Ed Miliband calls for the break-up of the Murdoch Empire

Labour leader steps up campaign on media, as poll shows his personal rating is up seven points in a

Ed Miliband has called for Rupert Murdoch's influence on the British media to be scaled back.

In an interview with the Observer, he said: "I think that we've got to look at the situation whereby one person can own more than 20 per cent of the newspaper market, the Sky platform and Sky News. I think it's unhealthy because that amount of power in one person's hands has clearly led to abuses of power within his organisation. If you want to minimise the abuses of power then that kind of concentration of power is frankly quite dangerous."

MIliband describes how he heard the news that Milly Dowler's phone had been hacked by the News of the World. He says that Ed Balls received a text message with the news, and "I literally could not believe it. I could not believe it was true. I could not believe that it had happened."

He adds that he hopes the media landscape has now shifted, and the next election will be fought differently. "So many people have believed that you can't win without Murdoch, you can't win without the Sun. But now the reverse might be the case. I think the endorsement of Murdoch will be a pretty double-edged one at the next general election."

A poll for the Independent on puts the Labour leader's personal approval rating up seven points on a month ago (from 18 per cent to 27 per cent).

Miliband's intervention follows a turbulent 48 hours for News Corporation and for the Metropolitan police, as the latter came under scrutiny for the close friendship between officers Sir Paul Stephenson and John Yates and former News of the World deputy editor Neil Wallis, who has now been arrested in connection with the phone-hacking enquiry.

Friday saw the resignation of News International Chief Executive Rebekah Brooks and Les Hinton, the chief executive of Dow Jones -- one of Rupert Murdoch's key lieutenants in America. He joined News Corp when a teenager, working on Murdoch's first paper, the Adelaide News.

Murdoch himself spent the afternoon with the parents of murder victim Milly Dowler, whose phone was hacked by the News of the World. The Dowler family's lawyer said Murdoch "held his head in his hands" as he said sorry several times.The News Corp chief took out personally signed adverts in all Britain's major newspapers to apologise for the NoW's actions.

In a series of dramatic developments, it was also revealed:

  • David Cameron invited his former communications chief Andy Coulson to Chequers in March, after he had resigned from No 10 over the hacking scandal.
  • Ed Miliband said Sir Paul Stephenson, the head of the Metropolitan Police, had questions to answer about the hiring of ex-NoW executive Neil Wallis as an adviser after he left the paper. It has emerged that both Stephenson and fellow Met officer John Yates were friends with Wallis, who has now been arrested in the course of the hacking enquiry.
  • The FBI have reportedly begun an investigation into allegations that the phones of 9/11 victims were hacked.
  • The actor Jude Law is to sue The Sun over allegations it hacked his phone while he was in New York, potentially drawing News International into an investigation by the American authorities. He is already suing the NoW. News International have called the claim "a deeply cynical and deliberately mischievous attempt to draw The Sun into the phone-hacking issue".

Although Brooks's resignation may appease public anger, the departure of Hinton is seen by some as even more significant. He worked for News Corp for more than 50 years, and is the only person from the US operation to resign in connection with the phone-hacking scandal.

Hinton told a parliamentary committee in 2009 that there was no evidence the hacking was widespread. In his resignation statement yesterday, he said: "In September 2009, I told the committee there had never been any evidence delivered to me that suggested the conduct had spread beyond one journalist. If others had evidence that wrongdoing went further, I was not told about it."

After an apology for "the pain caused to innocent people", he added: "I want to express my gratitude to Rupert for a wonderful working life. My admiration and respect for him are unbounded. He has built a magnificent business since I first joined 52 years ago and it has been an honour making my contribution."

In Brooks statement, meanwhile, she spoke of the "deep sense of responsibility for the people we have hurt". She added:

I want to reiterate how sorry I am for what we now know to have taken place.

I have believed that the right and responsible action has been to lead us through the heat of the crisis. However my desire to remain on the bridge has made me a focal point of the debate.

This is now detracting attention from all our honest endeavours to fix the problems of the past.

Therefore I have given Rupert and James Murdoch my resignation. While it has been a subject of discussion, this time my resignation has been accepted.

Rupert's wisdom, kindness and incisive advice has guided me throughout my career and James is an inspirational leader who has shown me great loyalty and friendship.

I would like to thank them both for their support.

Last week, Brooks offered her resignation to Rupert Murdoch but was refused. When he flew to London last week, he said that she was his "first priority".

