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Saturday, 13th November 2010

Whatever happened to Labour's economic message?

Peter Hoskin 3:42pm

For some weeks now, Labour have struggled to project a clear voice on the economy. You can see what they've been trying to do: pitch themselves as an alternative to immediate, deeper cuts, whilst also accepting the requirement to deal with the deficit. But, as I've said before, this all too often comes across as nervous equivocation; a kind of "on the one hand, on the other hand" stuttering that won't persuade many observers either way. You sense that Team Miliband have tried to correct this in recent weeks, with a few punchier performances, but, even then, mistakes and deceptions have greased into their offering.

Anyway, I mention this because Alan Johnson's interview with the Times (£) today only adds to the confusion. The New Statesman's Mehdi Hasan has already highlighted the two key passages, but they're worth repeating here. First up:

"The former cabinet minister insists he is actually an instinctive cutter."
And then Johnson adds:
"I am only backing 50p [top rate of tax] for the times we are in. It is not ideal; five years ago (we) wouldn't have done it. Our policy has to be based on fairness and what encourages people to do well."
From the perspective of the right, this is sensible talk from Johnson: cutters have a privileged place in our politics, and the 50p tax rate is not a policy for the long-term. But it does present his party with one or two problems. One of Labour's favourite attacks is that the Tories are cutting for the sheer enjoyment of it, but how does that work when their own shadow chancellor is an "instinctive cutter"? And how does Johnson's attitude to 50p chime with his Ed Miliband's claim that he would "keep the 50p rate permanently"? Opposition never promised to be straightforward, but Labour are only making it more difficult for themselves.

Filed under: Alan Johnson (65 more articles) , Coalition (1903 more articles) , Economy (900 more articles) , Ed Miliband (636 more articles) , Labour (2034 more articles) , Public finances (712 more articles) , Spending cuts (601 more articles) , UK politics (4967 more articles)

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Comments Post comment

GeoffH

November 13th, 2010 4:03pm Report this comment

I think we should offer up thanks that AJ will never actually be the *real* Chancellor of the Exchequer.

R.McGeddon

November 13th, 2010 4:40pm Report this comment

After yet another incredible Labour economic mess, there is no such thing as a credible Labour economic message.

TrevorsDen

November 13th, 2010 5:05pm Report this comment

Labour want to pretend there is no need for cuts and even if there were theirs would be better easier softer than the govts.

Even if there were cuts they are not labour's fault and really since Gordon Brown was so wonderful everything bad is clearly the govts fault.

lescam

November 13th, 2010 5:58pm Report this comment

Labour; "Our cuts are better than yours"
Coalition; "No, our cuts are better than yours"

A plague on both of them.

GDT

November 13th, 2010 6:17pm Report this comment

It went "tits up" in about 2001 I believe.

Edward McLaughlin

November 13th, 2010 7:58pm Report this comment

"Whatever happened to Labour's economic message?"

Right now, it's just being dealt with by responsible adults.

Paddy

November 13th, 2010 8:11pm Report this comment

"Whatever happened to Labours economic message".

Have they got one!

Robert Eve

November 13th, 2010 10:21pm Report this comment

The important thing is the cuts continue.

niffy nog

November 13th, 2010 11:50pm Report this comment

http://www.ifs.org.uk/publications/5354

Roger Davies

November 14th, 2010 8:33am Report this comment

Cuts? More like brushes with a feather. The real issue is real jobs that make stuff to export to reduce, or even reverse, the balance of payments deficit. That means reducing taxes to stimulate investment. I see nothing in this package, other than hope, to address this matter.

libertarian

November 14th, 2010 9:57am Report this comment

Erm, don't know if any one has noticed but so far there hasn't actually been any cuts. Government are still pi**ing our money away on nothing in particular. More quango's to come too.

All this goes to show is that politicians of all parties talk nonsense. All sound bites and yah boo stuff. None have them have the guts to implement the real solutions to our problem. Which is simply a wholesale cull of the political class from top to bottom. To remove anyone earning £15k or less from income tax altogether, to remove all of the ludicrous employment red tape, hold a referendum on the EU, and let SME's create jobs and wealth

Clear Memories

November 14th, 2010 10:44am Report this comment

Those this financial illiterate would have us believe Labours are the Party of Cuts?

He's just as bad at English as Maths, having missed the 'n' out of the word that would truly define them accurately!

John Goode

November 14th, 2010 11:43am Report this comment

I'm undecided as to whether the Labour Party is financially incompetent, delusional or deceitful.

Their rhetoric seems to indicate that they have no idea about the difference between the Annual Budget Deficit(£149bn per annum predicted for 2010 by the ONS) and the National Debt (£0.9 Trillion on-balance sheet and anywhere between £4 to 8 Trillion including off-balance sheet items). This could be unintentional indicating gross incompetence or intentional indicating deceitfulness or delusion on a grand scale.

Every member of the parliamentary labour party should be required (at their OWN expense) to pass a basic bookkeeping and a GCSE level economics course before being allowed to continue.

ollie

November 14th, 2010 12:59pm Report this comment

I just wonder how long it will be before the vast majority start realising what Labour are, and their polling plummets.

There are good reasons why Labour were unelectable all those years - and they appear to be embracing those reasons all over again.

Ed Miliband and Alan Johnson would seal this country's fate in a heartbeat - a third world backwater with hyper inflation and command and control economics.

They are a menace that must not ever again get a sniff of government.

PuppetMaster

November 14th, 2010 1:56pm Report this comment

Maybe a more important question is, why hasn't Cameron cut the 50p tax rate, given that he knows it will raise less money than a lower rate?
There is no chance of the country being saved with this kind of cowardice, but we could say the same thing about the taxes on electricity and gas, under the climate change act. Countless businesses will close down, thousands of old people will die.
Those whom the gods wish to destroy ....

dorothy wilson

November 14th, 2010 7:47pm Report this comment

On last week's Channel 4 programme on the financial mess we are in Johnson was asked what the size of the debt was. He didn't seem to have any idea.

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