Showing posts with label Coalition. Show all posts
Showing posts with label Coalition. Show all posts

Sunday, 19 August 2012

Will the Real Hounslow Labour Party Please Stand Up (and other associated questions)?

“To get the message across that Hounslow falls too far short of what we all expect as councillors and residents the whole organisation is being reshaped from the top downwards - slimming down the lardy top tiers and testing Directors and Assistant Directors against their peers through competitive interviews with external as well as internal candidates. There's a new Chief Executive, one Department and three chief officers have already gone and the rest including the much mentioned Director of Environment will be leaving within a couple of months. Understanding that Hounslow has to listen to local residents, respond to the needs of the community and pull its proverbial socks up is a key requirement in every one of those interviews - hence the changing personnel…

“None of the above should dissuade residents from continuing to press for change and faster improvement - external pressure is essential. Just don't assume Hounslow is inert and unredeemable. I don't think anyone has a lower opinion of what Hounslow became, but that doesn't mean it can't be fixed…

“I think the overwhelming majority of councillors and residents are now agreed that Hounslow needed fixing and are keen to support meaningful steps to open up the council - the days for one party states and arrogant bureaucracies are gone.

“Being beaten in 2006 helped remind Labour members that most of them came into politics to make their communities stronger and better - hence a little more modesty, the willingness to work a little harder, focus on a limited number of practical priorities and to slim down, open up and transform the council. Self interest will continue to help – because doing nothing promises to see 2006 repeated.

“I recognise that Labour were appalling (it kept me out of local politics for two decades) and we are yet to be coherent on community engagement, but I don't think a bold new statement would be worth anything at the moment because there’s nothing for anyone to trust yet until we see something tangible delivered – I think Labour and the Council need to pay a lot more forward not make promises. And at the moment let's be frank, it is a struggle every day to get good stuff delivered by the Council – but perhaps surprisingly it is a challenge Labour members are now very much up for.”


These words from Theo Dennison, Labour ward councillor for Syon and former London Borough of Hounslow Cabinet member, certainly leave no room for charges of ambiguity. Even if, taking the unkindest and most cynical view, one was to dismiss his words as lacking sincerity, they still tell us that at least one person within the local Labour camp recognises the concerns felt by large sections of the community and understands that ignoring them is the surest and fastest route back to political Boot Hill.

This in itself, small and inconsequential though it may appear in isolation, is the local community equivalent of One Giant Step for Mankind. Councillor Dennison has already gone where no Labour councillor, in these parts at least, has gone before.

Difficult decision

I keep being asked whether or not the Independent Community Group (ICG) will be fielding candidates again at the local elections in 2014. The honest truth is that this will not be my decision to make, and to be equally honest I am really pleased that that is the case. It truly is an extremely difficult decision to make, and there are so many imponderables involved that those who will be entrusted with making it will not be able to do right for doing wrong.

Of course, as the party in power, the attitude of the local Labour Party is always a massive consideration. Councillor Dennison’s comments are very much noted. So too is the fact that none of his colleagues seem in any rush to endorse them, as indeed is that, coincidentally or otherwise, they would appear to have coincided with his demotion from the Council’s Cabinet.

It is difficult to see certain long-standing councillors not a million miles from Syon embracing the idea of the primacy of community, primacy that is over the diktats of a political party to which blind and unquestioning allegiance is for some almost a religious matter.

There are also pernicious outside influences that need to be factored into the equation. Perusing his Facebook page, far too much influence would still appear to be wielded over the politics of the Hounslow party by the peculiar and obsessive man-child of Southall. I’ll not massage his ego by mentioning his name – it is not him that is important, but the way in which others relate to him and, more significantly still, to his method. His ethics are the antithesis of everything Councillor Dennison would appear to stand for, and a cursory stroll around the Web would seem to indicate that his gutter politics approach is still very much more widely favoured by Labour decision-makers in Hounslow than that of the Syon councillor.

