Archive for September, 2012

Labour must overcome its innate conservatism and keep on modernising

10/09/2012, 07:00:13 AM

by David Talbot

Settling into the settee at the Labour leader’s house in Frognal Gardens, Hampstead, in the aftermath of a disastrous general election defeat, the friends mused about the future of their party.

There was little or no concrete thread to the discussions that flowed that night, though clause IV and changes to the party name were indeed discussed, amongst many more beside.

The Labour leader privately rejected most of the more radical suggestions, but was convinced yet further that Labour needed to adapt. The only action agreed was that a member present would put the thoughts expressed down on paper and duly, on the Sunday following the defeat, an article appeared.

The piece created a furore. The party should abandon its historic commitment to nationalisation, rebrand its image beyond its working class base and should consider changing its name to “Labour and Radical” or “Labour and Reform”. However, this was not a cosy bunch of Blairites writing abstract policy pamphlets in the 1990s, but the triumvirate surrounding Hugh Gaitskell, the then Labour leader, in 1959.

Gaitskell recognised that the party was creeping towards irrelevance as a political force. The high tide of Labourism had seemly passed with the Attlee governments of 1945-51; inertia, infighting and tradition had taken hold of the party. Gaitskell saw the manifest dangers in refusing to change the party, which could lead to electoral disaster, if not outright extinction.

The day after polling Gaitskell privately remarked to Richard Crossman, a prominent socialist intellectual and former editor of the New Statesman, that another defeat would be final for the Labour party. The inevitability of Labour’s decline began to be predicted.

Four decades before the emergence of the personnel most synonymous with the revival and modernisation of the Labour party, Gaitskell and his cohorts first recognised that modernisation had to be front and centre – and accelerated. They openly recognised what has, truth be told, been at the heart of Labour since its formation – its innate conservatism.

This is most vividly illustrated by Philip Gould, the seminal Labour pollster, in his work “The Unfinished Revolution” which charts his involvement, and struggles with, Labour from the mid-1980s to his untimely death.

Gould describes, in quite the most excruciating detail, how Labour had abandoned the very people it had formed to represent. The Conservatives, he argued, dominated the last century because they continually modernised – whilst Labour did not. In their brutal lust for power the British Conservatives had become the most successful political force in the democratic world. This highlights the central paradox of British politics; namely, the party of conservatism held power for much of the twentieth century because of its ceaseless modernisation.

The party of supposed radicalism succumbed to its conservatism, surely no more exemplified then the deification of clause IV, originally written in 1892, and was thus systematically overlooked at the ballot box by the British electorate.

Gould details how the party’s conservatism dragged the party to the brink. The party became intrinsically, and violently, resistant to change. This conservatism is the ultimate explanation for Labour’s failure to dominate the British political landscape.

The myriad of failures of the Labour governments of the 1960s and 1970s was due in large measure to the party’s inability, or unwillingness, to modernise the party. But the ultimate encapsulation was the 1980s, which Gould chillingly describes:

“To millions of voters Labour became a shiver in the fear of the night, some unsafe, buried deep in the psyche, not just for the 1983 election campaign or the period immediately afterwards but for years to come.. Labour looked downwards; ‘Clawing back; turning the clock back; for Militant; anti-home ownership; strife; strikes; inflation. Not for me.’”

Gould, like Gaitskell, would spend his political life attempting to forge a new consensus in the Labour party; one of unremitting modernisation.

In his opening speech as Labour leader, Ed Miliband declared that “the era of New Labour has passed”. This is self evident. If his first conference speech was one of surprise, his second was a seminar. For the third, we need sustenance. But whatever words tumble from the leader’s podium in Manchester, Miliband cannot, and must not, reach for the party’s comfort in conservatism. The modernising zeal that Gaitskell started, and Gould sculpted, Miliband must now strive for.

David Talbot is a political consultant

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Its a man’s world in government after this reshuffle

07/09/2012, 01:34:47 PM

by Sheila Gilmore

Watching Maria Eagle open an opposition day debate for Labour on rail fares on Wednesday, with a woman shadow transport minister sitting alongside, I couldn’t help contrast that with the phalanx of men on the government’s new transport team. Four ministers all men.

When he was modernising and “detoxifying” the Tory party, David Cameron made much of getting more women into Parliament. And to be fair the 2010 intake of MPs showed a step change for the Tories in terms of women on their benches. Further Cameron said he wanted to see that one third of his ministers were women by the end of the Parliament.

