Rachel Reeves « Labour Uncut

Posts Tagged ‘Rachel Reeves’

3 Bs for Rachel Reeves’ speech: Building; Betting; Bridging

09/10/2023, 02:43:06 AM

by Jonathan Todd

The Labour party and the rest of the country want the same thing: big change. The country knows the essential precondition of this: getting the economy right. We look to Rachel Reeves for that.

Jess Philips spoke movingly at political therapy last week at 1000 Trades about the pervasive hopelessness that she encounters among the electorate. The deep struggles in a country where nothing works. The exhausting dysfunction hardwired into many facets of national life.

“People have had enough,” Rachel Reeves told the FT over the weekend. This feeling, while it has grown over the 13 years of Tory misrule, is not new.

It powered the surge towards Yes in Scotland’s 2014 referendum. Breaking up the UK has always seemed to me, among other things, a tremendously risky path: divorces can get messy. Yes appeared much less so for those gripped by hopelessness: with so little stake in the UK, the alternative was a worthwhile gamble.

Almost a decade later, the tide started to go out on the SNP last week in Rutherglen and Hamilton West. But not on the hope for big change that has transformed Scottish politics. Few want a status quo of grinding poverty and thwarted opportunity.

Labour needs to get the UK building to meet this appetite for change. Building houses, life science labs, wind farms: all the infrastructure that the UK needs for coming decades.

Building should be a leitmotif of the Reeves speech. Uncut will count the number of building references.

But building HS2? Reeves, during her FT interview, “hints that Labour will not go into the general election promising to reinstate the northern leg of the line. Fiscal responsibility is one of her mantras.”

It compromises Labour’s focus on building to not keep alive the train line that will give the UK north of Birmingham the transport capacity and connections it needs. We all know the difficulties being created by the government, such as allowing compulsory purchases for HS2 to lapse, but “we can’t because of the Tories” is a line with limited mileage for Labour.

How large-scale change really happens is the subtitle of a book that Rajiv Shah will, coincidentally, publish during party conference. The author – who has helped vaccinate nearly a billion children, lead high-pressure responses to the Haiti earthquake and against Ebola, dramatically expanded American Covid-19 testing at the height of the pandemic – promises to reveal, “the power of the big bet mindset: a belief that seeking to solve problems boldly, rather than settle for incremental improvements, will attract partners with the capacity to achieve transformational change”. (more…)

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The Uncuts: 2022 Political Awards (Part I)

30/12/2022, 10:33:03 PM

Labour frontbencher of the year: Rachel Reeves

The numbers speak for themselves. At the end of 2021 Rachel Reeves trailed Rishi Sunak in Yougov’s tracker on who would make the best chancellor by almost 20 points, 11% to 30%. Now she is in a statistical tie with the current Tory chancellor, Jeremy Hunt who is on 19% versus 17% for Rachel Reeves.

Clearly the Conservatives have played the leading role in detonating their reputation for economic competence, but how many times have Labour shadow chancellor’s fluffed the opportunity when Tory incumbents have stumbled? Not Rachel Reeves.

Her tenure in 2022 has been synonymous with three changes in how Labour makes its economic case.

First, there is now internal self-control on spending. A shadow minister recently summarised the situation to Uncut, “I wouldn’t dare fly a kite about spending in a briefing or make a speech, that’s not how we work any more.” Not since the days of Gordon Brown as shadow chancellor in the mid-90s and the iron grip of his economic secretariat has a Labour opposition been so disciplined.

Second, Labour is developing self-contained policy initiatives – where revenue raising and spending are balanced – that target Tory fault lines. The windfall tax is just one example where Labour moved early, announced the policy with the government ultimately capitulating, but not before it had repeatedly aired its splits on the issue. This fusion of economics and politics is the essence of successful opposition. David Cameron and George Osborne did it very well (see the 2007 election that never was, following Osborne’s announcement on taking most people out of inheritance tax) and needless to say Tony Blair and Gordon Brown ran the Tories ragged with this approach.

Third, when Labour has had to respond to Tory economic announcements, reversals and general chaos, Rachel Reeves has been more than equal to the task. Her speeches have been authoritative with the right soundbite for the news clips. The rise in Labour confidence in the House of Commons over the year has been evident and the media reporting describes a party that has real momentum on the economy.