This follows mounting pressure from key figures in and around News Corp. The Daily Telegraph reported that Murdoch's daughter Elisabeth had expressed rage about Brooks' position, telling friends that she had "f*cked the company".

Meanwhile, News Corp's second largest shareholder, Prince Al-Waleed bin Talal Al Saud, told the BBC's Newsnight on Thursday that Brooks should resign if there was any suggestion that she knew about phone-hacking at News of the World. He said: "I will not accept to deal with a company that has a lady or a man that has any sliver of doubts on her or his integrity."

Tom Mockridge, the head of Sky Italia, will replace Brooks as chief executive of News International with immediate effect.

Samira Shackle is a freelance journalist, who tweets @samirashackle. She was formerly a staff writer for the New Statesman.

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By refusing to stand down, Jeremy Corbyn has betrayed the British working classes

The most successful Labour politicians of the last decades brought to politics not only a burning desire to improve the lot of the working classes but also an understanding of how free market economies work.

Jeremy Corbyn has defended his refusal to resign the leadership of the Labour Party on the grounds that to do so would be betraying all his supporters in the country at large. But by staying on as leader of the party and hence dooming it to heavy defeat in the next general election he would be betraying the interests of the working classes this country. More years of Tory rule means more years of austerity, further cuts in public services, and perpetuation of the gross inequality of incomes. The former Chief Secretary to the Treasury, Seema Malhotra, made the same point when she told Newsnight that “We have an unelectable leader, and if we lose elections then the price of our failure is paid by the working people of this country and their families who do not have a government to stand up for them.”

Of course, in different ways, many leading figures in the Labour movement, particularly in the trade unions, have betrayed the interests of the working classes for several decades. For example, in contrast with their union counterparts in the Scandinavian countries who pressurised governments to help move workers out of declining industries into expanding sectors of the economy, many British trade union leaders adopted the opposite policy. More generally, the trade unions have played a big part in the election of Labour party leaders, like Corbyn, who were unlikely to win a parliamentary election, thereby perpetuating the rule of Tory governments dedicated to promoting the interests of the richer sections of society.

And worse still, even in opposition Corbyn failed to protect the interests of the working classes. He did this by his abysmal failure to understand the significance of Tory economic policies. For example, when the Chancellor of the Exchequer had finished presenting the last budget, in which taxes were reduced for the rich at the expense of public services that benefit everybody, especially the poor, the best John McConnell could do – presumably in agreement with Corbyn – was to stand up and mock the Chancellor for having failed to fulfill his party’s old promise to balance the budget by this year! Obviously neither he nor Corbyn understood that had the government done so the effects on working class standards of living would have been even worse. Neither of them seems to have learnt that the object of fiscal policy is to balance the economy, not the budget.

Instead, they have gone along with Tory myth about the importance of not leaving future generations with the burden of debt. They have never asked “To whom would future generations owe this debt?” To their dead ancestors? To Martians? When Cameron and his accomplices banged on about how important it was to cut public expenditures because the average household in Britain owed about £3,000, they never pointed out that this meant that the average household in Britain was a creditor to the tune of about the same amount (after allowing for net overseas lending). Instead they went along with all this balanced budget nonsense. They did not understand that balancing the budget was just the excuse needed to justify the prime objective of the Tory Party, namely to reduce public expenditures in order to be able to reduce taxes on the rich. For Corbyn and his allies to go along with an overriding objective of balancing the budget is breathtaking economic illiteracy. And the working classes have paid the price.

One left-wing member of the panel on Question Time last week complained that the interests of the working classes were ignored by “the elite”. But it is members of the elite who have been most successful in promoting the interests of the working classes. The most successful pro-working class governments since the war have all been led mainly by politicians who would be castigated for being part of the elite, such as Clement Atlee, Harold Wilson, Tony Crosland, Barbara Castle, Richard Crossman, Roy Jenkins, Denis Healey, Tony Blair, and many others too numerous to list. They brought to politics not only a burning desire to improve the lot of the working classes (from which some of them, like me, had emerged) and reduce inequality in society but also an understanding of how free market economies work and how to deal with its deficiencies. This happens to be more effective than ignorant rhetoric that can only stroke the egos and satisfy the vanity of demagogues

People of stature like those I have singled out above seem to be much more rare in politics these days. But there is surely no need to go to other extreme and persist with leaders like Jeremy Corbyn, a certain election loser, however pure his motives and principled his ambitions.

Wilfred Beckerman is an Emeritus Fellow of Balliol College, Oxford, and was, for several years in the 1970s, the economics correspondent for the New Statesman