PMQs review: Cameron still lacks answers on living standards

If the PM wants to dismiss Miliband's energy price freeze as "a con", he needs to come up with a superior policy.

Ed Miliband arrived well armed at today's PMQs: food-bank use has tripled, pay growth is at its lowest level on record and the number of people working part-time because they can't find a full-time job has reached a new high. But after last week's floundering performance, David Cameron put up a better defence. He was able to boast that unemployment had fallen in every category and that there were now a million more people in work than in 2010 (a statistic you can expect to hear every day from now on). The PM also finally settled on a line of attack against Miliband's proposed energy price freeze, branding it a "price con". It is doubtful whether those forced to choose between heating and eating will agree, but this appeal to cynicism is an improvement on last week's red-baiting.

In response to Miliband's questions, all of which were on living standards, Cameron strikingly argued that the best way to improve voters' incomes is to "cut taxes". As was reported earlier this week, the Tories are set to mimic the Lib Dems and pledge to raise the income tax threshold to £12,500. But for voters who are seeing their wages fall by an average of 2% in real-terms, a promise from the government to take a smaller chunk away is unlikely to prove sufficient. The Tories need a plan to increase the minimum wage and to spread use of the living wage, a subject on which they remain oddly silent.

If he wants to dismiss Miliband's energy policy as "a con", Cameron also needs to devise an attractive policy of his own. He currently boasts that the government is ensuring consumers are put on the lowest tariff but figures show that only 10% will benefit from this. Others in his party pin their hopes on a bonfire of green taxes and regulations but these account for just a fraction of the average bill. Polling shows that 75% of the public don't believe that rising bills are due to green levies. Miliband also delivered an effective riposte to the charge that his environmentalism was to blame for excessive prices: "They’ve been floundering all over the place and they blame the last government and green levies. Who was it who said: ‘I think green taxes as a whole need to go up’? It was him as leader of the opposition ... I look back at the record on the energy bill of 2010. Did he oppose the energy bill of 2010? No. He supported the energy bill of 2001. You could say, Mr Speaker, two parties working together in the national interest."

Until Cameron devises a policy with as much appeal as Miliband's price freeze, it is still Labour that will look like the party with answers on living standards.

David Cameron leaves Downing Street earlier today. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Labour’s best general election bet is Keir Starmer

The shadow secretary for Brexit has the heart of a Remainer - but head of a pragmatic politician in Brexit Britain. 

In a different election, the shadow Brexit secretary Keir Starmer might have been written off as too quiet a man. Instead - as he set out his plans to scrap the Brexit white paper and offer EU citizens reassurance on “Day One” in the grand hall of the Institute of Civil Engineers - the audience burst into spontaneous applause. 

For voters now torn between their loyalty to Labour and Remain, Starmer is a reassuring figure. Although he says he respects the Brexit vote, the former director of public prosecutions is instinctively in favour of collaborating with Europe. He even wedges phrases like “regulatory alignment” into his speeches. When a journalist asked about the practicality of giving EU citizens right to remain before UK citizens abroad have received similar promises, he retorted: “The way you just described it is to use people as bargaining chips… We would not do that.”

He is also clear about the need for Parliament to vote on a Brexit deal in the autumn of 2018, for a transitional agreement to replace the cliff edge, and for membership of the single market and customs union to be back on the table. When pressed on the option of a second referendum, he said: “The whole point of trying to involve Parliament in the process is that when we get to the final vote, Parliament has had its say.” His main argument against a second referendum idea is that it doesn’t compare like with like, if a transitional deal is already in place. For Remainers, that doesn't sound like a blanket veto of #EUref2. 

Could Leave voters in the provinces warm to the London MP for Holborn and St Pancras? The answer seems to be no – The Daily Express, voice of the blue passport brigade, branded his speech “a plot”. But Starmer is at least respectful of the Brexit vote, as it stands. His speech was introduced by Jenny Chapman, MP for Darlington, who berated Westminster for their attitude to Leave voters, and declared: “I would not be standing here if the Labour Party were in anyway attempting to block Brexit.” Yes, Labour supporters who voted Leave may prefer a Brexiteer like Kate Hoey to Starmer,  but he's in the shadow Cabinet and she's on a boat with Nigel Farage. 

Then there’s the fact Starmer has done his homework. His argument is coherent. His speech was peppered with references to “businesses I spoke to”. He has travelled around the country. He accepts that Brexit means changing freedom of movement rules. Unlike Clive Lewis, often talked about as another leadership contender, he did not resign but voted for the Article 50 Bill. He is one of the rare shadow cabinet members before June 2016 who rejoined the front bench. This also matters as far as Labour members are concerned – a March poll found they disapproved of the way Labour has handled Brexit, but remain loyal to Jeremy Corbyn. 

Finally, for those voters who, like Brenda, reacted to news of a general election by complaining "Not ANOTHER one", Starmer has some of the same appeal as Theresa May - he seems competent and grown-up. While EU regulation may be intensely fascinating to Brexiteers and Brussels correspondents, I suspect that by 2019 most of the British public's overwhelming reaction to Brexit will be boredom. Starmer's willingness to step up to the job matters. 

Starmer may not have the grassroots touch of the Labour leader, nor the charisma of backbench dissidents like Chuka Umunna, but the party should make him the de facto face of the campaign.  In the hysterics of a Brexit election, a quiet man may be just what Labour needs.

What did Keir Starmer say? The key points of his speech

  • An immediate guarantee that all EU nationals currently living in the UK will see no change in their legal status as a result of Brexit, while seeking reciprocal measures for UK citizens in the EU. 
  • Replacing the Tories’ Great Repeal Bill with an EU Rights and Protections Bill which fully protects consumer, worker and environmental rights.
  • A replacement White Paper with a strong emphasis on retaining the benefits of the single market and the customs union. 
  • The devolution of any new powers that are transferred back from Brussels should go straight to the relevant devolved body, whether regional government in England or the devolved administrations in Scotland, Wales and Northern Ireland.
  • Parliament should be fully involved in the Brexit deal, and MPs should be able to vote on the deal in autumn 2018.
  • A commitment to seek to negotiate strong transitional arrangements when leaving the EU and to ensure there is no cliff-edge for the UK economy. 
  • An acceptance that freedom of movement will end with leaving the EU, but a commitment to prioritise jobs and economy in the negotiations.

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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