Expenses chief quits . . .

. . . but will Alan Johnson pull a “David Davis” and quit too?

The Sunday papers have two interesting political "resignation" stories this morning.

The Mail on Sunday says that a senior official at the new Independent Parliamentary Standards Authority (IPSA) -- the operations director, Nigel Gooding -- has quit his post "for the sake of my health and sanity" after a series of rows with MPs over the new, stricter expenses rules.

Has the expenses scandal become the domestic equivalent of the Iraq war, the story that never goes away? This new parliament has already had the David Laws resignation, and now this. Depressing. I guess we'll have to get used to another round of hand-wringing, head-shaking and cries of: "They still don't get it!" For the sake of our collective "health and sanity", I hope not.

Then there's Alan Johnson -- one of the popular, plain-speaking and pluralist Labour MPs I'd hoped would run for the party leadership. Johnson is backing David Miliband but the Sunday Telegraph claims that the former home secretary is considering standing down from his Westminster seat and fighting a by-election on the issue of proportional representation.

Says Patrick Hennessy:

The shadow home secretary's dramatic gesture would mirror the controversial stand taken by a Tory occupant of the post, David Davis, in 2008.

Mr Davis quit the shadow cabinet and announced he would fight a by-election in his parliamentary seat of Haltemprice and Howden on a civil liberties platform.

Mr Johnson, who was the favoured candidate of many Labour MPs to replace Gordon Brown as prime minister, has always been a passionate advocate of electoral reform.

If he fought, and won, a by-election on the issue in his seat of Hull West and Hessle -- next door to Mr Davis's seat -- it would put him in prime position to play a leading role in a referendum campaign to change the way all MPs are elected.

Under coalition plans, a referendum on replacing the current "first-past-the-post" regime with the Alternative Vote system, which allows voting for more than one candidate, could be held as early as next year.

If Johnson makes this "dramatic gesture" I'd be 100 per cent behind him. AV is a poor replacement for first-past-the-post -- and I can't tell you how depressed I was to listen to the five Labour leadership candidates refuse to go beyond a commitment to AV at both the New Statesman hustings on Wednesday and the Compass hustings yesterday.

I just wish Johnson had threatened to make this move while in government. After all, if Labour had pledged to legislate for a referendum on AV+, rather than AV, it would have made a Con-Lib coalition all but impossible.

Mehdi Hasan is a contributing writer for the New Statesman and the co-author of Ed: The Milibands and the Making of a Labour Leader. He was the New Statesman's senior editor (politics) from 2009-12.

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Lord Sainsbury pulls funding from Progress and other political causes

The longstanding Labour donor will no longer fund party political causes. 

Centrist Labour MPs face a funding gap for their ideas after the longstanding Labour donor Lord Sainsbury announced he will stop financing party political causes.

Sainsbury, who served as a New Labour minister and also donated to the Liberal Democrats, is instead concentrating on charitable causes. 

Lord Sainsbury funded the centrist organisation Progress, dubbed the “original Blairite pressure group”, which was founded in mid Nineties and provided the intellectual underpinnings of New Labour.

The former supermarket boss is understood to still fund Policy Network, an international thinktank headed by New Labour veteran Peter Mandelson.

He has also funded the Remain campaign group Britain Stronger in Europe. The latter reinvented itself as Open Britain after the Leave vote, and has campaigned for a softer Brexit. Its supporters include former Lib Dem leader Nick Clegg and Labour's Chuka Umunna, and it now relies on grassroots funding.

Sainsbury said he wished to “hand the baton on to a new generation of donors” who supported progressive politics. 

Progress director Richard Angell said: “Progress is extremely grateful to Lord Sainsbury for the funding he has provided for over two decades. We always knew it would not last forever.”

The organisation has raised a third of its funding target from other donors, but is now appealing for financial support from Labour supporters. Its aims include “stopping a hard-left take over” of the Labour party and “renewing the ideas of the centre-left”. 

Julia Rampen is the digital news editor of the New Statesman (previously editor of The Staggers, The New Statesman's online rolling politics blog). She has also been deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines. 

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