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Derek “Degsy” Hatton has been allowed back into Labour - 34 years after being kicked out for belonging to the hard-left Militant faction.

The former deputy leader of Liverpool’s City Council triggered a national outcry in the 1980s by setting an illegal budget and was blasted for sending redundancy notices by taxi to thousands of council workers.

He was expelled and in the Labour wilderness for nearly three decades.

He claimed in September he had been readmitted - but Labour sources said at the time he was not a member.

However, the Mirror understands his membership was rubber-stamped last week following a meeting of the party’s disputes panel, which is overseen by its ruling national executive committee.

(Image: Mirrorpix)

Refusing to “talk about particulars”, Mr Hatton, 71, confirmed “processes have happened”, adding: “I am a member of the Labour Party.”



He said: “During that 30-odd years that I was expelled, I never once stood against, supported, voted against any Labour candidate.

“It’s very topical it should be at the time when seven members resigned today because obviously there were times when it was very tempting to go a different way - during the Iraq War, loss of Clause IV, many things - but I believed then as I believe now the Labour Party is the political arm of the trade union movement.

“Whatever is happening, that’s the place to stay.”

Liverpool Mayor Joe Anderson said: “I’m happy to have Derek Hatton back in the Labour Party.

“What happened in the past was a product of its time, but he has now committed himself to the kind of sensible socialism that we’re doing here in Liverpool and want to see UK wide.”