In short
Podcast Episode Notes: The Rest Is Politics - Episode 322: Israel vs Hezbollah: Iran’s Next Move
Episode Overview Hosts: Alastair Campbell and Rory Stewart Release Date: Not specified Main Topics:
- The impact of Hezbollah's leadership changes on the Middle East
- UK political updates including Labour's cabinet secretary situation
- The rise of far-right politics in Austria
- Broader implications of military actions in Israel and Lebanon
Key Discussions
- The Middle East Situation
- Background Context:
- The attack on Israel on October 7, 2022, was initiated by Hamas, a Sunni Muslim group.
- Hezbollah, a Shia Muslim group based in Lebanon, has been a significant threat to Israel for decades.
- Historically, Hezbollah has maintained an uneasy truce with Israel, focusing on military targets rather than civilian attacks.
- Recent Escalations:
- Israeli Prime Minister Netanyahu authorized attacks against Hezbollah, potentially shifting the focus of Israel’s military action from Hamas to Hezbollah.
- Implications of Leadership Changes: The killing of Hezbollah's leader Hassan Nasrallah signals a major shift, potentially escalating tensions further in the region.
- The hosts discuss the implications of these military actions on broader regional stability and the risk of drawing in Iran, Hezbollah's primary backer.
- U.S. Involvement:
- The U.S. administration, including President Biden, has attempted to prevent escalation between Israel and Hezbollah while supporting Israel's military actions.
- The fear of a broader regional conflict remains a significant concern for diplomats.
- Hezbollah's Internal Dynamics
- Hezbollah's Popularity and Power:
- Hezbollah's standing within Lebanon's population has dwindled, with recent polls showing very low public support.
- The organization’s connection to Iran complicates its political position, especially as it faces internal dissent due to economic hardships in Lebanon.
- Public Sentiment in Lebanon:
- A survey highlighted that 80% of Lebanese citizens face food insecurity, and there is widespread distrust in governmental and religious institutions.
- The UK Domestic Political Scene
- Cabinet Secretary Resignation:
- Simon Case, the Cabinet Secretary, is stepping down amidst significant scrutiny and allegations of unprofessional behavior.
- The hosts discuss the potential for this change to reset relations within the Labour government and the importance of appointing a capable successor.
- Labour Party Dynamics:
- Discussion on internal tensions within the Labour Party, particularly regarding new ministers and the perception of favoritism towards certain appointees.
- The Far-Right Surge in Austria
- Election Outcome:
- Far-right party leader Herbert Keekle has gained significant support, raising concerns about the normalization of far-right ideologies in Austrian politics.
- The hosts reflect on the implications of this rise, particularly in the context of European politics and potential alliances with other far-right leaders in the EU.
- Social Impact:
- Keekle's rhetoric against immigrants and minority rights has resonated with a portion of the electorate, highlighting the ongoing challenges regarding immigration policy in Europe.
- Broader Reflections on Global Politics
- International Relations:
- Discussion on the rise of populism and the consequences of extreme fiscal policies in countries like Argentina.
- The hosts compare the current political climate in various countries, including the tension between right-wing populism and traditional governance.
- Final Thoughts:
- Emphasis on the delicate balance in international politics and the risks of military actions leading to broader conflicts.
- The episode concludes on a cautionary note regarding the normalization of far-right ideologies across Europe and the socio-economic challenges that accompany these political shifts.
Key Takeaways
- Middle East Tensions: The killing of key figures within Hezbollah and Israel's military strategy poses significant risks for regional stability.
- UK Politics: Labour's internal dynamics are shifting, with leadership changes at a critical time for governance.
- Far-Right Politics in Europe: The success of far-right parties in Austria illustrates a troubling trend that may influence broader European policy.
- Global Context: The interconnectedness of political actions across nations highlights the importance of diplomatic efforts in preventing conflict.
Additional Notes
- Hosts' Recommendations: Listeners are encouraged to explore further discussions regarding international relations, populism, and the impact of military actions on global politics.
- Listener Engagement: Subscribe for ad-free listening and exclusive content through The Rest Is Politics Plus.
Contact and Social Media
- Instagram: [@restispolitics](https://www.instagram.com/restispolitics/)
- Twitter: [@RestIsPolitics](https://twitter.com/RestIsPolitics)
- Email: restispolitics@gmail.com
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Transcript
Automatic transcript. May contain errors.0:00Thanks for listening to the Restisted Politics. Sign up to the Restisted Politics Plus to enjoy ad -free listening and receive a weekly newsletter. Join our members' chat room again early access to live show tickets. Just go to therestistpolities .com. That's therestistpolities .com.
0:18Welcome to the Restisted Politics with me, Asda Campbell. And with me, Rory Stewart. We're going to go around four countries today, Rory. Levinon.
0:28Well, I think we should talk briefly about the UK, both in terms of what's happened to the government, but also the Tory conference going on. In case people didn't know. And then I said last week that it's almost a year since Millay took over in Argentina. He won the election in October, and I think finally took power in towards Christmas. So we talk about him and now he's going very, very mixed picture. And then also the Austrian election, which happened at the weekend, where the far right of one. So shall we kick off in the growing quagmire that is the Middle East? Yeah. Levinon. So very, very quick reminder for people.
1:04The attack on October the 7th against Israel, almost exactly a year ago now, was launched by Hamas, which was a group that crossed over mostly from Gaza, and they were mostly Sunni Muslims. There is a different group, which was not part of the October 7th attack, which is based in Lebanon called Hisbela, much, much larger group, traditionally seen as having over 100 ,000 missiles, tens of thousands of fighters. And that is a Shia Muslim group that emerged in Lebanon in the early 1980s and was a major player in the resistance to Israel. Israel occupied southern Lebanon from the early 80s till 2000, and then attacked again in 2006 and a big player in the Civil War.