Half way through it is just one in six. That includes some peers – the situation in the House of Commons remains overwhelmingly male. A lot of press attention was paid to the cabinet (one woman less) but the interesting thing to look at is the junior ministers, those from whom future cabinet members may hope to come. What do we see?

In the treasury there are now five men. The only woman there before, Chloe Smith, has been shuffled off to the cabinet office, doubtless on the back of her now notorious Newsnight performance. But she was only trying to defend the indefensible, with Osborne, as is his habit, happy to hide behind his junior ministers at such times.

And it continues. Defence – five men; foreign office  – five men; local hovernment  – four men; energy and climate change  – four men; and environment – four men. A few of the smaller departments are all male as well, but these bigger ones should have given Cameron at least some scope for gender balance.

Yet the women, especially the women elected in 2010, have been widely seen as being effective and talented. I may not agree with what they say but see them being active in the chamber, in select committees and running various campaigns. Scanning quickly down the list I came across one man whose name was so unfamiliar I had to look him up. Turns out he’s been undercover in the whips office for the last two years. A few months ago I overheard a couple of male Tory MPs saying that whips’ threats about promotion were meaningless now because they were the “wrong age and gender.” They can breathe again. Their party has reverted to type.

The 2010 intake (both men and women) have been particularly rebellious on Europe and the House of Lords, and few prime ministers would quickly forgive that, especially with the House of Lords scars being so raw.  But there are a number of loyalists among the women who have been inexplicably overlooked, especially if Cameron was serious about bringing the proportion of women up by 2015.

But then like “the greenest government ever” it is doubtful he really believed in it.

Sheila Gilmore is MP for Edinburgh East

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Predistribution is just a meaningless word in place of actual policy

07/09/2012, 07:00:01 AM

by Atul Hatwal

There’s a great scene in I’m Alan Partridge where our hero has just been told by his BBC boss that he hasn’t got a second series. Alan frantically scrambles to come up with something, anything else that might be commissioned.

“Arm-wrestling with Chas and Dave”; “knowing  M.E. knowing you” and “inner city sumo” are just some of the suggestions he rattles off.

Nothing.

“A Partridge amongst the pigeons?”

The boss’s interest is piqued. “What’s that?” he asks.

Alan blurts out the truth, “it’s just a title.”

Armando Iannucci is a political doyenne because of the Thick Of It, but often politics more closely resembles his work with the redoubtable Alan.

What “a Partridge amongst the pigeons” is to primetime viewing, predistribution is to economic policy.

In case you missed it, predistribution is the new silver bullet. It’s how Labour can square the circle of a limited government spending while still bearing down on inequality.

Rather than rely on tax-payer backed redistribution, predistribution seems to entail regulating the market so outcomes are more equal and redistribution isn’t needed. At least, not on same scale as in the past.

The most frequently cited example is tax credits: if wages were higher we wouldn’t need to spend state funds on tax credits.

As an idea, predistribution has been floating around for a while, but was anointed by Ed Miliband this week, first in his interview with the New Statesman and then at the Policy Network economic wonkathon yesterday (rather snappily entitled  “the quest for growth: ideas for a new political economy and a more responsible capitalism,” though judging by the substantive output, finding Spock might have been a more attainable quest).

Already, think tankers and policy pointy heads are feverishly bashing out articles on what it means and how this is the big idea Labour has been waiting for.

Let me help. Sit back from the keyboard and take a deep breath.

It means nothing.

It’s just a title, and, in practical political terms, there’s nothing behind it.

In his speech yesterday, Ed Miliband tried to sketch out how his vision of predistribution would remove the need for redistribution spending:

“Our aim must be to transform our economy so it is a much higher skill, higher wage economy.”

Hmm. That sounds familiar. Where have we heard those words before?

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LAPEL – a way forward for increasing the participation of local communities in the rehabilitation of ex-offenders

06/09/2012, 04:31:25 PM

Last week Json Keto Edwards won the “top of the policies” vote at Pragmatic Radicalism’s event on local government in Southwark. The winning proposal tackled the question of how to bes tsupport ex-offenders.

LAPEL stands for the Life After Prison Employment League. It is a policy proposal that offers a new way to re-integrate ex-offenders into the community, and, critically, prevent re-offending.

Punishments vary in degree when the courts assess punitive sanctions but in reality, a conviction is a conviction no matter how petty or serious the issue.

Finding employment is naturally not an easy task, but when an individual has a previous conviction be it spent or unspent it is an even taller order. We all now live in a world where most employers including professional bodies demand to know if a prospective employee has any convictions.

The irony about this question is that when such information is disclosed, chances are the individual does not make the shortlist. If not disclosed before employment it may form the basis of a later dispute or sacking following such appointment.

