McCluskey shows how Miliband's reforms will increase his bargaining power

With Labour more reliant on large one-off donations from unions, the Unite general secretary is in a stronger position to push for policy changes.

Ed Miliband's decision to introduce a new opt-in system for donations to Labour from members of affiliated trade unions was spun as a move to reduce the power of union general secretaries but in his interview in today's Guardian, Len McCluskey shows why it could achieve the reverse. 

With the party likely to lose around 90% of the £8m it currently receives in affiliation fees (Miliband aims to recruit 300,000 of the 3 million political levy payers to Labour), it will likely fall to unions like Unite to make up the shortfall through separate donations from their political funds (which are unaffected by Miliband's plan). And this, as McCluskey signals, has increased his bargaining power. He tells the Guardian that he is not "looking to bankrupt the party" but adds that future funding will depend on "the policies Labour themselves are adopting, and in the context of whether we would give donations that would be determined by my executive and my political committees. It is a collective decision". His wishlist includes the repeal of the bedroom tax, a rejection of the benefit cap, a break with "austerity spending", 1m extra homes and a £1.50 increase in the minimum wage.

Depending on your political persuasion, McCluskey's increased power may be viewed as no bad thing (all of the policies I listed above are ones Labour should support) but it leaves Miliband vulnerable to the Conservative charge that his party is more dependent on the "union barons" than ever and undermines his pledge to take big money out of politics.

It's for this reason that the Labour leader desperately needs a deal on party funding reform. His proposed donation cap of £5,000 would apply to unions as well as individuals, eliminating any danger that McCluskey and others could hold the party to ransom. But while Miliband has removed one obstacle to a deal by promising to introduce an opt-in system, the Tories and the Lib Dems want him to go much further. As Nick Clegg outlined following Miliband's speech, he would like the political levy to be reformed so that union members are given the choice to donate to other parties. After all, as McCluskey concedes in the interview, Unite's own internal polling demonstrates that "a large chunk" of his members vote for parties other than Labour (the union's June 2013 political report stated "We can estimate that around 35-40% of our members voted Labour at the last election, with around 50-55% voting.")

Whether Miliband is prepared to go this far, at least without significant concessions from the coalition parties, remains unclear, but without a deal he could face an unpalatable choice between "bankruptcy" or another trade union bail-out. 

Unite general secretary Len McCluskey. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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After Strictly, I'd love to see Ed Balls start a new political party

My week, from babbling at Michael Gove to chatting Botox with Ed Balls and a trip to Stroke City.

If you want to see yourself as others see you, write a weekly column in a national newspaper, then steel yourself to read “below the line”. Under my last offering I read the following comment: “Don’t be angry, feel pity. Her father was a member of the European Parliament. Her older brother has been a member of parliament, a cabinet minister, a secretary of state, a historian, a mayor of London. Her younger brother is a member of parliament and minister for universities and science. She has a column in the Daily Mail. Can you imagine how she feels deep inside?” Before I slammed my laptop shut – the truth always hurts – my eye fell on this. “When is Rachel going to pose for Playboy seniors’ edition?” Who knew that Playboy did a seniors’ edition? This is the best compliment I’ve had all year!

 

Three parts of Michael Gove

Part one Bumped into Michael Gove the other day for the first time since I called him a “political psychopath” and “Westminster suicide bomber” in print. We had one of those classic English non-conversations. I babbled. Gove segued into an anecdote about waiting for a London train at Castle Cary in his trusty Boden navy jacket and being accosted by Johnnie Boden wearing the exact same one. I’m afraid that’s the punchline! Part two I’ve just had a courtesy call from the Cheltenham Literature Festival to inform me that Gove has been parachuted into my event. I’ve been booked in since June, and the panel is on modern manners. De mortuis nil nisi bonum, of course, but I do lie in bed imagining the questions I hope I might be asked at the Q&A session afterwards. Part three There has been what we might call a serious “infarction” of books about Brexit, serialised passim. I never thought I would write these words, but I’m feeling sorry for the chap. Gove gets such a pasting in the diaries of Sir Craig Oliver.