1:50So when a Netanyahu was addressing the UN, he gave a very, very aggressive speech that maybe we could touch on briefly, in which he basically described the United Nations as a sort of source of an anti -Semitic bile and made some very aggressive comments about Hisbela and Iran. And it seems now clear that he had by then authorized the latest stage in a series of attacks, which have happened over the last few weeks, just to show their confidence in what they were doing. They released a picture of the Israeli press service, released a picture of Netanyahu on the telephone from their office inside the United Nations, saying that was the moment at which he authorized the attacks on Lebanon.
2:30Exactly. So the big story is that Hisbela has been a major threat to Israel for at least 18 years, if not almost 40 years. And at certain times in history, they've lived in a kind of uneasy sort of rules of a game. So there was a moment, for example, in the 90s, where you could see Israeli and Hisbela leaders saying about particular attacks that was according to the rules of the game, or that wasn't. And in particular, Hisbela was focusing on attacking military targets for a period, not spending times, although they're also a group that's conducted terrorist attacks against civilians. For the last 11 months, they have been absolutely central to the picture for two reasons, firstly because by firing missiles into northern Israel and saying that they were going to continue doing that until there was a cease -fire in Gaza, so they were doing it in solidarity with Gaza.
3:22They ended up with tens of thousands of Israelis being displaced from more in Israel, and a big, big push from the Israeli government to get Israelis back into more in Israel. The second reason, though, that they've been important is that the United States and its allies and everyone have been begging Israel and Hisbela not to up the ante and go to war with each other because the fear from the very beginning was there was going to be a broader regional conflict that were people in Netanyahu's cabinet who wanted to launch strikes on Lebanon almost immediately. There were people I remember saying in the region to me, Israeli saying, it's unfortunate we were attacked by Hamas, Hisbela is the real enemy, we need to swing the surround and go after Hisbela, and that's been a lot of the effort of Anthony Blinken and Joe Biden saying, don't do that because they didn't want to draw Iran, which has hisbela's big backer into this conflict.
4:10So Hisbela, which has had well over 100 ,000 missiles, many of them precision guided, has held back from firing salvos of thousands of missiles a day into Tel Aviv, which they had the capacity to do, and they partly were holding back because they believed that if they did it, it would up the anti -improvo -commassive response from Israel instead of which they had been dropping fewer missiles, evacuating northern Israel and had killed a few people. And of course that was a big problem for Israel, but from the point of view of the people trying to keep a lid on things, they thought that a lid was being kept on things.
4:43And then there's been an escalation, the escalation, I'll stop talking now, but the escalation very quickly is, as listeners will remember, killing of Iranian diplomats in Beirut, the killing of the Hamas chief in Tehran, the blowing up of pages, blowing up of Woki Torkis, followed by significant air strikes, where hundreds of people have been killed and culminating in the killing of Nasrullah, who since the 1990s has been the leader of Hisbela every year. Yeah, I think let's just start with this escalation point because I think the ever since, October the 7th, I think Joe Biden in particular, has been trying to trade absolute support of Israel and Netanyahu, even though they don't really get on with influence, and the influence that they've been speaking to is to try not to let this thing spread, so it becomes a regional conflict.
5:32And I do think the image of Netanyahu launching this, is it were, or authorizing this, from the United Nations in the United States, where he's just delivered this really aggressive speeches, you say, and where lots and lots of diplomats from other countries walked out in protest, I think that was pretty deliberate. He essentially seems to be saying that he kind of feels empowered and able to take this wherever he thinks the Israeli government feels that it should go. Interestingly, you mentioned at the start, right at the start, after the October 7th, attacked by Hamas, Gannon, the defense minister, I think was in that camp that said, the real enemy is hisbola.
6:13Let's go for that. At that stage, Netanyahu was saying, no, we focus on Hamas, and the war aim is to take out the entire leadership. Now, the war aim now, as you say, in relation to Lebanon, the war aim there is to create the conditions for these 60, 70 ,000 Israelis who have been evacuated to get them to go home. In that, I think a tacitim admission that the war aim in Gaza has not been fully met. In fact, the guy who masterminded the October 7th attacks, he's still at the edge, they still haven't got him, but they have got, as you say, Hassan Nazrallah, who's 64, led this organization for three decades, took over from a guy who was killed in an attack on his helicopter, and who was a massive, massive, massive figure in Lebanon.
7:03This is a guy who you see his face everywhere. You don't see him everywhere because he kept very, very low -key, secure bunkers, and all that. The thing about this bombing seems that they've taken out, some reports say four, some reports say six apartment blocks in order for these 2 ,000 -pound, they're called the bunker buster, these bombs to get underground and take him out. Now, that is an incredible success story for the Israelis, and it's a huge blow to his boiler. The next step, the reaction from them and from Iran, will decide where this thing goes next. Yeah, I mean, it's amazing looking at the coverage and how difficult, I mean, we often talk about how polarized and sort of post -truth, all these discussions are, and my goodness, people are struggling to work out how to talk about this.
7:54So, I was just spending quite a lot of time listening to it, times of Israel podcasts and reading some of their reporting, and of course, their reporting focuses on this as a moment where Israel has rediscovered its faith in the military and security forces. Yeah, and Nenya, who just almost meant? And to Nenya, who just meant just before the 12 -month anniversary. So, that's one way of looking at it, which is Israel totally bewildered, horrified by those people killed on October 7th and felt completely let down by Israeli intelligence. Military, because they thought they had penetrated Hamas and you what they were doing and they had apparently no warning of this attack.
