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| Labour could 'bust apart and disappear', Smith warns Corbyn | Labour could 'bust apart and disappear', Smith warns Corbyn |
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| The Labour party is teetering on the edge of a precipice and could “bust apart and disappear”, the leadership challenger Owen Smith has warned. | The Labour party is teetering on the edge of a precipice and could “bust apart and disappear”, the leadership challenger Owen Smith has warned. |
| The Labour MP, who resigned from the frontbench last month, said he did not want the party to split but this has now become likely if Jeremy Corbyn remains as leader. | The Labour MP, who resigned from the frontbench last month, said he did not want the party to split but this has now become likely if Jeremy Corbyn remains as leader. |
| Corbyn’s campaign chair, John McDonnell, has accused Smith of talking up the prospect of a split in order to boost his chances in the race. | Corbyn’s campaign chair, John McDonnell, has accused Smith of talking up the prospect of a split in order to boost his chances in the race. |
| Related: New Labour showed the party can be a social movement and an electoral force | Luke Akehurst | Related: New Labour showed the party can be a social movement and an electoral force | Luke Akehurst |
| Smith said people were being “fatalistic” about the idea of a split and “utterly condemned” the idea of an autonomous parliamentary faction, pledging that he would never leave the Labour party. | Smith said people were being “fatalistic” about the idea of a split and “utterly condemned” the idea of an autonomous parliamentary faction, pledging that he would never leave the Labour party. |
| In an interview with the Guardian’s Owen Jones, Smith said he had warned McDonnell and Corbyn: “We are teetering on the edge of a precipice here. The party could be split. The party that has been here for 116 years as the greatest source of social and economic justice could be bust apart and disappear.” | In an interview with the Guardian’s Owen Jones, Smith said he had warned McDonnell and Corbyn: “We are teetering on the edge of a precipice here. The party could be split. The party that has been here for 116 years as the greatest source of social and economic justice could be bust apart and disappear.” |
| Talk of a split within Labour has increased as MPs who do not back Corbyn increasingly fear being deselected during the boundary review if they remain tied to the current leadership. | Talk of a split within Labour has increased as MPs who do not back Corbyn increasingly fear being deselected during the boundary review if they remain tied to the current leadership. |
| “There is every likelihood that the party will split if Jeremy wins this election. Some on the hard left of the party like McDonnell, and some on the right of the party, are fatalistic about that,” he said. | “There is every likelihood that the party will split if Jeremy wins this election. Some on the hard left of the party like McDonnell, and some on the right of the party, are fatalistic about that,” he said. |
| “I’m making it my mission to stop that split happening and that’s why I’m standing to be leader. Although come what may I’m Labour to my core and will never leave, it’s the Labour party or nothing for me.” | “I’m making it my mission to stop that split happening and that’s why I’m standing to be leader. Although come what may I’m Labour to my core and will never leave, it’s the Labour party or nothing for me.” |
| He has repeatedly claimed McDonnell and Corbyn are indifferent to the possibility of such a schism, alleging that the shadow chancellor said in a meeting: “If that’s what it takes.” | He has repeatedly claimed McDonnell and Corbyn are indifferent to the possibility of such a schism, alleging that the shadow chancellor said in a meeting: “If that’s what it takes.” |
| There is little appetite among MPs for a breakaway faction as most are determined to stick with the Labour name, but they may have little to lose if they feel they will either lose their seats under Corbyn or face being ousted by their local parties in favour of pro-Corbyn candidates. | There is little appetite among MPs for a breakaway faction as most are determined to stick with the Labour name, but they may have little to lose if they feel they will either lose their seats under Corbyn or face being ousted by their local parties in favour of pro-Corbyn candidates. |
| Research for YouGov published on Wednesday suggested the left would be in a very difficult electoral scenario if there was a split in Labour, as it tried to model the consequences of a breakaway group. It found the Conservatives enjoyed support of about 40% regardless of whether Labour stayed intact or split. | |