Rachel Reeves is Uncut’s frontbencher of the year for the herculean achievement of making Labour competitive again on the economy. More needs to done but after years – well over a decade – of utterly abysmal ratings and constantly trailing the Tories by double digits, the party has solid grounds for optimism heading into 2023.

International politician of the year: Joe Biden

With the catastrophic collapse of Xi’s “zero Covid” strategy and Ukraine’s defiant refusal to welcome Putin, 2022 was a year in which reality caught up with autocrats. Macron and Lula also beat Le Pen and Bolsanaro. But, alas, Italy now has its most right-wing government since World War II and Israel has its most extreme government ever.

The global battle for democracy and democratic values persists. With America being foundational.

Joe Biden was the big winner of this year’s midterms, Donald Trump the big loser. Trump-backed candidates were defeated (to a greater extent than other Republicans), Biden’s party strengthened its hold on the Senate. Trump deepened America’s culture wars, Biden waged economic war for the heartlands – securing massive investment in America’s industrial and green capacity through landmark legislation, such as the Inflation Reduction Act. Trump maintains the fiction that he won in 2020, Biden said democracy was on the ballot in 2022. America’s verdict in both years favoured Biden.

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British moral strategic leadership: Previewing Rachel Reeves speech to Labour Conference 2021

26/09/2021, 10:35:22 PM

by Jonathan Todd

Economics is about storytelling as much as numbers. If the story persuades, the numbers do too. There is artistry to the dismal science.

Rachel Reeves knows the numbers. A former Bank of England economist, she knows how the economy works. A political realist, she knows what seats will sustain a Labour government.

The Labour sums need to add up. In a new book “Labour’s reset: the path back to power” that Uncut will be launching at Labour conference this week, we make a proposal for how Labour can finance a new set of spending commitments.

But the Shadow Chancellor’s conference speech is not an occasion for a forensic articulation of staying in the black. It is a time to tell the country a new story about itself.

This story might feature improved childcare, better homes, and a new relationship with business – potential building blocks of a Labour proposition that are articulated in the new Uncut book.

We do not pretend that all the ingredients that Reeves needs are in our book. There are two further that she might add: her own moral clarity and memorable phrases. Both of which Gordon Brown excelled in.

Tough on crime, tough on the causes of crime. Brown coined this resonate couplet from opposition.

The white heat of technology. With this phrase, Keir Starmer’s favourite Labour leader told a new national story from opposition.

Even if the levers of real change are exclusive to government, the language of politics can be shaped from opposition. But now our politics is dominated by government phrases: Levelling Up, Global Britain, Build Back Better.

Levelling Up. The intension and symbolism matter more politically than the outcomes. It is not about hard metrics like the Gini coefficient, it is about showing that the Tories care about the North and the Midlands, with this sentiment often embodied in shiny, new buildings.

Global Britain. In policy terms, even more vapid than Levelling Up. In political terms, it is about backing Britain. Who can be opposed to that?

Build Back Better. I think I heard Ed Miliband say this prior to it being a slogan of Joe Biden’s presidential campaign. Before it could really become Labour language, it was the title of the government’s growth plan. When the Tories aren’t shaping the language of politics, they are expropriating potential Labour terminology.

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Work is where Labour needs to help people “take back control”

12/03/2018, 10:38:00 PM

by Tom Clements

As pleasing as the increase in the Labour vote was in 2017, the continuing decline in support from the working classes is a pattern that the Party has to address. If we are to govern again, earning the trust and support of working people in places like Mansfield and Pudsey will be crucial.

To do that, we must show that we are the Party that will allow them to truly “take back control” of their own lives and communities.

If the success of the Leave campaign in 2016 should teach us one thing, it’s that people will no longer meekly accept being at the mercy of global forces. It is no good focusing on the growth of the economy if it’s not being felt in people’s pockets. Moreover, if we are ever to compete with the dangers of populism, it is vital that we offer a credible and optimistic vision that will allow people to control their own destiny.

And this is not a new problem.

In 1987, Neil Kinnock described young people unable to get work, married couples who could not get on the housing ladder and elderly people living in poverty.

And today, more than thirty years later, James Bloodworth’s Hired paints a similar picture. From the misery of temporary workers through zero hours contracts to the gig economy he speaks of working people who, echoing Kinnock, “live in a free country but don’t feel free”.

So if we are to regain the trust of the working class, this must be our mission: to restore dignity and security to the forgotten corners of Britain. To give working people the opportunity to be free.

