How PR could be Labour’s next radical reform

Unless the opinion polls are wrong on an massive scale, it’s likely that Jeremy Corbyn’s Labour Party will be massively defeated by a coalition of Theresa May’s Conservatives and former UKIP voters fleeing their rapidly sinking ship.The Tory lead of 15-20% predicted could produce a landslide for the Prime Minister with a parliamentary majority of over 100.Labour MPs could be reduced to well under 200 in number.

It would easy to blame Jeremy Corbyn for this (and many Labour MPs surely will), but the truth is Labour has been suffering from a long term decline, at least for the last ten years. The big tent that held together Dennis Skinner and Tony Blair has fragmented and split.

Labour and the Conservatives stride across our FPTP landscape, one where only two parties can be in contention. The political ecosystem squeezes out smaller parties. Yet times are changing. These two predators once enjoyed over 90% of the vote within living memory, but have in recent years had to survive on slimmer pickings, with the support of barely two thirds of the electorate. There is simply not enough food for the two dominant dinosaurs any more.In addition to less votes to fight over, the political tectonic plates have been shattered by two earthquakes – the 2007/2008 banking crisis and Brexit.

The Labour dinosaur is dying. Once confident and strong, it is wobbling badly. Those previously willing to tactically support it are standing aside. If propping up a dying beast is pointless, perhaps the best thing is to let it die sooner rather than later. Westminster politics is a zero sum game. There are a finite number of MPs and a finite number of voters. If a great tree crashes down, on the exposed ground where it lay, fed from the rotting trunk and new sunlight, new life can form. Left and centre-left voters would be free to build a new party or parties, better equipped for the new world.

Labour has a great tradition of radical reform, and herein lay an opportunity to forge a new democratic future for the country, just like it forged the NHS and Welfare State. Instead of refusing to adapt or change, and just die away, it could become the party to create a new democratic system. Proportional Representation would undermine the inherent benefit the Conservative Party enjoys. Of course, we need a FPTP winner to bring this about, and it therefore must be led by the Conservatives or Labour. Conservative turkeys won’t vote for Christmas.

Labour could become the party dedicated to reform the system. By committing to PR, Labour would attract voters from across the centre left. A Labour Party asking for non-Labour voters to lend their vote, to win the election to smash our out of date system, would be fresh, exciting and relevant. Labour will always be remembered for creating the NHS – it changed Britain. The 1945 Labour Government was a radical reforming Government.
By promoting a radical change to our democratic system, Labour could do that again.

The Left must not turn on itself over Europe

Until recently, much of the EU Referendum debate has been seen as a blue-on-blue matter. David Cameron on one side, and the person most keen to replace him, Boris Johnson, on the other. This has been the perception, but it hides a more complex picture under the surface.

Without a doubt, the Conservative Party is deeply split, and the rift could be very long lasting. Conservative MPs are evenly divided between Remain and Leave, and the membership similarly affected. No matter what the referendum result, the Conservatives will have to try to form a working Government with a tiny majority, hindered by the self-inflicted campaign wounds.

Labour also have difficulties. Their Leader, Jeremy Corbyn, has been a long term critic of the EU, but is supporting Remain alongside 90%+ of the PLP. Labour voters are far less supportive of the Remain camp than the Labour Party itself. The latest You Gov poll show support for Remain at 65% and Leave at 24%. There have been warnings from Labour Campaigners that in many areas of the country, Labour voters are not coming to the Remain side. If the country votes for Brexit, the vast majority of Labour MPs will have backed the wrong horse.

I support Green Leaves, a campaign group for Green Party members and supporters who wish to leave the EU. Labour also has a campaign to leave the EU. There is a substantial debate within the left about how to vote on the 23rd June. This debate has become more and more fractious, and has become very hostile in recent days, given the poll movements that have brought the chance of a Brexit vote becoming more likely.

Baroness Jenny Jones, Green Party Peer, has published a number of articles setting out a left-wing and progressive case for Brexit. I have seen comments about her that are utterly disgraceful, and disrespectful to a person who has worked for the Green Party and progressive causes for decades.

