finance

Drawing battle lines with Labour over green policies is risky strategy


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Good morning. Rishi Sunak is preparing the ground to water down some of his green policies, saying that hitting the UK’s net zero carbon emissions target has to be done in a “proportionate and pragmatic” way. Strategic master stroke or political blunder? Some thoughts on that question in today’s note.

Inside Politics is edited by Georgina Quach. Follow Stephen on Twitter @stephenkb and please send gossip, thoughts and feedback to insidepolitics@ft.com

Less than net zero

Keir Starmer and Rishi Sunak have something in common: the things they’ve said and done since last week’s by-elections aren’t that different from what they would have said or done had things gone differently in Uxbridge and South Ruislip.

If Labour had won Uxbridge, Starmer would have arrived at the party’s national policy forum to hammer out some outlines of Labour’s manifesto with the message “we’re on the right track, don’t let talk of tax rises ruin it”. Instead, he told members “don’t let what happened with us in Uxbridge happen to us nationally”. Not so much about clever strategy or the result working in his favour: just about what his only available message was.

Similarly, if Sunak had lost all three by-elections, he would have faced a party in a state of panic. (I never buy the talk that defeat is “priced in”. In my experience, MPs “price in” signs they are going to lose their seat in the same way the rest of us “price in” the fact that we are going to die one day: we still have a tendency to freak out when it happens.) He would have faced pressure to change approach.

As with Starmer, however, Sunak isn’t facing much pressure to do things he doesn’t want to do. The prime minister is not particularly attached to the government’s net zero aims and he is not going to be weeping over his Coca-Cola about watering them down. That is one reason why he is signalling his willingness to soften the government’s green policies.

But both leaders are taking risks here, too. As regular readers of the newsletter will know, I think Labour’s vulnerabilities on tax are real and the Labour leadership is right to worry about them. But the risk in seeking to neutralise one set of problems is that it comes at the price of making it seem as if Starmer wouldn’t change anything at all.

As listeners to our podcast will know, I don’t think either party needs to take a special lesson from the Uxbridge by-election. It’s an old, old story: voters don’t like bearing costs, which is one reason why most governments do their painful tax rises (or spending cuts) at the start of a parliament. I think, too, that it would be a particular mistake for the Conservatives to see what happened as a signal to move away from green policies.

Green policies are like almost everything in British politics — voters like the idea of the product, but they often recoil when they have to pay the price. As many of the prices in question feel quite a long way off — even those coming fairly soon, such as the 2030 target to ban the sale of new petrol and diesel cars, or the 2035 one for all new cars and vans to be fully zero emission at the tailpipe — I don’t think the Conservatives have much to gain from watering them down.

Added to that, all these policies have expiry dates after not only the end of this parliament but also the next one. So they are exactly what Labour needs, given the party’s reluctance to talk about big spending in the next parliament: these are policies with which Labour can differentiate itself from the Conservatives, without having to have a difficult conversation about the next set of budgets.

The biggest reason not to water down the UK’s green policies is the need to decarbonise. But another reason, if you’re Rishi Sunak, is it might just hand Keir Starmer a weapon he badly needs.

Now try this

This week, I mostly listened to Ludwig Göransson’s marvellous score for Oppenheimer while writing my column. Göransson gave a fascinating interview about the soundtrack and his creative process to Curzon Cinemas’ in-house magazine, which you can read here.

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