The secret life of Clifford Sharp

Meet the first editor of the <em>New Statesman</em>.

Clifford Sharp was the long-serving but now mostly forgotten first editor of the New Statesman. Operating across the Baltic in the aftermath of the Russian Revolution, he was for a time a spy, an unlikely recruit to one of the Foreign Office’s shadowy anti-Bolshevik operations.

The quintessential Fabian technocrat, Sharp had journalistic skills that secured the fledgling NS’s survival in the face of modest sales and the upheaval of the First World War. He had been charged by Beatrice and Sidney Webb with challenging the left’s most fashionable pre-war weekly, the guild socialist New Age. He established his “paper” as a flagship of progressive opinion and an influential literary review.

After the war, the Liberals’ moribund mouthpiece, the Nation, was similarly seen off, merging with the New Statesman in 1931. If the NS can boast a golden era, then this marks its beginning. Ironically, Bloomsbury’s adoption of the Nation had ensured a much livelier magazine than Sharp’s worthy but extraordinarily dull enterprise.

The NS for most of the 1920s was edited by a drunk: invariably absent and always dependent on distinguished but distracted colleagues moonlighting from Oxford or the London School of Economics. Sharp’s politics were ever more at odds with an editorial policy of endorsing Labour, at the expense of a divided and declining Liberal Party. Reborn as an admirer of Asquith – another fading force whose political judgement was too often clouded by alcohol – Sharp antagonised his directors by exposing them to costly libel suits and refusing to resign when faced with dismissal. The board was charmingly naive in thinking that he would go quietly. Here, after all, was someone who within three years of the paper’s launch had dispensed with the services of George Bernard Shaw, the principal shareholder and best-known contributor.

Under Sharp, the NS had a small circulation but success for the Webbs was measured by who read it; and its largely metropolitan audience included the most powerful man in Whitehall. David Lloyd George ousted Asquith from Downing Street in December 1916, and soon subverted the rules regarding editors’ exemption from conscription. An infuriated Sharp found himself serving in the Royal Artillery.

However, life as a lieutenant proved surprisingly congenial, hence his initial irritation when he was moved to a civilian post in the newly formed Political Intelligence Department. The PID was ostensibly a planning body but its more elevated undertakings hid a range of less gentlemanly activities, ranging from espionage to black propaganda – and, despite a Foreign Office claim to have closed down this “fundamentally un-British” establishment with the return of peace, a similar body surfaced speedily in September 1939.

The NS’s literary editor, J C “Jack” Squire, had stepped into the breach as acting editor when Sharp was called up. He accepted Sidney Webb’s advice to align the paper more closely with the Labour movement. Webb therefore was in no rush to see a less acquiescent Sharp return. Appointed head of the information service of the British embassy in Stockholm, Sharp continued to gather intelligence.

From mid-1918, the Allies intensified their anti-Soviet propaganda effort. The Foreign Office instructed Sharp to send the NS a series of anti-Bolshevik articles, explicitly supportive of the “White” counter-revolutionary forces. In March 1919 the Foreign Office decided his services were no longer required. He returned to editing the NS and when his articles were serialised they condemned counter-revolutionary excesses in Finland and northern Russia.

Readers of William Boyd’s novel Waiting for Sunrise will recognise this chap who is one day in uniform and the next engaging in subterfuge about which, for all its Buchanesque glamour, he feels increasingly uneasy. Sharp lost little sleep over his role in the Baltic – there was a war to be won and even in peacetime he scarcely identified with the pacifist socialists he was spying on. Nevertheless, he retained a basic sense of right and wrong, and he could not accept the argument advanced by Churchill and Lloyd George for maintaining a military presence in Russia once fighting ceased in the west: to do so was to support White forces as brutal and undemocratic as their Red adversaries.

In this respect, the returning editor found himself at one with his colleagues, who consistently argued the case for withdrawal and an acceptance of the new status quo in post-tsarist Russia. Yes, the first editor of the New Statesman too easily adjusted to operating in the shadows, with the explicit approval of the paper’s founding father, but it’s to his credit that conscience belatedly triumphed over accommodation.

 

"Spy for a Day" 1940. Photo: Hulton Archive via Getty.

This article first appeared in the 01 April 2013 issue of the New Statesman, Easter Special Issue

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The Autumn Statement proved it – we need a real alternative to austerity, now

Theresa May’s Tories have missed their chance to rescue the British economy.