I know good left wing people, who were supporting Leave, but due to being tired of being called fascists, UKIP supporters, traitors and so on have switched their support to Remain under duress.

There are no certain outcomes, no matter what the referendum result is. There are a range of possibilities that exist, and it is for each person to evaluate the best way to vote for themselves. Supporting Leave does not mean supporting Nigel Farage or the Tory right. Leaving the EU does not mean workers rights being destroyed or environmental protections diminished. Should Brexit occur, our Government who has struggled to get fairly basic things passed with a tiny majority, will have even more difficulty removing holiday pay or others workers rights, given they will be in civil war. The Conservative Party has too many MPs in marginal seats, who will surely cave in under the pressure a constituency mail bag, threatening their seat at the next GE. And the power handed to UKIP? They have one MP now, and will still have one after June 23rd.

I ask that people of the left understand that voting Leave isn’t traitorous.

I ask that people of the left understand that voting Leave isn’t a sign of stupidity or character defect.

I ask that people of the left understand that given the same partial and ultimately subjective information, others may come to a different conclusion.

 

 

Cameron’s Mythical Dragons

You know a Government is in trouble when they start slaying mythical dragons.

David Cameron announced this week that immigrants families would face being ineligible to apply for a Council house for up to five years. The Prime Minister has been under pressure from Conservative MPs since their appalling Eastleigh by-election result, where they slumped to third behind UKIP. The UKIP campaign was based strongly on an anti-immigration and anti-EU stance.

With a background of a stalling economy, poor poll ratings, internal conflict and a stress-cracked Coalition, the omens for the next election look poor for the Conservatives. With under three years to go, it would take a remarkable and unlikely turn around to reverse the trend.

So how does such a Government in this mess move forward?

They roll out their mythical dragons to slay.

For the Conservatives these are the EU, immigration, the public sector, unions, the welfare state and the so called deficit. Each is chosen for a number of reasons.

Firstly, the myth must be commonly shared. It is useful if your friends in the media will propagate helpful stories, using one-off extreme cases to demonstrate the rule. For example, a single mother with eleven children was the centre of a media storm last month. This case was used to demonstrate the ‘failing of an over generous benefit system’ , despite being a highly unusual case that represents a minuscule percentage of benefit claimants. The domination of the right-wing press ensures that such issues are rarely portrayed accurately, or with a fair evidential basis.

Secondly, each dragon should represent a group that is vulnerable and weak. This applies to immigrants and welfare claimants. These groups do not have the influence to seriously fight back.

Thirdly, the concept of scape-goating should apply. Are immigrants responsible for the lack of social housing? No, the issue is decades of not building them, while simultaneously selling the stock off. Are people on Job Seekers Allowance holding back the country and responsible for their own worklessness? No, our economy is so configured to ensure a permanent high level of unemployment to create a downward pressure on wages, and transfer wealth to global corporations and the super-rich.  Scape-goating also helps to ensure ordinary workers focus their rage on those they should unite with. Why should the elite fight everyone else, when they can have ordinary people fight among themselves?

The Conservatives know that organised labour remains a barrier to eroding employee rights and creating the  preconditions which would enable global capitalists to further asset strip the people of the United Kingdom. This is why the public sector and Unions are targets for slaying, not because they are bad, but for ideological reasons. The Miners strike in 1984-85 was a classic case of artificially constructing a fight, with the intention of destabilising the union movement and to justify a reduction in union rights.

The Conservatives always talk about the deficit as something Labour grew so large due to spending too much. This is nonsense, and even a cursory look at historical data blows this myth out of the water. The deficit is being used as a trojan horse to fragment and privatise our services for corporate profit.

So given the Conservatives inability to win the next election based on their performance or benefit they have brought to people, we can expect two years of further attacks on the classic Tory dragons.

Those on the left need to ensure that they fight every myth propagated by this Government, as it gets down and dirty heading towards 2015. No action should be done or speech made that gives credence  to these myths.

This lesson needs to be quickly learned by the Shadow Cabinet.

Are you listening Liam Byrne?

