Cameron's clique accused of having "frozen out" his only black adviser

In another blue-on-blue attack, friends of Shaun Bailey claim he was sidelined by Cameron's Etonian aides.

In last Saturday's Daily Telegraph, David Davis pleaded with David Cameron to stop recruiting "old Etonian advisers". Tomorrow, in another blue-on-blue attack, some of the same advisers are accused of having "frozen out" Cameron's only black working class aide, Shaun Bailey. Bailey, who stood unsuccessfully in Hammersmith for the Tories at the last election, is said by a friend to have been sidelined after criticising No. 10's failure to address the rising cost of living and to build a more diverse party. Bailey was sacked as a special adviser earlier this year and moved to a part-time role at the cabinet office. The friend in question tells the Telegraph:

They just didn’t get what Shaun was saying. He kept challenging them saying, ‘Why are we not saying this?’ … He went into Downing Street and the first thing he said was, ‘The only political conversation you need to have publicly is about the cost of living’. He also gave plenty of warning that if they wanted to talk about being a diverse party, people have to see it. But they didn’t want to hear about it. Shaun was frozen out.

And there's worse, much worse. The friend adds:

Shaun always says that you can see from space that the place is dominated by those from Eton.

It was very difficult for Shaun. He was never included. He got the distinct impression they tried to keep him away from the Prime Minister. It got to a point where Shaun just stopped saying things because it was just getting him in trouble. There was even one week where he decided not to go into the office because he wanted to see if they would even notice. They didn’t. None of them.

Elsewhere, in an anecdote that Ed Miliband's team will already be considering how best to deploy at PMQs, we learn that Bailey was "horrified" when US pollster Frank Luntz visited Downing Street and asked Cameron's advisers "what kept them awake at night". The friend explains:

The pollster asked them what kept them awake at night and they didn’t even have the wit to understand that he meant it was the electorate.

When the pollster pointed that out to them, they literally said, 'Nothing keeps us awake’. How can you be advising people and nothing keeps you awake? Then someone said 'school fees’.

Here's how Labour's Michael Dugher has responded tonight:

"Once again David Cameron has shown that he is in complete denial about the cost of living crisis facing millions of hard-pressed families thanks to his Government's failure.

"When even one of his own advisers dares to point out some home truths, they are immediately shunned in favour of yet more old school chums and yes men.

"The idea that private school fees is the only thing keep David Cameron's clique awake at night tells you everything you need to know about this Government.

"This is a Prime Minister that takes being out of touch to a whole new level".

Some will dismiss all of the above as the usual grumblings of an out-of-favour adviser, but the fusion of race and class is toxic for Cameron. As pollsters regularly attest, now, more than ever, the Conservatives are viewed as "the party of the rich" and it's worth remembering that the Tories received just 16 per cent of the ethnic minority vote at the last election. In an acknowledgment that the party still has a race problem, there has long been talk of Cameron delivering a speech on the subject, in which he would repudiate Enoch Powell's "rivers of blood" speech and Norman Tebbit's "cricket test", the memory of which still hinders support for the Tories among ethnic minority voters. But for now, the Prime Minister would do well just to stem the tide of leaks from his party.

Update: Never blame the King, always blame his advisers. Here's how Bailey has responded on Twitter.

P.S. If you haven't already, do pick up this week's NS to read Jason's cover story on Cameron's clique and how "the old ruling class became the new ruling class", including his interview with Eton headmaster Tony Little (read some web-only extracts here).

Shaun Bailey, who stood for the Conservatives in Hammersmith at the last general election, with David Cameron.

George Eaton is political editor of the New Statesman.

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In your 30s? You missed out on £26,000 and you're not even protesting

The 1980s kids seem resigned to their fate - for now. 

Imagine you’re in your thirties, and you’re renting in a shared house, on roughly the same pay you earned five years ago. Now imagine you have a friend, also in their thirties. This friend owns their own home, gets pay rises every year and has a more generous pension to beat. In fact, they are twice as rich as you. 

When you try to talk about how worried you are about your financial situation, the friend shrugs and says: “I was in that situation too.”

Un-friend, right? But this is, in fact, reality. A study from the Institute for Fiscal Studies found that Brits in their early thirties have a median wealth of £27,000. But ten years ago, a thirty something had £53,000. In other words, that unbearable friend is just someone exactly the same as you, who is now in their forties. 

Not only do Brits born in the early 1980s have half the wealth they would have had if they were born in the 1970s, but they are the first generation to be in this position since World War II.  According to the IFS study, each cohort has got progressively richer. But then, just as the 1980s kids were reaching adulthood, a couple of things happened at once.

House prices raced ahead of wages. Employers made pensions less generous. And, at the crucial point that the 1980s kids were finding their feet in the jobs market, the recession struck. The 1980s kids didn’t manage to buy homes in time to take advantage of low mortgage rates. Instead, they are stuck paying increasing amounts of rent. 

If the wealth distribution between someone in their 30s and someone in their 40s is stark, this is only the starting point in intergenerational inequality. The IFS expects pensioners’ incomes to race ahead of workers in the coming decade. 

So why, given this unprecedented reversal in fortunes, are Brits in their early thirties not marching in the streets? Why are they not burning tyres outside the Treasury while shouting: “Give us out £26k back?” 

The obvious fact that no one is going to be protesting their granny’s good fortune aside, it seems one reason for the 1980s kids’ resignation is they are still in denial. One thirty something wrote to The Staggers that the idea of being able to buy a house had become too abstract to worry about. Instead:

“You just try and get through this month and then worry about next month, which is probably self-defeating, but I think it's quite tough to get in the mindset that you're going to put something by so maybe in 10 years you can buy a shoebox a two-hour train ride from where you actually want to be.”

Another reflected that “people keep saying ‘something will turn up’”.

The Staggers turned to our resident thirty something, Yo Zushi, for his thoughts. He agreed with the IFS analysis that the recession mattered:

"We were spoiled by an artificially inflated balloon of cheap credit and growing up was something you did… later. Then the crash came in 2007-2008, and it became something we couldn’t afford to do. 

I would have got round to becoming comfortably off, I tell myself, had I been given another ten years of amoral capitalist boom to do so. Many of those who were born in the early 1970s drifted along, took a nap and woke up in possession of a house, all mod cons and a decent-paying job. But we slightly younger Gen X-ers followed in their slipstream and somehow fell off the edge. Oh well. "

Will the inertia of the1980s kids last? Perhaps – but Zushi sees in the support for Jeremy Corbyn, a swell of feeling at last. “Our lack of access to the life we were promised in our teens has woken many of us up to why things suck. That’s a good thing. 

“And now we have Corbyn to help sort it all out. That’s not meant sarcastically – I really think he’ll do it.”