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Tag Archives: David Axelrod

Why is Labour always offering too little, too late?

01 Thursday May 2014

Posted by Mike Sivier in Benefits, Business, Children, Conservative Party, Cost of living, Disability, Economy, Employment, Employment and Support Allowance, European Union, Housing, Immigration, Labour Party, Liberal Democrats, People, Politics, Poverty, Tax, UK, Utility firms

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abuse, advisor, allowance, Andrew Lansley, assessment, BBC, benefit, Britain, build, business rate, cap, childcare, Coalition, Conservative, David Axelrod, Democrat, Ed Miliband, election, electricity, employment, energy, ESA, gas, home, house, housing, Income Tax, job guarantee, Labour, Lib Dem, Liberal, living, make work pay, migrant, minimum, National Health Service, NHS, price freeze, prosper, rent, rent cap, support, Tories, Tory, toxic, transform, wage, work, zero hour contract


Announcement or admission: Labour's announcement, as it appeared on Facebook.

Announcement or admission: Labour’s announcement, as it appeared on Facebook.

A future Labour government would cap rent increases, the party has announced – around a year and a half late.

The Coalition government has chosen to keep Housing Benefit down by making it the first payment to be reduced as part of the benefit cap, and Labour’s announcement should rightly be seen as a response to this.

But the benefit cap was announced in the mists of history, back in 2012 or thereabouts, so why has Labour only just got around to telling us its counter-proposal? The rest of us were screaming it from the rooftops at the time.

Coming so late, it seems less that this policy has been announced, and more that it has been admitted.

Perhaps this is the influence of new election advisor David Axelrod, and maybe it signals the start of regular announcements in the run-up to the general election next year. If so, this would go some way towards saving Ed Miliband’s blushes.

Certainly today we were presented with a 10-step ‘cost of living’ contract, stuffed with promises Labour has made to help beleaguered consumers keep prices down – and these are (mostly) good steps.

First is the popular scheme to freeze gas and electricity bills while the energy market is reformed.

Then there’s Labour’s plan to have 200,000 new homes built every year by 2020, relieving the housing shortage and lowering the cost of a new home.

Next comes the rent cap, plus a pledge to help families that rent plan for the future with new, long-term, predictable tenancies.

There’s the pledge to cut income tax with a 10p starting tax rate. This may be seen as an admission that Labour’s decision to end the original 10p tax rate (even though I seem to recall it was intended to be temporary) was a mistake. But isn’t it better to admit our mistakes, put them right, and move on? The plan to restore the 50p top rate has been lambasted by posh Tories and business executives, who say it won’t achieve anything (they would, wouldn’t they?) but is a good symbolic gesture.

Fifth is a pledge to ban zero-hour contracts altogether. This may seem problematic, as the evidence shows that there are working people who benefit from these contracts’ flexibility. The trouble is that unscrupulous firms were using these contracts to exploit workers who deserved better from them. Labour’s attitude – that these firms will have to manage without them if they won’t use them properly – is a bit ‘nannyish’ but makes a strong point.

Then comes Labour’s pledge to “Make work pay”. Some may criticise the use of words that have been tainted by Conservative spin. The Tories want you to believe that they’ll “make work pay” by cutting out-of-work and in-work benefits, but we all know that this won’t make anybody better-off; quite the opposite. Labour’s idea is to boost the minimum wage and encourage firms that are able, to increase their pay rates to the Living Wage, cutting the benefit bill that way.

Seventh is a little-known plan to cut business rates and make banks lend to small businesses (at least, that’s the only interpretation of “reforming the banks” that makes any sense in this context).

There’s a pledge to give working parents 25 hours’ free childcare (presumably this is per week) for kids aged three and four, and one to tackle abuses of immigrant workers by banning recruitment agencies that only hire people from abroad and pushing Europe for stronger controls. This would present problems for the Conservative-run NHS, as the BBC News has just announced that it is recruiting heavily from Portugal!

Finally we have the weakest promise – the job guarantee for the young unemployed, coupled with more apprenticeships. This has been met with opposition from the very people who were expected to welcome it, as it seems nobody outside the Labour front bench believes it has the remotest chance of success.

Unmentioned is Labour’s plan to change the assessment system for sickness and disability benefit ESA, which earned instant toxicity because it sports only cosmetic differences from the current Conservative scheme that has been fatal for thousands. The plan was announced at around the same time as a Labour inquiry into these benefits called for preventative investment that the party leadership is unwilling to countenance, and a group of mostly-disabled people called Spartacus provided a far more enlightening overview of the problems with the benefit, and the steps needed to remedy them, that clashed with what Labour is saying.

More concerning still is the fact that all of these measures are responses to Coalition policies that have harmed people during the course of this Parliament – or situations that the Tories and Tory Democrats have allowed to continue because they support the overall plan.

Where is the inspiration to transform Britain and return prosperity to everybody, rather than limiting it to people who own smart suits and big houses? When can we expect a hint that this is coming?

Unless you are one of the aforementioned people with smart suits and big houses, the Conservatives sidled into government with a plan to diddle you out of as many of your Parliament-supported rights, privileges and benefits as they could possibly fit into a five-year term in office, all the while telling you it was for your own good.

As you can tell from today’s previous Vox Political article, that has gone astonishingly well for them.

Of course, the Tories didn’t announce this plan, because they knew it would turn the electorate away in their millions – the classic example of this in practice is the way Andrew Lansley was forbidden from mentioning his privatisation plan for the National Health Service, as this would be toxic to the Tory election campaign.

But times have changed. People are suffering. They need Labour to offer something more than a promise to rub ointment on their wounds.

They want to see Labour turn the tables on the Tories. And they want to know how that’s to be achieved.

Saying Labour will “transform Britain” won’t work as we’ve all heard about such miraculous transformations before, and they have always benefited the suit-and-house people.

So come on, Ed.

When can we have it?

Follow me on Twitter: @MidWalesMike

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