The Left Should Unite and Strike Now

“Anyone in this party who’s in any doubt who we should be fighting, what we should be debating, where our energies should be focused – I tell you: our battle is with Labour. This is a bunch of self-satisfied Labour socialists who think they can spend your money better than you can, make decisions better than you can and tell you what to do, and we should never, ever let that lot near government again.”

David Cameron, Conservative Spring Conference, 16th March 2013.

This passage from David Cameron reveals the hole in which he and his party find themselves.

The Conservatives surely never thought it could get as bad as this. Several things have come together.

Firstly, their key aim of this Parliament was the elimination of the deficit, an aim now stretched out way into the the distance. The austerity medicine delivered has killed patient. 2013, instead of seeing strong economic growth as predicted on 2010, is a zero growth struggling mess.The Government is actually more more money, not less, to plug that gap left by anemic economic activity.

Secondly, David Cameron policies have been a story of flip-flop, cock-up and disaster. The Coalition agreement always a back-of-the-fag-packet look about, and this has been borne out in practice Some policies such as NHS and education reform have been carried our despite deep unpopularity and the obvious fact they will not work. Other policies have been ditched for no reason other trying to popular after the event, such as the minimum price of alcohol.

Thirdly, they expected Ed Miliband to be a disaster. To their shock, Ed has not only not been a disaster, he is doing well. The Labour Party has not fallen apart, but has actually been a successful tactical opposition at least. This week’s PMQ’s, with Ed’s joke about organising things in a brewery, demonstrated the it is David Cameron, not Ed Miliband who appears on the back foot and struggling.

Not only does the Prime Minister have a united opposition to trouble him. The Conservative Party is split and ill-disciplined about issues such as gay marriage and Europe. Many Tory MPs see the Prime Minister’s stance as not Conservative enough, blaming the Liberal Democrats for unduly influencing the Coalition. This has created an opportunity that UKIP has taken with both hands. Eastleigh’s by election humiliation, where UKIP forced the Conservatives into third, was a stinging blow.

The polls also show no comfort either. A recent large poll by Lord Ashcroft showed how successful Labour could be in 2015 and how poor Conservative supporters thought their chances were. Polls have been showing a strong Labour lead of about 10 points for many months.

All these factors led David Cameron to his speech. He knows he is looking down the barrel of defeat if he gets to 2015 as leader. He also knows that he is polling the sort of numbers that Maggie Thatcher was when removed as leader. In addition, he knows that polling at the low 30’s is the irreducible core vote that they got at their biggest kicking in the modern era – 1997.

So should Labour prepare for Government?

Labour is in a strong position, yet quite frankly have done very little. To just allow the Government enough rope to hang himself is not enough. It is complacent and will not allow Ed to lead what would be needed in 2015 – a national renewal on the scale of 1945,

The real fear for Labour has always been stigmatised with being associated tax and spending. Virtually all we have heard from the Government since 2010 is blaming Labour for spending too much. Labour has meekly defended itself at best, and so it has stuck firmly despite being fundamentally wrong.

In addition, the signs are that Labour are drifting to the next election with caution, and a probability to match the Conservatives spending plans as Tony Blair and Gordon Brown did in 1997.

This would be very bad, as the clear aim of Cameron’s Government has been to privatise health and education, destroy the public sector and dismantle the welfare state. Another five years of following this Governments spending plans would make these changes permanent. What is required is a clear and loud rejection of austerity, and a laying to rest the economic myths that have now sadly become unquestioned. Anyone who thinks that these myths are true, don’t listen to amateur left bloggers, read the works of Paul Krugman (Nobel prize winning economist) and others.

Given the weakness of the Conservatives, now is the time to strike and strike hard. Labour now has only a few years to set out an alternative economic agenda. It will take time to blow away the myths, and this conversation may not be easy.

Labour needs to articulate their plans for health and education, and on how key services can be better by not auctioning them off to highest bidder. We need to accept that the treatment of the poor, frail and elderly in the UK is a disgusting abuse that shames us all. Vulnerable people need the dignity and care they deserve in a civilised society.