| But Labour could dip as low as 21% if led by Corbyn, while centre-left splitters standing as Social Democrats, Progress or moderates would be as low as 13%. A centre-left rump of Labour would be at 19%, while a Momentum/radical party led by Corbyn or his wing would get about 14% support. | But Labour could dip as low as 21% if led by Corbyn, while centre-left splitters standing as Social Democrats, Progress or moderates would be as low as 13%. A centre-left rump of Labour would be at 19%, while a Momentum/radical party led by Corbyn or his wing would get about 14% support. |
| This would be likely to lead to huge gains for the Conservatives under the first past the post system, and could give Ukip a foothold in the north of England if Nigel Farage’s former party elects a credible leader. | This would be likely to lead to huge gains for the Conservatives under the first past the post system, and could give Ukip a foothold in the north of England if Nigel Farage’s former party elects a credible leader. |
| Asked by Jones how he would tackle corporate Britain, given his former job in the pharmaceuticals industry, Smith said he would want to “stick up taxes, for a start” and would be “much bolder in terms of high pay”. | Asked by Jones how he would tackle corporate Britain, given his former job in the pharmaceuticals industry, Smith said he would want to “stick up taxes, for a start” and would be “much bolder in terms of high pay”. |
| “What on earth are we doing trying to get corporation tax down to 17% – that is about half the rate of most of the rest of the world. It is immoral. And it is not working,” he said, adding that he would ringfence corporation tax receipts to put 4% extra into the NHS every year. | “What on earth are we doing trying to get corporation tax down to 17% – that is about half the rate of most of the rest of the world. It is immoral. And it is not working,” he said, adding that he would ringfence corporation tax receipts to put 4% extra into the NHS every year. |
| Related: Have you attended an Owen Smith rally? | Related: Have you attended an Owen Smith rally? |
| Earlier, he laid out what he says is a fully costed plan to reverse Conservative cuts to in-work benefits and give 5 million workers a real living wage. Smith described the plan as a “triple lock” to boost the living standards of low-paid workers, including a flat rate of pension tax relief, a full reversal of Tory cuts to in-work benefits and a raise in the minimum wage to the levels of the real living wage, and extending it to all adults, rather than just over-24s. | Earlier, he laid out what he says is a fully costed plan to reverse Conservative cuts to in-work benefits and give 5 million workers a real living wage. Smith described the plan as a “triple lock” to boost the living standards of low-paid workers, including a flat rate of pension tax relief, a full reversal of Tory cuts to in-work benefits and a raise in the minimum wage to the levels of the real living wage, and extending it to all adults, rather than just over-24s. |
| Corbyn is expected to set out his vision for the leadership on Thursday, after holding a string of rallies that have attracted thousands in the rain over the past few days. | |
| There was rapturous applause at his latest rally in Brighton as the Labour leader condemned the railway operator Southern, praised the NHS and called for more social housing to be built to help end poverty. | There was rapturous applause at his latest rally in Brighton as the Labour leader condemned the railway operator Southern, praised the NHS and called for more social housing to be built to help end poverty. |
| Corbyn is the strong favourite to win the contest, but some of his allies fear that up to 50,000 new sign-ups could be excluded from the ballot by the vetting process. Another 150,000 new members who signed up after early January are also prevented from voting unless they paid £25 to be a supporter. | Corbyn is the strong favourite to win the contest, but some of his allies fear that up to 50,000 new sign-ups could be excluded from the ballot by the vetting process. Another 150,000 new members who signed up after early January are also prevented from voting unless they paid £25 to be a supporter. |
| A legal challenge at the high court is due to be heard on Thursday about whether that decision was valid, as the Labour website at the time suggested all new members would be eligible to vote in the leadership contest. | A legal challenge at the high court is due to be heard on Thursday about whether that decision was valid, as the Labour website at the time suggested all new members would be eligible to vote in the leadership contest. |