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Brown suffers a power failure as Cameron mocks 'loss of authority'
Last updated at 23:22pm on 10.10.07Gordon Brown endured a bruising encounter yesterday as David Cameron claimed he had lost his 'political and moral authority'.
In the most acrimonious Commons clash between party leaders for more than a decade, the Tory leader branded the Prime Minister a 'phoney' who had 'bottled out' of a snap election.
He also accused him of then shamelessly stealing Tory tax policies for his Pre-Budget Report rather that setting out his own vision for Britain.
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Surrender?: Gordon Brown was branded a 'phoney' at Prime Minister's Questions yesterday
Last night, in a sign of the turmoil at the heart of Labour over the election that never was, one of Mr Brown's Cabinet colleagues said the crisis could have been avoided if the Prime Minister had 'thought it through'.
Health Secretary Alan Johnson, once tipped as a contender to succeed Tony Blair, said it had 'not been the best of weeks' for Mr Brown and caused astonishment by suggesting he should have ended speculation about a November poll sooner.
"If he had thought it through and decided a weekend earlier, we wouldn't be having all of this," Mr Johnson said.
Mr Brown's key lieutenant, Schools Secretary Ed Balls, also came under attack from both inside and outside his own party for his role in stoking election speculation.
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One minister said: "This is a complete f****** shambles. People like Ed Balls, who were parachuted into safe seats, have no experience of fighting an election. Those of us who have never wanted an election."
The Prime Minister had been under intense pressure to reassert his authority at Prime Minister's Questions - his first Commons encounter with Mr Cameron since July - after a dismal political week.
Instead he was left complaining that he thought Mr Cameron wanted to end 'Punch and Judy' politics and 'name-calling' as the Tory leader rained down blow after blow.
Labour MPs looked deeply uncomfortable as Mr Brown struggled to make himself heard above the jeers of Opposition MPs.
Tory MPs compared the clash to John Major's defining encounter with Tony Blair in April 1995, when the young Opposition leader crushed the Prime Minister by telling him: "I lead my party. You follow yours."
Mr Brown's supporters insisted the Prime Minister knew he would have to "take a hit" after deciding against an election, but insisted the political agenda would soon move on. They also claimed Mr Cameron would be made to regret his "over-confidence".
The Tory leader poured scorn on the Prime Minister for insisting "hand on heart" that he would not have called an election even if polls showed he would have secured a 100-seat majority.
"Do you expect anyone to believe that?" Mr Cameron demanded.
"He is the first Prime Minister in history to flunk an election because he thought he was going to win it," he added.
The Conservative leader also mocked Mr Brown for writing a book called Courage while ducking out of a test at the ballot box.
"Does he realise what a phoney he now looks?" Mr Cameron asked.
He told Mr Brown his failure to honour Labour's manifesto commitment to hold a referendum on the new EU treaty "damages your credibility".
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Animated: He defends himself against David Cameron
And he pressed the Prime Minister to explain whether the draft Pre-Budget Report, written before the Conservative conference, had included any plans to cut inheritance tax or tax foreigners living in Britain as 'non-domiciles'.
Mr Brown has been accused of drawing up a panic 'Magpie Budget', stealing vote-winning Conservative proposals that had turned the polls in their favour.
Mr Cameron dismissed the Prime Minister's counter attacks, saying if he wanted a debate he should 'find a bit of courage, get a bit of bottle, get into your car, go down to Buckingham Palace and call that election'.
In a final assault, he told the Prime Minister: "For ten years you have plotted and schemed to have this job, and for what?
"No conviction, just calculation. No vision, just a vacuum.
"Last week he lost his political authority, this week he is losing his moral authority. How long are we going to have to wait before the past makes way for the future?"
Mr Brown retorted: "This is the man who wanted an end to the Punch and Judy show. This is the man who wanted an end to name-calling.
"We are the Government that has created ten years of economic stability ... that adopted a minimum wage - against the Conservative advice, that made the Bank of England independent - against Conservative advice."