8:29Now, they've just seen this attack, which is very, very sophisticated. So, we talked about it a little bit, but it's now clear that the pages blowing up were just the thin end of the wedge because Israel was also gathering enormous amount of metadata on his blast. So, if somebody in his blast was killed, fighting in Syria, and that was posted on Facebook, then anyone who looked at Facebook post would then be followed up by Israeli intelligence. They would be hacking into the mobile phones, people's wives, into the odometers, their cars, and finally getting to killing Hassan Asurullah, who Israeli intelligence and military have been trying to assassinate for decades now.
9:10Yeah. So, that's one story, which is the sort of technical admiration of the tactics, the military tactics. And just on that, Roy, it's not just him that they've taken out. They've now taken out most of the leadership. They took out his main kind of right -hand man. They took out the leader of the southern front. They took out the head of his security unit. So, this is something where we're talking over a dozen key key people who've been removed from the leadership of Hezbollah. And the point about Israel, we're Netanyahu's, if you remember, we have the whole sort of supreme court protest, we've had massive protests because of his failure to bring back the hostages.
9:46And you're now seeing, there's still plenty of people who really don't like Netanyahu and think he's hung all this terribly, but you're now seeing this as a, as you say, as a cause of almost of celebration. Well, it is a cause of celebration for a lot of Israelis. This is them feeling that, having been on the back foot for a year, they now look like they're back in charge. Yeah. The second dimension, which has been striking, is of course, although Hamas has tacit support from quite a lot of the Arab world, Hezbollah because it's Shia, in other words, their co -religionist with the Iranian regime is very, very unpopular with a lot of the Arab world and in particular with Saudi Arabia.
10:23And in fact, Mohammed bin Salman, the leader of Saudi Arabia, essentially forced the Lebanese Premier to resign because of his rage at Hezbollah participating in the Lebanese government and has very much seen Hassan Nasr al -Azbollah as one of his major adversaries. So that, by attacking Hezbollah, Israel has created a situation where much of the gulf isn't quite sure how to respond because they don't like Iran, they don't like Hezbollah, equally, they're obviously troubled by Israel mounting this attack across the border. They're concerned about further escalation and many of these regimes would have been critical if it hadn't been an attack on Hezbollah.
11:01You're talking about the lack of popularity in the broader region on the political level. Somebody who works in the Middle East, who works in polling, sent me some stuff. And if you're talking to read it, I sent it on to you a bit from this thing called the Arab Barometer, which surveys opinion in most of the Arab countries. And this was carried out earlier this year. Before the October 7th attacks, February and April 2024, the way that a lot of people who don't necessarily follow this very closely, almost assume that Hezbollah is like the government of Lebanon. Hezbollah is the Lebanon in terms of as a political entity.
11:33This survey found that when the Lebanese people were given a list of all the political entities, which of the identified with, 12 % said they identified with Hezbollah, she and it's with the only sect that actually went above 1 % in relation to people liking them. Just to come in on that, I'll say one of my colleagues who was the conservative minister for Secretary of State for North Ireland, got in trouble saying that she discovered that all Catholics seemed to vote for one party in all process and seemed to vote for an party. Karen Bradley. Exactly. The same is true in Lebanon. So there are a few Christians, this particular Christian sects that have sometimes allied with Hezbollah and there was a moment when the Druze had an alliance during the Civil War.
12:17But fundamentally it is Shia. And the Shia have always been both in Lebanon and to some extent in Iraq and certainly in Saudi and in Bahrain, often marginalized, often impoverished, often popular, perceived by Sunni Muslims as almost heretics, too superstitious. And so getting a clear picture on who Hezbollah is is very difficult because it's connection and legacy of terrorist attacks and hostage taking and bombs. But on the other hand, there was a moment when it was surprisingly popular in Lebanon because it was seen as the group that drove Israel out. So Israel occupied southern Lebanon from the early 1980s right way through to 2000 and it was Hezbollah that really got the credit in a way that Lebanese army didn't and none of the other Lebanese factions did for mounting the military attacks on driving out Israel.
13:09They also, in this in a sense, was Asa and Israel are real success. He projected those as military successes. They wasn't just that they were given the credit, they took the credit and they shaped a narrative, giving them the credit. That was a quite an interesting political moment because it was a moment where Israel through the 90s was saying we will withdraw if attacks cease against us. So they were trying to demand the US and others would get guarantees of peace before they was drew. And His Bilal said, no, that's rubbish. Israel's not going to withdraw unless we keep attacking them. And most Lebanese agreed with His Bilal at least on that.
13:46And so there was a moment after 2000 where His Bilal was quite popular. So another moment after 2006, which was more controversial, some Lebanese blamed His Bilal for the fact that Israel invaded again in 2006. But others gave him credit for Israel than leaving. But the real problems started with the Syrian war. And that's the moment at which many, many Lebanese, including Lebanese shea and many other people in the region, turned very, very anti -Hisbullah because his Bilal basically propped up. Bashar and Asa had the dictator in Syria and they were the groups that led to his victory. Although now you have people from Lebanon fleeing to Syria to escape what's going on here.