The old ways have in any event continued to manifest themselves on occasions. Just recently the Lead Member for Environment declined to meet the Mogden Residents’ Action Group (MRAG), a community group representing many thousands of victims of Thames Water’s neglect of its legal and moral obligations over the odour emanating from its Mogden plant, unless the residents agree to meet on his terms (that is in the presence of officers who have long demonstrated their lack of support for the community’s aspirations). This “we are in charge, not you” message is wholly inconsistent and incompatible with the resident-driven model that we desire to see.

Dichotomy

One thing the ICG needs to accept is that if it abstains from the fray in 2014, it will find it much harder to come back in 2018 if that is what needs to be done. The effective Lab/ICG dichotomy which exists at present in both Isleworth and Syon wards will have been replaced once again by a Lab/Con dichotomy, and the organised community will have an uphill struggle trying to re-establish itself as the natural opposition to Labour. New residents will have moved in, old supporters will have moved out or passed away, and we will be back to where we were prior to 1998.

Thus if we are to place our trust in Labour we would need very good reason – with all due respect, far more than just Councillor Dennison’s rather optimistic word – to believe that the local party had taken real community empowerment to the heart of its politics rather than appending it to its schedule as some reluctant afterthought which itself would appear to be hotly disputed. To put it quite simply, if they are not going for it with enthusiasm now when the spectre of the ICG returning to the electoral fold is looming, why should they do so four years hence when that “threat” is less pressing?

I find myself wondering just to what extent Councillor Dennison actually believes that his local party is embracing the spirit of community empowerment. He must, after all, know his colleagues better than I do, and I know them well enough to know just how affronted some of them will be by the very thought of being led, as opposed to followed, by the massed ranks of the unenlightened.

His protestations could be indicative of his fierce loyalty to his colleagues. My feeling is that he is in fact, rather cleverly, leading them to a place where they will be left with no option other than to declare either for or against this new and, perhaps unsurprisingly in my view, better approach to engagement. Quite where he proposes to go should they cling obstinately to type remains anyone’s guess.

Of course it is not just Labour’s position that will inform the ICG’s decision. The Community Group needs to understand just what it is that it would be returning to. For councillors who have only experienced power and not opposition a rude awakening could be in store.

The fact is that even with six ICG councillors returned in Syon and Isleworth it is highly likely that Labour will hold an overall majority at the London Borough of Hounslow post-2014. With the coalition government out of favour and the local Conservative Party showing no obvious signs of ever being capable of differentiating between wishful thinking and cold reality it is easy to see several Tory seats in the west of the borough falling to Labour. Even traditional “strongholds” such as Hounslow South and Osterley & Spring Grove do not look particularly safe. A couple of bad weeks in the opinion polls and an unspectacular local election campaign could conceivably see them eliminated outside of their W4 comfort zone. Perhaps only then will the consequences of their idiotic behaviour during the later months of the Conservative/ICG coalition become fully apparent to all their own members and supporters.

Opposition

Opposition is a place that bears no comparison with office, especially when you are a community councillor. It means going through the motions at Council meetings before inevitably being voted down. It means chief executives cutting you off after three minutes of your allotted five minute speech in the Chamber. It means officers passing you in the corridors of the Civic Centre and not daring to venture a smile or often even so much as an acknowledgement lest it be spotted by an eagle-eyed politico and held against them when the next round of redundancies comes around. It means any committees or panels that by accident of circumstance your group may dominate being closed down or “reorganised” in such a way that your influence is removed. I had eight years of it before 2006, I’m not persuaded that I would want to put myself through it again.

And then of course there is the question of our relationship with other opposition parties and groups. When I was first elected as an independent in 1998 I rather enjoyed my status as a lone wolf, loathed equally by both the major parties which competed with one another to be seen as the ones who could shun me the most publicly. Politically it couldn’t have worked better if I had written the script myself – voters everywhere were able to contrast the essential sameness of both sides of the political establishment with the new, fresh and vibrant approach to local politics that the ICG represented.

Then of course came 2006, and the discovery when totting up the scores on the doors following the local election of that year that we were really not so bad after all. We entered into coalition eager to run our programme for community empowerment alongside the political programme of our Conservative partners, believing them to be at least neutral if not particularly sympathetic towards the things we wished to achieve.

