First elected as an MP in 1964, the Manchester-born politician represented the constituency of Heywood and Royton.
His parents, impoverished tailor Louis and Ettie, had earlier sent a young Joel Barnett to work in a warehouse to help provide much-needed funds for the family.
He had been a promising student, graduating from Hebrew school to win a scholarship at Manchester Central High School.
During the war he served in Germany with the British military government.
After meeting his wife-to-be, Lilian, at a Maccabi club in Manchester, he became an accountancy clerk and a member of the Fabian Society.
Aged 33, he was elected as Labour’s first councillor in Prestwich in 1956 before making it to Westminster eight years later.
He was a regular speaker at Jewish communal events during his years in government.
Elevated to the Lords after stepping down at the 1983 election, he became a treasury spokesman in the upper house.
Lord Barnett’s daughter, Erica, said he had died peacefully on Saturday.
