• New Labour Betrays Its Supporters

    As the Labour Party steels itself for electoral meltdown, it may seem ironic – after the global-sized catastrophes of the Iraq invasion and the worldwide recession – that it is the descent into venality at home that will count most with the voters. But to underestimate the importance of the expenses scandal would be a mistake.

    The voters understand intuitively that, having presided over and applauded a society in which greed and the pursuit of self-interest have been elevated into positive virtues, New Labour’s own pursuit of power at any cost has produced its inevitable outcomes. The expenses debacle has been much more than a series of individual peccadilloes and defalcations; it has been the expression of a political culture that has created a gulf between what is seen as acceptable and necessary in the political world and the standards of decent behaviour expected of the rest of us. The individual manifestations of that culture may seem grubbily petty and venal, but the embarrassed squirming among the political class as the detail has been exposed is testimony to how out of touch our leaders had become and how serious that is for the whole political process.

    This matters more to Labour than to others. The Tories have never bothered to hide their view that power is to be sought so that it can be used to defend vested interests. The Liberals seem to believe that power is best exercised by “nice” people. Only Labour, traditionally, has pursued power with the avowed purpose of correcting the unfairness and inefficiency of allowing the dice to lie where they fall and of creating a better society.

    It is for that reason that the demise of Labour – under its “New Labour” leadership – is a matter not just for pain and anger at the loss of the opportunity presented by the 1997 election victory, and contempt for those who led us down this cul-de-sac into disreputability. It is also a major blow to our whole political structure which, in the absence of a substantial presence from the democratic left, will be less effective at creating a healthy society and a strong economy than it should be.

    The special importance of the left lies not just in the fact that it is, or at least has been, the major source of progressive ideas, that it has provided the most reliable stimulus of new thinking, that it has generated the most creative dynamic for reform – though all of that is true. Its true value is that it underpins the whole case for democracy and for the power of good government.

    Among the many lessons we should draw from the global recession is that this is what happens if government fails in its purpose. Ever since democracy was ushered in, there has been no shortage of powerful forces dedicated to undermining it. This is for the obvious reason that the whole point of democracy is to offset the power of the powerful with the political strength of the people. In the absence of that political power, without bringing to bear the legitimacy of the democratic mandate through an elected government, there is no force capable of resisting the might of the economically or socially or militarily powerful.

    The failure of government to lean against the economically powerful over the last three decades led directly to the unregulated excesses that created a market-driven recession. And, even as we grapple with the measures needed to recover from recession, the same central question is starkly posed – what is the proper role of government?

    The key feature of a recession is that every individual, every business, will have a cast-iron and rational reason for battening down the hatches. Only government has the capability and responsibility to act in a contra-cyclical way, against market logic, and to pull us out of recession faster than would otherwise happen, by spending and investing at a time when no one else will.

    What this tells us is that it is always the role of government – when necessary – to represent the wider interest against powerful forces, and to act in a way that would be irrational or impossible for the private individual, however powerful. It is only the left that has in the past carried into government this central concept of what the true purpose of democratic government really is.

    If this week’s elections do indeed show how thoroughly New Labour has debased and betrayed the legacy with which it was entrusted, it will not just be Labour’s party warriors who are relegated and enfeebled. The vast majority of the British people – irrespective of their party allegiances or lack of them – will have been significantly disenfranchised. The blow struck by the expenses scandal against faith in the democratic process will claim more casualties than just a few MPs. The real losers from the demise of the Labour Party will be millions of ordinary people who – perhaps without knowing it – will have lost their best defence against the depredations of the powerful.

    Bryan Gould

    2 June 2009

    This article was published in the online Guardian on 2 June

  • The Expense of New Labour

    As the scandal of MPs’ expenses unfolds, it threatens not only to expose individual sleaze but to create a crisis of confidence that will engulf the whole of the political class and Parliament as well.

    While it’s not surprising that Labour, as the party in power, is in the firing line, the Tories, and others, all have their skeletons in the cupboard too. But for Labour loyalists, it is not enough to say that others are equally culpable; we feel that we have the right to expect better from Labour.

    It is probably not too harsh to say that we don’t necessarily expect too much by way of principle from the Tories. They have always been a party of the self-interested. That self-interest is sometimes – in their better moments – tempered by a touch of noblesse oblige; but, in these days of the “self-made man”, there hasn’t been too much noblesse in evidence.

    Politics is, we know, a difficult business which demands compromise and the adjustment of principle to suit reality; but Labour politics has always seemed to enjoy – even in an era of aggressive individualism – the redeeming influence of a genuine concern for others and for the well-being of the whole community. So, how did we come to this? How did Labour embrace a culture of self-aggrandisement, pursued even against the interests of the disadvantaged in that society that we like to insist, pace Margaret Thatcher, does exist?