For the Tories, freedom is a simple proposition. For them, it means an absence of barriers. It means deregulation, insecurity of contract and a relentless focus on the margin. The Right have encouraged a society where global companies have been able to drive down standards due to the replaceable nature of the surplus workforce.

But we cannot accept that this is the way things have to be. Without security, it is impossible to be free.

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Umunna, Reeves et al are wrong on free movement. Its bad politics and worse economics

22/09/2016, 10:18:57 PM

by Sam Fowles

For Rachel Reeves, immigration from the EU has caused a “slight drag” on wages. So Labour best represents the working poor by calling for an end to free movement. This is both simplistic and wrong. It represents only the loosest grasp of political strategy and no grasp of economics at all.

Labour will never win the fight to be “tough on immigration”. If voters want to kick out immigrants, they’ll vote for the parties that have been dog whistling about immigration for years. No one buys the cheap knock off when they can get the real thing for the same price. Labour must address the real causes of the low wage crisis. This strategy has two advantages: It targets voters that might actually vote Labour, and it’s not economically illiterate.

The overall impact of immigration on wages is generally positive. By contributing more in taxes than they take out, EU immigrants ease financial pressures in the public sector. Immigration can create downward pressure on the wages of low-skilled workers. But this is negligible. Reeves relies on a study that found a 10% increase in immigration creates a 1.8% drag on low-skilled wages. To put that in perspective: the largest increase in immigration since 2006 has been around 7%. This works out as costing low skilled workers 1p per hour.

But immigration is equally likely to have a positive effect on low-skilled wages. Migration increases demand: The more people in an economy, the more goods and services they need: The more goods and services required, the greater the demand for labour to provide them: The greater the demand for labour, the more employers are prepared to pay for it.

But this hasn’t happened in the UK: Why?

Because successive governments have chosen policies that drive down wages.

Austerity (more…)

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If Labour MPs want to make ending free movement a Brexit red line, they’d better be ready to leave the single market

20/09/2016, 10:35:24 PM

by Atul Hatwal

One of the reasons the Labour party is in such a terrible state is that the many of moderate mainstream, those meant to offer an alternative to Corbyn, are so bad at the basics in politics.

Yesterday’s foray into the debate on freedom of movement by Rachel Reeves, Emma Reynolds and Stephen Kinnock, was a case study in ineptitude.

By arguing that ending free movement to reduce migration should be a red line in Brexit negotiations, they have constructed an argument that will not survive first contact with a journalist and set a broader public expectation which can never be met.

The obvious immediate question which journalists will ask these MPs is whether they are prepared to leave the single market?

If the central European states such Slovakia, Poland, Hungary and the Czech Republic, western European states such as France and EU President Juncker stick to their public position of vetoing any reform, are these MPs prepared for hard Brexit?

Will they back a version of leaving the EU that would see the flight of financial services from the City of London, the movement of major manufacturers like the Japanese car makers to the continent, the imposition of a hard border between northern and southern in Ireland and condemn tens of thousands of their constituents to the dole?

Seriously?

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The three choices facing moderate Labour MPs at tomorrow’s Budget

15/03/2016, 09:55:09 PM

by Greig Baker

Some people accuse Conservatives of wanting power at any cost. Having worked for the party during some of its darker days in Opposition, I can assure you that is not the case. However, most Tory MPs do understand you have to be in power to wield it.

When the Chancellor sits down after delivering tomorrow’s Budget, ambitious Labour MPs will have three choices if they want to wrestle the keys to Number 10 away from Cameron’s successor. First, they could drink the kool aid and hope against hope that Jeremy Corbyn has stumbled upon a new way of winning elections. More realistically, they will have to choose between options two and three – quietly rebelling or carefully splitting.

The rebellion option will be embodied by Rachel Reeves, Dan Jarvis, et al, who will set out their own response to the Budget, coming from a dramatically different position to Labour’s frontbench. In contrast, the splitting option has already been demonstrated by David Lammy and Andrew Adonis, who have been willing to give Corbyn a few more days’ bad headlines in return for the promise of actually getting stuff done.

Given that Andrew Adonis’s recommendations from National Infrastructure Commission will get great big lumps of real hard cash thrown behind them tomorrow, the understated rebels are going to have to do something special to persuade colleagues that they can offer a viable alternative.

Either way, the reaction to tomorrow’s statement will give us a clear sense of which Labour MPs know that you don’t have to be a Tory to want to be in Government.

