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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Stability is essential to solve the pension problem

The new chancellor must ensure we have a period of stability for pension policymaking in order for everyone to acclimatise to a new era of personal responsibility in retirement, says 

There was a time when retirement seemed to take care of itself. It was normal to work, retire and then receive the state pension plus a company final salary pension, often a fairly generous figure, which also paid out to a spouse or partner on death.

That normality simply doesn’t exist for most people in 2016. There is much less certainty on what retirement looks like. The genesis of these experiences also starts much earlier. As final salary schemes fall out of favour, the UK is reaching a tipping point where savings in ‘defined contribution’ pension schemes become the most prevalent form of traditional retirement saving.

Saving for a ‘pension’ can mean a multitude of different things and the way your savings are organised can make a big difference to whether or not you are able to do what you planned in your later life – and also how your money is treated once you die.

George Osborne established a place for himself in the canon of personal savings policy through the introduction of ‘freedom and choice’ in pensions in 2015. This changed the rules dramatically, and gave pension income a level of public interest it had never seen before. Effectively the policymakers changed the rules, left the ring and took the ropes with them as we entered a new era of personal responsibility in retirement.

But what difference has that made? Have people changed their plans as a result, and what does 'normal' for retirement income look like now?

Old Mutual Wealth has just released. with YouGov, its third detailed survey of how people in the UK are planning their income needs in retirement. What is becoming clear is that 'normal' looks nothing like it did before. People have adjusted and are operating according to a new normal.

In the new normal, people are reliant on multiple sources of income in retirement, including actively using their home, as more people anticipate downsizing to provide some income. 24 per cent of future retirees have said they would consider releasing value from their home in one way or another.

In the new normal, working beyond your state pension age is no longer seen as drudgery. With increasing longevity, the appeal of keeping busy with work has grown. Almost one-third of future retirees are expecting work to provide some of their income in retirement, with just under half suggesting one of the reasons for doing so would be to maintain social interaction.

The new normal means less binary decision-making. Each choice an individual makes along the way becomes critical, and the answers themselves are less obvious. How do you best invest your savings? Where is the best place for a rainy day fund? How do you want to take income in the future and what happens to your assets when you die?

 An abundance of choices to provide answers to the above questions is good, but too much choice can paralyse decision-making. The new normal requires a plan earlier in life.

All the while, policymakers have continued to give people plenty of things to think about. In the past 12 months alone, the previous chancellor deliberated over whether – and how – to cut pension tax relief for higher earners. The ‘pensions-ISA’ system was mooted as the culmination of a project to hand savers complete control over their retirement savings, while also providing a welcome boost to Treasury coffers in the short term.

During her time as pensions minister, Baroness Altmann voiced her support for the current system of taxing pension income, rather than contributions, indicating a split between the DWP and HM Treasury on the matter. Baroness Altmann’s replacement at the DWP is Richard Harrington. It remains to be seen how much influence he will have and on what side of the camp he sits regarding taxing pensions.

Meanwhile, Philip Hammond has entered the Treasury while our new Prime Minister calls for greater unity. Following a tumultuous time for pensions, a change in tone towards greater unity and cross-department collaboration would be very welcome.

In order for everyone to acclimatise properly to the new normal, the new chancellor should commit to a return to a longer-term, strategic approach to pensions policymaking, enabling all parties, from regulators and providers to customers, to make decisions with confidence that the landscape will not continue to shift as fundamentally as it has in recent times.

Steven Levin is CEO of investment platforms at Old Mutual Wealth.

To view all of Old Mutual Wealth’s retirement reports, visit: products-and-investments/ pensions/pensions2015/