

Labour is 16% behind on the economy. So why are so few in the party talking about how to close the gap?

05/12/2014, 06:22:59 PM

by Atul Hatwal

Sixteen percent. According to the latest YouGov poll, this is the lead that David Cameron and George Osborne hold over Ed Miliband and Ed Balls on who the public trust to best manage the economy.

This is after George Osborne has missed every single deficit target, has had to admit the worst of the cuts are yet to come, has downgraded future growth forecasts and has done his best to trash the Conservative’s brand for sound finance by promising £7bn of unfunded tax cuts.

In politics at the moment, the Tories can do anything on the economy, bodge any target, make any ludicrous promise and still Labour will lag far behind.

Why?

This should be the question animating debate within the Labour party. No opposition has won an election while trailing on the economy and leadership. In the past few weeks there has been plentiful if inconclusive discussion over Ed Miliband’s leadership deficit, but comparative silence on the party’s economy deficit.

In place of discussion, there are just tropes about the Tories. Words that have demonstrably failed to have any impact on the public over the past few years.

Understanding the causes for this silence shines a light on the divisions that blight Labour and that will have to be bridged if it is to regain power.

There are broadly four groups within Labour today: what used to be called the Blairite, New Labour right, the traditional right clustered around Ed Balls, the soft left which is Ed Miliband’s core constituency and the hard left which is organised around Unite.

On economics, there is a good deal of unanimity between Blairites and traditional right. Both back a fiscally centrist position, with clear action on the deficit and honesty on the level of cuts that will be required.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

The two big myths about Labour’s leadership crisis

07/11/2014, 12:45:18 PM

by Atul Hatwal

It’s all beginning to feel very 2009. A weakened leader, panicking backbenchers and a febrile media have combined to generate the biggest Labour leadership crisis since the fag end of Gordon Brown’s ailing premiership.

Now, as then, the loyalist response is to perpetuate some easy “myths.” Though that’s the polite term. Here are the two biggest whoppers:

1. This is all the media’s fault

This was the line peddled on morning news shows and has been widespread across Labour’s Twittervist base.

But, as several journalists have pointed out, from the Guardian’s Rafael Behr to the Spectator’s Isabel Hardman, the reason this is being written up as a crisis is that Labour MPs have been privately complaining about Ed Miliband’s leadership to the journalists for months. In some cases, years.

MPs that have been on air in the last 24 hours, mouthing supportive platitudes, are among some of the most well-known serial lobby complainers.

The reality is that putative leadership campaigns have been organising for months. Leadership contenders have been positioning themselves, ready for the expected Labour defeat. Those rumours of an accommodation between Yvette Cooper and Andy Burnham on a joint leadership ticket, or some commitment on second preference votes, have been circulating for over a year.

Anyone saying that this is purely a confection by the media, or froth, is being economical with the actualité.

Here’s a test: how many shadow cabinet members have made a specific point of going on air to defend the leader? Not as part of a pre-planned photo-opp where they have no choice but to field questions on the leader, but have sought out the media, even when they had no press events planned, to stand up for Ed Miliband?

By my count, the answer is a big fat zero.

On the Today programme this morning, the best that the loyalists could field was Peter Hain. Not only an ex-cabinet minister, but someone who is standing down at the next election. This tells us all we need to know about the esteem in which the shadow cabinet and shadow ministerial ranks hold their leader.

2. Ed can turn this around, he just needs time

In the last parliament, when a crisis approached the point of no return, Gordon Brown would meet backbenchers and play the listening card.

He’d talk about how he understood their concerns about his leadership, how he valued their opinion and how he would take on board their suggestions. He’d thank them “for all that they did” and commit to being a better Gordon.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

The inside story of the Labour reshuffle that never was

15/10/2014, 08:18:32 PM

Interesting rumours have been trickling out of the PLP and Labour HQ over the past fortnight about the seemingly imminent reshuffle. Uncut has pieced together various accounts to give a view of just what has been going on.

Earlier this month, amid the fall-out from the Scottish referendum and Labour conference, as MPs’ discontent with Ed Miliband bubbled up into the press, a plan was hatched by the leader’s inner circle.  A move so bold that it would reset the political clock, seize the attention of the journalists and demonstrate Ed Miliband’s leadership credentials.

The long awaited reshuffle was overdue and its centre-piece was to be Ed Balls’ ejection from his brief as shadow chancellor.

