How well does Labour need to do in the Corby by-election?

The party needs to win a majority of at least 12 per cent to match its current national poll lead.

Barring some dramatic upset, Labour will win today's Corby by-election (triggered by the resignation of Louise Mensch), gaining a seat from the Conservatives for the first time in this parliament. But winning alone isn't enough. A slender victory would prompt fears that the party still isn't where it needs to be if it's to stand a chance of winning the next general election. Thus, while Labour requires a swing (the rise in one party's vote added to the fall in another's and divided by two) of just two per cent to overturn the Tories' majority of 1,951, it needs a swing of at least five per cent to put it on course to win a national majority in 2015 and a swing of eight per cent to justify its average opinion poll lead of nine points. The latter would see it take the seat with a majority of around 12 per cent. 

To win Corby: Labour needs a swing of two per cent.

To win a majority in 2015: Labour needs a swing of five per cent to put it on course to win a majority at the next general election.

To match its national poll lead: Labour needs a swing of eight per cent to match its average national poll lead of nine points.

Polling by Lord Ashcroft in the constituency has suggested that Labour will easily exceed this benchmark. His final survey gave the party a lead of 22 points (with Labour on 54 per cent and the Tories on 32 per cent) and showed a swing of 12.5 per cent from the Tories to Labour.

Labour, naturally, has downplayed Ashcroft's findings, insisting that Corby will be "a very tough fight" in an attempt to ensure its supporters turn out. Ed Miliband reminded party workers last week that the party thought it had won in 1992 but ended up losing to the Tories by 342 votes. While history isn't likely to repeat itself today, anything less than a resounding victory in this mid-term electoral test will force Labour to ask why it isn't doing better.

Update: As the commenter below points out, there are two other by-elections today, in Manchester Central and Cardiff South and Penarth. Labour currently holds both seats by majorities of 10,430 and 4,709 respectively and is expected to retain them.

In addition, the first ever police and crime commissioner elections are taking place in 41 police authority areas in England and Wales. You can read my guide to the elections here.

Ed Miliband is hoping Labour can win a seat off the Conservatives for the first time since he became leader. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Photo: Getty Images
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Autumn Statement 2015: George Osborne abandons his target

How will George Osborne close the deficit after his U-Turns? Answer: he won't, of course. 

“Good governments U-Turn, and U-Turn frequently.” That’s Andrew Adonis’ maxim, and George Osborne borrowed heavily from him today, delivering two big U-Turns, on tax credits and on police funding. There will be no cuts to tax credits or to the police.

The Office for Budget Responsibility estimates that, in total, the government gave away £6.2 billion next year, more than half of which is the reverse to tax credits.

Osborne claims that he will still deliver his planned £12bn reduction in welfare. But, as I’ve written before, without cutting tax credits, it’s difficult to see how you can get £12bn out of the welfare bill. Here’s the OBR’s chart of welfare spending:

The government has already promised to protect child benefit and pension spending – in fact, it actually increased pensioner spending today. So all that’s left is tax credits. If the government is not going to cut them, where’s the £12bn come from?

A bit of clever accounting today got Osborne out of his hole. The Universal Credit, once it comes in in full, will replace tax credits anyway, allowing him to describe his U-Turn as a delay, not a full retreat. But the reality – as the Treasury has admitted privately for some time – is that the Universal Credit will never be wholly implemented. The pilot schemes – one of which, in Hammersmith, I have visited myself – are little more than Potemkin set-ups. Iain Duncan Smith’s Universal Credit will never be rolled out in full. The savings from switching from tax credits to Universal Credit will never materialise.

The £12bn is smaller, too, than it was this time last week. Instead of cutting £12bn from the welfare budget by 2017-8, the government will instead cut £12bn by the end of the parliament – a much smaller task.

That’s not to say that the cuts to departmental spending and welfare will be painless – far from it. Employment Support Allowance – what used to be called incapacity benefit and severe disablement benefit – will be cut down to the level of Jobseekers’ Allowance, while the government will erect further hurdles to claimants. Cuts to departmental spending will mean a further reduction in the numbers of public sector workers.  But it will be some way short of the reductions in welfare spending required to hit Osborne’s deficit reduction timetable.

So, where’s the money coming from? The answer is nowhere. What we'll instead get is five more years of the same: increasing household debt, austerity largely concentrated on the poorest, and yet more borrowing. As the last five years proved, the Conservatives don’t need to close the deficit to be re-elected. In fact, it may be that having the need to “finish the job” as a stick to beat Labour with actually helped the Tories in May. They have neither an economic imperative nor a political one to close the deficit. 

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