Why John O'Farrell is a smart choice for Labour in Eastleigh

In danger of being ignored as the coalition parties slug it out, the decision to select the author and broadcaster as its candidate means Labour will now enjoy significant media coverage.

Labour's decision to select John O'Farrell as its candidate in the Eastleigh by-election is being hailed by many commentators as a game-changer. It's worth noting, however, that while there is much affection in Westminster for the author and brodcaster (best known for his 1998 book Things Can Only Get Better: Eighteen Miserable Years in the Life of a Labour Supporter), it would be surprising if more than five per cent of voters in the constituency have heard of him.

This said, not only will O'Farrell's humour and warmth endear him to voters ("There is a great deal of hard work ahead. But first I am going to the pub", he tweeted last night), his decision to stand means that Labour, which was in danger of being ignored as the coalition parties slugged it out, will now receive far more local and national media coverage. With the polls as tight as they are (the first survey by Lord Ashcroft gave the Tories a three-point lead, the second by Survation gave the Lib Dems a three-point lead), a stronger-than-expected Labour performance could gift the seat to Conservative candidate Maria Hutchings. But having declared itself to be the party of "one nation" and having vowed to win over voters in the south, Labour has no choice but to campaign hard. Were it to finish in fourth place behind UKIP, as one poll suggested was possible, it would be a disastrous result for Ed Miliband.

Since this is a by-election, Labour has no incentive to tacitly advise its supporters to vote Lib Dem (as Ed Balls and Peter Hain did in 2010) but a slim Tory victory would be a reminder, as I noted last week, that tactical voting will be an issue at the next general election. The Conservatives are in second place in 38 of the Lib Dems' 57 seats and half of their 40 target seats are held by Clegg's party. If Labour wants to prevent the Tories decapitating scores of Lib Dems, it will need to think carefully about how it approaches these contests.


Author and broadcaster John O'Farrell was selected as Labour's candidate for the Eastleigh by-election last night.

George Eaton is political editor of the New Statesman.

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Is anyone prepared to solve the NHS funding crisis?

As long as the political taboo on raising taxes endures, the service will be in financial peril. 

It has long been clear that the NHS is in financial ill-health. But today's figures, conveniently delayed until after the Conservative conference, are still stunningly bad. The service ran a deficit of £930m between April and June (greater than the £820m recorded for the whole of the 2014/15 financial year) and is on course for a shortfall of at least £2bn this year - its worst position for a generation. 

Though often described as having been shielded from austerity, owing to its ring-fenced budget, the NHS is enduring the toughest spending settlement in its history. Since 1950, health spending has grown at an average annual rate of 4 per cent, but over the last parliament it rose by just 0.5 per cent. An ageing population, rising treatment costs and the social care crisis all mean that the NHS has to run merely to stand still. The Tories have pledged to provide £10bn more for the service but this still leaves £20bn of efficiency savings required. 

Speculation is now turning to whether George Osborne will provide an emergency injection of funds in the Autumn Statement on 25 November. But the long-term question is whether anyone is prepared to offer a sustainable solution to the crisis. Health experts argue that only a rise in general taxation (income tax, VAT, national insurance), patient charges or a hypothecated "health tax" will secure the future of a universal, high-quality service. But the political taboo against increasing taxes on all but the richest means no politician has ventured into this territory. Shadow health secretary Heidi Alexander has today called for the government to "find money urgently to get through the coming winter months". But the bigger question is whether, under Jeremy Corbyn, Labour is prepared to go beyond sticking-plaster solutions. 

George Eaton is political editor of the New Statesman.