Gove claims Clegg is blocking Tory policy due to Lib Dem leadership plot

Clegg's opposition to new childcare ratios is due to "a campaign" by Vince Cable's ally Lord Oakeshott to oust him, says Gove.

As he demonstrated on The Andrew Marr Show this morning, Michael Gove, a former Times journalist, has lost none of his talent for generating headlines. In the course of 10 minutes, he suggested that a Lib Dem leadership plot was the reason Nick Clegg was blocking plans to relax childcare ratios, confirmed that he would vote "no" if an EU referendum was held today and said that he would abstain when the Commons votes on a Tory amendment criticising the absence of a referendum bill from the Queen's Speech.

First, then, on Clegg and childcare. Gove suggested that his opposition to Liz Truss's plan was almost entirely due to the attempt by Vince Cable's ally Lord Oakeshott to oust him as leader. He said:

I don't think we can understand Nick Clegg's position without also appreciating the position that he's in because of internal Lib Dem politics...there's a campaign at the moment being led by Matthew Oakeshott, the Liberal Democrat in the Lords, to try to destabilise Nick Clegg because Matthew Oakeshott wants Vince Cable to succeed him

It's hardly a secret that Oakeshott wants Cable installed as Lib Dem leader but no Conservative cabinet minister has ever referred explicitly to this fact. Clegg, who outlined in detail his concerns over the childcare plans on his LBC show earlier this week, is likely to be furious at the suggestion that his position is motivated by politics, not principle.

But the mischievous Gove, artfully seeking to turn the conversation on to Lib Dem divisions, went on:

Nick, understandably, needs to show Lib Dems that he's fighting hard...you only need to look at the newspapers today to see that Lord Oakeshott is on maneouvres, he's trying to promote Vince. It's understandable that within the Lib Dems these things go on. Nick has to show a bit of leg, as it were, on these issues.

On Europe, asked if he would vote to leave the EU if a referendum was held today (as the Mail on Sunday reported last year), Gove confirmed for the first time that he would. He told James Lansdale:

Yes [I would vote to leave the EU], I'm not happy with our position in the European Union

After Nigel Lawson's intervention earlier this week, Gove's words represent another significant escalation of tensions over this issue. Tim Montgomerie lists Iain Duncan Smith, Theresa Villiers, Chris Grayling, Justine Greening, Philip Hammond, Oliver Letwin and Francis Maude as other "definite or probable EU Outers". All of these ministers (and others) will now come under pressure to say whether they, like Gove, would also vote "no" in a referendum today.

Gove added that while there would be "certain advantages" to being outside the EU (another significant admission), "the best deal" would be for Britain to successfully renegotiate its membership. David Cameron's hope is that the plausible threat of withdrawal will make it easier to achieve that.

Update: Here's how Oakeshott has responded to Gove.

Education Secretary Michael Gove speaks at last year's Conservative conference in Birmingham. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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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