The need for not just growth, but the right growth should be made. We don’t need everyone to buy a new TV or pile money again into a housing bubble, we need to grow by building low carbon energy technologies that supply us for decades cleanly and safely. We need to build in infrastructure – better, cleaner transport and high-speed broadband – that can be the backbone of future businesses. We need to ensure we build enough high quality housing to ensure that everyone can live in a modern, energy efficient home that ordinary people can afford.

The values of our society need to be challenged. As a nation we simply cannot accept the inequality hard-wired into our economic system. Work should earn a living wage, and excessive salaries by the elite should be both limited and action taken to ensure they are not squirreled away in off-shore tax havens.

These are the bold messages that Labour should be shouting from the roof tops now, and every minute up the next election. Labour are well placed to lead a coalition of the left, and with the agenda set out here would surely drive Cameron and company out of Downing Street and deliver a society we could all be proud of.

David Cameron’s UKIP Conundrum

The Eastleigh by-election can described as a hard fought win for the Liberal Democrats or a sign that Ed Miliband’s one nation message has travelled no further south than the Watford gap.

However, the second place by UKIP, dumping the Tories into third, has brought home to the Conservatives the fact that UKIP are a dangerous threat to them winning the next general election. This is the big message from Hampshire.

Eastleigh by-election, 2013
Party		Candidate	Votes	%	±%
	Liberal Democrat	Mike Thornton	13,342	32.06%	-14.44%
	UKIP	Diane James	11,571	27.80%	+24.20%
	Conservative	Maria Hutchings	10,559	25.37%	-13.93%
	Labour	John O’Farrell	4,088	9.82%	+0.22%
	Independent	Danny Stupple	768	1.85%	N/A
	National Health Action	Iain Maclennan	392	0.94%	N/A
	Beer, Baccy and Crumpet Party	Ray Hall	235	0.56%	N/A
	Christian	Kevin Milburn	163	0.39%	N/A
	Monster Raving Loony	Howling Laud Hope	136	0.33%	N/A
	Peace	Jim Duggan	128	0.31%	N/A
	Elvis Loves Pets	David Bishop	72	0.17%	N/A
	English Democrats	Michael Walters	70	0.17%	-0.33%
	TUSC	Daz Procter	62	0.15%	N/A
	Wessex Regionalist	Colin Bex	30	0.07%	N/A
Majority			1,771	4.26%	-2.9%
Turnout			41,616	52.8%	-16.5%
	Liberal Democrat hold		Swing	-19.2

The effect of UKIP has been to divide the right. Mirroring the impact the SDP had on Labour in the eighties, UKIP is taking crucial votes from the Conservatives.

Below is a graph showing the percentage lead in each seat the Conservatives won in the 2010 election over the second place party.

 

As can be seen, if just 10% of the Conservative vote goes elsewhere and the second placed party just stands still, the loss of seats would be around 80. Is this possible or likely?

Below is a chart showing the change in vote share for the Conservatives and UKIP in the by-elections they have fought this Parliament.

Of course, by-elections can exaggerate the sort of changes seen in a general election. However, the Conservatives are not only under threat from UKIP. In the north and urban areas Labour is moving strongly against them, without the sort of splits that divided them in the eighties. Eastleigh demonstrated that Liberal Democrat heartlands have a tough core.

There is irony in that two euro-sceptic parties have split the vote, allowing a pro-European party to win the seat. One might think that an electoral pact would help to ensure a bigger voice for euro-sceptics. This is unlikely for several reasons in my view.

Firstly, Nigel Farage, UKIP Leader, now has almost a cult following. He is driven and motivated, and the smell of fear from Conservative HQ will be too strong to resist.

Secondly, the Euro elections loom next year. Given the proportionate system used to elect MEPs and subject being UKIP’s key issue, they are very likely to kick the Conservatives hard. With less than 12 months before the general election campaign, a bruised set of Tory backbenchers will be very nervous about their future. They will be in no mood to talk deals with the very party who threaten them.

