Labour don't do assassinations, but if they did....

When Ed Miliband was elected Labour leader on the opening day of the party's conference in Manchester in September, a leading Tory blogger delivered a withering verdict on the result.

"They’ve missed out Hague and gone straight to IDS," said Paul Staines, author of the Guido Fawkes blog which, while not exactly impartial in its coverage of the political scene, is not without influence at Westminster.

Staines was, so far as I am aware, the first political pundit to make the comparison between 'Red Ed' and the failed Tory leader Iain Duncan Smith, but he certainly hasn't proved to be the last.

"It may be too early to start talking about Ed Miliband not making it to the next election as Labour leader, but many more performances at PMQs as poor as he put on today and it won’t be long before he’s in IDS territory," said another this week.

Wednesday's Prime Minister's questions should have been a breeze for Mr Miliband with the continuing three-way split in the Liberal Democrats over whether to vote for tuition fees, vote against them or abstain.

On top of that, he had the leaked critique by Bank of England governor Mervyn King describing Prime Minister David Cameron and his Chancellor George Osborne as "out of their depth."

Yet Mr Miliband chose instead to base his attack on another leaked document in which William Hague had described himself, Mr Cameron and Mr Osborne as 'Thatcher's children.'

"I would rather be a child of Thatcher than a son of Brown," the Prime Minister responded, ramming home the open goal to hoots of laughter from the government benches.

For Mr Miliband to attack the coalition for its Thatcherite tendencies was politically inept on so many levels it is hard to know where to start.

To begin with, Mrs Thatcher would not even have contemplated some of the things the coalition is doing, particularly in the area of welfare, so the comparison breaks down at the first hurdle.

But the real problem with referencing Margaret Thatcher in contemporary political debate is the wildly differing reactions she still elicits, even 20 years on from her downfall.

Labour's core voters may still regard her as the devil incarnate - but to many of the swing voters the party needs to win back, she was, and remains, a heroine.

Inevitably, the mounting discontent over Ed's slow start has led to continuing speculation that South Shields MP David Miliband might yet get a second shot at the leadership.

For my part, I can't see it. David may have deserved to get the job in September, but his brother's performance since then is in danger of trashing the entire Miliband brand.

It is simply inconceivable to my mind that, charged with finding another new leader at this stage, the party would replace a failed Miliband with….another Miliband.

Shadow Foreign Secretary Yvette Cooper, who should have stood for the job this time round, is surely in pole position to take over should the opportunity arise.

What will probably save Ed Miliband is that Labour doesn't really do leadership assassinations. They knew Michael Foot was going to lose badly in 1983, yet passed up the chance to put Denis Healey into the job instead.

They probably knew Gordon Brown was going to lose in 2010, but again, they failed to move decisively against him.

The big difference, though, between those two leaders and the current one is that while they, at least to begin with, could claim the support of their own MPs, Mr Miliband was foisted on his by the wider party.

And, of course, there was another recent party leader who found himself in exactly that position. His initials were IDS.

Ed Miliband needs to reform his party first

With his leadership of the Labour Party still barely two months old, it did not take long for talk of plots against Ed Miliband to start crawling out of the Westminster woodwork.

One national daily informed us that David Miliband was standing ready to take over should his younger brother prove a flop in the job he so narrowly beat him to in September.

I doubt very much whether David had anything to do with this 'story.' Indeed, many more stories like it and the South Shields MP will probably have to quit politics altogether, rather than risk becoming a focus for discontent over his brother's leadership.

No, I suspect this story arose, as these things tend to do at Westminster, from a Labour MP speculating idly to a journalist about what might happen if Ed Miliband were to fall under a bus.

But the story was not completely without significance. It demonstrated that some Labour MPs remain far from convinced by Ed, and that the new leader still has a big job on his hands to unite his party.

In that respect, his return from paternity leave at the start of this week came not a moment too soon.

Mr Miliband's announcement on his first day back of wholesale review of Labour policies is a wise move as far as it goes.

Barring an irretrievable bust-up if next May's referendum on the voting system goes against the Lib Dems, the coalition is likely to be in power for five years, and there is thus plenty of time for Labour to reinvent itself.

Furthermore, it is a tactic that has worked successfully for the last two Leaders of the Opposition who have managed to be promoted out of that job into Number Ten – Tony Blair and David Cameron.

Both men used policy reviews as a means of detoxifying their parties in the eyes of voters, Mr Blair from its tax-and-spend image, Mr Cameron from its 'nasty party' tag.

