Cameron’s treatment of Warsi shows his blind spot

The PM is in danger of confirming the suspicion that the Tories are a rich men's club.

One feature of politics that is routinely forgotten in Westminster is that most people, most of the time are not paying attention and don’t really know what the government is up to. (The opposition are even more invisible.) Thus there is a tendency to think that the whole nation is abuzz with chatter about, for example, revealing text messages sent by Jeremy Hunt and the question of whether or not he should be referred by the Prime Minister to an independent advisor over his alleged breach of the ministerial code. It isn't.

This fiction is sustained by periodic opinion polls that ask questions such as “should Jeremy Hunt be referred to the independent advisor over his alleged breach of the ministerial code?” which is like asking “do you think a politician who is accused of doing something wrong actually did something wrong?” The answer will generally be “yes”. That doesn’t tell you much about anything other than the low esteem in which all politicians are held.

There are, however, exceptions. Sometimes issues cut through to the wider, non-specialist public. Sometimes also the persistent bakground hum of a scandal permeates the national consciousness, more as a nasty whiff of sleaze than a focused sense of outrage. It is in the latter category that the phone-hacking saga and the Leveson inquiry probably sit. Few will familiarise themselves with the exact chronology of emails, regulatory decisions and quasi-judicial whatnot. Many will detect something unseemly in the relationship between ministers and the news organisation that, somewhere down the chain of command, hacked the voicemail of a murdered teenager.

There is, however, another category of political cut-through, which is the stories that resonate with particular segments of the population. It is into this bracket that, I suspect, falls the treatment of Sayeeda Warsi, the Tory co-chair accused of a range of improprieties connected to registration of business interests.

Baroness Warsi has been referred to the advisor on ministerial standards and is under pressure to stand down from her party role – which brings with it a cabinet seat – while the investigation is under way. The contrast with the treatment of Hunt, who has been spared such indignity, is conspicuous. The reason for the different treatment is fairly straightforward. If Hunt is deemed to have failed in his duty to be impartial in adjudicating News International’s bid for a 100 per cent stake in BSkyB, questions naturally arise about David Cameron’s judgement in appointing him to that function and defending him for so long. By contrast, Warsi can be sacrificed without much danger of stray bullets hitting Downing Street.

Besides, Hunt is popular among MPs and a useful, loyal minister. Warsi is the subject of a long, hostile campaign by Tory backbenchers who want a chairman who sits in the House of Commons and will be a more effective channel for backbench opinion to the PM. MPs want, in other words, a chairman who looks and sounds a bit more like them. And there’s the problem. Warsi is a Muslim woman from the north of England. There are not many on the Conservative benches. Naturally, the anti-Warsi camp is very sensitive to the charge that it is motivated by racism, sexism or any other prejudice. It is all just a question of political effectiveness, they insist. That is plainly a bit disingenuous. There are plenty of white Tory men who would love a seat in the cabinet and flatter themselves by thinking they have been passed over because of a positive discrimination policy in favour of ethnic and gender diversity.

The crucial point, however, is that the different treatment of Hunt and Warsi will be noticed much more among those voters for whom the promotion of an Asian-British woman to the cabinet is a big deal. It won’t cut through in much of the country, but it will be amplified in precisely those communities where lurks suspicion of the Tories as exclusive and insensitive to racism. This has been identified by Downing Street pollsters as a key strategic weakness for the party and an obstacle in Cameron’s ambitions to win a parliamentary majority.

Particular faith or immigrant communities are acutely aware of who from their number has “made it” in Britain. This is a perception that cuts across party lines and penetrates well beyond the usual level of apathy and lack of attention to the Westminster circus. In parallel with this awareness runs hyper-awareness of anything that resembles unchecked prejudice. Consider, for example, the trouble that Ken Livingstone got into when he appeared repeatedly insensitive to concerns raised about comments he made to and about London’s Jewish community. People who might not otherwise have closely followed the London mayoral race knew that there was a problem with Ken and anti-Semitism, even if they couldn’t precisely pin point what it was.

This is the danger that Cameron runs with Warsi. It is a blind spot for him since he no doubt has absolute confidence in his own credentials as a man of great fairness, wholly lacking in racism. It doesn’t matter. What matters is that there are people who don’t share his confidence and for whom it is symbolically important that a member of their community – or even just someone with the same colour skin as them – has reached the highest echelons of power. It matters that they then glance across at events in Westminster, hear a bit about some scandal and, without taking in all the details, clock that the posh white guy gets let off the hook while the Asian lady gets hung out to dry. That is hardly going to reassure them that the Tories are no longer a rich men's club.