Despite claims that the Eastleigh by-election was just another mid-term protest vote, I think the roots of the defeat of the Conservatives in 2015 are growing strongly.

Really, I want the Lib Dems to do well in Eastleigh…

On Thursday the most interesting by-election of this Parliament takes place.

Eastleigh, recently vacated by the disgraced Chris Huhne, sees the two Coalition parties fight it out. It is a Liberal Democrat stronghold, held since 1994. Even Labour’s 1997 landslide resulted in only a third place with 26.8 % of the vote.

Here is the 2010 result:

General Election 2010: Eastleigh
Party		Candidate	Votes	%	±%
	Liberal Democrat	Chris Huhne	24,966	46.5	+8.2
	Conservative	Maria Hutchings	21,102	39.3	+2.1
	Labour	Leo Barraclough	5,153	9.6	−11.5
	UKIP	Ray Finch	1,933	3.6	+0.2
	English Democrats	Tony Pewsey	249	0.5	N/A
	Independent	Dave Stone	154	0.3	N/A
	National Liberal Party – Third Way	Keith Low	93	0.2	N/A
Majority			3,864	7.2
Turnout			53,650	69.3	+4.9
	Liberal Democrat hold		Swing	3

This by-election raises issues for left-leaning voters. Who do you vote for when the only real contenders are in Government delivering policies that are diametrically opposed to your principles?

This is the dilemma that  First-Past-The Post poses across the country. It turns the decisions made in elections from working out the best choice to calculating the least worst. Framed in this fashion then, what is a Labour and Green supporters least worst option, assuming your priority to to remove this Government?

The answer is quite clear – vote Liberal Democrat. That’s right – vote Liberal Democrat.

In 2015 the Liberal Democrats will be fighting 57 seats. Of these, in 38 the Conservatives are the second place party and Labour are runners-up in 19.

Below is a table with the effect of different swings from the Liberal Democrats to the Conservatives and Labour on the seats that Liberal Democrats would lose.

1. Liberal Democrat
2. Conservative
3. Labour

Swing Achieved	Gain for Conservative	Gain for Labour
5 %	15	0
10 %	30	2
15 %	37	5
20 %	38	18
25 %	38	34
30 %	38	38

For example, should the Conservatives get a swing of 5% from the Liberal Democrats in these seats, they would take 15 seats. Should Labour get the same swing in the same seats, even a static Conservative vote would result in no gains whatsoever.

Next, seats where Labour are second:

1. Liberal Democrat
2. Labour
3. Conservative

Swing Achieved	Gain for Labour	Gain for Conservative
5 %	7	2
10 %	13	4
15 %	17	9
20 %	18	16
25%	18	18
30 %	19	19

Here a 10 % swing from Liberal Democrat to Labour would gain Labour 13 seats, and the same swing the Conservatives with a static Labour vote would win 4 seats,

The end goal of removing the Conservatives in 2015 is hampered seriously if the Liberal Democrats lose ground in the south, south east and south west where Labour are not contenders. Every seat the Conservatives win makes the job of Labour harder.

By-elections since 2010 strongly suggest that the Liberal Democrats have suffered serious swings to Labour, enough to virtually eliminate them from most urban areas, the north and the regions. Labour have also gained on the Conservatives.

The pincer movement of Labour gains in the north and urban areas and Liberal Democrat holds in the south would be fatal to David Cameron’s attempt to even be the largest party. UKIP making taking Conservatives votes would simply compounds the Conservatives in a triple squeeze

So if you live in a seat Labour are a poor third, allowing the Conservatives win by not voting Liberal Democrat really is cutting of your nose to spite your face.

Perhaps you should try one of Polly Toynbee’s nose pegs?

The economy will doom the Tories if Labour can come up with a plan

The recent downgrading of the UK by Moodys from it’s AAA credit rating will certainly create problems for the Government.

It will make little difference to the UK financially. The UK’s financial position is well known and money markets will have been building this into prices for some time. Similar downgrades in the US and France have not made a real difference to their borrowing costs.