14:27Just to give you a few interesting findings from this survey, Rory, nine out of 10 Lebanese people said they have not a lot or no trust in their government, the parliament, the president or the prime minister. Three out of four said they do not trust religious leaders. 65 % said religious leaders are just as likely to be corrupt as political leaders. And then on the sort of use that last week about, you know, what life is like there for people around 80 % and this is the highest of all the countries that were survived in the Arab world. 80 % say that they struggle with the availability and affordability of food.
14:5868 % say they often run out of food and water internet electricity and healthcare, they have the worst results in the entire region. So you're talking already about a place that is really, you know, suffering in terms of its sort of day -to -day life. And, you know, this is going to make it one hell of a lot worse. And you've put your finger on something really important here because the most optimistic supporters of what Israel have done and I'm being attacked by a lot of them on Twitter because they hate the idea that I'm suggesting this is contributed to escalation. They want to see it in very black and white terms.
15:32His velar terrorist group, therefore killing him is great and any questions about what comes next are disloyal and anti -Semitic. But the optimistic is that by getting rid of Hassan Astroler, Lebanon is going to suddenly become this much more coherent democratic peaceful country and the Lebanese army is going to take over the border and his velar is going to vanish and it's all going to be wonderful. That's just, that's just love. It's completely naive and a lot of it for the reasons you've just pointed out, which is that you've just pointed out that Lebanon is in real economic problems. It's politically very, very fractured and, of course, his velar's presence in Lebanon is part of this much bigger arc of sheer Iranian influence that stretches right the way through Syria into Iraq and to Iran itself.
16:17So Hassan Astroler was not just some sort of single evil genius who, if you kill him, the whole phenomenon of militant sheer Islam somehow vanishes. There's no doubt that this has been a very, very serious military blow to his velar. But I think we must assume that they will be trying to come back and I think another thing and I maybe this is the thing I want to turn back to you on. I feel very, very strongly that Iran and his velar will feel forced to respond now. From their point of view, I mean, they're horrible people. So I'm not trying to put too much onto their point of view, but it's worth thinking about their point of view to understand what's happening.
16:51From their point of view, they feel that even though they did lob thousands of missiles into Israel over the last few months, they didn't kill very many people and that they feel they could have done a lot more and they feel that they held back because the United States told them that if they held back Israel wouldn't attack. And so now that they have been attacked in this way and totally humiliated, I mean, you know, the leader of Hamas was killed in Tehran at the inauguration, Israeli diplomats have been killed and that's where those being killed, pages of all blown up. I would have thought it's almost impossible now for Iran and his velar not to respond.
17:24And of course, when they respond, Israel will say this is a completely unprovoked terrorist attack against us and will then respond even more aggressively back. Just just online why it's naive to think that because you take the head guy out, somehow the whole thing is going to implode. I mean, this is this is an organization where there used to be people being killed. And as Ralla got the job because his predecessor, Masawi, who was one of his mentors, because he got killed by the Israelis, by the Israelis. And they're already talking the guy who made the first public statement of his baller, who was the second in command, 9 % he is clearly in the frame possibly as a leadership figure.
18:02And so is Nasser al -Assad Qasim, a guy called Hashem Safidini. This is an organization that will they will have people lined up. Now, the interesting thing about Iran though is, and again, you have to be very, very careful, necessarily taking all of face value. But the supreme leader, Ali Khamenei, he yes, he has called on Muslims worldwide to take revenge and side with what he calls honorable as baller. But he is also indicating that it will be Hezbollah, not Iran, that leads any response. And the new president, and we talked earlier about the new president doesn't have much power, but he is nonetheless a serious figure within the leadership.
18:37He's also calling for his strength. And don't forget his well -rawing. When Israel assassinated Ismail Hanei, the Hamas leader, in Iran said they would be retaliation, but thus far we've yet to see it. My worry is, you're absolutely right, but my worry is that given that they said they would respond to that, given they said they would respond to the attack on their embassy, they're going to feel at some point forced to respond. Because otherwise, I think there's a real, I'm afraid, loss of face on their part. And that's one of the dangers. Now, it's also worth acknowledging that what has happened here has astonished the world.
19:13I mean, Israel didn't do this to Hisbla for 18 years. I mean, these provocations from Hisbla are not new. They had just as much reason to do it any time in the last 18 years. So why not? And probably the reason why not is that they believed that Hisbla was this incredibly formidable force with over 100 ,000 precision missiles, and that it would be far too dangerous to do. They've just done it, and it's turned out that they haven't got the response that people predicted, and it's turned out that they were able to do far more damage to Hisbla, and with far less consequence so far for Israel than people predicted.
19:51So, you know, people like me who are calling for caution, and actually even the American diplomats who have been calling for caution. Many Israelis are on a stand to be turning around saying you were far too cautious. You know, we should have done this 18 years ago. Maybe a final point will go to the UK. The other interesting thing in this survey was marked and declined in support for the view of the United States. It was 42 % of Lebanese people broadly supported the United States in 2022, and it's now down to 27%. So again, and remember, this is before October 7th. So I imagine that's got even worse.
20:25Just to finish with a pretty obvious and pompous point, this is a military tactical success, but it is not a solution to Israel's situation in the Middle East, not political strategy. It doesn't deal with the problems in internal. Israeli politics, it doesn't deal with Gaza, it doesn't deal with what the settlers doing on the West Bank, and it doesn't deal with the way that the region and much of the world perceives Israel remains in a very, very fragile situation, and this attack, although very, very successful, far more successful than people like me, would have expected. It's still a military victory that doesn't answer the long term questions.