As an employer who has employed people with previous convictions, I have found these individuals worthy candidates with a strong desire to want to prove themselves deserving of the opportunity given them. I also believe that a legacy founded on employers supporting this group would only serve to reduce re-offending.

Based on this experience, my organisation Chainges Today is leading calls for a new approach to supporting ex-offenders. We believe LAPEL could be a vital tool in rehabilitating and re-settling ex-offenders.

The programme would involve an accreditation that can be displayed by employers showing their social responsibility in supporting the rehabilitation of ex-offenders.

Ex-offenders would be able to qualify for a parallel certification that would demonstrate their commitment to rehabilitation and could be presented to potential employers.

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The unsung hero of our golden Olympic summer is…John Major

06/09/2012, 07:00:54 AM

by Peter Watt

Rightly over the last few weeks we have marvelled at the sports that we have witnessed during the Olympics and currently at the Paralympics.  If we were worried about whether we could pull it off as country before, then now all we can do is push our chests out and rightly gloat.  We did it!

It is difficult to find anything that has not gone well and the memories that we are left with are sublime.  Mo Farah, Jessica Ennis, Bradley Wiggins, Ellie Simmonds, David Weir; we will all have our favourites.  It has been a sporting experience that is being shared in some shape or form by the majority of the population.

The rest of the world has rightly looked on and has been impressed by our organisation, by our sporting success and by the sheer joy with which we have embraced the games.

Inevitably there have been some rather lame attempts to get political kudos from all of this.  Labour has mentioned “once or twice” that it was a Labour government that had the courage to secure the games in the first place.  The Tories have made much of the fact that the delivery was completed on time and on their watch.  They have also hoped that a national focus on the weeks of glorious sport would give them a break from the relentlessly bad news of the previous months.

Our politicians have had photo-ops with athletes and with supporters.  They have presented medals and flowers to winners.  Twitter has been full of the political community discussing the multiplicity of sports and publicly congratulating our sporting greats.  The hope was that the greatness and feel-good factor would rub off.  It worked for Boris but definitely not for George or Theresa.

In fact I suspect that the booing of George Osborne may become an enduring and defining impression.  But that aside, on the whole, the activities of our politicians have thankfully gone unnoticed during the sporting festivities.

But I have been inspired by the spirit of fair-play embodied by the Olympians and Paralympians.  And in that spirit, there seems to me to be one politician above all others who can justifiably feel self-satisfied at the role that they have played in the success of London 2012.

And that is John Major.

John Major has somehow been written out of history by many in politics.  Certainly the Tories don’t really talk about him or his term in office.  And Labour isn’t that bothered about referring to the Major years either.  It is almost as if nothing happened politically between 1990 and 1997 that really matters anymore.  Surely it was all about sleaze, internal fights over Maastricht and assaults on John Major’s leadership?

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Villiers should learn from her ancestor in approaching Northern Ireland job

05/09/2012, 04:03:17 PM

by Kevin Meagher

While the British political class pores over the cabinet reshuffle, Belfast underwent yet another night of rioting, the third in a row. Sixty police officers have been injured so far this week. Here politics is visceral. The ups and downs of Westminster village life are quite superfluous.

Territory remains at the heart of every problem in Northern Ireland. While the meta-issue of sovereignty remains an irreconcilable difference, it’s that recurrent micro-issue of parading which is fuelling this latest crisis.

The “right” of protestant loyal orders to march through predominantly Catholic communities is a long-running sore, partly relieved by the creation of the Parades Commission (one of our more idiosyncratic quangos) to adjudicate on whether the most contentions marches can go ahead.

The commission is now reviled by unionists. So much so, that a banned parade in north Belfast still went ahead last weekend, causing much of the subsequent trouble we have seen. Loyalists (less respectable unionists), without the leadership to exert influence in mainstream politics, assert their territorial claim the old fashioned way, by taking to the streets. This in turn creates a fertile climate for dissident republicans to burrow into Sinn Fein’s urban powerbase, as an emboldened Catholic population refuses to have sand kicked in its face any longer.

A little local difficulty? Hardly. There is a real risk that the rioting in north Belfast, will escalate into a wider conflict. Later this month loyalists will be back in force to the same spot, expecting to march past Catholics in commemoration of the 100th anniversary of the Ulster Covenant (where half a million Ulstermen signalled their opposition to Home Rule). Dissident republicans will be looking to stop them, undermining Sinn Fein for good measure.

