Labour's referendum u-turn is looking ever more likely

Many opposition MPs are persuaded by the case for making a virtue of necessity: resolve the issue and expose Tory divisions.

One consequence of Labour’s great frothy row over trade union influence is that yesterday’s parliamentary parade of Europhobia was bumped down the news agenda.

The vote on the first reading of a private member’s bill calling for an in/out referendum on EU membership was numerically if not politically rather dramatic. It was carried by 304 votes to nil. That means there will be another reading. So the charade gets to be played through another round. These bills become law extremely rarely and this one in particular proposes legislating for something that would happen after the next election, thereby binding a future parliament, which is constitutionally impossible.

The real point of the exercise is to give Conservative MPs the chance to boast to their constituents that they voted for a referendum in parliament and that Labour didn’t. This, it is hoped, will reinforce the message that the only way to get a say in whether Britain stays in the EU or not is to vote Tory. A vote for Ukip, say anxious Conservatives, is a de facto vote for Ed Miliband. Tory MPs report that this line is proving effective in their local associations. The threat of letting in Labour is the standard way to put a stop to harangues about Europe, gay marriage and all the other things that local Tory members harangue their MPs about.

So some Tories might be disappointed that their legislative stunt was poorly reported yesterday. (Although they won’t be sorry it was bumped in order to make way for lavish reporting of Labour disarray.) Besides, the spectacle of hundreds of Tories packing one side of the Commons chamber while the other one was entirely empty did reinforce the impression that this is a peculiar Tory obsession rather than a moment of great national significance. The mood around parliament in the run-up to the vote felt, in Tory quarters, like the anticipation of a stag party – lots of very hearty, cheery men all feeling immensely bullish and chummy in shared anti-Brussels spirit. If the Conservatives bottled that scent and released it to a wider audience I suspect it would not act as an electoral aphrodisiac.

Meanwhile, many Tories are wondering why Labour has not matched their referendum pledge. Just as many presume they will, and wonder when. (I’ve dealt with the question of whether they should and why they don’t want to here and here.) My sense of the mood in the opposition ranks is that the referendum u-turn has become inevitable. It is still possible to find Labour MPs who vigorously hate the idea, but fewer and fewer think it can be avoided. For that reason, the balance of power is shifting towards those who say the best thing to do is try to divide the Tories by calling for an in/out vote this side of a general election. Then, if it happens, Cameron – who ultimately wants to preserve EU membership – will campaign on the opposite side to many of his members, which could be problematic for party unity.

If Labour did go for that gambit they would certainly have support among hard core eurosceptic Tories. I spoke to one fairly moderate (but sometimes rebellious) Conservative recently who said quite casually that the Eurosceptics would “bank” yesterday’s vote and come back for more. Their plan too is to try to bring the referendum date forward.

Meanwhile, one idea floating around the Labour side is to aim for a referendum on the same day as the 2015 general election. The appeal here is that you get a higher turnout of what one advocate of the plan calls “normal, sensible people” which raises the chances of an “in” vote. And, of course, the Tories have to fight a general election campaign while splitting down the middle on a referendum campaign. Not that the decision is Labour’s to make, but as a plan it has the double virtues of clarity and strategic guile – commodities that have seemed in short supply on the opposition front benches of late. Ed Miliband might be tempted to go for it just because it would get people talking about divisions on the Tory side again instead of his own fracturing party.

Waiting for the leader to make the call. Source: Getty

Rafael Behr is political columnist at the Guardian and former political editor of the New Statesman

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Should London leave the UK?

Almost 60 per cent of Londoners voted to stay in the EU. Is it time for the city to say good by to Brexit Britain and go it alone?

Amid the shocked dismay of Brexit on Friday morning, there was some small, vindictive consolation to be had from the discomfort of Boris Johnson as he left his handsome home in EU-loving Islington to cat-calls from inflamed north London europhiles. They weren’t alone in their displeasure at the result. Soon, a petition calling for “Londependence” had gathered tens of thousands of names and Sadiq Khan, Johnson’s successor as London mayor, was being urged to declare the capital a separate city-state that would defiantly remain in the EU.

