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Miliband as Chancellor a 'Disaster', Warns Labour Cost of Living Adviser

Lord Richard Walker, Labour's cost of living champion, has labelled Ed Miliband a "disaster" for a potential Chancellor role in an Andy Burnham government. Walker cited concerns over Miliband's net-zero policies and their impact on household bills and business confidence.

  • Lord Richard Walker, Labour's cost of living champion, warned against Ed Miliband as Chancellor.
  • Walker criticised Miliband's net-zero policies as 'too ideological' and burdensome for households.
  • He predicted business community disapproval and market instability if Miliband became Chancellor.
  • Walker also urged an incoming Prime Minister to prioritise the cost of living crisis and economic growth.
  • Separate advice to Andy Burnham suggests abandoning wealth taxes and using capital gains tax cautiously.

Lord Richard Walker, Labour's cost of living champion and executive chairman of Iceland supermarket, has issued a stark warning against the potential appointment of Ed Miliband as Chancellor in a future Andy Burnham government. Describing such a move as a "disaster," Lord Walker argued that Miliband's net-zero policies are placing "unfair pressure on households and billpayers in a regressive way." He claimed these policies would be met with resistance from business communities, causing financial markets to panic.

The supermarket chief has been vocal about the cost of living crisis, stating it poses the greatest challenge for any incoming Prime Minister. In a recent article, he highlighted high bills as the public's primary concern, rather than the identity of the leader. Lord Walker warned that the country is bracing itself for a "freight-train of inflation" this autumn, impacting food and heating costs, despite a recent slowdown in food price rises.

Lord Walker has consistently called for immediate action to alleviate household bill pressures through government interventions. He advocates for short-term measures to ease the burden on households but insists that "only economic growth can properly break us free" from the ongoing crisis. The Labour cost of living champion has previously advocated for an extension of the fuel duty freeze and questioned the sustainability of the pensions triple lock, labelling it "mathematically unsustainable, politically untouchable and profoundly unfair."

The comments arrive as discussions intensify around Andy Burnham's economic agenda. Separately, Lord O’Neill of Gatley has counselled against implementing wealth taxes, suggesting they are easily circumvented and unlikely to generate substantial revenue. Similarly, Andy Haldane has cautioned against using a new capital gains tax system solely as a "cash cow," citing the inherent volatility of such receipts.

The remarks from Lord Walker align with concerns voiced by some trade unions, including Unite and GMG, who have urged Mr Burnham to reconsider Mr Miliband for a senior economic role. These unions have expressed opposition to Mr Miliband's net-zero agenda, arguing it has been prioritised over job creation, particularly in the North Sea oil sector.

Why this matters: This story highlights significant internal debate within Labour about future economic policy and potential ministerial appointments. It indicates potential friction points between different factions regarding the approach to net-zero and the cost of living crisis, which could shape the economic direction of a future government.

What this means for you: What this means for you: This debate could influence the future government's approach to energy policy, taxation, and efforts to tackle rising household bills. Decisions on these matters directly affect your disposable income, energy costs, and the broader economic stability of the UK.

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