Enter Theresa Villiers as the new secretary of state for Northern Ireland. Hers is a unique in-tray. There’s not really any policy in the Northern Ireland Office, it’s all raw politics; navigating a pathway through brittle egos, vested interests and implacable enmities. It’s a role where you are always going to upset someone. Northern Ireland is, after all, a small place with too many politicians.

Unlike Tony Blair, David Cameron lets his secretary of state do the talking. All parties complain that they no longer get face time with the British prime minister, which makes Villiers’ appointment all the more important. The buck really does stop with her.

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This shoddy reshuffle is just a distraction, understanding aspiration is the key to the next election

05/09/2012, 07:00:15 AM

by Rob Marchant

Who’d be David Cameron right now? Mired in political treacle, this week he is trying to divert attention away from his problems with a reshuffle, and wrest back the initiative by lots of serious-sounding pronouncements about economic growth which is proving highly elusive. The public doesn’t seem to be very impressed by him or his coalition at the moment but, then again, neither does his increasingly restive party.

David Cameron’s first problem is that, although he tries to entice his backbenchers with some right-wing soundbites and a few reshuffle sops such as the promotions of Chris Grayling and Owen Patterson, he is forced to tread a line between the centrist husky-hugger and the Thatcherite Brussels-basher, with the result that he is believed by neither side. And, as Iain Martin points out, his hardline economic approach is not necessarily even shared by the Tory right.

Next, it is also useful to note that that Tory right is not what it used to be, either: the “squires from the shires” of yore are a lot less representative of the average backbencher than the self-made businessman or the corporate exec who worked his way up. The hinterland of this new breed is meritocratic, not noblesse oblige; and they do not necessarily think that this Etonian deserves his place in history, after a few years in public affairs and a lot more as a Westminster insider.

Indeed, talking of the right: on observing the US elections, the Daily Express’ sharp political correspondent, Patrick O´Flynn, last week reflected what Cameron could learn from them: that the “first UK party to choose as leader a decent, self-made, down-to-earth, pro-striver leader will get massive momentum”.

He’s right, but the observation is not just for right-wingers. There’s a universal lesson, in that the British electorate is clearly fed up with career politicians, and would like to elect people who they see as appreciating their aspirations.

A simple fact seems to lie unaddressed by politicians: people still want to get on in life, just as they always have done. And they want politicians who understand that. It’s called aspiration, and in Labour we used to understand it.

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Calm down Westminster, the reshuffle will change absolutely nothing

04/09/2012, 07:00:16 AM

by Atul Hatwal

It doesn’t matter. It really doesn’t. For all the chatter over the reshuffle, it will achieve nothing. No great new sense of direction will be imbued in the government, no re-vitalised mission.

There are three fundamental reasons that nothing will change, regardless of all of the hyperventilated twittering in Westminster, certainly not at this point in the electoral cycle: Cameron and Osborne’s relationship, the limited room for manoeuvre in making cabinet changes and the government’s inability to manage the media.

First, Cameron and Osborne both know they are bound together to the end of time. It rules out the one change that could have a profound impact the government: moving the chancellor.

Cameron and Osborne might recently have demonstrated bewildering political and economic incompetence, however, these two politicians have had the importance of unity between Number 10 and 11 indelibly impressed on them by visceral personal experience.

Through the 1990s and 2000s they had ring-side seats to the aftermath of prime ministers and chancellors falling out.

In the early 1990s they watched Major vs. Lamont (with the chancellor advised, lest we forget, by a fresh faced David Cameron while George Osborne was a researcher at Conservative Central Office); and then a decade later, Blair vs. Brown. The former conflict destroyed the foundations of Major’s authority while the latter consumed Labour’s will to govern.

For Cameron and Osborne, the ruin of the last Conservative and Labour governments both lay in the recurring war between Number 10 and 11. It is, in a sense, the defining experience of their political lives.

Second, there’s little room at the inn. The need to maintain the balance in posts between Tories and Lib Dems, men and women and right and left means there is exceptionally limited room to upgrade, let alone seat extra guests for dinner.

There’s no moving the Lib Dems from either chief secretary to the treasury, BIS or energy and climate change. Given the constitutional reform element of the deputy prime minister’s remit, a sizeable chunk of the justice secretary’s portfolio is also Lib Dem territory.

The small number of women in the cabinet means that any cull that included Caroline Spelman, Cheryl Gillan or Sayeeda Warsi would require three female replacements. This would anger the not-so-orderly queue of men waiting to get into the cabinet; some of whom thought they actually had cabinet jobs until the coalition agreement was hammered out.

