Doubts about Miliband’s commitment to welfare reform go up in flames. In a good way, they hope.

The welfare line that Miliband is going to take owes a lot to the work that Liam Byrne has been doing.

So tomorrow, Ed Miliband will say something significant about welfare. Some of the outline has been briefed in advance and some has leaked out perhaps not so strategically. Either way, we know that the Labour leader is going to say something that he hopes will make it harder for his enemies to claim, as they often do, that he doesn’t want to talk about benefits.

In fact, his friends have privately said much the same too. More than once in recent months I’ve been told by Labour MPs, including shadow cabinet ministers, that the reason the party’s line on welfare is a bit foggy is that Ed himself "hasn’t properly made up his mind what he thinks." Well, it seems that now he has. And tomorrow, we’re going to find out the result of his meditations.

There isn’t much point in me going on at length about it here, not least because, judging by standard media-management practice, there will be some little surprise that Team Ed has held back and that everyone will be talking about tomorrow afternoon. The Labour leader likes to disappear into his cave to think very hard for weeks at a time and then emerge with something shiny so that his anxious tribe that was on the verge of panicking and the media are briefly dazzled and cry, "Oooh! We underestimated him. Again." (We’ll pass quickly over the fact that this technique – the meticulously planned set-piece intervention – may owe something to Miliband’s apprenticeship at the feet of one G Brown in the Treasury.)

A final observation: by the sounds of things, the welfare line that Miliband is going to take owes a lot to the work that Liam Byrne has been doing. That shouldn’t be a surprise, given that Byrne is shadow work and pensions secretary. Yet a feature of Labour’s welfare debate in recent years as been the shadow secretary of state coming out with speeches, statements and interviews on the need to restore the contributory principle; on "switch-spending"; on returning to Bevan’s original vision that coupled an individual’s responsibility to work with the state’s duty to guarantee full employment – and the leader’s office going eerily quiet. Meanwhile, the left piles into Byrne as a Blairite stooge.

So isolated has Byrne looked at times that I recently asked a senior Labour source in the leader’s office to confirm that what the Shadow Secretary of State for Work and Pensions said about benefits could actually be taken as a statement of current Labour party policy. "Absolutely," came the answer. "Ed thinks the same as Liam." When I then pointed out that it didn’t always come across that way, I got the answer: "Well we do have to work on getting our message across more clearly."

I put the same question to another senior shadow cabinet figure a week or so ago and was told: "Ed gets it now. He will deliver the message himself and it will be in neon and lit up like a firework." So tomorrow, it seems, is the day doubts about Miliband’s commitment to welfare reform go up in flames. In a good way, they hope.

 

Ed Miliband addresses workers at Islington Town Hall on November 5, 2012 in London. Photograph: Getty Images.

Rafael Behr is political columnist at the Guardian and former political editor of the New Statesman

Getty
Show Hide image

John McDonnell's seminars are restoring Labour's economic credibility

The Shadow Chancellor's embrace of new economics backed by clear plans will see Labour profit at the polls, argues Liam Young.

It’s the economy, stupid. Perhaps ‘it’s the economy that lost Labour the last two elections, stupid’ is more accurate. But I don’t see Bill Clinton winning an election on that one.

Campaign slogan theft aside it is a phrase Labour supporters are all too familiar with. Whatever part of the ‘broad church’ you belong to it is something we are faced with on a regular basis. How can Labour be trusted with the economy after they crashed it into the ground? It is still unpopular to try and reason with people. ‘It was a global crisis’ you say as eyes roll. ‘Gordon Brown actually made things better’ you say as they laugh. It’s not an easy life.

On Saturday, the Labour party took serious steps towards regaining its economic credibility. In January a member of John McDonnell’s economic advisory committee argued that “opposing austerity is not enough”. Writing for the New Statesman, David Blanchflower stated that he would assist the leadership alongside others in putting together “credible economic policies.” We have started to see this plan emerge. Those who accuse the Labour leadership of simply shouting anti-austerity rhetoric have been forced to listen to the economic alternative.

It seems like a good time to have done so. Recent polls suggest that the economy has emerged as the most important issue for the EU referendum with a double-digit lead. Public confidence in the government’s handling of the economy continues to fall. Faith in Cameron and Osborne is heading in the same direction. As public confidence continues to plummet many have questioned whether another crash is close. It is wise of the Labour leadership to offer an alternative vision of the economy at a time in which people are eager to listen to a way by which things may be done better.

Far from rhetoric we were offered clear plans. McDonnell announced on Saturday that he wants councils to offer cheap, local-authority backed mortgages so that first-time buyers may actually have a chance of stepping on the housing ladder. We also heard of a real plan to introduce rent regulations in major cities to ease excessive charges and to offer support to those putting the rent on the overdraft. The plans go much further than the Tory right-to-buy scheme and rather than forcing local authorities to sell off their council housing stock, it will be protected and increased.

It is of course important that the new economics rhetoric is matched with actual policy. But let’s not forget how important the rhetoric actually is. The Tory handling of the economy over the last six years has been dismal. But at the last election they were seen as the safer bet. Ed Miliband failed to convince the British public that his economic plan could lead to growth. The branding of the new economics is simple but effective. It does the job of distancing from the past while also putting a positive spin on what is to come. As long as actual policy continues to flow from this initiative the Labour leadership can be confident of people paying attention. And as economic concerns continue to grow ever more pessimistic the British public will be more likely to hear the Labour party’s alternative plan.

Liam Young is a commentator for the IndependentNew Statesman, Mirror and others.