Miliband renews attack on New Labour ahead of "peace meeting" with Blair

The Labour leader tells his MPs that it is right to move on from New Labour, which was "formed 19 years ago", but new polling revives doubts over the party's performance.

Ed Miliband addressed the Parliamentary Labour Party last night for the first time since Tony Blair's intervention in the New Statesman and took the opportunity to again rebut his criticisms. He told MPs:

New Labour was formed 19 years ago. Tony Blair taught us the world changes, and the world does change, and we will learn our lessons.

After Blair warned him not to "tack right on immigration and Europe, and tack left on tax and spending", Miliband pointedly added:

I am incredibly proud of our record, but we need to learn this truth: opposition leaders who say their government got it right and the electorate got it wrong remain leaders of the opposition.

The party, he suggested, had become a victim of its own success (or at least the coalition's failure).  "Eighteen months ago, people were saying we were not up to it. Now they are claiming we are too effective an opposition". 

Miliband was aided by a spirited John Prescott, who declared that it was "crazy" for Labour start "dividing" less than three weeks before the local elections. "Let’s stop complaining and start campaigning," he said. As Tessa Jowell revealed on the Daily Politics yesterday, Blair and Miliband will meet later this week (possibly tomorrow, when they will both attend Margaret Thatcher's funeral) in an attempt to heal the rift.

At last night's meeting, Miliband compared Labour to "a football team that is winning at half-time" but given that no modern opposition has ever won without being at least 20 points ahead (the Tories' peak lead from 2005-10 was 26 points; Labour's highest to date is 16) many MPs remain alarmed at the slightness of the party's advantage.

The latest Guardian/ICM poll puts Labour just six points ahead of the Tories, while the YouGov daily tracker has them eight points ahead. Worse for Miliband, the ICM survey suggests that Labour's lead could be in spite of, rather than because of his performance as leader. The poll gives him a net approval rating of -23, well below Cameron's -11 and Osborne's -14 and worse than the -17 he recorded at the nadir of his leadership in December 2011. 

But this is a parliamentary system, you say, why should we care? The answer is that personal ratings are frequently a better long-term indicator of the election result than voting intentions. Labour often led the Tories under Neil Kinnock, for instance (sometimes by as much as 24 points), but Kinnock was never rated above John Major as a potential prime minister. A more recent example is the 2011 Scottish parliament election, which saw Alex Salmond ranked above Iain Gray even as Labour led in the polls. The final result, of course, was an SNP majority. Conversely, Margaret Thatcher won in 1979 despite trailing Jim Callaghan by 19 points as the "best prime minister".

But Labour MPs are also troubled by the Tories' continuing advantage on the economy, another historically reliable indicator of the general election result. The latest YouGov poll shows their lead stretching from one point to four. 

Blair's intervention aside, the last month has been a successful one for Miliband. David Miliband's departure for New York has finally drawn a line under the fraternal soap opera and his Commons statement on Thatcher was rightly praised by Conservative MPs for its statesmanlike qualities. But once politics as normal resumes after Wednesday, Blair is unlikely to be the only one posing tough questions for Miliband. 

Ed Miliband speaks at the CBI's annual conference on November 19, 2012 in London. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Getty
Show Hide image

By refusing to stand down, Jeremy Corbyn has betrayed the British working classes

The most successful Labour politicians of the last decades brought to politics not only a burning desire to improve the lot of the working classes but also an understanding of how free market economies work.

Jeremy Corbyn has defended his refusal to resign the leadership of the Labour Party on the grounds that to do so would be betraying all his supporters in the country at large. But by staying on as leader of the party and hence dooming it to heavy defeat in the next general election he would be betraying the interests of the working classes this country. More years of Tory rule means more years of austerity, further cuts in public services, and perpetuation of the gross inequality of incomes. The former Chief Secretary to the Treasury, Seema Malhotra, made the same point when she told Newsnight that “We have an unelectable leader, and if we lose elections then the price of our failure is paid by the working people of this country and their families who do not have a government to stand up for them.”

Of course, in different ways, many leading figures in the Labour movement, particularly in the trade unions, have betrayed the interests of the working classes for several decades. For example, in contrast with their union counterparts in the Scandinavian countries who pressurised governments to help move workers out of declining industries into expanding sectors of the economy, many British trade union leaders adopted the opposite policy. More generally, the trade unions have played a big part in the election of Labour party leaders, like Corbyn, who were unlikely to win a parliamentary election, thereby perpetuating the rule of Tory governments dedicated to promoting the interests of the richer sections of society.

And worse still, even in opposition Corbyn failed to protect the interests of the working classes. He did this by his abysmal failure to understand the significance of Tory economic policies. For example, when the Chancellor of the Exchequer had finished presenting the last budget, in which taxes were reduced for the rich at the expense of public services that benefit everybody, especially the poor, the best John McConnell could do – presumably in agreement with Corbyn – was to stand up and mock the Chancellor for having failed to fulfill his party’s old promise to balance the budget by this year! Obviously neither he nor Corbyn understood that had the government done so the effects on working class standards of living would have been even worse. Neither of them seems to have learnt that the object of fiscal policy is to balance the economy, not the budget.

Instead, they have gone along with Tory myth about the importance of not leaving future generations with the burden of debt. They have never asked “To whom would future generations owe this debt?” To their dead ancestors? To Martians? When Cameron and his accomplices banged on about how important it was to cut public expenditures because the average household in Britain owed about £3,000, they never pointed out that this meant that the average household in Britain was a creditor to the tune of about the same amount (after allowing for net overseas lending). Instead they went along with all this balanced budget nonsense. They did not understand that balancing the budget was just the excuse needed to justify the prime objective of the Tory Party, namely to reduce public expenditures in order to be able to reduce taxes on the rich. For Corbyn and his allies to go along with an overriding objective of balancing the budget is breathtaking economic illiteracy. And the working classes have paid the price.

One left-wing member of the panel on Question Time last week complained that the interests of the working classes were ignored by “the elite”. But it is members of the elite who have been most successful in promoting the interests of the working classes. The most successful pro-working class governments since the war have all been led mainly by politicians who would be castigated for being part of the elite, such as Clement Atlee, Harold Wilson, Tony Crosland, Barbara Castle, Richard Crossman, Roy Jenkins, Denis Healey, Tony Blair, and many others too numerous to list. They brought to politics not only a burning desire to improve the lot of the working classes (from which some of them, like me, had emerged) and reduce inequality in society but also an understanding of how free market economies work and how to deal with its deficiencies. This happens to be more effective than ignorant rhetoric that can only stroke the egos and satisfy the vanity of demagogues

People of stature like those I have singled out above seem to be much more rare in politics these days. But there is surely no need to go to other extreme and persist with leaders like Jeremy Corbyn, a certain election loser, however pure his motives and principled his ambitions.

Wilfred Beckerman is an Emeritus Fellow of Balliol College, Oxford, and was, for several years in the 1970s, the economics correspondent for the New Statesman