However, the Chancellor and the Government have had their credibility damaged. The perception of lost credibility is very dangerous, and once lost is hard to get back. In September 1992, just months after a remarkable election victory, Black Wednesday damaged the Major Government permanently.

George Osborne was already looking in a poor position, with his Austerity programme being stretch way beyond the period promised in 2010. Growth has stalled badly.

‘It’s the economy stupid’ is the political reality. It sums the fact that a Government need not be that popular, if the public feel that their jobs and economic future looks secure with them. Analysis of YouGov data since 2010 on this very issue paints the Government in a poor position. YouGov run a tracking poll that asks respondents which party is best for the economy in general. In June 2010 the Conservatives topped the poll with 37% vs Labour’s 26%. However, the poll in February 2013 showed a fall down to 27%. The data is plotted below:

The same data has been plotted on a CUSUM chart. This essentially shows the trends beneath the noise:

What is clear is that the Conservatives have been in free fall since around March 2012. This is a reference to the ‘omnishambles’ budget, and they have not recovered since. What is also noticeable is the fact the Labour has not felt any benefit, merely moving from 26% in June 2010 to 28% in February 2013.

The notable beneficiary of this has been ‘None’, moving from  7% to 13%. Quite simply increasing numbers of people feel that no party offers any prospect of improving the economy. They have lost faith in the Conservatives, but don’t feel Labour offers anything better. This finding is demonstrated by the correlation between the Conservative figure and the none figure (-0.75). The correlation of the Conservative to the Labour figure is a much worse -0.29.

The outlook for the UK economy is currently poor for the next few years. There looks to be no prospect of a change in economic fortune that would restore credibility back to the Conservatives. Our main trading partners in Europe are suffering very badly, and the overall picture is one of bouncing along the bottom of a long period of low or no growth.

Labour does have a open goal here, if they can have faith in plan not based on Austerity, but one of serious and sustained investment. The last few months has seen some speeches where Ed Miliband has begun to articulate an alternative, yet this embryonic economic plan needs much more flesh and bone. This plan cannot be Austerity-lite, but something different. The price of not creating and articulating this vision could be to enter the next election giving the Conservatives a chance it simply does not deserve.

Labour failing to beat the Conservatives in 2015 would be unforgivable.

 

A Shuffle to the Right

The Cabinet reshuffle has set the tone for the second half of this Parliament, and gives a guide to the shape of the next General Election.

By leaving George Osborne in place, the Prime Minister has set out his stall to stick to an economic approach based on cuts and Austerity. This plan is now set in stone, and the Coalition is firmly chained to it.

The Green credentials of this Government, already looking very shabby, have been firmly cast away. Justine Greening, firmly opposed to a third Heathrow runway, has been removed as Transport Secretary. The Government is already talking about reviewing Airline capacity in the UK, a real insight into their current thinking. The Coalition agreement does include a no third runway clause, but increasingly that whole document is looking as durable as one of Gerald Ratner’s earrings. In addition, the Conservative back-bench rebellion over wind farms have borne fruit. A wind farm sceptic is now the Secretary of State for Environment, Food and Rural Affairs.

David Cameron is shaping his Cabinet to supply the red meat that Tory back-benchers and local activists are demanding. I believe we will see further benefit cuts, more anti-ECHR rhetoric, additional curbs to union rights and range of other policies to keep the Tory faithful cheering. He has realised he cannot win the election on the economy, so a line up of traditional dragons the Tories can slay is being prepared. David know full well he can cut back the public sector, attack benefit claimants and when the left stands up to this, he has created a common enemy. With the media largely behind him providing PR support, it could be an effective strategy.

The Liberal Democrats are in an appalling position. They know they have the power to pull down the Coalition. They also know they are politically dead whenever the General Election happens. David Cameron can push and push, and if they complain too much they will be left with a single-shot revolver on their desk. If they don’t like it, they know what the alternative is. Every time Nick Clegg’s MPs have caved in – the health bill for instance – they become weaker and weaker. They are now pitifully weak.