After six wasted years of failed Conservative austerity measures, Philip Hammond had the opportunity last month in the Autumn Statement to change course and put in place the economic policies that would deliver greater prosperity, and make sure it was fairly shared.

Instead, he chose to continue with cuts to public services and in-work benefits while failing to deliver the scale of investment needed to secure future prosperity. The sense of betrayal is palpable.

The headline figures are grim. An analysis by the Institute for Fiscal Studies shows that real wages will not recover their 2008 levels even after 2020. The Tories are overseeing a lost decade in earnings that is, in the words Paul Johnson, the director of the IFS, “dreadful” and unprecedented in modern British history.

Meanwhile, the Treasury’s own analysis shows the cuts falling hardest on the poorest 30 per cent of the population. The Office for Budget Responsibility has reported that it expects a £122bn worsening in the public finances over the next five years. Of this, less than half – £59bn – is due to the Tories’ shambolic handling of Brexit. Most of the rest is thanks to their mishandling of the domestic economy.

 

Time to invest

The Tories may think that those people who are “just about managing” are an electoral demographic, but for Labour they are our friends, neighbours and the people we represent. People in all walks of life needed something better from this government, but the Autumn Statement was a betrayal of the hopes that they tried to raise beforehand.

Because the Tories cut when they should have invested, we now have a fundamentally weak economy that is unprepared for the challenges of Brexit. Low investment has meant that instead of installing new machinery, or building the new infrastructure that would support productive high-wage jobs, we have an economy that is more and more dependent on low-productivity, low-paid work. Every hour worked in the US, Germany or France produces on average a third more than an hour of work here.

Labour has different priorities. We will deliver the necessary investment in infrastructure and research funding, and back it up with an industrial strategy that can sustain well-paid, secure jobs in the industries of the future such as renewables. We will fight for Britain’s continued tariff-free access to the single market. We will reverse the tax giveaways to the mega-rich and the giant companies, instead using the money to make sure the NHS and our education system are properly funded. In 2020 we will introduce a real living wage, expected to be £10 an hour, to make sure every job pays a wage you can actually live on. And we will rebuild and transform our economy so no one and no community is left behind.

 

May’s missing alternative

This week, the Bank of England governor, Mark Carney, gave an important speech in which he hit the proverbial nail on the head. He was completely right to point out that societies need to redistribute the gains from trade and technology, and to educate and empower their citizens. We are going through a lost decade of earnings growth, as Carney highlights, and the crisis of productivity will not be solved without major government investment, backed up by an industrial strategy that can deliver growth.

Labour in government is committed to tackling the challenges of rising inequality, low wage growth, and driving up Britain’s productivity growth. But it is becoming clearer each day since Theresa May became Prime Minister that she, like her predecessor, has no credible solutions to the challenges our economy faces.

 

Crisis in Italy

The Italian people have decisively rejected the changes to their constitution proposed by Prime Minister Matteo Renzi, with nearly 60 per cent voting No. The Italian economy has not grown for close to two decades. A succession of governments has attempted to introduce free-market policies, including slashing pensions and undermining rights at work, but these have had little impact.

Renzi wanted extra powers to push through more free-market reforms, but he has now resigned after encountering opposition from across the Italian political spectrum. The absence of growth has left Italian banks with €360bn of loans that are not being repaid. Usually, these debts would be written off, but Italian banks lack the reserves to be able to absorb the losses. They need outside assistance to survive.

 

Bail in or bail out

The oldest bank in the world, Monte dei Paschi di Siena, needs €5bn before the end of the year if it is to avoid collapse. Renzi had arranged a financing deal but this is now under threat. Under new EU rules, governments are not allowed to bail out banks, like in the 2008 crisis. This is intended to protect taxpayers. Instead, bank investors are supposed to take a loss through a “bail-in”.

Unusually, however, Italian bank investors are not only big financial institutions such as insurance companies, but ordinary households. One-third of all Italian bank bonds are held by households, so a bail-in would hit them hard. And should Italy’s banks fail, the danger is that investors will pull money out of banks across Europe, causing further failures. British banks have been reducing their investments in Italy, but concerned UK regulators have asked recently for details of their exposure.

John McDonnell is the shadow chancellor


John McDonnell is Labour MP for Hayes and Harlington and has been shadow chancellor since September 2015. 

This article first appeared in the 08 December 2016 issue of the New Statesman, Brexit to Trump