He added: "We will continue to govern in the interests of the whole country."
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Chancellor Alistair Darling speaks in the House of Commons yesterday
Business leaders last night claimed Labour's sweeping tax changes will 'hammer' small firms.
The Federation of Small Businesses said an 18 per cent flat rate of capital gains tax amounted to an 80 per cent tax rise for millions of companies.
The move, announced by Alistair Darling in the Pre-Budget report, is aimed at wealthy private equity chiefs. But experts have pointed out that large numbers of super-rich investors will escape because they are not based in Britain.
Instead, the vast majority of individuals who will be hit by the changes - due next April - will be entrepreneurs employing fewer than 20 staff.
The existing 'taper relief' on capital gains - the difference between what is paid for an asset and the price it is sold for - lets some firms pay as little as 10 per cent.
Mr Darling insists the 18 per cent rate will be more 'straightforward and sustainable'.
But a federation spokesman said: "It is in essence an 80 per cent increase in CGT. In his attempt to clampdown on private equity players, he has hauled in millions of small business owners who have worked their socks off for years."
Experts say the overhaul amounts to a tax rise because it is expected to swell Government coffers by £2billion between 2008 and 2011.
The real winners will be millions of second-home owners, who were previously paying a minimum tax rate of 24 per cent.
Someone buying a holiday home or buy-to-let property for £200,000, and making a gain of £100,000 on its resale, would previously have faced a bill ranging from £40,000 to £24,000. Under the new regime, they will only be liable for £18,000.
Reader views (46)
Your chart shows £33bn for law and order - why bother! Save the money and let homeowners have guns as the criminals have.
- Dave, Cornwall
Well at least he does not have to make faces anymore just to smile, our Crash Gordon.
- Jacqueline, Hampstead, London
This government says it themselves: "we will throw £ x billions at this good cause and £ x billions at this government contractor company for this good cause and £ x billions for this cause" . All noble Nu Labor causes I am sure, shame they have no clue to actually do anything with all that money?! No execution. We need Conservatives back!
- Jacqueline, Hampstead, London
"Bottler" Brown... brilliant nick-name!
- Luciano, Bristol, England
As the wheels fall of the Brown bandwagon he is stripped to the embarrassing state we saw him today. Not only does the emperor have no clothes (unless he steals them from the Tories) but apart from his mate Ed it seems he has no balls either.
- G, London
Welcome back to Punch 'n Judy politics.
- David Dee, Canterbury
I thnik it is pretty obvious what spoiling tactics Labour are adopting, but I thought the most interesting aspect of the day was the sight of the Treasury Minister, Andy Burnham, being interviewed on television. Having assured us that he had been deeply involved with Alistair Darling in concocting the new rules on corporation tax, he then had to confess to not knowing whether the 18% rate was standard across the board or not. Nice to know we have such towering intellects in charge of our national finances. As for the theft of policies, it was clear this would happen, but those criticising David Cameron for revealing his policy hand are probably the same people who would have condemned him as lightweight had he not done so at the Tory conference. Thanks any way to the Conservatives for forcing Brown and Co to do something on IHT even if it is not all it is cracked up to be.
- James Elliott, Eastbourne, UK
Brown has taken on so much debt that the interest is about the same as we spend on law and order!
- John, Prestbury
Fantastic two days entertainment, first Gideon Osborne and then Lord Snooty throwing their toys out of the silver cross. No party will ever be able to cut taxes and make a real difference to the average worker without severe damage to the public services. For every pound they give they take a pound back.
- Colin, Barking, Essex
The difference between the policies is that the Conservatives believe in lower taxes. Nu Labour have only come up with this gimmick because they have woken up to the public mood. Those who say that the Tories want to 'give' money to the rich should bear in mind that people's homes are paid for from taxed income and in most cases several lots of stamp duty have been paid. No doubt the government would like my children to be at the mercy of local councils for subsidised housing, but my husband and I have worked all our lives - forsaking holidays and luxuries - to make sure they have a chance of getting their own homes.