But it doesn't always work. Neil Kinnock launched a similarly wide-ranging review in the 1980s called 'Meet the Challenge, Make the Change', but failed to convince the electorate that Labour had done.

Likewise William Hague's much-vaunted 'Common Sense Revolution' in 1999 served only to reinforce voter perceptions of the Tories at that time as shrill and extremist.

For me, the fate of those two leaders seems to sum up the real difficulty facing Ed Miliband – whether he has the personality to connect with the British public and project a new and compelling vision of what his party stands for.

This is what ultimately distinguishes the successful opposition leaders from those who ultimately failed to make the transition to government.

Personality aside, his other big problem is whether the party under him can forge a distinctive policy agenda that is neither Old nor New Labour

For all the talk of the "death" of New Labour, and its replacement by True Labour, Real Labour or Next Labour, any departure from it will inevitably be portrayed as 'Red Ed' lurching to the left.

If anything, Mr Miliband needs to try to out-modernise the previous generation of modernisers by being prepared to tackle issues which they ultimately shied away from.

Welfare reform is one obvious example, but so is reform of the party's own archaic structures and its absurd system of electing its leaders.

It would be a brave politician indeed who, having prospered under the electoral college system, would then advocate its replacement by one member, one vote.

But if Mr Miliband is looking for a 'Clause Four Moment' which will force the electorate to sit up and take notice of him, that could well be the best option.

The quiet man finds his niche at last

For good or ill, most Prime Ministers ultimately tend to remembered for a single defining event or achievement that happened on their watch.

For Clement Attlee, it was the creation of the welfare state. For Anthony Eden, it was Suez. For Ted Heath, entry into Europe. For Jim Callaghan, the winter of discontent. For Tony Blair, Iraq.

It's early days for David Cameron. But what he most wants to avoid – apart from losing the next election - is for his government to be remembered solely for the cuts.

He wants it to go down in the history books for something else entirely – for reforming the welfare state that Attlee created and for mending the society that he claims has subsequently been broken.

It is no mean ambition. Welfare reform has proved to be a 'mission impossible' for successive Prime Ministers – even ones who told their welfare reform minsters to "think the unthinkable."

Mr Blair's failure to bring about meaningful change in this area – despite a 179-seat majority and a favourable economic headwind – has become symbolic of the many missed opportunities and thwarted hopes of his long premiership.

By contrast, Mr Cameron must depend for his parliamentary majority on the Liberal Democrats, while the economic environment could hardly be less conducive to his aim of moving people off welfare and into work.

Yet, perhaps by force of circumstances in the shape of the need to reduce the deficit, his government has embarked on a programme of change which, if successful, would amount to the biggest recasting of the welfare state since its inception.

Perhaps even more improbably, the reform programme is being overseen by Iain Duncan Smith, the quiet man who failed to turn up the volume and seemed destined to go down as no more than a footnote in Tory Party history.

Forced into the political wilderness in 2003, he skilfully reinvented himself as a Beveridge de nos jours, and now, as Work and Pensions Secretary, has the chance to put his radical ideas into practice.

At the heart of the changes announced in his White Paper this week are two relatively straightforward principles.

First, the replacement of the labyrinthine system of work-related state support with a single Universal Credit, and second, the idea that it will always pay better to work than remain on benefits.

So will it succeed where other attempts have failed? Well, in its favour is the fact that there is an unusual degree of political consensus over the central objectives of the changes.
"If the government gets this right we will support them because we accept the underlying principle of simplifying the benefits system and providing real incentives to work," said Shadow Work and Pensions Secretary Douglas Alexander.

New Labour leader Ed Miliband has already made clear he will not oppose the coalition for opposition's sake, and this is a wise strategic move on his part.

He realises there is a public consensus not just that the deficit needs to be cut, but that the dependency culture which has become entrenched in some deprived communities needs to be addressed.

But Labour's caveat, of course, is that the crackdown on benefits must go hand-in-hand with pro-growth policies to ensure the jobs are there for people to move into.

This highlights the biggest obstacle to Mr Duncan Smith's proposals – the fact that the government's cutbacks in other areas are likely to lead over the coming year to rising unemployment.

If there are not the jobs to go round, moving people off welfare into work becomes not just politically impossible but practically impossible.

As with much else, the fate of the government's welfare reform gamble depends on whether its greater economic policy gamble succeeds or fails.