This shift has serious consequences for Labour. Labour has in effect been shadowing much of the Conservative’s policies. When the Coalition promises Austerity, Labour hasn’t fully rejected it. Labour simply says it would cut a bit less sharply and more fairly. When major cuts to disability benefits are on the cards, Labour says that they do need reform, but they wouldn’t do it quite like that. The timidity in offering a principled alternative is something that Ed Miliband may regret in the future. He has been good tactically, but on the strategic aspects of creating a credible alternative Government in time for the 2015 General Election, he has done much less well. How will Labour handle a media-led campaign against the ECHR, and a new populist attack on benefits? The record to date suggests very passively.

To conclude, this reshuffle is a serious game changer. Labour, the Greens and the Liberal Democrats that haven’t yet turned into invertebrates need to work hard together to challenge what David Cameron wants to offer the country. If they don’t, Britain may be sleep walking into a nightmare.

The Lessons for Labour

We are approaching half time in this Parliamentary term.

Team Cameron are looking worried. Labour, having appointed a new young Leader, are 2 – 0 up at half time. Ed Miliband had a slow start, but has grown in confidence. David Cameron found hostile economic winds blowing in his face from the Euro crisis, and own goals by his key player, his Chancellor , have left his side up against it.

While 2015 is not in the bag for Labour, they are in a good position, with a 10 % lead solidifying in the polls. The Conservatives need about a 10% swing from Labour to have the chance of winning an outright majority. Given the sluggish economy, real cuts to people’s living standards and the inevitable tension between the Coalition partners as they begin to fight for a distinct pre-election identity, this looks an uphill task.

The first challenge is how to get the economy working again. Any fair-minded person must accept the global economy as a whole, especially the Euro-zone crisis, is an ill wind beyond the control of the UK Government. The Euro-zone crisis looks to be nowhere near a conclusion. The reality is that any Government in power now has a poor hand to play with. While Labour might claim they would not have made the same mistakes as this Government, we will never know. It is likely they would have had great difficulties too. While the global economy struggles, so will the UK economy.

Secondly, the Coalition always looked an unlikely partnership. In many areas of policy – Europe, education, health and taxation to name a few – the heart of the Conservative party and the Liberal Democrats beat to a different rhythm. The Coalition Agreement was not a well thought out document. It was a quickly cobbled together set of policies to straddle the major differences between the parties. It has been clear that the poor implementation of the policies, the U-turns and the major revisions to key legislation are all symptomatic to the back-of-the-fag-packet agreement.

This has led to Liberal Democrat MPs voting through policies based on an ideology most of them have spent a lifetime in politics fighting. Conservative MPs also feel fatally compromised on totemic issue like Europe. Both Coalition parties have lost traditional support because of this. They will need to break free and set out their own stalls before the next General Election to try to get that support back. When this occurs the Coalition will become paralysed and totally dysfunctional. David Cameron’s MPs demonstrated over the reform of the House of Lords that they are willing to to break rank. Rebellion is running wild.

Given this then, what can Ed Miliband learn? How can he make Labour’s lead more than a protest vote that will drain away?

The key is the economy. Mistakes have been made by the Coalition, but saying in essence that we wouldn’t start from here is inadequate. Recent polling evidence from YouGov demonstrates that when asked, less that 20% of respondents think George Osborne is doing a good job, and over 50% think he is doing a bad job. Yet despite this, there is very little improvement in Labour’s economic credibility. The public basically don’t trust the Coalition or Labour to make it better.

Labour really needs a good idea of how it would make a difference and engage the public directly. Do they want to cut the deficit? If so, how quickly or slowly? Which taxes would they raise? Which areas of spending would they cut? If further investment in infrastructure was to occur, which projects would they be, how much would it cost and where would the money come from? Until these answers are forthcoming, then their economic competency ratings will not improve.

Another area is it’s response to the NHS reforms made by the Coalition and other policy areas. Rather than policies pulled out the hat eight weeks before the next election, it really needs well thought out policies prepared and a strategy to deliver them. These policies need to live, and updated as time elapses, so that whenever the election is called, they are ‘shovel ready’. The public need to really start to understand what a Labour Government in 2015 might do if the lead they enjoy is to really stick.