    It might be argued that we can’t indict the whole Labour Party because of the defalcations of a few. Well, that is indeed the question. Has New Labour’s “intense relaxation” about the “filthy rich” now been extended to ourselves? And does that indulgence cover the “filth” as well as the riches? Is this what New Labour now stands for in British politics?

    Is there, in other words, a recognisable connection between the politics of New Labour and the fall from grace of individual Labour standard-bearers? The first evidence of this was the emphasis placed by the New Labour project on doing whatever was necessary in order to win power, even if that meant the abandonment of principle. Opinions may differ on whether the junking of much that had been considered to be core Labour values was really required for electoral victory – and no one can doubt that the way in which those values should be applied to the issues of the twenty-first century was overdue for re-appraisal.

    But what was surprising about New Labour was the enthusiasm shown, not just for change and renewal, but for the positive adoption of a quite different agenda – one that had hitherto been seen, with its acceptance that the market should not be challenged and that growing inequality was the necessary condition for economic development, as the property of the right. The Labour Party found itself cut adrift from its traditional emphasis on the central role of government as defender of the weak, as a counter-force to an unfettered market and as a guarantor that everyone shared in growing prosperity.

    As it floated free from its traditional moorings, little wonder that a new generation of Labour leaders became confused about what they were in politics for. If policy dictated that unashamed greed was indeed the irreplaceable mainspring of economic advance, how could it be wrong to act on those same precepts in one’s own life?

    The whole thrust of the Blair government was, after all, that politics didn’t really matter, and indeed were best eschewed altogether. The Blair pitch was always that, if voters elected the right people (“pretty straight sort of guys”), they could safely forget about politics which would become nothing more than an annoying distraction – the domain of a few fanatics. The Labour Party was assured that it did not need political analysis or a programme for real reform.

    But without that analysis and programme, what was power for? The question matters little to the right; power for them is the means by which the pace and direction of change can be controlled and, at times, completely frustrated. But for the left, power is surely a means to an end, to a different and better society – one which shares its benefits with everyone.

    But that, too, was denied by New Labour. For them, the purpose of power was not to use it but to enjoy it and extend it. Power was a state of being, not a path to change. The over-riding priority of New Labour was always, from the first day of taking power, to retain it by winning the next election. Power as the instrument of change would be limited to those measures that did not alienate powerful interests and thereby jeopardise the perpetuation of power.

    That is why controlling the agenda through spin, why manipulating events through a mastery of the minutiae, of the often grubby day-to-day detail of politics, became the leit-motifs of New Labour government. They rarely bothered to lift their eyes to wider horizons or to re-connect with their core values. Tomorrow’s headlines were always their prime concern.

    Little wonder, then, that New Labour leaders lost their way. Short-term advantage, politically and personally, was all that mattered. The Labour Party is paying a heavy price for that distorted view of what left politics should be about.

    Bryan Gould

    12 May 2009

    This article was published in the online Guardian (Comment Is Free) on 13 May

  • Obama’s Health Care Bill and the British General Election

    In a 50-year involvement in politics, I have often found that friendship is perfectly possible with people of very different political views from my own. Over a 20-year period as a member of the House of Commons, I often found that some of the more stimulating and amusing companions came from the ranks of those whose political views I abominated.

    I have often puzzled over the fact that people who are so agreeable in personal terms can hold views about society and social issues that are so unattractive. People who are kind to animals, generous to their friends, supportive of family members who need support, exhibit a breathtaking and at time cruel lack of generosity, compassion and understanding when it comes to those who are a little more distant from them in social or cultural or ethnic terms.

    My explanation of this apparent paradox is that people who hold right-wing views (excluding those who are just plain nasty) often suffer from a failure of imagination. Their impulses are fine and generous when they relate to people who are recognisable and close to them – my own dear parents were a case in point. But they are unable to project those commendable responses to a wider range because they are simply unable to understand that society is made up of people who are just as dear to others as their own friends and family are to them.

    These thoughts were prompted all over again by reports of the debate over Barack Obama’s health care bill. For those fortunate souls who have had the good luck to live in countries (which make up the bulk of what we might have once called the civilised world) that see the provision of health care to all their citizens as a basic social responsibility, it has been almost beyond belief that people who would surely be regarded as pillars of their local community and as exhibiting all sorts of civic virtues could possibly hold views that are so downright vicious and hostile to those who are among the most deprived in their country – the most in need of sympathy and help.

