Naturally after Mandelson went the focus shifted to Downing Street. Security staff were not going to let the line that there were no issues with Mandy’s appointment hold for long…
It’s not only Starmer’s judgement which has been called into question. Starmer’s chief of staff Morgan McSweeney – a very close ally of Mandelson – is facing blame now. A Downing Street source tells Guido: “Morgan is in trouble. Mandy was all his idea, he pushed it. He went against advice and tried to keep him.” Terrible for Starmer…
McSweeney and Mandelson are said by insiders to have had a close political relationship and viewed themselves as the key ‘sensibles’ ariund Starmer. Both spoke to the other very frequently by phone and met when possible…
Andy Haldane, Burnham’s recent adviser on the economy who has not taken up a No10 job, told Andrew Marr on LBC:
“The market now suspects that this is a traditional tax-and-spend socialist government with better TikTok videos…
imposing windfall taxes on oil & gas or on banks or upping capital gains tax would […] repeat the mistake that Rachel made […] The Achilles heel, the fiscal Achilles heel of this government thus far has been its unwillingness and/or inability to cut public spending.”