John Prescott to run for party treasurer

Former deputy PM wants to tackle the difficult task of improving Labour’s finances.

John Prescott has announced that he is seeking nominations to become treasurer of the Labour Party when the newly elected MP for Birmingham Erdington, Jack Dromey, vacates the position at the conference in September.

It is a surprising decision on Prescott's part, considering he is nearly 72 and is expected to be named a life peer in Gordon Brown's forthcoming resignation honours list. The position of party treasurer is usually a stepping stone to greater prominence, Bevan, Callaghan and Foot all having contested it in their time, rather than a cushy retirement number for a former cabinet minister.

This is not an honorary title with attractive perks, but a challenging and relatively low-profile seat on the committee that must steer Labour back into power. Yet here is Prescott, putting himself forward for what could be the biggest challenge of his political career -- that of attracting donors to fill Labour's empty coffers.

The cost of this month's general election, in votes and in cash, will make the task very difficult.

There is no political or personal gain for Prescott in this position. It carries no salary. So we can only assume that his motives stem from loyalty to the party. Prescott has pointed out that he has long experience both in and out of government, and there's no doubt he would make an energetic fundraiser.

His own account of his activism during the election demonstrates that he is not ready to retire yet, and still has a vision for the future of the Labour Party:

During the general election I travelled 5,000 miles on my Prescott Express battle bus, campaigning for candidates in more than 70 constituencies . . . It became very clear to me during my journey that we have an enormous job to do in rebuilding our party, reconnecting with the electorate and getting Labour ready as an effective opposition party and the next government-in-waiting.

If he is successful in rejuvenating the party's finances, he will ensure that it won't be for just Jags and punches that he's remembered.

Caroline Crampton is assistant editor of the New Statesman. She writes a weekly podcast column.

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Why isn't Labour putting forward Corbynite candidates?

Despite his successes as a candidate, the organisational victories have gone the way of Corbyn's opponents. 

The contest changes, but the result remains the same: Jeremy Corbyn’s preferred candidate defeated in a parliamentary selection. Afzhal Khan is Labour’s candidate in the Manchester Gorton by-election and the overwhelming favourite to be the seat’s next MP.

Although Khan, an MEP, was one of  the minority of Labour’s European MPs to dissent from a letter from the European parliamentary Labour party calling for Jeremy Corbyn to go in the summer of 2016, he backed Andy Burnham and Tom Watson in 2015, and it is widely believed, fairly or unfairly, that Khan had, as one local activist put it, “the brains to know which way the wind was blowing” rather than being a pukka Corbynite.

For the leader’s office, it was a double defeat;  their preferred candidate, Sam Wheeler, was kept off the longlist, when the party’s Corbynsceptics allied with the party’s BAME leadership to draw up an all ethnic minority shortlist, and Yasmine Dar, their back-up option, was narrowly defeated by Khan among members in Manchester Gorton.

But even when the leadership has got its preferred candidate to the contest, they have been defeated. That even happened in Copeland, where the shortlist was drawn up by Corbynites and designed to advantage Rachel Holliday, the leader’s office preferred candidate.

Why does the Labour left keep losing? Supporters combination of bad luck and bad decisions for the defeat.

In Oldham West, where Michael Meacher, a committed supporter of Jeremy Corbyn’s, was succeeded by Jim McMahon, who voted for Liz Kendall, McMahon was seen to be so far ahead that they had no credible chance of stopping him. Rosena Allin-Khan was a near-perfect candidate to hold the seat of Tooting: a doctor at the local hospital, the seat’s largest employer, with links to both the Polish and Pakistani communities that make up the seat’s biggest minority blocs.  Gillian Troughton, who won the Copeland selection, is a respected local councillor.

But the leadership has also made bad decisions, some claim.  The failure to get a candidate in Manchester Gorton was particularly egregious, as one trade unionist puts it: “We all knew that Gerald was not going to make it [until 2020], they had a local boy with good connections to the trade unions, that contest should have been theirs for the taking”. Instead, they lost control of the selection panel because Jeremy Corbyn missed an NEC meeting – the NEC is hung at present as the Corbynsceptics sacrificed their majority of one to retain the chair – and with it their best chance of taking the seat.

Others close to the leadership point out that for the first year of Corbyn’s leadership, the leader’s office was more preoccupied with the struggle for survival than it was with getting more of its people in. Decisions in by-elections were taken on the hop and often in a way that led to problems later down the line. It made sense to keep Mo Azam, from the party’s left, off the shortlist in Oldham West when Labour MPs were worried for their own seats and about the Ukip effect if Labour selected a minority candidate. But that enraged the party’s minority politicians and led directly to the all-ethnic-minority shortlist in Manchester Gorton.

They also point out that the party's councillor base, from where many candidates are drawn, is still largely Corbynsceptic, though they hope that this will change in the next round of local government selections. (Councillors must go through a reselection process at every election.)

But the biggest shift has very little to do with the Labour leadership. The big victories for the Labour left in internal battles under Ed Miliband were the result of Unite and the GMB working together. Now they are, for various reasons, at odds and the GMB has proven significantly better at working shortlists and campaigning for its members to become MPs.  That helps Corbynsceptics. “The reason why so many of the unions supported Jeremy the first time,” one senior Corbynite argues, “Is they wanted to move the Labour party a little bit to the left. They didn’t want a socialist transformation of the Labour party. And actually if you look at the people getting selected they are not Corbynites, but they are not Blairites either, and that’s what the unions wanted.”

Regardless of why, it means that, two years into Corbyn’s leadership, the Labour left finds itself smaller in parliament than it was at the beginning.  

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to British politics.