Farage says that "a couple of dozen" Tory MPs would be open to pacts with UKIP

The UKIP leader's figure is "spot on", says Conservative MP Philip Hollobone.

Nigel Farage is doing his best to steal the limelight from George Osborne today with a stringe of fringe appearances outside the Conservative secure zone. He quipped to cheers at one event: "If Godfrey Bloom disrupted my conference, I like to think I'm disrupting and ruining David Cameron's."

But it was on Radio 4 earlier today that Farage's most notable comments came. After reaffirming his support for local non-aggression pacts between Tory and UKIP candidates in today's Times, he told the World At One that he estimated that "a couple of dozen" Conservative MPs would be open to agreement. Tory MP Philip Hollobone, who won the backing of UKIP in 2010, went on to describe Farage's figure as "spot on".

Conservative ministers have done their best to play down talk of deals today, but Farage's comments are a reminder of why the idea won't go way, particularly if UKIP win the European elections next year, or at least outperform the Tories. At a fractious fringe meeting with Farage earlier today, Bill Cash warned that UKIP could cost the Tories up to 60 seats and hand Ed Miliband the keys to Downing Street. "Let us be realistic. Are we going to be allies or enemies? Lay off our marginals," he said.

While UKIP is unlikely to inflict as much damage on the Tories as Cash fears, the split in the right-wing vote (UKIP draws around half of its support from 2010 Tory supporters), will make it easier for Labour to dislodge the Tories in the marginals it needs to win to become the largest party. At the last election, with a UKIP share of just 3 per cent, there were 20 constituencies in which the party's vote exceeded the Labour majority (one shouldn't make the error of assuming that all those who supported the party would have backed the Tories in its absence, but many would have done). Should UKIP poll at least 5-6%, around half of its current support, it could well indirectly propel Labour to victory. And that is why talk of pacts will continue right up until May 2015.

UKIP leader Nigel Farage addresses the Bruges Group in Manchester Town Hall earlier today. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Lord Sainsbury pulls funding from Progress and other political causes

The longstanding Labour donor will no longer fund party political causes. 

Centrist Labour MPs face a funding gap for their ideas after the longstanding Labour donor Lord Sainsbury announced he will stop financing party political causes.

Sainsbury, who served as a New Labour minister and also donated to the Liberal Democrats, is instead concentrating on charitable causes. 

Lord Sainsbury funded the centrist organisation Progress, dubbed the “original Blairite pressure group”, which was founded in mid Nineties and provided the intellectual underpinnings of New Labour.

The former supermarket boss is understood to still fund Policy Network, an international thinktank headed by New Labour veteran Peter Mandelson.

He has also funded the Remain campaign group Britain Stronger in Europe. The latter reinvented itself as Open Britain after the Leave vote, and has campaigned for a softer Brexit. Its supporters include former Lib Dem leader Nick Clegg and Labour's Chuka Umunna, and it now relies on grassroots funding.

Sainsbury said he wished to “hand the baton on to a new generation of donors” who supported progressive politics. 

Progress director Richard Angell said: “Progress is extremely grateful to Lord Sainsbury for the funding he has provided for over two decades. We always knew it would not last forever.”

The organisation has raised a third of its funding target from other donors, but is now appealing for financial support from Labour supporters. Its aims include “stopping a hard-left take over” of the Labour party and “renewing the ideas of the centre-left”. 

Julia Rampen is the digital news editor of the New Statesman (previously editor of The Staggers, The New Statesman's online rolling politics blog). She has also been deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines. 

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