Ed Miliband takes questions at the Policy Network Conference held in the Science Museum on July 3, 2014. Photograph: Getty Images.
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As its poll lead holds, Labour is divided – between those who fear defeat and those who fear victory

The party could inherit a state that, in parts, is on the brink of collapse. 

When Ed Miliband declared before his meeting with Barack Obama at the White House, “I am going because I want to be prime minister of Britain in less than ten months,” he spoke with the conviction of a man who fully believes that he will be. The Labour leader’s self-confidence bewilders those in his party who predict that they will lose in May 2015, but it cannot be dismissed as delusional.

For the fourth summer in a row, the opposition has entered the parliamentary recess ahead in the polls and in the marginal seats that will determine the general election result. There is ill-disguised outrage among Conservatives and parts of the media that Miliband has made it this far. Those who regard him as unfit even to be leader of the opposition find it too painful to contemplate him in Downing Street.

Others, absorbing the data, are adjusting to the prospect of a Labour victory. When I told one Conservative MP that Miliband believes the press onslaught against him is motivated by the fear that he will win, not the belief that he will lose, he replied: “That’s exactly right.” The public admission by the Energy Secretary, Ed Davey, that he is planning for negotiations with Labour in a hung parliament offered an insight into the calculations that many Liberal Democrats are making in private. Others are preparing to flee Westminster. There is no mystery as to why Dan Byles, the Conservative MP for North Warwickshire (with a majority of just 54), has become the eighth Tory elected in 2010 to announce that he will not defend his seat.

After 16 months of economic recovery, with GDP surpassing its pre-crisis peak, some Tories expected to have eroded Labour’s advantage by now. But their ratings, like the public’s wages, are flatlining. After briefly drawing level with inflation earlier this year, average earnings are now rising at the slowest rate since comparable records began in 2001. It is partly for this reason that, while trailing on economic management, Labour continues to lead as the party that would most improve living standards. David Axelrod, the Obama strategist hired by Labour, has noted with hope that this is the trend seen during the US president’s defeat of Mitt Romney in 2012.

Yet the moroseness among Labour’s ranks reflects the awareness that the party’s lead has more to do with antipathy for the Conservatives and the Lib Dems than sympathy for the opposition. “The most depressing thing is when people say, ‘We’re just voting for you to stop the Tories,’ ” an MP told me.

Others are finding alternative receptacles for their discontent. Michael Ashcroft’s most recent marginals poll found that Ukip is now in first place in Thurrock (Labour’s number-two target seat) and Thanet South (where Nigel Farage will likely soon announce his candidacy). The Greens are polling at their highest level since 1989. If the election produces a second successive hung parliament for the first time since 1910, it is this fracturing of the anti-government vote that will explain why.

The shared hope of Labour and Tory strategists is that voters will view the election as a binary choice between their two parties. But this summer, both will find themselves on the same side as they unite against Scottish independence. The possibility that the country could vote to secede from the UK on 18 September, after 307 years of union, makes the outcome of the general election appear almost trivial by comparison. But after a significant wobble early this year, Better Together campaigners are increasingly confident of victory, if less certain of achieving the double-digit win they believe is necessary to avoid a “neverendum”.

Most Conservatives are sincere unionists but some privately reflect that another opportunity to tilt the electoral landscape in their favour will have been missed. After the earlier defeat of the proposed boundary changes, Labour will now retain its 41 MPs north of the border (a figure certain to increase next year), while the Tories keep an electorally worthless one.

Provided that Scotland votes against secession, attention will shift to the least predictable election since 1992. Unusually, all three of the main party leaders will be able to tell his autumn conference, with a straight face, to “prepare for government”. But all fear what victory would bring.

For the Tories, it would mean an in/out referendum on the EU that could split the party as no issue has since the repeal of the Corn Laws. For Labour, it could mean inheriting a state that, in parts, is on the brink of collapse: a bankrupt NHS, an imploding housing market (forcing a precipitous rise in interest rates) and a prison system at full capacity, combined with the requirement to accelerate the deepest public-service cuts since the war, or raise taxes by an equivalent amount. “Sometimes I worry more about winning than losing,” one Labour frontbencher tells me.

Others fear an electoral outcome that creates a new crisis of legitimacy for Westminster: the Tories winning the most votes but Labour the most seats; the Lib Dems having fewer voters than Ukip but four times as many MPs; a parliament so hung that neither Labour nor the Tories can form a majority government, even with Lib Dem support. Some MPs are preparing for the possibility of a second general election that perhaps only the Conservatives would have the financial resources to fight adequately.

When not battling each other, all of the parties face a collective struggle to maintain relevance in an age of voter alienation. To most people, Westminster is the place where ignorant armies clash at night. Both Labour and the Tories, the two great tribes that once commanded 97 per cent of the vote between them, will be lucky to scrape home with much more than a third each. In this war of the weak, even the winner could end up feeling like a loser. 

George Eaton is political editor of the New Statesman.

This article first appeared in the 23 July 2014 issue of the New Statesman, Summer Double 2014

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The Brexit Beartraps, #2: Could dropping out of the open skies agreement cancel your holiday?

Flying to Europe is about to get a lot more difficult.

So what is it this time, eh? Brexit is going to wipe out every banana planet on the entire planet? Brexit will get the Last Night of the Proms cancelled? Brexit will bring about World War Three?

To be honest, I think we’re pretty well covered already on that last score, but no, this week it’s nothing so terrifying. It’s just that Brexit might get your holiday cancelled.

