Amicus Unity Gazette
for a democratic union controlled by the members

Welfare not Warfare

Tom Sibley (ISLIP) looks at the options for advance

As was entirely predictable Gordon Brown’s tenth budget did little to address either the fundamental problems of the British economy or the obscene levels of income and wealth inequality.
After nearly nine years of Labour Government this is a serious disappointment to the Party’s supporters and a damming indictment of the New Labour project. If current policies continue unemployment and poverty will rise., manufacturing industry will further decline, and the public services will do well simply to maintain their inadequate level of provision. At the same time the biggest single disbursement in the budget for 2006-2007 is the allocation for a further £800 million to the cost of occupying Iraq. Under New Labour it really is guns before butter.

So Brown has missed yet another opportunity to signal a new and more progressive direction for Labour Government policy. He appears to be so in the pocket of the Treasury mandarins that at a time of steadily rising unemployment he brings forward a budget which fails to stimulate economic growth and public spending projections which will actually result in cuts or nil development after this coming tax year. And while this happens PFI projects will increase mortgaging more and more of our schools and hospitals to private sector interests and the family silver in the form of public assets from the Tote to MoD land will be sold off to private speculators.

The budget followed a period of acute political embarrassment for Labour as Tessa Jowell’s problems with multiple mortgages and dodgy investments, financed partly at least by Berlusconi’s ill gotten fortune, tie New Labour even closer to Mr Blair’s chosen holiday chum the Italian proto-fascist Prime Minister. Then came the scandal of undisclosed six figure loans to the Labour Party which the Prime Minister knew about but of which the Treasurer of the Labour Party was totally unaware. And it is strongly rumoured that some of these loans, which are in fact mainly undisclosed donations, were negotiated in exchange for future honours or life peerages. I wonder if Lloyd George knew Tony Blair’s father?

Not surprisingly these revelations have badly shaken Labour activists and brought the whole political process into further disrepute with an already jaundiced public opinion. As I write these events, apparently so damaging to Blair and the New Labour project, have yet to be reflected in the opinion polls. This is partly because the Parliamentary opposition remains abject. The Tories have recovered some ground since their historic defeat in 1997, but everyone knows that their financial dealings (selling life peerages or business preferments in exchange for donations and loans) are almost certainly more egregious that New Labour’s. And anyone who saw Cameron’s shrill speech in the budget debate where every sound bite was linked to a cliché will know that as far as ideas, policies and leadership skill are concerned the Tory cupboard is bare. And while the Liberal Democrats may continue to pick up protest votes they show no likelihood of being able to present any sort of political alternative to Labour as the ageing Ming tacks gently to the right.

Some complacent souls argue that there is in fact an objective basis to Labour’s continuing lead in the polls. They say “its the economy stupid.” Overall living standards continue to rise, mortgages repayments and interest rates remain at modest levels (by post 1980 standards) and unemployment is less that 50% than it was under the Major Government. What’s more well over a million low paid workers plus their families have benefited from the minimum wage which has increased year on year at a rate somewhat higher than has the average wage. If we have not as yet reached Eldorado then at least some progress has been made and an economic crisis of the sort that used to overwhelm Labour Governments has been avoided. My guess is that most Islip readers would reject such an analysis both for its lack of ambition and its failure to face facts. The Iraq invasion with its brutal and criminal disregard for lives, international law and human rights continues to discredit New Labour and Blair in particular - far from distance and time changing the political atmosphere, the longer the occupation goes on and as Iraq degenerates into sectarian violence the more people understand the culpability of Blair’s government. At home thousands of job cuts are announced in the NHS despite record levels of investment while government Ministers apparently stand shoulder to shoulder with the Tory leadership of the Local Government Association to rubber stamp the latter’s dishonest and dishonourable attempt to reduce the contractually agreed pension rights of a million or so local government workers. Lets hope that the magnificent support for the union called day of industrial action will have persuaded those few remaining Ministers with a semblance of political nous that Labour cannot simply go on alienating wide sections of the working class without paying a crushing price at the polling booths. Its time for the government to fund a negotiated agreement which treats Local Authority workers with the same respect as civil servants, teachers, the police and firefighters. While a million Local Government workers protest at being undervalued and cheated of their rights, millions of pensioners worry about the soaring cost of heating their homes and thousands of workers in the private sector see that their pension schemes have either defaulted or are the process of severely cutting benefits and entitlements. In short economic insecurity is growing and millions of public sector workers are being treated without respect.

The Left’s Alternative

As yet neither the Parliamentary or the extra-Parliamentary left has been able to capture the people’s disillusionment with New Labour policies and to turn this into a mass movement for progressive change. The main arena for debate and action remains the labour movement - whatever else is achieved there will be no significant progressive change in British politics in the short to medium term (in the long run we are all dead) until Labour is moved to the left which in return requires a revitalisation of the trade union movement. It is of course interesting to see the attempts to build alternatives to Labour and to acknowledge that New Labour could literally destroy the labour movement at least as a national force capable of influencing Government policy let alone taking state power. But the stark reality is that the extra-Parliamentary left has failed to grow either in membership or in electoral support despite the iniquities of New Labour in office. The best prospects for left advance remain in building an alliance of social forces led by a united labour movement, informed by a programme based on social justice, peace and the international rule of law, which finds its Parliamentary expression in a Labour Government. If at some stage the Labour Party as a whole makes it clear that it wants no part of such a process then it will be time for the Left to think again.
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