EXCLUSIVE: Labour austerity could push voters to the far-right, John McDonnell claims

The former shadow chancellor praised the government's programmed but warned about the risks of pursuing austerity

John McDonnell speaking at a lectern outdoors

Voters could be pushed towards the far-right if the Labour government pursues austerity policies, the former shadow chancellor John McDonnell. McDonnell made he comments in an interview with Left Foot Forward at this year’s Trades Union Congress currently taking place in Brighton.

Speaking to Left Foot Forward, McDonnell gave his verdict on the record of the first two months of the new Labour government. He heaped praise on some core planks of the government’s agenda, specifically: “Rail renationalisation, the trade union rights agenda that’s been put forward, some of the issues around the energy proposals, as well tackling climate change”.

According to McDonnell, “that’s a fantastic record that’s driving through”, adding that this, in addition to the government’s housing programme is “really welcome” and “refreshing”.

Despite this praise for the early programme of the Labour government, McDonnell went on to warn against aspects of the government’s agenda – specifically those he branded ‘austerity’. He went so far as to say that implementing austerity measures could drive voters towards the far-right.

McDonnell told Left Foot Forward: “The problem I’ve got is that if we introduce all of these, we get huge support in terms of our own members of the Labour and trade union movement and from people outside as well, we’ll undermine that support by reintroducing austerity.

“We’ve said time and time again that austerity is a political choice, it’s not an economic necessity. If we keep on coming through with proposals like scrapping the Winter Fuel Allowance, no tackling the two child [benefit] limit, it will disillusion our own support. And that support could go to the far-right.”

McDonnell spoke to Left Foot Forward in advance of a crucial vote in parliament on cuts to the Winter Fuel Allowance. Dozens of Labour MPs are expected to abstain on the measure – one of the government’s major economic policies. McDonnell was clear that he would be voting against it. He told Left Foot Forward: “I’ll be voting against. I’ve told the government unless they bring forward something significant and serious, I’ll be voting against.”

McDonnell currently has the Labour whip suspended after voting for an SNP amendment which called for the scrapping of the two child benefit cap earlier this year. He acknowledged that voting against cuts to the Winter Fuel Allowance may make his case to be readmitted to the Parliamentary Labour Party more challenging, saying “I think [the whips] will use it in their review of our six month suspension. But that’s not the issue. The issue for me is to try and get some understanding within the Labour frontbench that while you’re doing all these good things, please don’t undermine it. In my community, after 14 years of austerity, we can’t cope with any more.”

Despite his criticism of elements of the Labour programme, and his acknowledgement that there is no guarantee that he will regain the Labour whip, McDonnell remains clear that he supports the Labour government and sees his future as within the Labour Party. While his long-time friend and political ally Jeremy Corbyn stood against Labour in the 2024 general election and now sits in a parliamentary group with other independent MPs, McDonnell has no intention of joining them. Indeed, he says that Corbyn should return to the Labour fold.

“I’m a Labour Member of Parliament, I was elected as a Labour Member of Parliament, I’ve been a Labour member for 50 years,” McDonnell said, adding: “If Keir Starmer had been more magnanimous and allowed Jeremy to stand as a Labour MP and allowed the Islington North members to decide who their candidate was, he’d be a Labour MP today and he’d want to be as well. And I think it was just a huge mistake from Keir.”

Chris Jarvis is head of strategy and development at Left Foot Forward

Image credit: Garry Knight – Creative Commons

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