What are you blithering about now?

Well, only if you want to holiday in Europe, I suppose. If you’re going to Blackpool you’ll be fine. Or Pakistan, according to some people...

You’re making this up.

I’m honestly not, though we can’t entirely rule out the possibility somebody is. Last month Michael O’Leary, the Ryanair boss who attracts headlines the way certain other things attract flies, warned that, “There is a real prospect... that there are going to be no flights between the UK and Europe for a period of weeks, months beyond March 2019... We will be cancelling people’s holidays for summer of 2019.”

He’s just trying to block Brexit, the bloody saboteur.

Well, yes, he’s been quite explicit about that, and says we should just ignore the referendum result. Honestly, he’s so Remainiac he makes me look like Dan Hannan.

But he’s not wrong that there are issues: please fasten your seatbelt, and brace yourself for some turbulence.

Not so long ago, aviation was a very national sort of a business: many of the big airports were owned by nation states, and the airline industry was dominated by the state-backed national flag carriers (British Airways, Air France and so on). Since governments set airline regulations too, that meant those airlines were given all sorts of competitive advantages in their own country, and pretty much everyone faced barriers to entry in others. 

The EU changed all that. Since 1994, the European Single Aviation Market (ESAM) has allowed free movement of people and cargo; established common rules over safety, security, the environment and so on; and ensured fair competition between European airlines. It also means that an AOC – an Air Operator Certificate, the bit of paper an airline needs to fly – from any European country would be enough to operate in all of them. 

Do we really need all these acronyms?

No, alas, we need more of them. There’s also ECAA, the European Common Aviation Area – that’s the area ESAM covers; basically, ESAM is the aviation bit of the single market, and ECAA the aviation bit of the European Economic Area, or EEA. Then there’s ESAA, the European Aviation Safety Agency, which regulates, well, you can probably guess what it regulates to be honest.

All this may sound a bit dry-

It is.

-it is a bit dry, yes. But it’s also the thing that made it much easier to travel around Europe. It made the European aviation industry much more competitive, which is where the whole cheap flights thing came from.

In a speech last December, Andrew Haines, the boss of Britain’s Civil Aviation Authority said that, since 2000, the number of destinations served from UK airports has doubled; since 1993, fares have dropped by a third. Which is brilliant.

Brexit, though, means we’re probably going to have to pull out of these arrangements.

Stop talking Britain down.

Don’t tell me, tell Brexit secretary David Davis. To monitor and enforce all these international agreements, you need an international court system. That’s the European Court of Justice, which ministers have repeatedly made clear that we’re leaving.

So: last March, when Davis was asked by a select committee whether the open skies system would persist, he replied: “One would presume that would not apply to us” – although he promised he’d fight for a successor, which is very reassuring. 

We can always holiday elsewhere. 

Perhaps you can – O’Leary also claimed (I’m still not making this up) that a senior Brexit minister had told him that lost European airline traffic could be made up for through a bilateral agreement with Pakistan. Which seems a bit optimistic to me, but what do I know.

Intercontinental flights are still likely to be more difficult, though. Since 2007, flights between Europe and the US have operated under a separate open skies agreement, and leaving the EU means we’re we’re about to fall out of that, too.  

Surely we’ll just revert to whatever rules there were before.

Apparently not. Airlines for America – a trade body for... well, you can probably guess that, too – has pointed out that, if we do, there are no historic rules to fall back on: there’s no aviation equivalent of the WTO.

The claim that flights are going to just stop is definitely a worst case scenario: in practice, we can probably negotiate a bunch of new agreements. But we’re already negotiating a lot of other things, and we’re on a deadline, so we’re tight for time.

In fact, we’re really tight for time. Airlines for America has also argued that – because so many tickets are sold a year or more in advance – airlines really need a new deal in place by March 2018, if they’re to have faith they can keep flying. So it’s asking for aviation to be prioritised in negotiations.

The only problem is, we can’t negotiate anything else until the EU decides we’ve made enough progress on the divorce bill and the rights of EU nationals. And the clock’s ticking.

This is just remoaning. Brexit will set us free.

A little bit, maybe. CAA’s Haines has also said he believes “talk of significant retrenchment is very much over-stated, and Brexit offers potential opportunities in other areas”. Falling out of Europe means falling out of European ownership rules, so itcould bring foreign capital into the UK aviation industry (assuming anyone still wants to invest, of course). It would also mean more flexibility on “slot rules”, by which airports have to hand out landing times, and which are I gather a source of some contention at the moment.

But Haines also pointed out that the UK has been one of the most influential contributors to European aviation regulations: leaving the European system will mean we lose that influence. And let’s not forget that it was European law that gave passengers the right to redress when things go wrong: if you’ve ever had a refund after long delays, you’ve got the EU to thank.

So: the planes may not stop flying. But the UK will have less influence over the future of aviation; passengers might have fewer consumer rights; and while it’s not clear that Brexit will mean vastly fewer flights, it’s hard to see how it will mean more, so between that and the slide in sterling, prices are likely to rise, too.

It’s not that Brexit is inevitably going to mean disaster. It’s just that it’ll take a lot of effort for very little obvious reward. Which is becoming something of a theme.

Still, we’ll be free of those bureaucrats at the ECJ, won’t be?

This’ll be a great comfort when we’re all holidaying in Grimsby.

Jonn Elledge edits the New Statesman's sister site CityMetric, and writes for the NS about subjects including politics, history and Brexit. You can find him on Twitter or Facebook.