"Do Cameron and Osborne know what they're doing?"

That is the question voters will ask.

Jeremy Hunt is in trouble. The Culture Secretary’s statement in the House of Commons today has done nothing to dispel the impression that he allowed News Corp privileged insight into a process he was overseeing in a quasi-judicial capacity. A cache of emails released yesterday clearly indicates that, at least as viewed from the Murdoch side, Hunt was a collaborative partner in the process of ensuring smooth passage of the controversial bid to take 100% control of BSkyB. Hunt’s defence appears to be that such an impression is false and  derives from excitable embellishment by the emails’ author – News Corp’s European public affairs director Frederic Michel – encouraged by over-zealous briefing by Adam Smith, the minister’s own special adviser. Smith has resigned.

It is a flimsy line and a shabby one. The secretary of state is responsible for his advisor’s actions and it is simply not credible that so much information, briefings and encouragement were fed to Michel behind Hunt’s back. If the Spad behaved in a way that seemed to lubricate relations with News Corp it is because his boss instructed him to do so. That raises the question of what instructions Hunt had from his own boss – the Prime Minister.

Cameron will not want to lose Hunt. He is a loyal minister who has, until now, proved diligent and effective. Besides, any forced resignation carries a whiff of disorder and corruption. But, crucially, if Hunt goes, suspicious eyes turn automatically higher up the chain of command. We know that Cameron was close to James Murdoch and Rebekah Brooks. He found time in his busy schedule for Christmas lunches and Cotswolds rambles with the latter. If, as the emails strongly imply, the Culture Secretary saw facilitation of the BSkyB bid as part of his job description, it is reasonable to suppose he took that interpretation from Downing Street’s culture of wider Murdoch facilitation. Of course, Hunt’s case is egregious because he was supposed to be acting in a quasi-judicial role. The PM, meanwhile, is allowed to have friends in business and media and was not the one making the takeover decision. That, at least, would be Downing Street’s defence. Unless there is some evidence that Cameron instructed Hunt to satisfy News Corps’s appetites (and one has to presume he would never be so crass), the damage to Number 10 from this episode is limited.

There is damage nonetheless. Most people, I suspect, will not drill too deep into the exact nature of the government’s role in regulating the media, who was responsible for what, when and whether or not specific communications were therefore improper. Labour should be wary of getting too excited about an issue that is essentially retrospective – the BSkyB bid is dead, the Leveson inquiry has been established and will report in due course. Cameron is unlikely to be seen riding a News of the World-branded police horse down Whitehall any time soon.

The most problematic part of the whole business for Downing Street is the way it reinforces the impression that the government serves rich and powerful clients before attending to the interests of ordinary citizens.  This is rapidly becoming a theme in criticism of Cameron, from the “kitchen suppers” for donors to the Budget tax breaks for high earners.

Today’s grim economic news – the confirmation of a double-dip recession - will feed a wider sense of drift that is shaking people’s confidence in the government. When challenged on the growth crisis in parliament, Cameron fell back on the familiar refrain that the difficulty in getting the economy back on track is simply an expression of the scale of the mess bequeathed by Labour. The political returns from that line are diminishing fast. The economy was expanding when Cameron entered Downing Street; now it is shrinking. How is that not at least to some extent a consequence of his policies? And what is the plan to restart growth? He says borrowing more is not the answer, but as many of his Conservative critics point out, borrowing more is precisely what he and George Osborne are being forced to do.

Those economic problems dwarf the local crisis enveloping the Department for Culture, Media and Sport. They are connected in one crucial respect. Double-dip recession will provoke in many people’s minds the question of whether Cameron and Osborne know what they are doing. The reminder of cosy collaboration with billionaire media moguls provokes the question of whose side they are really on. The combination of those doubts in the public mind could be electorally ruinous.

David Cameron and George Osborne. Photograph: Getty Images.

Rafael Behr is political columnist at the Guardian and former political editor of the New Statesman

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Labour’s best general election bet is Keir Starmer

The shadow secretary for Brexit has the heart of a Remainer - but head of a pragmatic politician in Brexit Britain. 

