For Louise Mensch, Corby was nothing more than a stepping stone

Labour are poised to take control of a constituency where voters feel duped and used by their previous MP's time in office.

"If I had to sum up Corby in a single word, pride is the one I would use." So said Louise Bagshawe - now Mensch - in her maiden speech to Parliament. Two years later, with Mensch having left Northamptonshire for New York and a by-election called for this week, that word, pride, is absent when I meet with two young Corbyites to chat about their former MP.

“She was voted in off the back of people demanding change – Phil Hope was caught up in the expenses scandal – but we never saw that,” says Patrick Tierney, a 22-year-old politics graduate born and raised in the town. “From day one, people saw that she wasn’t committed. She seemed distant, and then for her to be so visible in the media, that didn’t go down too well. You’d overhear conversations in the pub or at the bus stop, people saying, ‘What does she think she’s doing? She’s a laughing stock’. She’d use buzzwords on Twitter, talk about Corby’s Scottish heritage, but when it came down to the nitty gritty there wasn’t much of a connection made.”

Liam Keith, a 27-year-old who works at the local video shop in town, agrees. “For a backbench MP that nobody had heard of before, she became very famous, very quickly. She was on Have I Got News For You and embarrassed herself a bit sitting next to Jonny Rotten on Question Time, but there was never any mention of what she was actually doing for Corby,” he says. “I followed her on Twitter. She always talked about ‘Corby Pride’, but she didn’t really understand the people of the town.”

“I never once saw her in the flesh,” he adds. “Most people feel that she was very much only here when she had to be.” This feeling of disconnection runs deep through Corby. One of David Cameron’s A-list candidates, Mensch, Oxford graduate, author of chick lit and prolific user of Twitter, was, you feel, always going to find it hard to fully relate to a working class new town built on heavy industry and hard work. High youth unemployment and yet more job losses at the steelworks this January didn’t help her cause either. Her resignation has aroused suspicions about why she became an MP in the first place. “She used Corby as a stepping stone, used it well to publicise herself,” Liam tells me. “I wouldn’t be surprised if she’s got a new book out by the end of the year.”

When she resigned from her seat in August, Mensch said she was doing so for family reasons. Yet in a recent interview with The Sunday Times Magazine, her husband, the rock band manager Peter Mensch, said that his wife had stood down because "she thought…she’d get killed in the next election." Mensch has denied this, but the fact remains that she has left a key marginal seat, midway through Parliament, with a slender majority of just 1,951. Labour are ready to pounce. “Ed Miliband was straight over here as soon as she resigned. I’ve had two people canvassing my door in the last week – they were Labour, both times,” says Keith. This push seems to be working – everyone I spoke to in the town said they were going to vote Labour.

The people I spoke to in Corby – proud, hardworking and down to earth – feel duped and used by Mensch’s time in office. They were hoping for a young, dynamic MP who would serve their interests well in parliament. The reality, many feel, was a lot different. On the day news of her resignation was made public, Mensch took to Twitter: "It has been an incredible honour serving the people of #CorbyEN." The feeling, according to Keith, is not mutual. “People wouldn’t miss her now she’s gone.”

 

Louise Mensch. Photograph: Getty Images
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The Autumn Statement proved it – we need a real alternative to austerity, now

Theresa May’s Tories have missed their chance to rescue the British economy.

After six wasted years of failed Conservative austerity measures, Philip Hammond had the opportunity last month in the Autumn Statement to change course and put in place the economic policies that would deliver greater prosperity, and make sure it was fairly shared.

Instead, he chose to continue with cuts to public services and in-work benefits while failing to deliver the scale of investment needed to secure future prosperity. The sense of betrayal is palpable.

The headline figures are grim. An analysis by the Institute for Fiscal Studies shows that real wages will not recover their 2008 levels even after 2020. The Tories are overseeing a lost decade in earnings that is, in the words Paul Johnson, the director of the IFS, “dreadful” and unprecedented in modern British history.

Meanwhile, the Treasury’s own analysis shows the cuts falling hardest on the poorest 30 per cent of the population. The Office for Budget Responsibility has reported that it expects a £122bn worsening in the public finances over the next five years. Of this, less than half – £59bn – is due to the Tories’ shambolic handling of Brexit. Most of the rest is thanks to their mishandling of the domestic economy.

 

Time to invest

The Tories may think that those people who are “just about managing” are an electoral demographic, but for Labour they are our friends, neighbours and the people we represent. People in all walks of life needed something better from this government, but the Autumn Statement was a betrayal of the hopes that they tried to raise beforehand.

Because the Tories cut when they should have invested, we now have a fundamentally weak economy that is unprepared for the challenges of Brexit. Low investment has meant that instead of installing new machinery, or building the new infrastructure that would support productive high-wage jobs, we have an economy that is more and more dependent on low-productivity, low-paid work. Every hour worked in the US, Germany or France produces on average a third more than an hour of work here.

Labour has different priorities. We will deliver the necessary investment in infrastructure and research funding, and back it up with an industrial strategy that can sustain well-paid, secure jobs in the industries of the future such as renewables. We will fight for Britain’s continued tariff-free access to the single market. We will reverse the tax giveaways to the mega-rich and the giant companies, instead using the money to make sure the NHS and our education system are properly funded. In 2020 we will introduce a real living wage, expected to be £10 an hour, to make sure every job pays a wage you can actually live on. And we will rebuild and transform our economy so no one and no community is left behind.

 

May’s missing alternative

This week, the Bank of England governor, Mark Carney, gave an important speech in which he hit the proverbial nail on the head. He was completely right to point out that societies need to redistribute the gains from trade and technology, and to educate and empower their citizens. We are going through a lost decade of earnings growth, as Carney highlights, and the crisis of productivity will not be solved without major government investment, backed up by an industrial strategy that can deliver growth.

Labour in government is committed to tackling the challenges of rising inequality, low wage growth, and driving up Britain’s productivity growth. But it is becoming clearer each day since Theresa May became Prime Minister that she, like her predecessor, has no credible solutions to the challenges our economy faces.

 

Crisis in Italy

The Italian people have decisively rejected the changes to their constitution proposed by Prime Minister Matteo Renzi, with nearly 60 per cent voting No. The Italian economy has not grown for close to two decades. A succession of governments has attempted to introduce free-market policies, including slashing pensions and undermining rights at work, but these have had little impact.

Renzi wanted extra powers to push through more free-market reforms, but he has now resigned after encountering opposition from across the Italian political spectrum. The absence of growth has left Italian banks with €360bn of loans that are not being repaid. Usually, these debts would be written off, but Italian banks lack the reserves to be able to absorb the losses. They need outside assistance to survive.

 

Bail in or bail out

The oldest bank in the world, Monte dei Paschi di Siena, needs €5bn before the end of the year if it is to avoid collapse. Renzi had arranged a financing deal but this is now under threat. Under new EU rules, governments are not allowed to bail out banks, like in the 2008 crisis. This is intended to protect taxpayers. Instead, bank investors are supposed to take a loss through a “bail-in”.

Unusually, however, Italian bank investors are not only big financial institutions such as insurance companies, but ordinary households. One-third of all Italian bank bonds are held by households, so a bail-in would hit them hard. And should Italy’s banks fail, the danger is that investors will pull money out of banks across Europe, causing further failures. British banks have been reducing their investments in Italy, but concerned UK regulators have asked recently for details of their exposure.

John McDonnell is the shadow chancellor


John McDonnell is Labour MP for Hayes and Harlington and has been shadow chancellor since September 2015. 

This article first appeared in the 08 December 2016 issue of the New Statesman, Brexit to Trump