Well, he did have a mandate of a kind: almost 60 per cent of Londoners thought the UK would be Stronger In. It was the largest Remain margin in England – even larger than the hefty one of 14 per cent by which Khan defeated Tory eurosceptic Zac Goldsmith to become mayor in May – and not much smaller than Scotland’s. Khan’s response was to stress the importance of retaining access to the single market and to describe as “crucial” London having an input into the renegotiation of the UK’s relationship with the EU, alongside Scotland and Northern Ireland.

It’s possible to take a dim view of all this. Why should London have a special say in the terms on which the UK withdraws from the EU when it ended up on the wrong side of the people’s will? Calling for London to formally uncouple from the rest of the UK, even as a joke to cheer gloomy Inners up, might be seen as vindicating small-town Outer resentment of the metropolis and its smug elites. In any case, it isn’t going to happen. No, really. There will be no sovereign Greater London nation with its own passport, flag and wraparound border with Home Counties England any time soon.

Imagine the practicalities. Currency wouldn’t be a problem, as the newborn city-state would convert to the euro in a trice, but there would be immediate secessionist agitation in the five London boroughs of 32 that wanted Out: Cheam would assert its historic links with Surrey; stallholders in Romford market would raise the flag of Essex County Council. Then there is the Queen to think about. Plainly, Buckingham Palace could no longer be the HQ of a foreign head of state, but given the monarch’s age would it be fair to turf her out?

Step away from the fun-filled fantasy though, and see that Brexit has underlined just how dependent the UK is on London’s economic power and the case for that power to be protected and even enhanced. Greater London contains 13 per cent of the UK’s population, yet generates 23 per cent of its economic output. Much of the tax raised in London is spent on the rest of the country – 20 per cent by some calculations – largely because it contains more business and higher earners. The capital has long subsidised the rest the UK, just as the EU has funded attempts to regenerate its poorer regions.

Like it or not, foreign capital and foreign labour have been integral to the burgeoning of the “world city” from which even the most europhobic corners of the island nation benefit in terms of public spending. If Leaver mentality outside the capital was partly about resentment of “rich London”, with its bankers and big businesses – handy targets for Nigel Farage – and fuelled by a fear of an alien internationalism London might symbolise, then it may prove to have been sadly self-defeating.

Ensuring that London maintains the economic resilience it has shown since the mid-Nineties must now be a priority for national government, (once it decides to reappear). Pessimists predict a loss of jobs, disinvestment and a decrease in cultural energy. Some have mooted a special post-Brexit deal for the capital that might suit the interests of EU member states too – London’s economy is, after all, larger than that of Denmark, not to mention larger than that of Scotland, Wales and Northern Ireland combined – though what that might be and how that could happen remain obscure.

There is, though, no real barrier to greater devolution of powers to London other than the political will of central government. Allowing more decisions about how taxes raised in the capital are spent in the capital, both at mayoral and borough level, would strengthen the city in terms of managing its own growth, addressing its (often forgotten) poverty and enhancing the skills of its workforce.

Handing down control over the spending of property taxes, as set out in an influential 2013 report by the London Finance Commission set up by Mayor Johnson, would be a logical place to start. Mayor Khan’s manifesto pledged to campaign for strategic powers over further education and health service co-ordination, so that these can be better tailored to London’s needs. Since Brexit, he has underlined the value of London securing greater command of its own destiny.

This isn’t just a London thing, and neither should it be. Plans are already in place for other English cities and city regions to enjoy more autonomy under the auspices of directly elected “metro mayors”, notably for Greater Manchester and Liverpool and its environs. One of the lessons of Brexit for the UK is that many people have felt that decisions about their futures have been taken at too great a distance from them and with too little regard for what they want and how they feel.

That lesson holds for London too – 40 per cent is a large minority. Boris Johnson was an advocate of devolution to London when he was its mayor and secured some, thanks to the more progressive side of Tory localism. If he becomes prime minister, it would be good for London and for the country as a whole if he remembered that.  

Dave Hill writes the Guardian’s On London column. Find him on Twitter as @DaveHill.