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Forget Osborne. It was Miliband's afternoon, says Mehdi Hasan

Miliband can do it - give him a chance.

Forget the Budget. As the IPPR's Will Straw pointed out on Twitter:

What a waste of an hour. Nothing in the #Budget that hadnt been leaked.

Indeed. The Hugh Dalton era is well and truly over. George Osborne stood at the despatch box, with his glass of water, and performed a glorified version of a TV-news-channel paper review, confirming the various leaks and briefings to the press - from the cut in the top rate of tax to the increase in the tax allowance. But there was no still no sign of a stimulus package; no plan for growth. The Osborne slump continues.

The economics, therefore, took a backseat to the politics. This was, after all, yet another test for Ed Miliband. How would he perform? What would he say? How would he sound? The coalition's bizarre decision to slash the popular 50p top rate of tax, in particular, presented the leader of the opposition with an open goal - and, this time, he didn't miss. He looked - and sounded - confident; his opponents, the Prime Minister and the Chancellor, looked exasperated and annoyed as they sat and listened.

Miliband had facts:

What did the Chancellor say in August last year about America's more balanced deficit plan:

"Those who spent the whole of the past year telling us to follow the American example need to answer this simple question: why has the US economy grown more slowly than the UK economy?"

Mr Deputy Speaker, the numbers are in.

And the Chancellor is plain wrong.

The US economy grew at 1.7% last year, twice the rate of ours.

This Government have run out of excuses.

He had outrage:

Under his tax cut, a banker earning five million pounds will get an extra £240,000 a year.

Let's call this what it really is:

The Government's very own bankers' bonus.

He had humour:

It is great to support the great British success stories like Downton Abbey.

A tale of a group of out of touch millionaires.

Who act like they're born to rule.

But turn out to be no good at it.

Sound familiar Mr Deputy Speaker?

We all know it's a costume drama.

They think it's a fly on the wall documentary.

My own favourite gag/trick was when the Labour leader asked members of the coalition cabinet, seated opposite him, to raise their hands if they would be personally benefiting from the cut in the 50p top rate of tax. It was a cheap shot - but it hit home. Millionaire ministers shifted uneasily in their seats; some - I'm looking at you William Hague and George Young! - looked away and pretended not to hear. "Just nod," proclaimed Miliband, deploying a favourite put-down of the Prime Minister to great effect.

It was, in my view, a brilliant speech - especially given how difficult and awkward it is for leaders of the opposition to respond to Budget statements in the Commons, at such short notice. One friend of Miliband told me: "We were pretty pleased." Well, that's an understatement! Another source close to the Labour leader said the speech was a "group effort" but that "Ed and Torsten [Henricson-Bell, Miliband's economics adviser and the Labour Party's new director of policy] get most credit" for writing it. If only his conference speech had been delivered with such gusto. . .

The former Labour minister and ardent Blairite, George Foulkes, who backed David Miliband in the 2010 leadership contest, tweeted:

Ed Miliband has delivered the best Budget response I have heard from Opposition Leaders in 33 years in Parliament.

Brother David joined the tributes, with this brief tweet:

Excellent Budget response by Ed

The pessimists and defeatists on the Labour front and backbenches should take note not just of the dismal failure of the coalition's austerity measures - which some of the more right-wing among them would like to ape and emulate - but also their leader's bravura performance this afternoon. Yes, I admit: they are few and far between; far too few for my liking. But Miliband can do it. So, as I've said before, give him a chance.

 

 

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.

Photo: Getty
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The big problem for the NHS? Local government cuts

Even a U-Turn on planned cuts to the service itself will still leave the NHS under heavy pressure. 

38Degrees has uncovered a series of grisly plans for the NHS over the coming years. Among the highlights: severe cuts to frontline services at the Midland Metropolitan Hospital, including but limited to the closure of its Accident and Emergency department. Elsewhere, one of three hospitals in Leicester, Leicestershire and Rutland are to be shuttered, while there will be cuts to acute services in Suffolk and North East Essex.

These cuts come despite an additional £8bn annual cash injection into the NHS, characterised as the bare minimum needed by Simon Stevens, the head of NHS England.

The cuts are outlined in draft sustainability and transformation plans (STP) that will be approved in October before kicking off a period of wider consultation.

The problem for the NHS is twofold: although its funding remains ringfenced, healthcare inflation means that in reality, the health service requires above-inflation increases to stand still. But the second, bigger problem aren’t cuts to the NHS but to the rest of government spending, particularly local government cuts.

That has seen more pressure on hospital beds as outpatients who require further non-emergency care have nowhere to go, increasing lifestyle problems as cash-strapped councils either close or increase prices at subsidised local authority gyms, build on green space to make the best out of Britain’s booming property market, and cut other corners to manage the growing backlog of devolved cuts.

All of which means even a bigger supply of cash for the NHS than the £8bn promised at the last election – even the bonanza pledged by Vote Leave in the referendum, in fact – will still find itself disappearing down the cracks left by cuts elsewhere. 

Stephen Bush is special correspondent at the New Statesman. He usually writes about politics.