If more people owned their homes there would be fewer social problems. Has anybody seen a youngster spraying graffitti on a home owned by his/her parents? Council estates are vandalised because people have no stake in them.
- Beatriz, London
John - Chingford
That may be true, but what the public remember from last week were promised tax cuts...your comment "give people and communities more power and, through competition between providers, raise standards and control costs" does not mean a lot to most people, it's just marketing speak.
What people want to know is will the Tories commit to major cuts in public expenditure and reductions in taxes. They can argue that through better delivery they can get the same for less - but that is the crucial point. Otherwise it is just a fight over the centre ground and will come down to personalities though of interest to people with fixed tribal political affiliations, it just leaves the rest us cold.
- Martin Guildford, Surrey
John: why can't public services improve? Duh, there's no competition!
- Ollie, London
In the future when people wonder why there is cynicism about politics and why people do not want to vote we should remember this. It does not matter who you vote for as Labour will use anything that is popular and obviously the Conservatives cannot keep coming up with different policies!
- Sheila, London
The Tories have a credible platform of alternative policies across the board, all of which aim to give people and communities more power and, through competition between providers, raise standards and control costs.
We have been seduced for too long into believing the state can provide efficiently at at a high standard if only it has enough money. Just one look at the standards of healthcare, education and public housing tells you the opposite is true.
Contrast that with cars. They are now better equipped, more efficient and safer when compared with twenty years ago, but they are cheaper and there is a far, far wider choice both between manufacturers and within their ranges. Why? Because of competition.
More people get what they want, it is of a better standard and it is cheaper. Why can't the same apply to our public services?
- John Moss, Chingford, London UK
They are all self-serving parasites obsessed with their own egos and power.
- Ollie, London
"£8,226;STOLEN: Their tax on planes, not passengers" - For the Conservatives to claim this is outrageous. Their 2005 manifesto was silent on green issues whilst the LibDems said "We will change the taxes paid by airlines to push
them to use planes that produce less pollution.". So who's the policy thief?
- Tonyb, Twickenham
"The Conservatives are going to put £2 billion into giving money to those with estates of £950,000 - those who are already rich."
Raising the threshold for death duties will not give more money to rich people - it is already their money; what will change is that the government will no longer take so much away from them.
Nevertheless, a very revealing statement by Gordon Brown, and illustrative of a misconception that seems to be broadly held by politicians of all parties. No government should assume an automatic right to raise tax; theoretically, they should justify the public or national benefit derived from every pound of state expenditure and if they have cannot do so they should not be allowed to raise so much tax.
- Paul, Newbury, Berks
There are 2 reasons for Brown and Darling capitulating on inheritance tax
(although many married couples have already become tenants in common so as to use up allowances), 1) because of the Consevatives announcement and 2) to accomodate the many Labour MPs with houses over £1m, not to mention the second homes they claim allowences on.
- Jose Luis, London, England
It's a bit rich the Tories claiming that they are setting the agenda. The inheritance tax is a relatively small issue creating lots of emotion, everyone knows that through basic tax planning the vast majority of people would avoid it anyway and the air tax was a Lib Dem idea and again hardly radical.
If Osborne and Cameron really want to say they set the agenda why are they committed to Labour's spending commitments for their first three years in power...come on have some real 'bottle' and differentiate yourselves properly by significant cuts in public expenditure, extensive privatisation and real tax cuts particularly at the top end then people will see you presenting a really credible alternative.
Are you really different or just the same policies with different personalities?
- Martin Guildford, Guildford
I refer to Jack's comments. The Tory had to silence critics with real policies. Simple. Sooner or later these had to be declared.
- Tom, St. Albans
Er hold on...don't we pay any MP currently not in power hundreds of thousands of pounds each year including expenses to serve our country not their party, but our country?