In a different election, the shadow Brexit secretary Keir Starmer might have been written off as too quiet a man. Instead - as he set out his plans to scrap the Brexit white paper and offer EU citizens reassurance on “Day One” in the grand hall of the Institute of Civil Engineers - the audience burst into spontaneous applause. 

For voters now torn between their loyalty to Labour and Remain, Starmer is a reassuring figure. Although he says he respects the Brexit vote, the former director of public prosecutions is instinctively in favour of collaborating with Europe. He even wedges phrases like “regulatory alignment” into his speeches. When a journalist asked about the practicality of giving EU citizens right to remain before UK citizens abroad have received similar promises, he retorted: “The way you just described it is to use people as bargaining chips… We would not do that.”

He is also clear about the need for Parliament to vote on a Brexit deal in the autumn of 2018, for a transitional agreement to replace the cliff edge, and for membership of the single market and customs union to be back on the table. When pressed on the option of a second referendum, he said: “The whole point of trying to involve Parliament in the process is that when we get to the final vote, Parliament has had its say.” His main argument against a second referendum idea is that it doesn’t compare like with like, if a transitional deal is already in place. For Remainers, that doesn't sound like a blanket veto of #EUref2. 

Could Leave voters in the provinces warm to the London MP for Holborn and St Pancras? The answer seems to be no – The Daily Express, voice of the blue passport brigade, branded his speech “a plot”. But Starmer is at least respectful of the Brexit vote, as it stands. His speech was introduced by Jenny Chapman, MP for Darlington, who berated Westminster for their attitude to Leave voters, and declared: “I would not be standing here if the Labour Party were in anyway attempting to block Brexit.” Yes, Labour supporters who voted Leave may prefer a Brexiteer like Kate Hoey to Starmer,  but he's in the shadow Cabinet and she's on a boat with Nigel Farage. 

Then there’s the fact Starmer has done his homework. His argument is coherent. His speech was peppered with references to “businesses I spoke to”. He has travelled around the country. He accepts that Brexit means changing freedom of movement rules. Unlike Clive Lewis, often talked about as another leadership contender, he did not resign but voted for the Article 50 Bill. He is one of the rare shadow cabinet members before June 2016 who rejoined the front bench. This also matters as far as Labour members are concerned – a March poll found they disapproved of the way Labour has handled Brexit, but remain loyal to Jeremy Corbyn. 

Finally, for those voters who, like Brenda, reacted to news of a general election by complaining "Not ANOTHER one", Starmer has some of the same appeal as Theresa May - he seems competent and grown-up. While EU regulation may be intensely fascinating to Brexiteers and Brussels correspondents, I suspect that by 2019 most of the British public's overwhelming reaction to Brexit will be boredom. Starmer's willingness to step up to the job matters. 

Starmer may not have the grassroots touch of the Labour leader, nor the charisma of backbench dissidents like Chuka Umunna, but the party should make him the de facto face of the campaign.  In the hysterics of a Brexit election, a quiet man may be just what Labour needs.

What did Keir Starmer say? The key points of his speech

  • An immediate guarantee that all EU nationals currently living in the UK will see no change in their legal status as a result of Brexit, while seeking reciprocal measures for UK citizens in the EU. 
  • Replacing the Tories’ Great Repeal Bill with an EU Rights and Protections Bill which fully protects consumer, worker and environmental rights.
  • A replacement White Paper with a strong emphasis on retaining the benefits of the single market and the customs union. 
  • The devolution of any new powers that are transferred back from Brussels should go straight to the relevant devolved body, whether regional government in England or the devolved administrations in Scotland, Wales and Northern Ireland.
  • Parliament should be fully involved in the Brexit deal, and MPs should be able to vote on the deal in autumn 2018.
  • A commitment to seek to negotiate strong transitional arrangements when leaving the EU and to ensure there is no cliff-edge for the UK economy. 
  • An acceptance that freedom of movement will end with leaving the EU, but a commitment to prioritise jobs and economy in the negotiations.

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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