21:04Yeah, and meanwhile, Rory, literally, as you were speaking there, if you remember, Hasbola have been persuaded that the Israelis are likely to launch a ground invasion pretty soon. Gallant, as we know, has been up in on the Lebanese border himself talking to the troops, and it seems that the Israelis have told Joe Biden and the administration that they are planning, confirm they are planning to launch a limited ground incursion into Lebanon. So I think as any surprise, however, it is an indication of the failure of the strategy to deescalate, and it's likely to make us even more alarmless to what might happen thereafter.
21:48Yes, and I think it's a very, very significant change because many Lebanese who hate Hasbola will not want Israel mounting a ground invasion into southern Lebanon. Factions of strong national assentment will play, and we've already got the Chinese government talking about attacks on sovereignty. I think this is Israel pushing it into increasingly dangerous territory, and I understand I'm somebody who cautioned against what they've just done, which they seem to get away with, but I think a ground invasion is very, very dangerous, and in some sense is exactly what Hasbola is looking for because Hasbola has tens of thousands of fighters who are very, very accustomed to urban warfare who've been fighting in Syria.
22:31For many years, they may not be able to protect themselves from high tech attacks, but my goodness, they have experience in fighting street to street against soldiers, and if they're defending Lebanese territory, remember Hisbola are Lebanese, right? They're not foreigners fighting for their own homeland and their own streets, with experience going all the way back to the early 1980s. I think this I am confident as a mistake. Those numbers that I gave you from that Arab barometer survey of public opinion, I think a ground incursion by Israel will increase support internally for anyone who is responding to that.
23:08So pretty dangerous times, Rory. Very dangerous times. Very, very dangerous times. Well, we've done quite a lot on that. Should we take a quick break and then come back on UK domestic, and then Argentina and Austria?
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24:35Welcome back to the rest of politics with me, Rory Stewart. And with me, Alice Di Campbell. And Rory, as we speak, recording this on Monday, late afternoon, the Cabinet Secretary Simon Case, who I think you and I felt probably should have gone day one of a new Labour government, has finally announced that he's going. Yeah, and I'm afraid of, I'm sorry, because it's sad not to be polite about someone they're going, but really, it's not being great. He was brought in by Boris Johnson. He was comparatively young and inexperienced, compared to the traditional Cabinet secretaries. He hadn't really done the kind of big jobs, that kind of Burke trends and Robert Armstrong's had done.
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25:15And he's had every kind of problem from the beginning. I mean, there's been this very humiliating thing about his WhatsApp messages, where he was openly mocking the Prime Minister, when, you know, whatever you think about Boris, if you're the Cabinet Secretary and he's the Prime Minister, that guy at least should be being polite, not making out your bosses of the food every day. He's then been on medical leave. I don't know, I mean, it's very sad. I don't know what's been at the heart of that. And there's obviously been a very difficult relationship, I think, with the incoming Labour and Ministeration, a lot of rumors of tensions with Sugrey.
25:46I mean, over to you. Look, I think that given the buildup to the election, and given that the first stage of a government is very, very, very important, I think if you don't have very good and close relations between the key people in Downey Street and the Cabinet Secretary, it's a fault line. And it seems to me that that is what has been going on. And even though I've said to you before, and we talked about leaking quarries last week, you can go insane worrying about who is leaking what. But I was generally of the view, most of the time, with the several Cabinet secretaries that we had, it wouldn't cross my mind when stuff was being leaked out.
26:22I mean, maybe once or twice you have the old suspicion, but the idea that you'd be sitting there thinking, I can't talk to that guy because I'm worried he's going to be talking to the media. Even my friend Richard Wilson Heudan, necessarily get on with that. I got on perfectly fine. You're very fine with Richard Wilson. But you wouldn't have suspected him of leaking on you or doing that. No, absolutely. And whereas I think the fact is that, you know, people inside Downey Street did think that was going on. And you have to be able to dispel that through building good positive relationships. And look, I think I hope, by the way, that this is part of a bit of a reset in terms of how the government machine is operating, because, you know, let's be absolutely frank about it, whether you think about the Sue Grey salary becoming a big deal, whether you think about the way the clothes that she was handled and so -called freebies, et cetera.
27:12Anything which takes attention away from the policy stuff, the change that the government is trying to make, then you have to address that, and you have to deal with it. Presumably, though initially, their idea was that they would find their right candidate, get her or him all lined up before case went. So maybe that case under stress has left a bit more quickly than people were expecting. Reading what the statement says, I think he's going to be staying a bit longer while they now find a replacement. But my point is, you know, you and I both said when Labour was still in opposition, that given the sort of aura or the kind of problems that seem to emanate around this guy, then I think it would have been wise to have had that process well underway by the time they arrived.
27:54And look, it's very difficult with personnel. Of course it is, you know, you talk about human beings, you talk about their families, about their lives, about their salaries, about their pensioners, and so forth. But you're also talking here about one of the key positions where the Prime Minister has to be able to depend on somebody of the top top quality. That goes for the principal private secretary, it goes to the national security adviser, it goes for the policy unit, it goes for the communications team, it goes for all the major departments of the government. The Prime Minister has to be able to have absolute total confidence in them.
28:27And it strikes me that in this, you didn't. Yeah. And when you see the incredible praise given to Jeremy Heywood, who was the cabinet secretary, who whose work stretched all the way from working for John Major through Tony Blair, through Gordon Brown to David Cameron, the incredible sense that all those politicians had, that Jeremy Heywood had made their lives easier. I think they all, they all certainly sent something about Jeremy when he died, but I've got to feeling they're all at his funeral apart from possibly Tony, who was overseas, but I know would have been there. No, I think we're talking about a different league.
