The word “hope” is everywhere at this Labour Party conference. But in his first conference speech as a Labour chancellor, John Healey did not slip from hope into hype. It would have been easy for him to deliver an overblown list of claims and promises – easy, but not realistic.
Instead, Mr Healey ensured he conveyed warnings and caution. Yes, delegates left the hall with a spring in their step, but they were also under no illusion that the room was squeezed by the elephants in it. The money is not there, he said plainly, comparing today’s era with that of Tony Blair and Gordon Brown. In other words: get real, don’t expect a slew of big-spending announcements when his first Budget lands at the end of next month.
He is right to say that in order to spend more, Labour must achieve economic growth. “We must make a bigger cake and make sure it is fairly shared,” Mr Healey said. That was music to the ears of the businesses and middle classes fearing tax rises. There may be some in the Budget next month, but judging by Mr Healey’s mood it was possible to discern they may not be so onerous. Likewise, to investors and bond markets, he stressed that his Treasury would not break fiscal rules.
Nor are he and Andy Burnham going to allow the benefits bill to keep growing. Rather than see a young person fall back on receiving their first benefits payment, Mr Healey says he wishes them to take pride in landing a job and getting their first pay cheque. He stuck to the Burnham theme of devolution, so every mayor will be able to run their own local apprenticeship scheme, for which £100m has been set aside. That is a small amount nationally, but it was part of the Burnham mantra.
As if to emphasise that point, in the next breath, Mr Healey revealed a £300m commitment from Rolls-Royce towards its apprentice training programme. That played to another message: partnership between unions, business and government. It was mentioned repeatedly, such as when he played up the value of some of Britain’s world-beating industries, one of which was financial services in London. That did not secure applause from the delegates, who may have missed it, but it was surely noticed elsewhere, in the City.
It is not said enough that business leaders like Mr Healey. They find his stoicism and thoroughness reassuring: not saying too much but saying enough, not going overboard, delivering hope, not a free-for-all bonanza.
We heard how the miners lost their jobs, never to return. For him, his chancellorship is also focused on “jobs, jobs, jobs”, on “good work, good jobs, on Britain working again”. It remains to be seen how, exactly, he will achieve that, how he will knock a serious dent in the one million “Neets” – those not in education, employment or training. But we were left with the impression he is uncowed, that he is determined to try. Graft, not grift, is what this Labour chancellor must stand for.
Mr Healey never was about to map out his Budget; that is coming. But he did provide sufficient hints as to the direction of travel. It will be measured, and he will not repeat the error of Liz Truss by unveiling unfunded reforms. On that score, he jibed, as other senior Labour figures do, at Andrew Griffith, the new Tory shadow chancellor, by mentioning that Mr Griffith was one of those who wrote Truss’s disastrous Budget. Mr Griffith can carp as much as he likes, but his appointment is a gift to Kemi Badenoch’s critics.
This chancellor wished us to know he is playing hardball with what he has been given. Britain can do more and make more of itself, so defence procurement will rely on equipment made in this country. That may not be so achievable, given our shortcomings in some areas. It cannot happen immediately, but it’s a start. Hope, again.
