Political sketch: Cabinet millionaires, put your hands up

The Labour leader had them squirming, as he challenged the Front Bench to nod if they'd be quids in

Every year the Chancellor of the Exchequer stands outside No 11 Downing Street, waving his little red briefcase in the air, asking us to guess what's in it. Today we knew the answer: his sandwiches.

In times past it contained the secrets of the Budget hidden away from the nation, and in Gordon Brown's time hidden even the Prime Minister - only to be divulged to the masses when the time was right.

But thanks to the coalition, where the messenger is at last more important than the message, there were no secrets left to divulge.

Hugh Dalton was forced to resign as Chancellor when he inadvertently tipped off a journalist about some of the tax changes in the 1947 budget on his way into the House of Commons to deliver his speech. But so many Ministers leaked this one that, had the same rule applied, the Government Front Bench would have been reduced to Ken Clarke; only because he'd been having a nap when the details were handed out.

As it was, the present incumbent George Osborne looked rather relieved as he appeared outside his official front door on his way to tell us nothing we did not know already. Being Chancellor during the worst recession for 80 years meant that he stepped smartly into the car that was to carry him the dangerous 150 yards through the imminent recipients of his largesse into the Commons.

There he had to endure what was more than the usually irrelevant Prime Ministers Questions, as a sort of poor man's hors d'oeuvres to the main course. Comedy was provided by the Paymaster General, Francis Maude, who found himself on his feet finishing off queries about government business, as Dave, George and the first team slipped in behind him for PMQs.

Mild-mannered Francis - whose job, by the way, has nothing to do with pay, mastery or anything remotedly connected to Generals - found to his horror as he sat down that he was jammed between Dave and his deputy Nick Clegg as battle was abut to commence.

Dave, so often the hapless victim at PMQs, seemed positively relaxed as he realised his tormentor Ed Miliband had to save his best lines to have a go at George and his budget. How right he was.

The Prime Minister took time out to tease Speaker Bercow whose unpopularity in Tory circles, somewhere near to that of Arthur Scargill, was only enhanced by his "kaleidescope" speech to the Queen yesterday. George nervously munched his way through what seemed a pocketful of throat lozenges as his deputy Danny Alexander, whose own sandwiches had hopefully been smuggled in through the same red box, looked as confused as ever about why he was there.

Suddenly PMQs was up and Dave was down. Francis Maude popped up like a cork out of a bottle and fled down the bench and Speaker Bercow, as befits a grand parliamentary occasion, did a runner - leaving the wonderfully named Chairman of Ways and Means to referee the upcoming bout.

George spoke for an hour, gazed at in what appeared to be awe by the PM and trepidation by Nick Clegg, who was obviously fearful something he and Danny had not been told about might be sneaked out.

Normally the budget speech is marked by cheers and jeers as the Chancellor doles out his goodies, but with tax and spending plans already known, the opposing sides didn't quite know when to exercise their lungs. George was on good enough form to portray a 0.1 per cent increase in the forecast for growth to 0.8 per cent this year as some sort of minor miracle - despite forecasting three times that much just 18 months ago. He was on even better form as he demonstrated that cutting the top rate from 50p to 45p was five times better news for us - and not the rich who would be clobbered anyway by a crackdown on tax dodging.

The thought of the UK's rich turning away from their televisions in tears seemed a bit strong for Business Secretary Vince Cable, who had managed to turn up late enough to find a place close enough to the exit in case things got out of hand. But George, having promised to lay about the wealthy with a big stick, finally confirmed everything in this morning's papers, and sat down. The PM smiled, Nick looked relieved, Danny looked for his sandwiches and the Chancellor sat back with a flourish.

Then Ed Miliband stood up and asked how many of the Cabinet's many millionaires would gain from the 45p tax cut. He invited them to stick their hands up if they were going to benefit personally.

Clearly talking about people's wealth is bad form in Tory circles, and the Front Bench seemed shocked into silence as Ed displayed his lack of manners by going on about it.

People earning a million would get a £40,000 tax cut, said Ed, and £250,000 more if they picked up £5m. Some of the people at the poor end of the ladder would lose £4,000 a year in benefits.

Ed had been tipped to fall on his face over the Budget following Labour's own less-than-consistent record on taxes - not to mention its own handling of the economy during the reign of GB, who must have been turning in his grump anyway at the thought of telling the people what the government was planning.

But the new Labour leader had them squirming as he challenged the Government Front Bench to nod if they would be quids in after the budget.

We are no longer all in it together, said Ed, as his own side finally realised he was on a roll and found their voice.

Dave and George looked a bit shell-shocked. This one will run all the way to the General Election.

Peter McHugh is the former Director of Programmes at GMTV and Chief Executive Officer of Quiddity Productions

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Is Scottish Labour on the way back, or heading for civil war?

