The Scotland Office at Dover House in Whitehall.
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Exclusive: Senior Labour figures push for government departments to be scrapped

Shadow cabinet members believe the the Scotland, Wales and Northern Ireland Offices and the Department for Culture, Media and Sport should go. 

If Labour enters power in 2015, with a binding target to eliminate the current deficit by 2020 and to reduce the national debt as a proportion of GDP, it will need to enact dramatic reform of the state. As policy review head Jon Cruddas noted in his speech on "one nation statecraft" in June, "Labour will inherit a state that in many areas has reached the limit of its capacity to cut without transformational change to the system."

This means devolving power downwards from Whitehall and reorienting services such as the NHS around prevention rather than just cure. It could also mean an even more radical step: abolishing entire government departments. Several shadow cabinet ministers have told me that they are actively pushing the idea as a means of saving money and of enhancing Labour's fiscal credibility. One influential member cited the Scotland, Wales and Northern Ireland Offices and the Department for Culture, Media and Sport as examples of those that could be cut entirely, with DEFRA also vulnerable. I'm told that shadow chief secretary to the Treasury Chris Leslie is exploring the proposal as part of Labour's zero-based review of public spending but that there are "interests that need to be appeased". Those who currently shadow the relevant departments may, understandably, be less keen on the idea. 

But with further devolution to Scotland (in the event of a No vote) and Wales regarded as inevitable, many inside and outside of Labour believe the offices should be consolidated into one Office for Devolved Administrations with shadow ministers of states representing the different nations. As one MP pointed out to me, the party currently has a shadow minister for London, in the form of Sadiq Khan, but no one is proposing creating a London Office. 

One of the notable omissions of David Cameron's time in power has been any significant attempt to reform the machinery of government, with no departments merged or scrapped. By taking up this agenda, Labour could blindside the Tories and demonstrate how it would seek to do more with less. 

George Eaton is political editor of the New Statesman.

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Inside a shaken city: "I just want to be anywhere that’s not Manchester”

The morning after the bombing of the Manchester Arena has left the city's residents jumpy.

On Tuesday morning, the streets in Manchester city centre were eerily silent.

The commuter hub of Victoria Station - which backs onto the arena - was closed as police combed the area for clues, and despite Mayor Andy Burnham’s line of "business as usual", it looked like people were staying away.

Manchester Arena is the second largest indoor concert venue in Europe. With a capacity crowd of 18,000, on Monday night the venue was packed with young people from around the country - at least 22 of whom will never come home. At around 10.33pm, a suicide bomber detonated his device near the exit. Among the dead was an eight-year-old girl. Many more victims remain in hospital. 

Those Mancunians who were not alerted by the sirens woke to the news of their city's worst terrorist attack. Still, as the day went on, the city’s hubbub soon returned and, by lunchtime, there were shoppers and workers milling around Exchange Square and the town hall.

Tourists snapped images of the Albert Square building in the sunshine, and some even asked police for photographs like any other day.

But throughout the morning there were rumours and speculation about further incidents - the Arndale Centre was closed for a period after 11.40am while swathes of police descended, shutting off the main city centre thoroughfare of Market Street.

Corporation Street - closed off at Exchange Square - was at the centre of the city’s IRA blast. A postbox which survived the 1996 bombing stood in the foreground while officers stood guard, police tape fluttering around cordoned-off spaces.

It’s true that the streets of Manchester have known horror before, but not like this.

I spoke to students Beth and Melissa who were in the bustling centre when they saw people running from two different directions.

They vanished and ducked into River Island, when an alert came over the tannoy, and a staff member herded them through the back door onto the street.

“There were so many police stood outside the Arndale, it was so frightening,” Melissa told me.

“We thought it will be fine, it’ll be safe after last night. There were police everywhere walking in, and we felt like it would be fine.”

Beth said that they had planned a day of shopping, and weren’t put off by the attack.

“We heard about the arena this morning but we decided to come into the city, we were watching it all these morning, but you can’t let this stop you.”

They remembered the 1996 Arndale bombing, but added: “we were too young to really understand”.

And even now they’re older, they still did not really understand what had happened to the city.

“Theres nowhere to go, where’s safe? I just want to go home,” Melissa said. “I just want to be anywhere that’s not Manchester.”

Manchester has seen this sort of thing before - but so long ago that the stunned city dwellers are at a loss. In a city which feels under siege, no one is quite sure how anyone can keep us safe from an unknown threat

“We saw armed police on the streets - there were loads just then," Melissa said. "I trust them to keep us safe.”

But other observers were less comforted by the sign of firearms.

Ben, who I encountered standing outside an office block on Corporation Street watching the police, was not too forthcoming, except to say “They don’t know what they’re looking for, do they?” as I passed.

The spirit of the city is often invoked, and ahead of a vigil tonight in Albert Square, there will be solidarity and strength from the capital of the North.

But the community values which Mancunians hold dear are shaken to the core by what has happened here.

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