28:59And it is obviously very sad on one level, but it's also an opportunity now for Labour to get somebody into that position that's really, really good. Isn't going to be in the papers. And how do you do that? Listen, I mean, if I gave you that problem and said, we've got to get a really good cabinet section, I mean, short of persuading Gus Adonal to come back, it's quite tough, isn't it? Presumably, you generally, you either go from somebody who's already in number 10, but I think there's actually number 10's a bit hollered out. I think they're lacking at the moment to principal private secretary, the prime minister.
29:28So then they'd have to look from permanent secretary from another department. Yeah, or you, or you, you know, that's where you start, but actually, I would come at this from thinking, you go and try and find the best person in the world that you think can do this job. I mean, Mark Carney became Bank of England governor and people, though, that's a bit weird, isn't it, coming from Canada? There could be very, very good people in Scotland. There could be very, very good people in Wales. There could be good people in different parts of local government. People who have really done stuff. And in the end, you want somebody who is able to work hard, think well, lead a team, have a good relationship around the building and keep their name out of the papers.
30:05Look, I'm not saying it's easy, but it's not impossible. And the truth is that now that they know he's absolutely going, then it's a pretty urgent challenge. We're going to be interesting as an, and this is just coming when Rosie Duffield, who's the Labour MP for Canterbury, has just announced that she's resigning from the Labour Party and her resignation that has been all over the place. And one of the things she said in that letter, which we haven't talked about a bit, but you pick up a little from Labour back benches, is, is slight unhappiness about their sense that there's a bit of a sort of cozy clique around Kirsten and Sue Gray.
30:36And she even had a bit of a jie, but the fact that she thought that having, you know, we like these people and we rate them, but Georgia Gold, whose father was a very senior part of Tony Blair's government in front of yours. And and Hamish Falkner, whose father also was a Labour cabinet minister, very unusually when they came in as an MPs, were made ministers immediately, rather than what's traditionally the case, which is found two years in the back benches. So I guess there's going to be a loss of people looking. I mean, I think that may be why they might be tempted to bring a permanent secretary out of another department, rather than be super -emergedive.
31:09Yeah, although I have to say, I thought, I don't know, Rossi, Rosie Duffield well, and I know that she, she got a lot of kind of grief within the Labour Party over her very strong views on the, on the trans rights issue. I've got to say, I thought her resignation letter was kind of dripping with bitterness. I have to say that. I thought it was really over the top. And also, we're not that long since the election. If you look all the things that have happened since the election, is there really been that much since the election? You can say you're not happy about the fuel payment. You can say that you're not happy about clones and so forward, but have you really gone since the election where you fought on the Labour platform to this sort of level of...
31:48It's very initial, isn't it? Very initial. I think so. I think so. Very, very weird. This morning, late Andrews former Welsh minister, he sent me his, his latest sub -stack and he made a very interesting observation within it. He put a little table, and I think this does explain why Labour has got into these difficulties that it's been going through recently. In 1979, when Geoffrey Hauer was the chancellor, the gap between the general election and the budget was one month, nine days. In May 1997, when we won, the first budget from Gordon Brown was in two months and one day, when Osborne was chancellor in 2010, one month and 16 days.
32:26Labour, having a budget on the 30th of October, that will be three months and 26 days after the election. It seems like a real error. And I wonder why they did that. You're quite right. I mean, given that the one thing that anyone is interested in as the budget, the only thing we care about is what are they going to tax, where are they going to borrow, where's the money coming from? In order to define the narrative, you can see why all those other chancellors did it have pretty quickly after the election. And Gordon, of course, did it having already on day one of the Labour government, that made this massive change, which was then going to be legislated for in the King's speech.
32:59I hadn't really thought of that, but I think that may be one of the reasons why all this other sort of frothy stuff has kind of come in and slightly filled it out. All good points. Good things think that we were when we were sort of batting our WhatsApp messages backwards and forwards, we were going to talk about the conservative party conference in the domestic section. But I think we should, we've had one or two questions on it. Let's do that in Q &A. Let's do that with our question time, which is the next episode coming. Okay. Now that brings us to Argentina. And here again, something very interesting.
33:31So just to remember, remind people, have you, Emile, is this extraordinary peculiar right wing populist who, like many right wing populist around the world, has an extraordinary two pay seems to be part of the cost. He's the guy who has cloned dogs who he named after Milton Friedman, the libertarian economist. He's the guy who in the election campaign was to be seen with a chainsaw saying he was going to hack into the government and he was ripping off the names of government parties of horse. And the conventional wisdom, I think, looking back 10 months is this guy might win. But even if he does win, he won't really be able to do very much because he won't really control the parliament.
34:11He doesn't have that kind of party. The opposition will go for him. There's too much opposition in Argentinian society. And in that at least, conventional wisdom was wrong. Was out of touch. He has pushed ahead. He has done incredibly dramatic cuts. He's generated a fiscal surplus. I mean, this is a guy for whom austerity far more than for George Osborne is absolutely front and center of everything that he believes in and turned. And he's managed to get from a fiscal deficit to a fiscal surplus. And we can talk about the consequences of this, but boy, boy, have people underestimated his ability to get stuff done.
34:45A lot of people thought he's going to be all talk. No action. He won't follow through. And his popularity ratings still over 50 % of the Argentinian people backing him despite the economy and recession. Can I do the however? Yeah, however, do you know? I think the reason why I think he's been able to do a lot of the things that people thought he wouldn't be able to do is because he said he was going to do them. So he did say he was going to close all these government departments. He said he was going to end subsidies for transport and fuel. He said he was going to sack thousands of civil servants.