    How can such people elevate pious commitments to abstract and exaggerated metaphysics above the simple and natural concern for one’s fellow human beings? How can they profess to see such danger and evil in the recognition that we are all members of human society and that it is that membership that is hugely more important and deserving of recognition than the harsh and cruel attempt to measure some hypothetical material and moral contribution which alone is to be the allowable basis for drawing any benefit or support from society?

    And that in turn led me to contemplate the forthcoming general election in Britain. I have spent a lifetime in Labour politics, at various levels and in various capacities. I have been, with the luxury of judging from a distance, among the most critical of traditional Labour supporters of the many failures, disappointments and betrayals of this latest Labour government. I do not resile at all from those criticisms, and from that pervasive sense that the Blair/Brown government has represented a massive lost opportunity.

    But when, on an issue as fundamental as enabling 30 million people in the world’s richest country to escape from the destructive vicious circle of poverty leading to ill health and back again to poverty, I see exhibited before me the perverse, mean-minded and just plain deluded response of people who have supposedly been elected to represent the common interest, I know what it is that I oppose, and therefore what side I am on.

    I remain profoundly disillusioned at the performance of the Labour government. But a general election is a new game. It at least raises the possibility that we can elect a new government, including a new and better Labour government. A vote in that general election is an expression of hope that things can be better. I do not believe they can be better by electing a government that will – at least in part – accommodate the views and interests of those, like the opponents of Obama’s health care bill, who lack the capacity for human kindness.

    Bryan Gould

    22 March 2009

    This article was published in the online Guardian on 22 March

  • Filthy Rich

    If the “filthy rich” are no longer rich, how are we now to describe them? The question is not a new one; the role of those who gouge wealth out of the rest of us by manipulating existing assets has long been an issue of controversy. It was Winston Churchill who, as Chancellor of the Exchequer, said in 1925, “I would rather see Finance less proud and Industry more content.”

    The importance of the City of London to the British economy dates back more than 150 years. As the world’s wealthiest country at that time, it was perhaps understandable that we would develop an expertise in maintaining the value of our assets rather than in creating new ones. For good or ill, the management of financial assets became a more significant feature of our economy than of any other.

    The disproportionate influence of the City was a major factor, through issues like exchange rate policy which was always rigged to favour asset-holders rather than wealth-creators, in our decline as a manufacturing country. It was only thirty years ago, however, that the policy bias really began to bite.

    The critical development was the removal of exchange controls by Ronald Reagan and Margaret Thatcher. In one bound, international capital was free – free from the irksome business of having to comply with the requirements of governments representing democratic electorates, free to roam the world in search of the most favourable (even if short-lived) investment opportunities, free to behave quite irresponsibly since regulation had become a dirty word and a duty of care was owed to no one but the shareholders.

    The City seized upon the opportunity. An expertise in managing, re-arranging, packaging, and creating new financial assets, and clipping the ticket in the process by means of huge bonuses and commissions, became the path to untold riches. So impressed were governments – and not least New Labour – by the wealth apparently created, so dazzled were they by the super-rich, that they deferred to them in every respect, getting off their knees only occasionally to heap yet more praise upon them.

    But while the filthy became rich (and some, as witness Sir Fred Goodwin, remain so), what happened to the rest of us? Most of us were left far behind in the scramble for the goodies. The gap between rich and poor widened dangerously, and our masters were left wondering as to why society was no longer as integrated as it had been.

    And while a few became rich, our economy was left dangerously dependent on the manipulation of financial assets. As the masters of the universe topple off the high wire, we now see that the British economy is worse placed to face the crisis than any other.

    For much of the global economy, the collapse of financial institutions and services is a crisis of credit and liquidity. The impact on the productive economy – where real goods and services are produced and sold – has been real enough, but when, sooner or later, the flow of funding is restored, so too will the productive economy recover.

    For us, however, the crisis is not just one of liquidity. It is one of solvency – and the solvency (and future viability) in question is that of a major part of our economy, one that we used to think would go on providing a growing proportion of our export earnings and our real national wealth and income.

    Our problems are intensified because our reliance on financial services has meant a corresponding and catastrophic decline in our capacity to produce real goods and services. The proportionate contributions of banking and financial services to our GDP and total employment have been growing while those of manufacturing have been falling and that trend had been gathering pace.

    The collapse of our banks and financial institutions means that we are left with a gaping hole in our ability to maintain our standard of living. A whole chunk of what we thought was our capacity to create wealth has literally disintegrated. Our ability to pay our way in the world may now rest on those activities like manufacturing which have been neglected and starved of investment for so long that we simply cannot breathe life back into them overnight.

    Little wonder, as the volume of the government debt incurred to bail out the banks rises, that international commentators see a bleak future for us and advise investors to get their money out of Britain and out of British assets. Little wonder that the housing market is flat on its back and that the pound has dropped like a stone.

