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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New Digital Editor: Serena Kutchinsky

The New Statesman appoints Serena Kutchinsky as Digital Editor.

Serena Kutchinsky is to join the New Statesman as digital editor in September. She will lead the expansion of the New Statesman across a variety of digital platforms.

Serena has over a decade of experience working in digital media and is currently the digital editor of Newsweek Europe. Since she joined the title, traffic to the website has increased by almost 250 per cent. Previously, Serena was the digital editor of Prospect magazine and also the assistant digital editor of the Sunday Times - part of the team which launched the Sunday Times website and tablet editions.

Jason Cowley, New Statesman editor, said: “Serena joins us at a great time for the New Statesman, and, building on the excellent work of recent years, she has just the skills and experience we need to help lead the next stage of our expansion as a print-digital hybrid.”

Serena Kutchinsky said: “I am delighted to be joining the New Statesman team and to have the opportunity to drive forward its digital strategy. The website is already established as the home of free-thinking journalism online in the UK and I look forward to leading our expansion and growing the global readership of this historic title.

In June, the New Statesman website recorded record traffic figures when more than four million unique users read more than 27 million pages. The circulation of the weekly magazine is growing steadily and now stands at 33,400, the highest it has been since the early 1980s.