35:14And he has slashed the state. He has slashed state spending. There's no doubt about that at all. But if you focus there on the deficit, he argued that the big things he was going to attack inflation and growth. And he has public expenditure. Monthly inflation has come down from 20 plus to around four, five per month. That's the amazing thing. It's still 40 per month. Sent a year, isn't it? Yeah. Correct. But the annual rate, you know, the annual rate is stuck in the plus 200 plus. And the other thing is because they've had such trouble with their foreign currency reserves, he owes $44 billion to the IMF.
35:49And this week, just last week, they publish new figures on poverty and poverty. And bear in mind, it was on a poor people who voted for it. It is absolutely soaring. So the numbers who lived in poverty a year ago was 41 .7%. And it's now up to 52 .96%. And the string poverty rate, these are people who are living in kind of object poverty, has gone up from 11 % to 18 .1%. And the economy itself has contracted by 3%. And both in the informal jobs market and the formal workforce, they've hemorrhaged hundreds of thousands of jobs. So he has managed to achieve some of the things you said you know, but I think the effect of it has been pretty grim.
36:33I mean, it's it's mesmerizing. And for you and me, it's kind of old centrist ads. It's a real argument for the dangers of populism, particularly in Latin America, but actually around the world that you lurch from the perinist government that was far over in an incredibly sort of corrupt, lazy, over -regulated, massive, overspending to this man that is a sort of, I don't know, a fiscal hawk is sort of understating it. I mean, the center of everything he believes in is austerity. It's more than that. He believes that the state and government is a problem. And like like some of the sort of far out of the Tory party under George Osborne, he has a sort of idea that if you can cut the state sort of magically the private sector and its sort of animal spirits will swing in and fill in the problems.
37:24But the problems that Argentina faces are so extraordinary. I mean, one of the problems is their exchange rate is still basically controlled. They've got important export taxes. They've got such weird labor regulations that 70 % of people working in most of the major sectors are in the grey economy. And their pensions, they've got very, very generous universal pensions, but nobody actually paying tax to contribute to keeping those pensions going. It's just sort of powerful symbol of the way that economic mismanagement and corruption can go wrong because Argentina, of course, famously at the beginning of the 20th century, was one of the biggest economies in the world, one of the great economic success stories.
38:03It was a sort of equivalent to kind of, I don't know, Australia or Canada and boy, boy is it in trouble.
38:14So yes, the Argentinian economy going to be further in recession or is he going to pull off some miracles? It's going to be growing. And I said, just wanted to thank you. You put me in touch with America's Corsairly and there's a great article to be read by all centrist's mums and dads listening to the show called Imagine a Centrist Revival in Latin America, which has been written by Mauricio Cardenas and Eduardo Levy Yeyati, who's a great Argentine economist and who's quite a lot of Mauricio Cardenas. Is he a Colombian politician? That's right, exactly. I know. You knew him. You knew him. We don't do enough about Latin America because I actually, I do listen to their podcast, America's Corsairly, and they're very, very, very, very good, but we have so many of our listeners saying, talk about Europe, talk about America, talk about Britain, but we should do more of it.
38:59We should do more. And I'd like to do a little bit on Perú and Chile in Mexico, all three of which are really interesting. So maybe in the next few weeks we could, we could Yeah, definitely. The other criticism of Millay is that he's, we've heard this about many leaders. He's surrounded by a very small, very tight clique. He delegates a lot of his decisions to his sister. He has a spokesman by the name of Manuel Ardorni. And let me give you a quote from Manuel Ardorni explaining why Millay does all the things he does. The government inherited a disastrous situation. The worst inheritance that a government has received in a democracy, perhaps the worst that a government has received in history.
39:37So that is, he's doing the oldest we inherited strategy. The other thing just to sort of say about Millay, his speech, you know, the United Nations General Assembly, I'll be into a few of those. And you know, there's usually two or three really big speeches that people feel they have to watch. And quite frankly, most of them are not worth listening to. Millays was absolutely breathtaking. And not for the reasons that I think we'll do his country much good. It was a full -fronted attack on the United Nations. He was one of the few countries along with Cuba, North Korea, Venezuela to vote against this thing for PAC for the future, which is about climate change and sustainability.
40:21He says the whole argument about climate change is just the latest socialist lie. Nighting Nations become powerless. It's a multi -tentical Leviathan that seeks to decide what each nation state should do and how the citizens of the world should live. The same always happens with these ideas on the left. You design a model according to what human beings should do. When things turn out differently, you repress, restrict, and curtail freedom. But you would presumably cheer up to discover that Elon Musk is a huge fan of his and is very keen to invest, invest heavily in the United Nations. The other thing, by the way, where he's absolutely creating a Rothfries back and exacerbated, I think, by this extraordinary speech at the United Nations, is that one of the big problems he's inherited is they've got no real integration into the international financial system because they've so often they've sort of defaulted on payments.
41:11So these bodies that they're kind of dependent on at the moment, he's taking his chain sort of them most of the time, which doesn't strike me as being very, very, very, very clever. I'd love to get his sister on the podcast. I think she'd be very interesting. Maybe we can get him on the podcast. Yeah, he'd be good. Would we be allowed to do a trip to Latin America? Yeah, at some point we could go and see it because we also need to, some point, tease you about the fact that you have many, many great successes in your life, but the Colombian referendum was not one of them. It wasn't, but I think it would be harsh based on the fact that I made a couple of visits to Colombia alongside Jonathan Powell to try to advise them about to give you the full blame, dealing with FARC and also to winning arguments.