There should be more of this - all MPs are paid to serve us and make the country a better place, not to act like kids for their own benefit. If the Tory policies are good enough and represent the view of a section of our society, then of course they should be considered and maybe implemented. No one party can copyright a policy.
They should think of Britain first and their party last, the only disgrace is that this rarely happens.
- Jason, London
Alan, it's because they are not Labour supporters that they don't lambast the Tories in these responses. Cameron et all would have had an embarrassing beating at the ballot if Brown had called an election without the policies the Tories proposed and even then it was a risk. We have no way of knowing they would have implimented them if they had been elected. The comments on this board are just noise, this one included.
- Nu, London
Alan, London
I believe the figure mentiond by the Tories was 1,000,000.
- Dorothy Poms, Basel, Switzerland
Concerning Capital Gains Tax, it will be interesting to see the detail... while the headline is "simplification", we at Heartwood have concluded that - after losing indexation and the effects of a full taper relief - basic rate taxpayers will find themselves paying significantly more tax on the sale of long-standing shareholdings. Effectively it will be 18% of a much larger amount than the current system calculates. Hardly a vote winner.
- Ben Meredith, Tunbridge Wells, Kent
I'm sick to death of these anti-English, utterly inept hard left wing communist Scots in the "British" government which basically rules only England dictating to my country what we should and should not do. I have no problem whatsoever with them adopting the EU CONstitution in their OWN country Scotland, go back north and enjoy it, but stay out of England's business!.
- Paul Brannigan, Morecombe, England
Cameron and the Tories were naive in the extreme in unveiling the key planks of their manifesto at the Tory Conference.
Of course Labour will adopt and adapt some of their policies - that's politics!
Yes, the PM will be criticised and hectored by Cameron and co and this will make an impact in the short-term. But in the longer-term, Cameron's naivety will benefit Labour and disadvantage his own party and, in time, the polls will settle back to pre-conference levels.
I think when this chapter is written in the history books it will be less about Brown 'stealing' Tory policies and more about Cameron naively revealing his cards way too early in the game.
- Jack, UK
I really don't want politicians like this representing me and this country. They are doing a poor job so why can't we just sack them for their bad performance? Any other person would be treated that way. If only it were that easy.
- Moo, South London, UK
However they keep on giving tax money away: I was reading the fineprint: the NHS bureacracy gets given 110billion per year! Plus other good causes of course. It is incredible how little bang for the buck the general UK population gets for this from these economic misfits.
- Georgie, London
Having read through all the comments here, I'm a little confused. Darling decides to offer whatever the Tories have offered with regards to Inheritance tax and is seen as a thieving magpie with no ideas of his own. Okay - if that's your view, then fine.
Next, the comments suggest that this offer from Darling is meaningless because most people have their accounts in order and therefore are able to take £600,000 before the inheritance tax kicks in, as long as they are couples.
So, and this is the bit I'm confused with, why would Darling steal something from the Tories which is so obviously rubbish, judging by the comments here? And why is nobody lambasting the Tories for offering such rubbish in the first place?
- Alan, London
How Darling could deliver that speech, with Brown smirking in the background is nothing but contempt for the British public. They should be ashamed of themselves. The last laugh will be on them. Pitiful and disgraceful.
- Steve Gemmas, Preston, UK
When is this country going to awake from this overlong sleepwalk and recognise that instead of continually increasing the level of tax, what is needed is to understand where our £516Billion is actually being spent. There has been a great deal of 'Creative Accountancy' shipping public sector employees into the private sector where, surprise, surprise they are still undertaking work for the public sector, but of course they are no longer public employees per se!
We are suffering from a collective myopia and the sooner we the voting public understand why we need to pay so much - 200 Quangos, £3Billion on Consultants to the Civil Service! Another £10million on another Diana inquest!- the better off (financially) we will all be.
- David Sellick, Woking, Surrey
Using the same logic, the concept of the internet was all mine, the only inspiration I had was that someone had already created it and that I had seen it.