Then there’s the delicate balance of right and left. Cameron’s preferred lieutenants such as Nick Boles and Nick Herbert are regarded as lily-livered quasi-Lib Dems by the snarling right. The backbench right-wing caucus will demand a bone to be thrown, but Cameron must also be wary of surrounding himself with ministers temperamentally hostile to his flavour of Conservatism.

It’s all tricky; so tricky in fact, that the least harmful option is to leave as much the same at the top table as is possible.

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How do we re-engage young people in the electoral process?

03/09/2012, 02:38:52 PM

by Amanda Ramsay

Being politically active should be exciting and challenging, something to relish and throw your energies into. But with voter turnout declining sharply and only about 1% of the British population currently card-holding members of political parties, engaging young people in politics and the electoral process has never been more important.

So how do we do it?

Reducing the voting age to 16 could be a good place to start. To rehearse the well-worn argument, if you’re old enough to pay tax, marry, have children and fight and die for your country in the armed forces, surely you are old enough to vote about who runs the country?

Studies have shown that online and text voting would increase voter engagement in young people. Fraud is a huge concern with this route, but something has to change with the times. Would Saturday voting instead of the traditional Thursday help?

Raising turnout in UK elections amongst young people, maybe helped by having more young candidates to choose from. Bristol Labour party is fielding a range of young candidates at the next round of local government elections in May, including Mhari Threlfall, new student enterprise advisor at UWE (University of West of England), who tells me:

“I feel a duty to support young people. It is a bleak picture for younger people, with the average age of a councillor being 60 and rising, now more than ever it is important that young people have a voice, especially at a local level.”

Participation from younger voters might be enhanced with electronic voting options but to really improve engagement, better local and national voter registration is critical.

Traditionally, most first time voters are registered to vote by their parents or guardians, when they register the household. The Electoral Registration and Administration Bill will change all that, introducing individual electoral registration (IER). However, without direct action to encourage the young to register, apathy may be the biggest vote winner, if young people don’t bother to fill out the forms required by local councils.

The registration process for young people needs to be driven by enthusiastic young ambassadors, who can lead by example. An Operation Black Vote style campaign could galvanise a step-change in registration among young people.

Yet, on its own, a renewed registration drive will not be sufficient.

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Labour’s policy on banks shows how little politicians (and economists) understand the business

03/09/2012, 08:59:24 AM

by Paul Crowe

The summer break is over, the kids are headed back to school and in the business pages it’s as if nothing has changed: there’s another investigation into Barclays, this time over dubious “consultancy” payments to the Qatar fund that bailed them out in the crash; RBS is under fire over pay, this time a £3.2m golden hello to their new head of retail banking and Libor investigations continue to cast a shadow over all of our banks.

The banks need to be taught a lesson. It’s almost a self-evident truth in the current political debate. The Tories are too hamstrung by their donors and innate conservatism to take the radical action needed and Labour seems to have grasped the nettle.

In July, the two Ed’s launched Labour’s blueprint for banking. At the heart of the proposals for the retail market is a commitment to force our five biggest banks to divest some of their branches so that another competitor can be created.

It’s an extension of what the European Commission has forced Lloyd’s to do as the price for allowing their takeover of HBOS. In this case, 600 Lloyds’ branches have been spun off. They will be taken over by the Co-op bank to create a new institution that is large enough to compete with the big players.

This approach was also championed by the panjandrums of the Vickers commission and in theory Labour is onto something. Divesting branches in this way directly reduces the market power of the existing banks, increases competition and should improve services for customers.

Except that the real world does not quite operate by the simple rules of elementary economic theory.

If the Ed’s had looked a bit more closely at what has happened with Lloyds’ divestment, they might have arrived at a rather different conclusion.

Based on Lloyds’ experience, the real barrier to market entry for new suppliers will not be tackled by Labour’s proposal.

As the Co-op has discovered, the biggest stumbling block to competing in the big leagues is IT. Even though they are an established bank, they have found that their IT system cannot safely deal with the extra volume of customers from Lloyds’ 600 branches.

The result? They are likely to move all of their customers onto the same huge Lloyds system that is currently used by the 600 branches, a process that will cost them hundreds of millions of pounds and reflected in the low price that the tax-payer backed Lloyds received for their divested branches.

As financially strong as a potential entrant’s balance sheet might be, unless a supplier is able to build and run one of the biggest and most secure IT systems in the country, the regulator is quite rightly unlikely to allow them into the market – if this system goes down, so does the financial stability of millions of people who depend on automated direct debits, standing orders and bank transfers.

Just ask NatWest, RBS and Ulster Bank customers how they felt when an IT glitch meant their accounts were inaccessible for a few days earlier this year.

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