There’s a flavour of ‘What have the Romans ever done for us?’ in the Corbyn-led debate over the Blairite legacy. As someone who campaigned enthusiastically for Labour in 1997 and now feels a somewhat detached member of the party, I think I can articulate why -despite the many achievements of the Blair and Brown governments – there might be a lingering discontent with that legacy. Leaving the Iraq War out of this, for right or wrong a product of Tony Blair’s always just visible messianic tendencies, the problem is really the Blairite legacy’s impermanence. The two main manifestations of that impermanence are in the failure to reduce inequality, surely to begin rising again, and the ability of the Conservatives to roar back and dismantle the very achievements for which we should be celebrating the Blair-given years of power. Continue reading Why Power is not Enough for Labour
After defeat at the 2015 UK election Labour talks about appealing to the ‘aspirational’ and David Cameron pledges before his cabinet ‘to give everyone in our country the chance to get on’. If we accept the premise that speaking to material self-interest is what politics is now all about, we still need to point out that neither party has any analysis or policies that make their proffered goals more likely. Powerful economic forces are splitting apart the have-more from the have-less, with these forces accelerated by the way in which discrepancies in wealth inevitably lead to discrepancies in political power and voice. In a way it makes sense for the electorate to choose the party that is more comfortable with managing this process, revealingly accepting that ‘the dignity of a job’, and ‘the pride of a paycheck’ may be the limited best it can offer its citizens – since any promises over the quality and security of that job and how far that paycheck might stretch appear beyond modern governments to fulfill. Continue reading Beyond Defeat for Labour in the UK
As Kawan Patel suggested on LabourList a few days ago, New Labour was founded on the idea that while Margaret Thatcher might not have ‘saved the nation’ as her Conservative supporters claim, there were things she ‘got right’. I believe that this focus on the specifics of the Thatcherite legacy, such as privatisation and reductions in union power, is wrong. It is what was entirely responsible for New Labour’s failure to reverse inequality and for allowing a massive financial bubble to replace a sustainable industrial infrastructure in Britain. We must learn this lesson.
For a start, the image of 1970s Labour government in hapless thrall to left-wing union leaders leading their unwilling rank-and-file members to destroy the British economy is almost entirely a creation of the press and Conservative myth-makers. The root cause of the industrial unrest of the 1970s that culminated in the ‘Winter of Discontent’ of 1978-79 was consistent annual inflation in double digits. This was mainly as a consequence of massive hikes in the price of oil. Firms showed no restraint in allowing their prices to rise to maintain their profits; for workers to maintain their standards of living required credible threats to withdraw labour. In doing this they were, on average, successful – but no more than that. In relation to labour productivity, hourly wages were at exactly the same point in 1979 as they had been in 1972. Continue reading Thatcher and Labour: The Real Lesson
Since my post Leveson, the Press and Labour there have been further developments. The Prince Harry photos episode was hardly edifying for the press or the Royal Family. That the Sun editor could claim that publishing these photos of a silly over-privileged young man was somehow ‘about the freedom of the press’ should re-inforce my main point. The primary freedoms most of the current press industry are ultimately interested in are the freedom to make money and the freedom to promote their owners’ interests.
That News International in particular are an organisation whose values are seriously removed from human concerns was re-inforced today by the publication of a seriously awful picture of Cheryl Cole. She had been photographed through a car windscreen bleeding from the nose after an accident. For all the photographer knew at the time this image was taken, this woman had a basal skull fracture and was minutes from death. The fact that she is well known for her celebrity career gives only public prurience rather than public interest to this photograph.
The tendency for the press to close ranks in denial at the overall damage done by a press with skewed ambitions was emphasised yesterday in the Independent editor Chris Blackhurst’s BBC Radio 4 interview on the ‘Section 13’ letter he has received from the Leveson Inquiry outlining the criticisms likely to be made. Continue reading Leveson Heat Rises for the Press
The riots that engulfed London and other cities in England began one year ago today. Just to hark back to my piece ‘Riots: Looking Deeper’ on this topic last year, written one week after they started. I think it’s fair to say that it was a reasonable analysis. In particular the Independent Panel set up to investigate their causes stated
Clearly the importance of those attributes becomes even more pronouncedwhen young people are faced with growing up in a time of austerity, a struggling job market and pervasive messaging telling them that criminality provides a fast track to achieving status among their peers. For example, while we know that most convicted rioters were not gang members, we also know that gangs operate in a large number of areas where the riots occurred. Some young people are exposed to imagery and attitudes associated with gang culture from an early age, which glamorise a life of criminality outside the system and which eschews any empathy for the victims of crime.
An article by Richard Wilkinson and Kate Pickett (of ‘The Spirit Level’ fame) on today’s Guardian CiF specifically blames inequality. You might care to look here at my general response to that thesis.
As Laura Wilkes, Policy Manager at the Local Government Information Unit, points out today on LabourList
…with local authority cuts set to continue the environment will become more challenging than ever before – if we are to avoid a repeat of 2011 councils need to have the funding to invest in key intervention programmes, community development and economic growth; all things that could help to prevent future riots. As things currently stand, government policy could threaten this.
Moody’s threatened to downgrade Spain’s debt yesterday. Why do we pay any attention to anything they, or the other ratings agencies, say?
In conclusion, I have tried to show that Moody’s managers deliberately engineered a change to its culture intended to ensure that rating analysis never jeopardized market share and revenue. They accomplished this both by rewarding those who collaborated and punishing those who resisted…The adjusted European CLO Rating Factor Table appears to have been adopted for the sole purpose of preserving Moody’s European CLO market share despite the fact that it might have resulted in Moody’s assigning ratings that were wrong by as much as one and a half to two notches….every single investor in a Moody’s rated European CLO may have a claim against Moody’s for damages associated with the fact that their CLO investments were not priced correctly.
Testimony from Mark Froeba, former Moody’s Senior Vice President, to the US Financial Crisis Inquiry Commission, June 2nd 2010.