A memo, from Mehdi to George: Dear Chancellor, your pants are on fire

Isn't it time for George Osborne to apologise for his mendacity during the AV campaign?

There were two depressing aspects to the electoral reform referendum in May. First, of course, there was the result: it was a crushing defeat for the Yes2AV campaign and all of us who support progressive, pluralist politics. Second, there was the US-style negative campaigning and gutter politics engaged in by the No to AV campaign and its parliamentary and media outriders. The No campaign was built on fear, hysteria and lies -- and it worked. The British public rejected a system that would have put more power in the hands of voters and reduced, in a stroke, the number of "safe seats" across the UK.

And here's the thing: the lies were brazen. The former home secretary and high-profile No to AV supporter David Blunkett admitted, on the eve of the vote, that anti-AV claims were "made up". No to AV, for example, pulled the figure "£250m" out of thin air and then argued that this would be the cost of introducing AV in the UK. One anti-AV poster -- proudly conceived by the Staggers guest blogger Dan Hodges -- claimed that the adoption of AV would automatically reduce the number of cardiac facilities available to premature babies. It was nasty stuff.

But to witness the Chancellor of the Exchequer, one of the most senior politicians in the land, getting down and dirty in the gutter on behalf of the anti-AV campaign was deeply disturbing. On 12 April, the Daily Mail reported Osborne as saying:

What really stinks is . . . one of the ways the Yes campaign is funded. The Electoral Reform Society, which is actually running some of the referendum ballots, and is being paid to do that by the taxpayer, stands to benefit if AV comes in . . . that organisation, the Electoral Reform Society -- part of it is a company [Electoral Reform Services Ltd] that makes money -- is funding the Yes campaign.

That stinks, frankly, and is exactly the sort of dodgy, behind-the-scenes shenanigans that people don't like about politics. The No campaign has asked for it to be investigated by the Electoral Commission and certainly I think there are some very, very serious questions that have to be answered.

But, on Wednesday, the Guardian's Roy Greenslade noted on his media blog that the Press Complaints Commission's latest list of resolved complaints includes two items on how Electoral Reform Services (ERSL) had complained about articles in both the Daily Mail and the Sun -- both of which carried the Chancellor's claims -- that they said contained inaccuracies. The Mail and the Sun, "to resolve the matter", agreed to publish a letter from the organisation in print and online (at the foot of the original articles).

The ERS letter pointed out:

Mr Osborne was wrong: the introduction of AV would not have required any additional voting machines and even if it had, ERSL would have gained no financial benefit because it doesn't manufacture or supply such machines.

Our services to local authorities are limited to the printing and mailing of ballot material and the provision of software for the management of electoral registers.

The Mail and the Sun have been forced to correct their misleading reports. The question is: isn't it time Mr Osborne is asked to apologise for or, at least, clarify his own dishonest claims?

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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In your 30s? You missed out on £26,000 and you're not even protesting

The 1980s kids seem resigned to their fate - for now. 

Imagine you’re in your thirties, and you’re renting in a shared house, on roughly the same pay you earned five years ago. Now imagine you have a friend, also in their thirties. This friend owns their own home, gets pay rises every year and has a more generous pension to beat. In fact, they are twice as rich as you. 

When you try to talk about how worried you are about your financial situation, the friend shrugs and says: “I was in that situation too.”

Un-friend, right? But this is, in fact, reality. A study from the Institute for Fiscal Studies found that Brits in their early thirties have a median wealth of £27,000. But ten years ago, a thirty something had £53,000. In other words, that unbearable friend is just someone exactly the same as you, who is now in their forties. 

Not only do Brits born in the early 1980s have half the wealth they would have had if they were born in the 1970s, but they are the first generation to be in this position since World War II.  According to the IFS study, each cohort has got progressively richer. But then, just as the 1980s kids were reaching adulthood, a couple of things happened at once.

House prices raced ahead of wages. Employers made pensions less generous. And, at the crucial point that the 1980s kids were finding their feet in the jobs market, the recession struck. The 1980s kids didn’t manage to buy homes in time to take advantage of low mortgage rates. Instead, they are stuck paying increasing amounts of rent. 

If the wealth distribution between someone in their 30s and someone in their 40s is stark, this is only the starting point in intergenerational inequality. The IFS expects pensioners’ incomes to race ahead of workers in the coming decade. 

So why, given this unprecedented reversal in fortunes, are Brits in their early thirties not marching in the streets? Why are they not burning tyres outside the Treasury while shouting: “Give us out £26k back?” 

The obvious fact that no one is going to be protesting their granny’s good fortune aside, it seems one reason for the 1980s kids’ resignation is they are still in denial. One thirty something wrote to The Staggers that the idea of being able to buy a house had become too abstract to worry about. Instead:

“You just try and get through this month and then worry about next month, which is probably self-defeating, but I think it's quite tough to get in the mindset that you're going to put something by so maybe in 10 years you can buy a shoebox a two-hour train ride from where you actually want to be.”

Another reflected that “people keep saying ‘something will turn up’”.

The Staggers turned to our resident thirty something, Yo Zushi, for his thoughts. He agreed with the IFS analysis that the recession mattered:

"We were spoiled by an artificially inflated balloon of cheap credit and growing up was something you did… later. Then the crash came in 2007-2008, and it became something we couldn’t afford to do. 

I would have got round to becoming comfortably off, I tell myself, had I been given another ten years of amoral capitalist boom to do so. Many of those who were born in the early 1970s drifted along, took a nap and woke up in possession of a house, all mod cons and a decent-paying job. But we slightly younger Gen X-ers followed in their slipstream and somehow fell off the edge. Oh well. "

Will the inertia of the1980s kids last? Perhaps – but Zushi sees in the support for Jeremy Corbyn, a swell of feeling at last. “Our lack of access to the life we were promised in our teens has woken many of us up to why things suck. That’s a good thing. 

“And now we have Corbyn to help sort it all out. That’s not meant sarcastically – I really think he’ll do it.”