Miliband's call for a judge-led inquiry gathers strength

MPs' failure to land a blow on Bob Diamond has bolstered the case for a full inquiry.

It was Lib Dem MP John Thurso's comparison of Bob Diamond with Geoffrey Boycott ("You have been occupying the crease for two and a half hours and I am not sure we are any further forward") that was the defining moment of yesterday's select committee hearing. Put simply, the bowlers weren't up to the job. Their ineptitude exemplified precisely why we need a judge-led inquiry into the Libor scandal.

The Commons will vote today on whether to hold a parliamentary inquiry (the government's preferred option) or a judicial inquiry (Labour's preferred option), with the coalition's sizeable majority almost certain to ensure that MPs back the former. Andrew Tyrie, the chair of the Treasury select committee, has indicated that he will refuse to preside over an inquiry that does not enjoy cross-party support, but today's Financial Times reports that George Osborne, on this occasion, has prepared a plan B. Should Tyrie refuse to chair the inquiry, John McFall, the former Labour chair of the committee, will be asked to lead it instead. McFall will only accept the post with Miliband's blessing, but the offer of a Labour chair will make it harder for Miliband to withhold his support.

Yet George Osborne's evidence-free assertion that Labour ministers were "clearly involved" in the rate-rigging scandal means that consensus could prove elusive. It's worth noting that Miliband isn't the only one banging the drum for a judicial inquiry. The Daily Mail, one of the few papers with the capacity to shift government policy, reaffirms the case for "a proper judge-led public inquiry" in its editorial column today. Indeed, the paper seconds Miliband's proposal of a swift inquiry into the Libor scandal (to report by Christmas), followed by a second year-long inquiry into the wider "culture and practices" of the City of London.

As I suggested yesterday, the unending argument over which party called for the least regulation, matters less than who is seen to have the right policy now. One of Cameron's biggest problems is that he leads a party that voters see as far too close to the banks (a party "bankrolled by the banks", in Miliband's words) and other vested interests. It is one that his opposition to a judge-led inquiry (backed by 75 per cent of voters, according to YouGov) will only increase.

Former Barclays chief executive Bob Diamond leaves Portcullis House after appearing before the Treasury Select Committee. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Commons confidential: Comrade Corbyn the coverstar

Milne's messages, Chilcot rumours, and why the Evening Standard may have backed Zac.

Tony Blair’s first flatmate, Charlie Falconer, will find himself in a difficult spot should Jeremy Corbyn stick to his guns when the Chilcot report is published on 6 July. The current Labour leader, a former chair of the Stop the War Coalition, is on record denouncing the campaign in Iraq as an “illegal war” and supporting a war crimes trial for his predecessor-but-two.

Every nudge and leak suggests that Chilcot’s weapon of mass destruction will eviscerate Bomber Blair. The whisper in Westminster is that Baron Falconer might feel honour-bound to quit as shadow justice secretary in the House of Lords should Comrade Corbyn back a plan to send his old housemate to the Hague.

My snout recalled overhearing a conversation in which Falconer’s solicitor wife asked her hubby: “How can you work for a man who thinks Tony is a war criminal?” Please do tell us, Charlie.

Comrade Corbyn is the first Labour leader for many a year, perhaps the first in the history of the class struggle, to be chosen as a cover star by Theory & Struggle, the journal of the Marx Memorial Library. The front-page pose is entirely social-realist by design: the bearded leader is pictured staring purposefully off to the reader’s left – of course. We may be sure that any likeness to an image of Karl Marx on the same page was purely non-coincidental.

An old school chum of the bombastic backbencher Karl McCartney let slip a clue about the source of the Lincoln Tory’s touchiness with regard to his personal brand. Back in 2013, the MP failed to persuade parliamentary authorities to spend £15,000 reprinting his surname on Commons documents, including the Hansard verbatim report of proceedings and business, with a superscript “c” instead of the lower case “Mc” on the line. Perhaps his obsession with presentation dates from when classmates nicknamed him Shergy, after Shergar, the Epsom Derby winner that was stolen and killed 33 years ago. On the upside, equine comparisons never unseated Princess Anne.

Maybe Sadiq Khan’s team, still puzzling over why the London Evening Standard editor, Sarah Sands, endorsed its rival Zac Goldsmith when the Tory was a nailed-on loser, should examine its man’s housing policy. Sands’s purchase of two flats in the redeveloped BBC TV Centre at White City wasn’t exactly the “first dibs” scheme envisaged by the Mayor of London to widen ownership.

Hacks using the Telegram encrypted messaging app, handy for receiving clandestine documents from anxious leakers, were amused to discover that Seumas Milne signed up for the service in May. Corbyn’s spin doctor may be unaware that everybody on the network with his number was notified of the covert arrival.

Kevin Maguire is the associate editor (politics) of the Daily Mirror

Kevin Maguire is Associate Editor (Politics) on the Daily Mirror and author of our Commons Confidential column on the high politics and low life in Westminster. An award-winning journalist, he is in frequent demand on television and radio and co-authored a book on great parliamentary scandals. He was formerly Chief Reporter on the Guardian and Labour Correspondent on the Daily Telegraph.

This article first appeared in the 26 May 2016 issue of the New Statesman, The Brexit odd squad