William Hague, David Cameron and Nick Clegg attend a Diamond Jubilee Reception at Guildhall in London. Photograph: Getty Images.

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

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Debunking Boris Johnson's claim that energy bills will be lower if we leave the EU

Why the Brexiteers' energy policy is less power to the people and more electric shock.

Boris Johnson and Michael Gove have promised that they will end VAT on domestic energy bills if the country votes to leave in the EU referendum. This would save Britain £2bn, or "over £60" per household, they claimed in The Sun this morning.

They are right that this is not something that could be done without leaving the Union. But is such a promise responsible? Might Brexit in fact cost us much more in increased energy bills than an end to VAT could ever hope to save? Quite probably.

Let’s do the maths...

In 2014, the latest year for which figures are available, the UK imported 46 per cent of our total energy supply. Over 20 other countries helped us keep our lights on, from Russian coal to Norwegian gas. And according to Energy Secretary Amber Rudd, this trend is only set to continue (regardless of the potential for domestic fracking), thanks to our declining reserves of North Sea gas and oil.


Click to enlarge.

The reliance on imports makes the UK highly vulnerable to fluctuations in the value of the pound: the lower its value, the more we have to pay for anything we import. This is a situation that could spell disaster in the case of a Brexit, with the Treasury estimating that a vote to leave could cause the pound to fall by 12 per cent.

So what does this mean for our energy bills? According to December’s figures from the Office of National Statistics, the average UK household spends £25.80 a week on gas, electricity and other fuels, which adds up to £35.7bn a year across the UK. And if roughly 45 per cent (£16.4bn) of that amount is based on imports, then a devaluation of the pound could cause their cost to rise 12 per cent – to £18.4bn.

This would represent a 5.6 per cent increase in our total spending on domestic energy, bringing the annual cost up to £37.7bn, and resulting in a £75 a year rise per average household. That’s £11 more than the Brexiteers have promised removing VAT would reduce bills by. 

This is a rough estimate – and adjustments would have to be made to account for the varying exchange rates of the countries we trade with, as well as the proportion of the energy imports that are allocated to domestic use – but it makes a start at holding Johnson and Gove’s latest figures to account.

Here are five other ways in which leaving the EU could risk soaring energy prices:

We would have less control over EU energy policy

A new report from Chatham House argues that the deeply integrated nature of the UK’s energy system means that we couldn’t simply switch-off the  relationship with the EU. “It would be neither possible nor desirable to ‘unplug’ the UK from Europe’s energy networks,” they argue. “A degree of continued adherence to EU market, environmental and governance rules would be inevitable.”

Exclusion from Europe’s Internal Energy Market could have a long-term negative impact

Secretary of State for Energy and Climate Change Amber Rudd said that a Brexit was likely to produce an “electric shock” for UK energy customers – with costs spiralling upwards “by at least half a billion pounds a year”. This claim was based on Vivid Economic’s report for the National Grid, which warned that if Britain was excluded from the IEM, the potential impact “could be up to £500m per year by the early 2020s”.

Brexit could make our energy supply less secure

Rudd has also stressed  the risks to energy security that a vote to Leave could entail. In a speech made last Thursday, she pointed her finger particularly in the direction of Vladamir Putin and his ability to bloc gas supplies to the UK: “As a bloc of 500 million people we have the power to force Putin’s hand. We can coordinate our response to a crisis.”

It could also choke investment into British energy infrastructure

£45bn was invested in Britain’s energy system from elsewhere in the EU in 2014. But the German industrial conglomerate Siemens, who makes hundreds of the turbines used the UK’s offshore windfarms, has warned that Brexit “could make the UK a less attractive place to do business”.

Petrol costs would also rise

The AA has warned that leaving the EU could cause petrol prices to rise by as much 19p a litre. That’s an extra £10 every time you fill up the family car. More cautious estimates, such as that from the RAC, still see pump prices rising by £2 per tank.

The EU is an invaluable ally in the fight against Climate Change

At a speech at a solar farm in Lincolnshire last Friday, Jeremy Corbyn argued that the need for co-orinated energy policy is now greater than ever “Climate change is one of the greatest fights of our generation and, at a time when the Government has scrapped funding for green projects, it is vital that we remain in the EU so we can keep accessing valuable funding streams to protect our environment.”

Corbyn’s statement builds upon those made by Green Party MEP, Keith Taylor, whose consultations with research groups have stressed the importance of maintaining the EU’s energy efficiency directive: “Outside the EU, the government’s zeal for deregulation will put a kibosh on the progress made on energy efficiency in Britain.”

India Bourke is the New Statesman's editorial assistant.