The tensions between the leader’s office and Ed Balls’ team have been well-documented. Ed Balls was not Ed Miliband’s first choice as shadow chancellor – that was Alan Johnson – and from the leaked e-mails last year, where Ed Balls was described as a “nightmare,” by Ed Miliband’s advisers, to  the two Eds’ splits over whether to retain the 50p rate of tax and their widely aired disagreement on whether to back or bin HS2, the relationship has always been uneasy.

With Labour trailing the Tories by twenty points on the economy and discontent on the left and right of the party with Labour’s economic offer, the rationale for action was obvious.

Balls’ potential destination was unclear. One option canvassed was foreign secretary with Douglas Alexander becoming a full time general election co-ordinator. However, the preferred choice was a switch to home affairs, with his wife, Yvette Cooper, becoming shadow chancellor.

Come what may, Ed Balls would have been furious, but to cause trouble in the run-up to the general election would have been difficult. All the more so,if his wife was the shadow chancellor, a role it would have been difficult for Cooper to turn down, especially given her own ambitions to lead if Labour is defeated next year.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

After Heywood and Middleton, Labour needs to make tough choices on immigration, the economy and the leader

10/10/2014, 08:20:35 PM

by Atul Hatwal

On one point, Douglas Carswell is right: the big result last night wasn’t Clacton, but Heywood and Middleton.

Shell-shocked Labour spokespeople have been on the airwaves giving the official line: the vote held up, no complacency, blah, blah, blah.

What they are saying doesn’t matter. They can’t tell the truth because the truth is toxic for the party. There are three reasons Heywood and Middleton happened: immigration, the economy and Ed Miliband’s leadership.

On each of the three, Labour needs to make a hard choice, if it is to avoid an almighty crash next May.

1. Immigration

Every canvasser who went to Heywood and Middleton came back with the same doorstep story: the voters wanted to talk about immigration. But Labour ploughed on with its line on the NHS. Disastrous.

Now, Labour will have to face up to having the difficult conversation on immigration, and it can go one of two ways:  it can either tack right towards Ukip or it can make a case for its actual policy.

The former is the seductive option. It means that on the doorstep, canvassers can agree with voters. There’s no need for any tricky disagreement. All Labour representatives need do is to nod sympathetically, promise to be tough and hey presto, all is solved.

Except of course, it isn’t.

(more…)

Facebook Twitter Digg Delicious StumbleUpon

The elections weren’t an earthquake but a confirmation of what we already knew

29/05/2014, 08:00:23 AM

by Jonathan Todd

It would, obviously, be wrong to wholly attribute to Nigel Farage responsibility for Nick Clegg’s political predicament. They are largely trading in different parts of the political market and the Oakeshott disaster is a wholly home-grown crisis for the Liberal Democrats.

Instead, Clegg’s low share price derives from decisions – in particular, betraying the platform on which he stood in 2010 – taken long before his debates with Farage.

Clegg isn’t fighting for his political life because of Farage. The blood on Farage’s hands is that of Nick Griffin’s. The real UKIP earthquake didn’t happen in Westminster but beneath the BNP, revealing part of UKIP’s appeal.

As well as taking support from the BNP, half of UKIP voters in the European elections voted Tory in the last general election. It would be a potentially decisive boost to David Cameron’s hopes of remaining in Downing Street to get these voters back. Hoping that this doesn’t happen, and that Lib Dem recovery is also avoided, is perilous for Labour.

There are other factors beyond Labour’s control that help Ed Miliband toward Number 10, such as the vagaries of our constituency boundaries and Cameron’s incomplete Tory decontamination project, which means that mistrust of his party remains more pervasive than it would otherwise be. Rather than speculate as to how low a ceiling this places on Tory support, and whether it is lowest among ethnic minorities, northerners or women, Labour should be seeking to complete the decontamination project that the last general election confirmed we require.

The trouble is that this project has barely begun. Miliband launched his bid for the party leadership talking about immigration. But it’s not clear that Labour are now any more convincing on this contentious topic than when we were ejected from office. Even more damagingly, we also left office with trust corroded in us as responsible custodian’s of public money. In austere times, we seem over keen on spending other people’s money, whether that of taxpayers or private businesses, and disinclined to make savings. While Miliband has spoken more frequently about welfare than fiscal discipline, this is another big negative exposed in 2010 that we’ve failed to recover.

(more…)

Facebook Twitter Digg Delicious StumbleUpon