Still, I suppose Michael can have his own say, because he’s returning to the Times this week as a columnist. Part of me hopes he’ll “do a Sarah Vine”, as it’s known in the trade (ie, write a column spiced with intimate revelations). But I am braced for policy wonkery rather than the petty score-settling and invasions of his own family privacy that would be so much more entertaining.

 

I capture the castle

I’ve been at an event on foreign affairs called the Mount Stewart Conversations, co-hosted by BBC Northern Ireland and the National Trust. Before my departure for Belfast, I mentioned that I was going to the province to the much “misunderestimated” Jemima Goldsmith, the producer, and writer of this parish. I didn’t drop either the name of the house or the fact that Castlereagh, a former foreign secretary, used to live there, and that the desk that the Congress of Vienna was signed on is in the house, as I assumed in my snooty way that Ms Goldsmith wouldn’t have heard of either. “Oh, we used to have a house in Northern Ireland, Mount Stewart,” she said, when I said I was going there. “It used to belong to Mum.” That told me.

Anyway, it was a wonderful weekend, full of foreign policy and academic rock stars too numerous to mention. Plus, at the Stormont Hotel, the staff served porridge with double cream and Bushmills whiskey for breakfast; and the gardens at Mount Stewart were stupendous. A top performer was Jonathan Powell, Tony Blair’s former chief of staff, who runs his own conflict resolution charity. Powell negotiated the Good Friday Agreement and also has a very natty line in weekend casual wear. Jeremy Corbyn has said he wants a minister for peace, as well as party unity. Surely “Curly” Powell – a prince of peace if ever there was one – must be shoo-in for this gig.

PS: I was told that Derry/Londonderry is now known as “Stroke City”. I imagined stricken residents all being rushed to Casualty, before I worked it out.

 

On board with Balls

Isn’t Ed Balls bliss? From originating Twitter’s Ed Balls Day to becoming Strictly Come Dancing’s Ed Balls, he is adding hugely to the gaiety of the nation. I did the ITV show The Agenda with Tom Bradby this week, and as a fellow guest Balls was a non-stop stream of campery, charleston steps, Strictly gossip and girly questions about whether he should have a spray tan (no!), or Botox under his armpits to staunch the sweat (also no! If you block the armpits, it will only appear somewhere else!).

He is clever, fluent, kind, built like a s*** outhouse, and nice. I don’t care that his waltz looked as if his partner, Katya, was trying to move a double-doored Sub-Zero American fridge across a shiny floor. After Strictly I’d like to see him start a new party for all the socially liberal, fiscally conservative, pro-European millions of us who have been disenfranchised by Brexit and the Corbynisation of the Labour Party. In fact, I said this on air. If he doesn’t organise it, I will, and he sort of promised to be on board!

 

A shot in the dark

I was trying to think of something that would irritate New Statesman readers to end with. How about this: my husband is shooting every weekend between now and 2017. This weekend we are in Drynachan, the seat of Clan Campbell and the Thanes of Cawdor. I have been fielding calls from our host, a type-A American financier, about the transportation of shotguns on BA flights to Inverness – even though I don’t shoot and can’t stand the sport.

I was overheard droning on by Adrian Tinniswood, the author of the fashionable history of country houses The Long Weekend. He told me that the 11th Duke of Bedford kept four cars and eight chauffeurs to ferry revellers to his pile at Woburn. Guests were picked up in town by a chauffeur, accompanied by footmen. Luggage went in another car, also escorted by footmen, as it was not done to travel with your suitcase.

It’s beyond Downton! I must remember to tell mine host how real toffs do it. He might send a plane just for the guns.

Rachel Johnson is a columnist for the Mail on Sunday

This article first appeared in the 29 September 2016 issue of the New Statesman, May’s new Tories