Clegg is propping up Miliband's EU policy

Both pro-EU, both queasy about a referendum. Who will jump first?

In increments the Liberal Democrat position on an EU referendum is shifting towards full-blown commitment. Nick Clegg has already conceded the point that the big question is "when, not if" the British public is invited to choose how European it wants to be. Today, in the first of what are promised to be monthly press conferences, he clarified the point that a referendum on any future EU treaty would necessarily have to be an in/out vote.

This is an important distinction because, under the 2011 European Union Act (aka the “Sovereignty Act”) a referendum on any substantial new treaty is automatic. Well, actually it is semi-automatic. Ministers can still declare a treaty insubstantial in terms of powers being shared in Brussels and block the plebiscite. Largely for that reason, the Sovereignty Act never satisfied eurosceptic Tory back benchers, although their satisfaction was, of course, David Cameron’s only motive for passing the law in the first place.

Now the Sovereignty Act is serving an entirely different purpose. It is the temporary get out clause for Nick Clegg and Ed Miliband. The Labour leader quietly acquiesced to the measure last year, meaning he too has signed up to a referendum in the event of a major treaty revision. All that remains is for Miliband to clarify, as Clegg has done, that this would effectively be an in/out poll and the two parties’ positions will be indistinguishable.

MPs in both parties think that position is unsustainable. Very senior Lib Dems have told me they recognise the implausibility of going into a general election campaign in 2015 without a referendum pledge in their manifesto when they had one in 2010. In other words, the wheel is being turned slowly but the direction is clear enough. By polling day, Clegg will have stripped away the caveats and signed up to national vote on EU membership. There are plenty on the Labour side, including a good number of shadow cabinet ministers, who think Miliband will ultimately have to make the same calculation.

The Tories are confident that their commitment to a referendum appeals beyond the ranks of militant eurosceptics. It is, they say, a point of principle – consulting the people and accepting their judgement. The fact that the Tories would split down the middle when it came to actually deciding how to vote in this great democratic consultation is a worry for after the election. Before polling day the only point that matters to Cameron is that he can insist that his party trusts the people and that labour doesn’t. As I wrote a few weeks ago there is mounting anxiety in the Labour ranks that such an attack has deadly resonance.

Miliband has good reasons for not promising an EU vote. Referendums are a dreadful policy tool. There are plenty of important decisions affecting national sovereignty, trade and international diplomacy that aren’t put to a vast national show of hands. Besides, why would an incoming Labour government want to spend its first year in office organising a campaign that only exists because Cameron (who by this stage would be the ex-leader of the Conservative party) felt bullied into something by his backbenchers, Ukip and their press cheerleaders?

Labour’s position is not as ridiculous as many Tories insist. Those who are obsessed with Europe naturally overestimate how much it matters to everyone else and how relevant it will be to their voting intentions. There is always the possibility that Tories banging on about Brussels stokes the sense of grievance among people who will always feel betrayed by Cameron, while signalling to moderate voters that the Conservatives are uninterested in their concerns. Cameron tends to treat his party's euroscepticism like an itchy rash. He gives into the temptation to scratch it hard, which feels good for a while but only makes it angrier, nastier-looking and harder to ignore in the long term.

So, in theory at least, Labour could hold a line against a referendum insisting that the nation’s priorities are elsewhere. Let Cameron and Co. swivel their eyes in imitation of Ukip, Miliband might say, while those of a more moderate disposition talk about jobs, growth, the cost of living etc. Except Miliband isn’t yet talking about those things in a way that captures the public imagination. Labour seem marooned between their old position of resisting austerity and their election pitch, which will be some variant of fiscal discipline with a conscience.

This Friday, parliament will vote on a Tory backbench motion affirming Cameron’s earlier pledge of a referendum some time in the next parliament. It cannot be legally binding on a successor parliament so its value is entirely symbolic. Labour MPs will for the most part stay away. Nick Clegg today confirmed that, as far as this particular legislative ruse is concerned, the Lib Dem position is again identical to Labour’s. The junior coalition party would not, he said, "waste any time helping the Conservatives indulge in their own internal feuds on the floor of the House of Commons on Friday."

But all the while Clegg is manoeuvring into a position where he accepts the inevitability of a European referendum. When he does so he will also position the Lib Dems as unequivocal and united campaigners for an "in" vote, drawing a clear contrast with the Tories. This poses a new hazard for Miliband, who is as instinctive a pro-European as you will find in parliament these days. If Clegg jumps first and declares himself the pro-referendum, pro-EU candidate, where does that leave the Labour leader? His allies say he will make a decision about Labour’s European policy based on principle alone; that he will not have his agenda dictated by media pressure or tactical Tory games. But by the time he has made up his mind, he could find that the clear positions – for and against; in and out – are taken. Then Labour once again will be left looking like the party that plays catch-up and whose defining approach to tricky issues is a preference not to talk about them.

Nick Clegg and Ed Miliband attend a ceremony at Buckingham Palace to mark the Duke of Edinburgh's 90th birthday on June 30, 2011 in London. Photograph: Getty Images.

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

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Can Philip Hammond save the Conservatives from public anger at their DUP deal?

The Chancellor has the wriggle room to get close to the DUP's spending increase – but emotion matters more than facts in politics.

The magic money tree exists, and it is growing in Northern Ireland. That’s the attack line that Labour will throw at Theresa May in the wake of her £1bn deal with the DUP to keep her party in office.

It’s worth noting that while £1bn is a big deal in terms of Northern Ireland’s budget – just a touch under £10bn in 2016/17 – as far as the total expenditure of the British government goes, it’s peanuts.

The British government spent £778bn last year – we’re talking about spending an amount of money in Northern Ireland over the course of two years that the NHS loses in pen theft over the course of one in England. To match the increase in relative terms, you’d be looking at a £35bn increase in spending.

But, of course, political arguments are about gut instinct rather than actual numbers. The perception that the streets of Antrim are being paved by gold while the public realm in England, Scotland and Wales falls into disrepair is a real danger to the Conservatives.

But the good news for them is that last year Philip Hammond tweaked his targets to give himself greater headroom in case of a Brexit shock. Now the Tories have experienced a shock of a different kind – a Corbyn shock. That shock was partly due to the Labour leader’s good campaign and May’s bad campaign, but it was also powered by anger at cuts to schools and anger among NHS workers at Jeremy Hunt’s stewardship of the NHS. Conservative MPs have already made it clear to May that the party must not go to the country again while defending cuts to school spending.

Hammond can get to slightly under that £35bn and still stick to his targets. That will mean that the DUP still get to rave about their higher-than-average increase, while avoiding another election in which cuts to schools are front-and-centre. But whether that deprives Labour of their “cuts for you, but not for them” attack line is another question entirely. 

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to domestic and global politics.

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