Greig Baker is Chief Executive of The GUIDE Consultancy

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If Yvette wants to be leader she needs to tell us what she stands for

12/08/2014, 08:10:46 AM

by David Talbot

What else is there to do in the long summer months than speculate on the next leader of the Labour party? Last summer, of course, events in Falkirk consumed the body politic. This year, with nowhere near as much excitement to hold the nerve during the month of news-austerity that is August, commentators have turned their eye to much more familiar ground; leadership speculation. As Boris Johnson confirms that he had been fibbing all this time and is positively squeaking with ambition to become the next Conservative leader, so too the next roll-call of Labour leadership hopefuls is being sized up. This is predicated, of course, on a Labour loss next year. But that argument is for another day.

Step forward one D Hodges, formerly of the Uncut parish, and now musing from his perch at the Telegraph. Hodges has written a blog suggesting that Rachel Reeves has utilised her ‘boring snoring’ credentials to propel herself into the position of a credible contender for future leadership of the Labour party. Reeves , we are told, for no one actually noticed at the time, launched the latest salvo in Labour’s “the choice” summer campaign last week. Reeves no doubt has a serious and illustrious career ahead of her in the Labour party and, when she genuinely is not being quite so boring, could one day make leader. But the secondary, and all the more intriguing, observation was the slow demise of Yvette Cooper.

Cooper has long been seen as the one serious contender to take on the might of the Umunna machine. Her abstention during the last Labour leadership contest, with the announcement that it wasn’t “the right time”, was rightly seen as the barely-disguised motions of someone who given the chance would run for leader. The reasons for her prominence are well known, and her CV reads like so many of her current Labour contemporaries; First Class degree in PPE at Oxford, Harvard, Bill Clinton’s 1992 campaign, Harriet Harman’s office via the Independent and emerging as Labour’s Member of Parliament for Normanton, Pontefract and Castleford.

Her rise through the ministerial ranks was systematic and impressive; from underling at the Department of Health to Secretary of State for Work and Pensions. Given New Labour’s obsession with reshuffles, Cooper was a member of the government in no less than 6 departments holding 8 positions. The depth and breadth of her experience is enviable. As shadow Home Secretary she has at times forensically dissected the arguments and machinations of her government counterpart, Theresa May, who is widely regarded as one of the Conservative’s best performers and strongly tipped for their throne.

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We’ve been here before on welfare reform. Now the backlash is coming, will Labour hold the line?

19/06/2014, 01:07:25 PM

by Atul Hatwal

The much quoted definition of insanity is doing the same thing over and over again and expecting different results. Today, the Labour party is testing this proposition.

For the third time in seven months, Labour is attempting to re-position itself on welfare. For the third time in seven months the pre-briefing before a welfare reform speech has been about “toughness,” how Labour will cut benefits for young people and respond to public concerns on welfare spending.

We’ve been here before.

As a taster for what’s likely to come, this is what happened the first time Labour went down this road, back in November last year. James Kirkup at the Telegraph wrote a story on potential Labour cuts to benefits for under 25s if they were not in training or ‘intensively’ looking for work, based on an IPPR report and a briefing from the party.

The backlash from the party forced an immediate denial, with Rachel Reeves tweeting “This is not and will not be our policy” “it’s not our plan” and “it is totally not my position!” Cue much relief,

Lots of misplaced outrage on the left this morning given @RachelReevesMP has no plans to cut benefits for under-25s http://t.co/bNemyJvgVY

— Matthew Pennycook (@mtpennycook) November 20, 2013

Can everyone calm down now?! @RachelReevesMP says axing benefits for the young “is not and will not be our policy” http://t.co/5mF9lAQWin — Gemma Tumelty (@gemmatumelty) November 20, 2013

Don’t believe everything you read in the papers. @RachelReevesMP is NOT planning benefit cuts for under-25s http://t.co/draXB5JWZz

— Mark Ferguson (@Markfergusonuk) November 20, 2013

These weren’t the reactions of random activists, Matthew Pennycook is the PPC in Nick Raynsford’s seat and will be an MP in 2015, Gemma Tummelty works for Ed Miliband and Mark Ferguson edits Labour List.

Take two. In January this year, Tom Newton Dunn at the Sun wrote a similar story about removing benefits for the young unemployed, which was, once again, based on another IPPR report and a briefing from the party. Cue a repeated denial from Rachel Reeves and more relief, (more…)

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