What a ridiculous thing to say.
The fact that other parties exist that are much further to the right of Labour doesn't change the fact that Labour revoked their commitment to moving the means of production into public ownership under Tony Blair, and have since systematically ousted every left wing MP from their ranks.
I'm all for tactical voting to keep the likes of Farage away from power (though that will probably mean having to vote SNP where I live), but that doesn't magically counteract the last 30 years of New Labour's neoliberalism.