Could Labour lose the Rotherham by-election?

The party still expects to win but is increasingly nervous about the UKIP threat.

As well as the publication of the Leveson report, tomorrow sees three parliamentary by-elections - in Middlesborough, Croydon North and Rotherham (all currently Labour-held). Of these, it is the latter that Labour is concentrating resources on. A combination of factors - the date (which will reduce turnout), the child grooming scandals, Denis MacShane's resignation over false invoices, a divided local party and, most recently, the UKIP fostering row - means that the result is increasingly hard to predict.

It was initially Respect, which is fielding Yvonne Ridley, a former journalist who famously converted to Islam after her capture by the Taliban, that was seen as the main threat, but it is now UKIP, support for which has surged since the weekend, that represents the greatest challenge to Labour. The latest YouGov poll puts Nigel Farage's party on 11 per cent (up from eight per cent), the party's highest-ever rating, and it is likely to have enjoyed a far larger swing in Rotherham.

The expectation among those Labour MPs I've spoken to remains that the party will retain the seat (as well as Middlesborough and Croydon North), albeit, one said, with a "significantly reduced majority". The advantage for Labour, which currently holds a majority of 10,462 in Rotherham, is that the protest vote will be split four ways between UKIP, Respect, the BNP (which polled 10.4 per cent in 2010) and the English Democrats. One hope among party activists is that the Tories will be pushed into third or even fourth place, leaving them unable to spin the result against Labour.

Ed Miliband speaks to reporters after Labour candidate Andy Sawford won the Corby by-election. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Photo: Getty
Show Hide image

Sooner or later, a British university is going to go bankrupt

Theresa May's anti-immigration policies will have a big impact - and no-one is talking about it. 

The most effective way to regenerate somewhere? Build a university there. Of all the bits of the public sector, they have the most beneficial local effects – they create, near-instantly, a constellation of jobs, both directly and indirectly.

Don’t forget that the housing crisis in England’s great cities is the jobs crisis everywhere else: universities not only attract students but create graduate employment, both through directly working for the university or servicing its students and staff.

In the United Kingdom, when you look at the renaissance of England’s cities from the 1990s to the present day, universities are often unnoticed and uncelebrated but they are always at the heart of the picture.

And crucial to their funding: the high fees of overseas students. Thanks to the dominance of Oxford and Cambridge in television and film, the wide spread of English around the world, and the soft power of the BBC, particularly the World Service,  an education at a British university is highly prized around of the world. Add to that the fact that higher education is something that Britain does well and the conditions for financially secure development of regional centres of growth and jobs – supposedly the tentpole of Theresa May’s agenda – are all in place.

But at the Home Office, May did more to stop the flow of foreign students into higher education in Britain than any other minister since the Second World War. Under May, that department did its utmost to reduce the number of overseas students, despite opposition both from BIS, then responsible for higher education, and the Treasury, then supremely powerful under the leadership of George Osborne.

That’s the hidden story in today’s Office of National Statistics figures showing a drop in the number of international students. Even small falls in the number of international students has big repercussions for student funding. Take the University of Hull – one in six students are international students. But remove their contribution in fees and the University’s finances would instantly go from deficit into debt. At Imperial, international students make up a third of the student population – but contribute 56 per cent of student fee income.

Bluntly – if May continues to reduce student numbers, the end result is going to be a university going bust, with massive knock-on effects, not only for research enterprise but for the local economies of the surrounding area.

And that’s the trajectory under David Cameron, when the Home Office’s instincts faced strong countervailing pressure from a powerful Treasury and a department for Business, Innovation and Skills that for most of his premiership hosted a vocal Liberal Democrat who needed to be mollified. There’s every reason to believe that the Cameron-era trajectory will accelerate, rather than decline, now that May is at the Treasury, the new department of Business, Energy and Industrial Strategy doesn’t even have responsibility for higher education anymore. (That’s back at the Department for Education, where the Secretary of State, Justine Greening, is a May loyalist.)

We talk about the pressures in the NHS or in care, and those, too, are warning lights in the British state. But watch out too, for a university that needs to be bailed out before long. 

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