There are signs of life, but also recriminations.

The extraordinary rise of the Scottish Tories and the collapse in SNP seat numbers grabbed most of the headlines in the recent general election. Less remarked on was the sudden, unexpected exhalation of air that came from what was thought to be the corpse of Scottish Labour.

In 2015, Labour lost 40 of its 41 Scottish seats as the SNP rocketed from six to 56, was wiped out in its Glaswegian heartlands, and looked to have ceded its place as the choice of centre-left voters – perhaps permanently – to the Nationalists. But while the electorate’s convulsion in June against the SNP’s insistence on a second independence referendum most benefited Ruth Davidson, it also served to reanimate Labour.

The six seats grabbed back (making a total of seven) included three in the West of Scotland, proving that the Nat stranglehold on Labour’s territory was not quite as secure as it had seemed. There is, it appears, life in the old dog yet.

Not only that, but the surprise success of Jeremy Corbyn across the UK has stiffened Labour’s spine when it comes to insisting that it, and not the SNP, is the rightful home of Scotland’s socialists.

Corbyn was largely kept south of the border during the election campaign – Kezia Dugdale, the leader at Holyrood, had supported Owen Smith’s leadership challenge. But in August, Corbyn will embark on a five-day tour of marginal SNP constituencies that Labour could potentially take back at the next election. The party has set a target of reclaiming 18 Scottish seats as part of the 64 it needs across Britain to win a majority at Westminster. The trip will focus on traditional areas such as Glasgow and Lanarkshire, where tiny swings would return seats to the People’s Party. Dugdale is no doubt hoping for some reflected glory.

Corbyn will present himself as the authentically left-wing choice, a leader who will increase public spending and invest in public services compared to the austerity of the Tories and the timidity of the SNP. “Labour remains on an election footing as a government-in-waiting, ready to end failed austerity and ensure that Scotland has the resources it needs to provide the public services its people deserve,” he said. “Unlike the SNP and the Tories, Labour will transform our economy through investment, insisting that the true wealth creators - that means all of us – benefit from it.”

The SNP has benefited in recent years from the feeling among many north of the border that Labour and the Tories were committed to differing shades of a similar economic programme, that was starving public services of cash and that paid little attention to Scottish desires or needs. But as the Nats’ spell in government in Edinburgh has worn on, first under Alex Salmond and now Nicola Sturgeon, with little being done to tackle the nation’s social problems, patience has started to run out.

Dugdale said yesterday that she “looked forward to joining Jeremy in August as we take our message to the people of Scotland”. That’s not a sentiment we would have heard from her before June. But it does raise the future spectacle of Davidson’s Tories battling for the centre and centre-right vote and Labour gunning for the left. The SNP, which has tried to be all things to all people, will have to make a choice – boasting that it is “Scotland’s Party” is unlikely to be enough.

The 20th anniversary of the referendum that delivered the Scottish Parliament is almost upon us. Then, Scottish Labour provided the UK and the Westminster government with figures of the stature of Gordon Brown, Robin Cook, Donald Dewar and George Robertson. That was a long time ago, and the decline in quality of Labour’s representatives both in London and Edinburgh since has been marked. The SNP’s decade of success has attracted much of the brightest new talent through its doors. Young Scots still seem to be set on the idea of independence. Labour has a credibility problem that won’t be easily shaken off.

But still, the body has twitched – perhaps it’s even sitting up. Is Scottish Labour on the way back? If so, is that down to the SNP’s declining popularity or to Corbyn’s appeal? And could Dugdale be a convincing frontwoman for a genuinely left-wing agenda?

There may be trouble ahead. Yesterday, the Scottish Labour Campaign for Socialism – whose convener, Neil Findlay MSP, ran Corbyn’s leadership campaign in Scotland – accused Dugdale of “holding Corbyn back” in June. A spokesperson for the group said: “While it’s great we won some seats back, it’s clear that the campaign here failed to deliver. While elsewhere we've seen people being enthused by ‘for the many, not the few’ we concentrated on the dispiriting visionless ‘send Nicola a message’ – and paid a price for that, coming third in votes and seats for the first time in a century. In Scotland we looked more like [former Scottish leader] Jim Murphy’s Labour Party than Jeremy Corbyn’s – and that isn’t a good look.”

While the group insists this isn’t intended as a challenge to Dugdale, that might change if Corbyn receives a rapturous reception in August. We’ll learn then whether Scotland is falling for the high-tax, high-spending pitch that seems to be working so well elsewhere, and whether Scottish Labour has jerked back to life only to find itself staring down the barrel of a civil war.

Chris Deerin is the New Statesman's contributing editor (Scotland).