Labour exploits Osborne's pasty problem

Osborne's "pasty tax" comes under fire from Miliband.

Full marks to whichever Labour staffer positioned Ed Miliband in front of Greggs during his interview with Sky News earlier today. George Osborne's decision to apply VAT to hot supermarket food [raising the price by 20 per cent], an obscure change announced in last week's Budget, has become a political problem for the government following yesterday's select committee hearing. After admitting that he "can't remember" the last time he bought a pasty at Greggs, Osborne suggested that cold pasties would not be VAT-able, a comment that inspired today's Sun to compare the Chancellor to Marie Antoinette ["Let them eat cold pasty," reads its headline].

Shadow chief secretary to the Treasury Rachel Reeves made a well-timed visit to Greggs.

The tabloid's editorial goes further, declaring that "the Chancellor and his rich Cabinet colleagues cannot begin to understand what it's like to be so hard-up that a sharp rise in the price of a pasty will hurt.

"Unlike Sun readers, they don't worry how to pay for food, rent or petrol. If they ever have done, they certainly can't remember how it feels now -- any more than Mr Osborne can remember the last time he bought a pasty in Greggs."

It's tempting to dimiss this as a bit of knockabout fun but symbolism matters in politics and the current row both reflects and reinforces the view that the government is out of touch with ordinary people. Put simply, it has cut taxes for millionaires and raised them for pasty-eaters [the two categories are, of course, not mutually exclusive, though Osborne's performance suggested they might be]. As ConservativeHome's Tim Montgomerie has written, class is the Conservatives' "Clause IV" and this week's ComRes poll showed that 66 per cent of voters regard the Tories as "the party of the rich".

Miliband told reporters outside Greggs:

"Not just fuel duty going up, child benefit taken away, tax credits being cut, now even putting 20 per cent on the cost of pasties, sausage rolls, and the Chancellor's excuse? Well, he says you can buy them cold and you can avoid the tax.

"It just shows how out of touch this Government is and it shows that we've got a Budget that is hitting millions of people while cutting taxes for millionaires."

In an attempt at damage limitation, David Cameron told a press conference that he "loves a hot pasty" [although he bought his from the West Cornwall Pasty Company] but offered no hint of a U-turn. Has any Budget ever offered an opposition party so many easy hits?

Ed Miliband speaks to reporters outside a Greggs bakery earlier today.

George Eaton is political editor of the New Statesman.

Photo: Getty Images
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Stella Creasy targeted for deselection

Organisers on the left believe the Walthamstow MP is the ideal target for political, personal and geographical reasons.

Stella Creasy, the high-profile MP for Walthamstow and defeated deputy Labour leadership candidate, is the first serious target of an attempt to deselect a sitting Labour MP, the New Statesman has learnt.

Creasy, who is on the right of the party, is believed to be particularly vulnerable to an attempt to replace her with an MP closer to the Labour party’s left. Her constituency, and the surrounding borough of Waltham Forest, as well as the neighbouring borough of Leyton and Wanstead, has a large number both of new members, inspired either to join or return to Labour by Jeremy Corbyn, plus a strong existing network of leftwing groupings and minor parties.

An anti-bombing demonstration outside of Creasy’s constituency offices in Walthamstow – the MP is one of around 80 members of Parliament who have yet to decide how to vote on today’s motion on airstrikes in Syria – is the latest in a series of clashes between supporters of Creasy and a series of organized leftwing campaigns.

Allies of Creasy were perturbed when Momentum, the grassroots body that represents the continuation of Corbyn’s leadership campaign, held a rally in her constituency the night of the Autumn Statement, without inviting the MP. They point out that Momentum is supposedly an outward-facing campaign supporting Jeremy Corbyn and the Labour party towards the 2020 general election and the forthcoming local and European elections. Labour holds 27 out of 27 council seats in Creasy’s constituency, while Creasy herself has a majority of 23,195 votes.

“If you look at the seat, there is nothing to win here,” said one Labour member, who believes that Momentum and other groups are planning to depose Creasy. Momentum has denied any plot to remove Creasy as the MP.

However, Creasy has come under pressure from within her local party in recent weeks over the coming vote on bombing Syria. Asim Mahmood, a Labour councilor in Creasy’s constituency, has called for any MP who votes for bombing to face a trigger ballot and reselection. Creasy hit back at Mahmood on Facebook, saying that while she remained uncertain of how to vote: “the one thing I will not do is be bullied by a sitting Walthamstow Labour councilor with the threat of deselection if I don’t do what he wants”.

Local members believe that Mahmood may be acting as the stalking horse for his sister, the current mayor of Waltham Forest, Saima Mahmud, who may be a candidate in the event of a trigger ballot against Creasy. Another possible candidate in a selection battle is Steven Saxby, a local vicar. Unite, the recognized trade union of the Anglican Communion, is a power player in internal Labour politics.

Although Creasy has kept her own counsel about the direction of the party under Corbyn, she is believed to be more vulnerable to deselection than some of the leader’s vocal critics, as her personal style has led to her being isolated in her constituency party. Creasy is believed to be no longer on speaking terms with Chris Robbins, the leader of the council, also from the right of the party.

Others fear that the moves are an attempt by Creasy’s local opponents to prepare the ground for a challenge to Creasy should the seat be redrawn following boundary changes. The mood in the local party is increasingly febrile.  The chair of the parliamentary Labour party, John Cryer, whose Leyton and Wanstead seat is next to Creasy’s constituency, is said to fear that a fundraiser featuring the shadow foreign secretary, Hilary Benn, will take an acrimonious turn. Cryer was one of just four shadow cabinet ministers to speak against airstrikes in Syria.

Stephen Bush is editor of the Staggers, the New Statesman’s political blog.