41:59I think it'd be a bit harsh to give me the blame for that. Now, how are you going to give me the blame for the fascist winning in Austria? Well, I mean, that is extraordinary, isn't it? So Herbert Keekle, who we've discussed on the show, and this is a proper far -right party, extraordinary people remember who listened a couple of weeks ago, sort of back from the grave. There was this scandal where the previous leader was caught by what in Britain would be called a kind of fake shake, a sort of journalist pretending to be Russian -bribing him, and he was quite happy to take every kind of bribe in the world.
42:32He went in the scandal. Keekle came in. Keekle is a really impressive communicator. We talked about some of his phrases. I mean, one of the things that you can see on big science around Vienna at the moment is they will be done. And they kingdom come. Exactly, which, as you being a German speaker, can explain the word for kingdom in that context, is the Reich. Exactly. And also, he basically thinks that if he doesn't become Chancellor, which, you know, he's come first in the election with 29 % of the vote, there will have to be a coalition, and I know that if he does a coalition with the sort of more conservative party, the OVP, they have been pretty clear.
43:12They won't have him as Chancellor, but he basically if he is Chancellor, and he's insistent one day he will be, he will call himself Fulks, Chancellor, which of course is what Hitler called himself as well. And also, you know, just to give you another example of his rhetoric, the final rally before the vote, he basically spoke out against sanctions against Russia, and he then said that all the slabs headteachers and the know -it -alls, the climate activist and the drag queens in the schools, and the early sexualization of our children is being rejected. In other words, totally on that kind of urban populist anti -woke agenda.
43:47I mean, I think he's saying things which go far beyond even what we tend to call the far right. I mean, he's talking about repatriating Austrian citizens who aren't ethnically white Austrians. In other words, people with full Austrian passports, he's suggesting should be expelled from the country. Essentially, how many of the people who are there who have come from elsewhere in the world, who are living there, have lived there for some time, but don't have a vote. Something like the hundreds of thousands of people. I mean, Austria is unusual, because as you know, and have reminded listeners, this far right party has done well and has been in government a number of times, and he himself has been a minister before.
44:26And again, we've got a repeat slightly of what we've found in the Netherlands where Hilt Vilders got the most votes, but again, they maneuvered so that he didn't become the prime minister. But I mean, it is very worrying. By the time you're getting up to 30 % of the vote, which is what you've got here, and which is what the German far right party, the AFD, just didn't turn here, you're guessing out of the complacent story that we used to tell ourselves a few years ago, which is, oh, these parties get 10, 15 % of the vote, but they can't really, because they're now clearly coming first. And Austria, I mean, he's got more votes than any other party.
44:57And the social democrats actually had one of the, they were just over 20%, they had one of their worst results for a while. And the other thing to say about Austria is that it, a bit like Orban, I mean, you and I both be fascinated, these tend to which when we were in America, people wanted to talk about Orban. Austria is also one of those countries where the American, the sort of why called the billionaire right, the kind of Koch brothers type, and the, and the people who fund all these kind of dark money think tanks, and the people who were involved in Brexit as well, they are all over Austrian politics.
45:27And you know, if you now have this little alliance between him within the European Union, between him, between Orban, between Fiko and Slovakia, you know, you're talking about this sort of little, this little kind of coalition around the East that will become more difficult. And will he do what Orban does, which is sort of pushed the European Union, challenged the European Commission, with some of the stances he takes, and some of the decisions he makes? And as we've said before that the really big thing that will determine the safe, the next couple of years is does marine the pen become president of France because the president of France really matters in terms of constitutional power, in terms of European foreign policy.
46:05And that's the moment of which Orban's vision of a world run by these kind of strong women and strong men really comes through. And that's the moment of which you might see Georgian Maloney, the right wing premissor in Italy, who has been relatively moderate, might begin tacking back towards the right. And then we have a very, very significant right wing presence in Europe. And that will begin to change. Yes, immigration policy, but yes, definitely European climate policy quite quickly, policy towards Russia, Ukraine, quite quickly. The numbers are quite difficult, even though he won. It's like, so he got 183 seats in the parliament, so you need sort of 92 to get a majority.
46:39They got 57 seats, conservatives 51, social democrats 41. The most obvious thing, actually even conservatives and social democrats and they kind of ground alliance only takes you to 92. So you're looking probably, you could end up with conservatives with the far right, that gives you 108 or they could be looking at trying to get some of the smaller parties and doing a kind of German style coalition, the one that shorts is currently leading. But anyway, I think it's we conclude just just in case everyone gets so so gloomy about this sort of apparently unstoppable rise of far right politicians. The American election is not over yet and we would encourage people to listen to our sister podcasts, the rest is politics, US in particular, they're fantastic, recent in fuel with the second gentleman.
47:25It was very good, it was really good. I was a bit pissed off that way. I think that this upstart podcast comes along. I think Doug should have been on our podcast, not theirs, don't you? I think that's a good point. Yeah, I think I'm making an executive decision here. If Kamala Harris decides to give an interview to any of the rest is empire, like the rest is football, for example. Yeah, she might do the rest is football, she might do the rest of the entertainment, but they are all banned even from thinking about it and that goes for you, scaramucchi and K as well. But it was by the way, a terrific interview and their series as well on how Trump won in 2016 was bloody good as well.
48:06Right, well, and it's the thank you, that was a lot of fun. And it was a well, maybe fun as the wrong word, but it was a good session. I look forward to speaking to you soon. Bye.
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