The next election could easily result in another Coalition. It was reported in June this year that Senior Liberal Democrats were meeting Senior Labour figures. Labour needs to ensure that it keeps it’s options open, despite an obvious severe and understandable dislike of the Coalition at present. The Liberal Democrats post 2015 will be different, and would be likely partners should Ed not secure a majority. Areas of common ground between Labour and the Liberals Democrats would considerable.

Ed can sit his team down at half time and be satisfied. However, the real work in providing an alternative Government in 2015 has barely begun.

The Old Ideologies Have Withered

Where does politics lie in 2012?

In this article I will argue that both Labour and the Conservatives both have a crisis of ideology. I also believe Labour in particular must look for a new framework to guide them, and that the answer to what shape a new Labour-led Government would take does not lie in the past.

Following World War 2, the post war consensus dominated all Governments until the 1970’s. This consensus was based on:

• The nationalisation of key UK industries
• A welfare state based on the Beveridge report
• Keynesian economics

The 1970’s saw the UK economy come under pressure from the 1973 oil crisis, inflation and industrial action. The post war consensus was failing.

In 1979 Margaret Thatcher led the Conservative Party to victory. She was a protégée of Keith Joseph, with whom she created the Centre Policy Studies. The CPS promoted free-market economic and monetarism, and was influenced by the works of the Economist Milton Friedman and Friedrich Hayek.

The next 18 years saw the destruction of the post war consensus. By the time Tony Blair led Labour to victory in 1997, Labour had accepted much of this free-market model and moved to the centre of politics.

I firmly believe that the post war consensus had already failed by the time Mrs Thatcher had entered Downing Street. It was born of a nation rebuilding from the ashes of war. The UK had a different, tighter class system. The world and UK economy were a totally different shape, and less global in nature.

The new neo-liberal economy also failed, falling off the edge of a cliff during the banking crisis of 2008. Economic inequality been growing for years, but when the banks exploded the world financial system ground to a halt. The system that said that the market will always deliver what people need and is efficient simply overheated and blew up. The effect is still being felt, with years of austerity looming.

What is apparent is that as Labour looks for a new policy framework, trying recreate the past, a new 1945, is totally futile. The world of 2012 is unrecognisable from that of 1945. The world is a large, fast moving economy. Technology has made the world a small place, allowing diverse global relations to be maintained at the speed on an email. Recreating 1945 now is as impossible as recreating Victorian Britain in 1945.

New Labour’s triangulation of neo-liberalism and the post war consensus was trying pick the ‘best’ parts of two failed systems, joining them together and hoping they would work together. The result was a neo-liberal financial system, with some papering over the inequality cracks with policies such as the national minimum wage and tax credits.

A car made of the best parts of two wrecks is a ‘cut and shut’. Thus, New Labour failed – it’s ‘cut and shut’ ideology couldn’t prevent the inequality and shifting of power and wealth to a small elite that neo-liberalism always delivers.

So where does a new left go from here?

Firstly, serious reform of the financial system is needed, and on a global scale. Capital controls are required to stop global capitalists moving huge sums at the touch of a button that results in huge instability.

Secondly, the ever increasing movement of powers from the nation state to the EU, WTO and so on must be reversed. Power needs returning to the individual countries and the democratic rights of citizens enhanced.

Thirdly, consumerism must be replaced by sustainability. The world’s supply of oil and the other resources is being consumed at an unsustainable rate. Within a few decade they could run out. Global warming threatens the whole planet. We need to stop measuring growth simply in terms of the size of our latest LCD television and the model of car we own.

Fourthly, inequality must be reversed. Globally:

• 1% of the world’s population owns 40% of global assets
• 2% of the worlds’s population owns 51% of global assets
• The poorest 50% own less than 1% of global assets

Nationally, inequality has also grown. Wealth needs to be shared more equally within nations and within the whole global community.

This is a difficult shopping list to deliver. It requires tenacity and standing firmly to principles in the face of vested interests. However, this is the only way. A policy of being Tory light is simply the path to electoral and moral oblivion.