- Terry Roll, London
Darling has a history of coming off the rails.
What a short sighted performance that was yesterday. Managing the economy by responding to polls, what next, tea leaves?
- James, London
I'm not the brain of Britain, so please forgive me – but I thought death duty was only a pain for the beneficiaries of a sole benefactor (when said benefactor dies obviously!). How does raising the threshold for 'married couples' benefit someone who's last remaining relative gifts them an estate over a certain value? Surely they are still clobbered? Most married couples have their affairs in order allowing them to take the full benefit. Is this just more hot air from a government so out of puff they have to borrow the opposition's respirator?
- Al, Crystal Palace
Yesterday I saw the best comedy programme I've seen for years. Mr Darling standing up in Parliament in all seriousness spouting Tory policies as if they were all his own ideas. Mr Brown sitting next to him smirking a bit like Mr Bean. Yes, high comedy. The whole election fury was just a ruse to steal Conservative policies and if the Brits trust Labour, than heaven help them.
- Dorothy Poms, Basel, Switzerland
Labour is obviously so stupid that they can not even think up of their own tax cuts. We all know from experience what they give in one hand they take double back in the other. I would not trust them. As for Darling coming up with all these ideas - why wait until AFTER the Tories had announced theirs. Come on Brown if you think that Labour is the right party to run this country call an election and let's see which party the citizens of this country pick.
- Jk, London
Disgraceful. Tax reforms based on political self-preservation rather than public needs is appalling. I look forward to dumping Brown and his bunch of fourth-raters from government at the next General Election.
- Tom, St. Albans
Allowing the overt transfer of the existing £300,000 nil rate band is a good thing but it is not the same as doubling the nil rate band to £600,000 because most wills are already drafted to make use of the nil rate band without prejudice to the surviving spouse and indeed many others [such as single parents] will not benefit. So for this to be presented in any sense as adopting Conservatives proposals to increase the nil rate band itself is pure spin and is therefore only being done in a cynical attempt to spike Tory guns.
- Keith Simpson, Wareham, England
When people kept calling for the Tories to lay out their policies maybe now they can see why they didn't and couldn't.
But give it another year and the media and Labour party will tell us the Tories can't win unless they tell us what they stand and the public will believe them.
What in fact Labour and those in the media without a brain are asking for is a free ride for Labour to steal even more of the Tory clothes.
- Pat, Sussex
Typical thieving Labour, steal from the hard working to buy votes from those who don't.
Brown has got a false eye, all he needs now is the eye patch and the costume would be complete. Shame he did not keep up playing rugby, there is an integrity in the sport which would lend itself very well to politics.
- Frank, Home Counties, England
Desperate measures by desparate people, who cannot let go of power.
Re. Tax on non-domiciled millionaires, surely this would affect some of Nu Labour's largest donors.
- Weddigen, London
Any married couple can easily arrange double relief now, so this is yet again smoke and mirrors from New Labour.
- Paul, London
Married couples can share £600k under the new proposals.
The current limit is £300k per person so in effect married couples already have £600k and all it needs is a minimal amount of ordering your affairs to take the full benefit.
The proposed increase to £700k has effectively already been set in stone as GB, when Chancellor, had already prescribed increases in the limits taking them to £350k per individual.
Don't be fooled, AD has given nothing away.
- Mark, South-East London
If Labour have stolen the idea, well done, better than talking about it, if the connies cannot take it, don't say it.
- Rod Quilter, Waltham Abbey, Essex
Isn't that how they managed to entice the less solid Tory votes away in the first place? Usurping and pirating ideas and attitudes, then quietly dropping or superceding them when they had served their purpose? I know that wasn't across the board, but I always thought it to be a significant proportion of their 'popularity' with previous voters tired of the Tory old guard.
- Rogan, Dallas, TX
What a sad pathetic government we have. Labour are unable to come up with their own policies and when they do they are guaranteed to be diluted before they are implemented.
- Casper, Ibiza, Spain