    Even draconian action, like leaving the banks to sort out their own solvency problems and treating the creation of credit as a public rather than private responsibility, would do little to turn things round in the immediate future. Sir Fred may continue to live the high life on his pension, but the rest of us are paying a heavy price for the greed of a few and for the failures of successive governments to do the job they were elected to do – and we will go on paying that price for a long time to come.

    Bryan Gould

    14 March 2009

    This article was published in the online Guardian on 16 March 2009.

  • Not In My Name

    Those, like me (and almost everyone I know in the Labour Party), who have been critical over the years of New Labour and its record in government might have expected that the passage of time would bring with it a kinder judgment. And in my case, in particular, it might have been thought that – twelve thousand miles away – distance would lend enchantment.

    How, then, to explain that the more we take the long view of the Blair and now the Brown government, the sharper seem the contours of its failures and betrayals? How is it that the features of its landscape that grow – as our perspective lengthens – in shocking, anger-making prominence are those shameful episodes at home and abroad which cumulatively are a complete denial of what a Labour government (or any British government) should have been about?

    There have been of course many good and decent day-by-day achievements of this government. Across the whole range of political issues, I do not say that Britain did not do better under Labour than it would have done under most alternatives. But these achievements have been molehills, judged against the towering peaks scaled by New Labour in its rejection not only of Labour, but of any decent and civilised values.

    The first – and for that reason perhaps most unexpected – contravention of civilised norms was the Iraq war. The damning judgment of that doomed enterprise has been repeatedly rehearsed, but to read the charge sheet again is still a shocking experience. A British Prime Minister, claiming the right to moral leadership and an almost religious duty to confront evil, sucked up to a soon-to-be discredited US President and helped to launch an invasion of a distant country – an invasion based upon a lie, and one that flew in the face of international law, undermined the United Nations, alienated the whole of the Muslim world, seemed to validate the claims of terrorists and those who recruited them, destroyed the country that was invaded and killed hundreds of thousands of its citizens, took many young soldiers to unnecessary deaths, and rightly reduced Britain’s standing in the world.

    The New Labour government still refuses to acknowledge that any of this was wrong. It will not even countenance an independent inquiry into how such a fatal mistake was made.

    It may seem improbable that the scale of the Iraq calamity could be matched in any other area of government. Yet, as the reasons for and scale of the global recession become clear, it is also increasingly apparent that another global (as well as British) disaster can be laid – substantially if only partly – at the door of the New Labour government.

    It was, after all, that government which enthusiastically endorsed the virtues of the “free” market, which turned its back on the need for regulation, which celebrated the excesses of the City, which proclaimed that it was “intensely relaxed about people becoming filthy rich”. The government that should have protected the interests of ordinary people was dazzled by the super-rich; unsuspecting Labour supporters found themselves thrown on the tender mercies of a market-place that was cleared of any limits that might have restricted the rich and powerful. There have been no more enthusiastic cheer-leaders for the culture of greed and excess than New Labour ministers.

    On the central issue of politics – the willingness of government to use its democratic legitimacy to intervene in the market in order to restrain its excesses – the New Labour government ensured that the dice lay where they fell and applauded as they did. It was Tony Blair who, standing shoulder to shoulder with Rupert Murdoch, proclaimed that the future lay with the “globalisers” and that those who wanted to reclaim some control over their lives were “Isolationists, nationalists and nativists”. It was Gordon Brown who removed the major economic decisions from democratic control and handed them over to unaccountable bankers.

    That betrayal of those who looked to a Labour government to help them has seen a rapid widening of inequality and a sharp intensification of social disintegration. It is the jobs, homes and lives of ordinary people that have borne the brunt. The country is a weaker and poorer place as a result.

    But even that failure pales by comparison with the latest revelations about the abandonment by New Labour of any pretence to civilised standards. We now know that this government connived with the Bush administration to hold people illegally, to kidnap them in secret, and to torture them while in custody – all in the name of a war against the forces of darkness. The perpetrators of these outrages seem to believe that they can be washed clean by simply declaring their superior morality.

    Nothing more clearly distinguishes those beyond the pale than their willingness to use the secret, illegal and cowardly infliction of pain to terrify, cow and bend to their will helpless people being held without charge or trial or legal redress. It beggars belief that any British government could, in a supposed democracy, do so, and not even bother to respond to its critics. It is simply incredible that a Labour government claiming to represent the values of the Labour movement could believe in these circumstances that it has any right to remain in office.

    For me, this is too much. I am sick to the stomach. I disown this so-called Labour government. I protest.

    Bryan Gould

    20 February 2009

    This article was published in the online Guardian on 22 February.