The BBC walks into another political row as it hands Entwistle £450,000

The corporation has exposed itself to the charge of "rewarding failure".

Update: Downing Street has now responded, saying that Entwistle's payoff is "hard to justify" but is a matter for his "conscience". As I said below, it is hard to see Entwistle prevailing at a time when the BBC's reputation has already been so damaged.

If the BBC wants to restore public confidence, it's hard to think of a worse move than handing George Entwistle, who resigned as director general after just 53 days in the job, a payoff of £450,000, the equivalent of a year's salary and double the contractually required amount. In her capacity as shadow media secretary, Harriet Harman has criticised the payout as "a reward for failure" and has urged Entwistle to "decline to accept any more than is required under his contract".

The government, wary of being seen to compromise the BBC's independence, has not commented, but Conservative MP John Whittingdale, who chairs the commons media committee, said that "people would be very surprised that somebody who was in the job for such a short period of time and then had to leave in these circumstances should be walking away with £450,000 of licence fee-payers' money." He also rejected the BBC's argument that the payout was justified since Entwistle would "continue to help on BBC business, most specifically the two ongoing inquiries." He said: "I wouldn't have thought that just because you have to help any inquiry into the Savile allegations you necessarily need to be paid such a large amount of money."

Some have defended the payout on the grounds that Entwistle did not bear primary responsibility for the scandal (and so deserves our sympathy) and that the frequency with which director generals are forced to resign - half of those appointed since 1982 have had to resign over BBC output - means the corporation must offer generous terms to its managers. But whether or not the payout is justified in principle, as a tactical move it's disastrous, a gift to the BBC's many enemies. Having previously forced RBS chief executive Stephen Hester to renounce his bonus, the politicians will fancy their chances of success. In the current climate, it is hard to see Entwistle prevailing.

A journalist is seen presenting in front of camera, outside the BBC's new Broadcasting House in central London. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Labour MPs believe Jeremy Corbyn is incapable of tackling anti-Semitism

The leader's insistence that "there's no crisis" has led more to conclude that he must be removed.  

In a competitive field, yesterday was the most surreal - and shameful - day for Labour since Jeremy Corbyn became leader. After a telling delay, Corbyn arrived at the only response that was acceptable to MPs: the suspension of Ken Livingstone. The former mayor of London, who appears incapable of entering a studio without triggering outrage, surpassed himself by claiming Hitler supported Zionism (as if to invalidate the latter). In time-honoured fashion, he then responded to criticism by pouring petrol on the fire. In remarks that caused journalists to question their hearing, Livingstone opined that "a real anti-Semite doesn't just hate the Jews in Israel". 

Two hours later, one of Corbyn's greatest allies was finally suspended (the day after Naz Shah MP had been). But the announcement itself added new offence. The email confirming Livingstone's suspension simultaneously revealed that John Mann MP, who had denounced the former mayor as a "Nazi apologist", had been summoned by the chief whip to "discuss his conduct" - as if their behaviour was somehow comparable. Labour sources later told me that Corbyn's office had wanted to go further and suspend Mann - a demand flatly rejected by the whips. Their resistance has revived the desire among some of the leader's allies for a cull in a future reshuffle. 

But it was Corbyn's conduct in a BBC interview that truly provoked MPs' fury. "It's not a crisis, there's no crisis," he declared, unwittingly echoing the Sun's headline on Jim Callaghan during the Winter of Discontent ("Crisis? What crisis?"). It was as if Hitlergate had never happened. Corbyn added that "the party membership is the biggest it has been in my lifetime" (it was actually higher in 1997) and that "much of this criticism that you are saying about a crisis in the party actually comes from those who are nervous of the strength of the Labour Party at local level". MPs, he appeared to suggest, were not motivated by a desire to repel Labour's anti-Semitic infection but by fear of the party's left-wing membership.

Livingstone's suspension was "very sad", Corbyn said, but "there is a responsibility to lead the party". The abiding impression was that he had suspended his old comrade with the utmost reluctance - it was the burden of office that had forced him to do so. Finally, Corbyn declared, as he always does on these too-frequent occasions, "we are not tolerating anti-Semitism in any way or indeed any other kind of racism." Labour's leader appears congenitally incapable of condemning Jew-hatred in insolation. The explanation, some MPs say, is that he subscribes to a "hierarchy of racism" under which anti-Semitism is a lesser offence than, say, Islamophobia. In rejecting a systematic focus on the former, Corbyn's critics say he is in denial about the scale and significance of the infestation.  

His apathy has intensified the desire of his opponents to remove him before the year is out. "The soft left moved massively today," one MP told me in reference to Labour's internal swing voters. Another said: "It does two things: it firmly pins responsibility for next week's results on the hard-left antics [Labour is forecast to become the first opposition since 1985 to lose council seats in a non-general election year] and it weakens the willingness of the 'core group' servers to keep mopping up after Corbyn because they are increasingly mortified by the association". But others disagreed: "It's strangely less likely," one said of the prospect of a challenge, "the mood is 'keep giving him the rope'". Another said that Labour MPs, traditionally sentimental towards their leaders, lacked the "constitution" for the struggle. "They can always find an excuse why now isn't the right time," he lamented. Without an agreed candidate, and without even agreement on whether there should be a challenge, Corbyn's opponents fear that "even worse is to come". 

George Eaton is political editor of the New Statesman.