Ed Miliband speaks at the Scottish Labour conference on March 21, 2014 in Perth. Photograph: Getty Images.
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Is Ed Miliband a lucky general?

The party's visceral attacks on the Lib Dems show it is staking everything on a majority. 

I think it’s fair to say the latest Labour Party Election Broadcast (PEB) hasn’t received universal acclaim, with folk on all sides asking "what were they thinking of?"

I was fortunate enough to spend some years working side by side with the three partners who formed Lucky Generals, the ad agency that produced the broadcast for Labour. I can tell you that they are creative, accomplished and – most pertinently – highly intelligent individuals. Indeed, one of them has received more awards for advertising effectiveness than anyone else in the business.

So they won’t have produced that PEB on a whim because they thought it would be funny or out of creative indulgence. They’ll have produced it because it will deliver strategically against what they have been told are the Labour Party’s goals. And I think that probably tells us quite a lot about Labour’s 2015 general election strategy. That strategy is, to use a technical term from adland, "shit or bust"; or in political parlance, it’s the 35 per cent strategy.

As the political arithmetic under the constituency boundaries means Labour only needs to poll the 35 per cent it currently polls to win a majority (as opposed to 42 per cent for the Tories), Labour appears to have decided to hold on to what it's got. That PEB is designed to do two things to the Lib Dems. It tells disaffected voters from 2010 who have defected to Labour why they should stick with them. And it puts two fingers up to the Lib Dems in terms of any future coalition negotiations. Despite some evidence to the contrary, it seems Labour really still do resent the "Gordon has to go" red line put down by the Lib Dems in 2010.

But by basically now making it very difficult to see how the Lib Dems can ever now go into a coalition with the party responsible for that ad, Labour is saying "we must win a majority in 2015" – or decide to try and run a minority government.

The latter would probably last until autumn – when after a no confidence vote, the Tories, well-funded, basking in the difficulties thrown up by Labour running a minority government for six months and with a new leader (step forward, Boris) – will streak home again in a second general election. So, it all comes down to – can Labour win a majority at the first time of asking in May 2015?

Lucky Generals is named after the Napoleonic quote - "I have plenty of clever generals but just give me a lucky one". Ed Miliband must hope he is just such a lucky general. But to all those in the Lib Dems railing at the PEB and gnashing their teeth, can I suggest an alternative Napoleonic quote? "Never interrupt your enemy when he is making a mistake."

Richard Morris blogs at A View From Ham Common, which was named Best New Blog at the 2011 Lib Dem Conference

Richard Morris blogs at A View From Ham Common, which was named Best New Blog at the 2011 Lib Dem Conference

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Even before Brexit, immigrants are shunning the UK

The 49,000 fall in net migration will come at a cost.

Article 50 may not have been triggered yet but immigrants are already shunning the UK. The number of newcomers fell by 23,000 to 596,000 in the year to last September, with a sharp drop in migrants from the EU8 states (such as Poland and the Czech Republic). Some current residents are trying their luck elsewhere: emigration rose by 26,000 to 323,000. Consequently, net migration has fallen by 49,000 to 273,000, far above the government's target of "tens of thousands" but the lowest level since June 2014.

The causes of the UK's reduced attractiveness are not hard to discern. The pound’s depreciation (which makes British wages less competitive), the spectre of Brexit and a rise in hate crimes and xenophobia are likely to be the main deterrents (though numbers from Romania and Bulgaria remain healthy). Ministers have publicly welcomed the figures but many privately acknowledge that they come at a price. The OBR recently forecast that lower migration would cost £6bn a year by 2020-21. As well as reflecting weaker growth, reduced immigration is likely to reinforce it. Migrants pay far more in tax than they claim in benefits, with a net contribution of £7bn a year. An OBR study found that with zero net migration, public sector debt would rise to 145 per cent of GDP by 2062-63, while with high net migration it would fall to 73 per cent.

Earlier this week, David Davis revealed the government's economic anxieties when he told a press conference in Estonia: "In the hospitality sector, hotels and restaurants, in the social care sector, working in agriculture, it will take time. It will be years and years before we get British citizens to do those jobs. Don’t expect just because we’re changing who makes the decision on the policy, the door will suddenly shut - it won’t."

But Theresa May, whose efforts to meet the net migration target as Home Secretary were obstructed by the Treasury, is determined to achieve a lasting reduction in immigration. George Osborne, her erstwhile adversary, recently remarked: "The government has chosen – and I respect this decision – not to make the economy the priority." But in her subsequent interview with the New Statesman, May argued: "It is possible to achieve an outcome which is both a good result for the economy and is a good result for people who want us to control immigration – to be able to set our own rules on the immigration of people coming from the European Union. It is perfectly possible to find an arrangement and a partnership with the EU which does that."

Much depends on how "good" is defined. The British economy is resilient enough to endure a small reduction in immigration but a dramatic fall would severely affect growth. Not since 1997 has "net migration" been in the "tens of thousands". As Davis acknowledged, the UK has since become dependent on high immigration. Both the government and voters may only miss migrants when they're gone.

George Eaton is political editor of the New Statesman.