Later of course we were to be disappointed, finding ourselves frustrated by chief officers while our partners either stood back and watched or actively collaborated with them behind the scenes (perm one from two), with both establishment parties meanwhile openly making common cause against us at Area Committee meetings. Then followed the debilitating news that our partners were hoping to divide the Community Group following the local elections of 2010 in the event of the numbers making it feasible to offer coalition terms only to certain of our councillors (variously considered – wrongly in my view - to be either mercenary, or easy to flatter or manipulate), and all remaining trust was lost.

Pincer movement

Ultimately we were to be fatally caught in a pincer movement between the two major parties at those elections and none of us were returned to office in any case.

In the unlikely event of any community councillors from Isleworth and Syon holding the balance of power again following the 2014 elections we would of course find ourselves in a wholly different position to that of 2006. In such circumstances we may be reduced to playing the role of an outspoken but very small opposition to an effective two party dictatorship, just as was the case in fact on the Isleworth & Brentford Area Committee between 2002 and 2005.

When one considers the complexity of the decisions that we will be faced with in the very near future it is hopefully easy to understand why I am relieved that these decisions will be for others to take. What the ICG should be doing right now is canvassing the views of the active community and finding out precisely what it is that they want us to do.

Monday, 9 April 2012

Don't Tell 'Em Pike

I've been getting some stick from the Conservatives over the past week or so on the Chiswick W4 community forum. They would appear to be becoming a little tetchy over the fact that I take the opportunity to post there from time to time to remind Chiswick people of the incidents that led to the deterioration of the erstwhile good relationship between their Group and ours during the last months of the 2006-2010 Conservative/ICG coalition that managed Hounslow Council - when it is relevant to a topic that is being discussed, naturally.

I say "managed" because, in spite of the ICG's best efforts, the authority was still led by chief officers when we handed the chains of office back to Labour in May 2010, and needless to say that is still very much the case today.

Those incidents included the Mogden betrayal (made worse by a shameful officer-produced feature in the council's HM Magazine arguing the Conservative case for expansion against the ICG's contrary case), the effective non co-operation of chief officers with the ICG aspects of coalition policy and the discovery of a proposal discussed by the Conservative Group to try to split the ICG asunder following the May elections by offering coalition terms to some of our elected members and not to others should the distribution of seats have permitted.

I have rehearsed all of these incidents before and don't intend to go into them in detail again. None of them are denied by our former partners and they have if nothing else taught us an abject lesson about how political parties operate in general, and that this kind of low politicking is by no means confined to Labour.

But I would remind those who feel the need to taunt us over our election reverse (that these people can effectively celebrate their own defeat gives us some clue as to the limitations of their own ambitions), and make threats against us, that every action has a reaction.

Many Conservative members of our acquaintance are unhappy with the way things have turned out, and for obvious reasons. I am advised that this is the case in Chiswick as well as in Isleworth, and I would guess it applies elsewhere in the borough too. It may be that many of those people will reflect upon the prospect, brought about by their own local party officials, of what will effectively be permanent Labour domination of the local authority for the forseeable future and will be open to persuasion that there is a better way.

It may be also that the many channels of communication through which that conversation may be had will become increasingly open to us.

If there is one positive to emerge from the election defeat of 2010 it is that it has taught us to consider our whole long-term strategic approach and not just the two-dimensional business of delivering leaflets and winning votes. And there has never been more of an appetite for independent civic engagement than there is today.

Just thought I would mention it, Captain Mainwaring!

Wednesday, 20 April 2011

Sleazeballs of the World Unite

As I previously stated on this blog I haven't thus far allowed myself to get carried away in the debate over Alternative Voting. I cast a "Yes" vote by post and have made a couple of comments in support, but until this morning it was not something that had taken centre stage in my list of priorities.

This morning a document arrived through my letter box that changed that all.

The "No" campaign has brought together the Conservatives and the larger part of the Labour Party who, despite the differences that may appear to exist between them on the surface, have managed to gel seamlessly into a united front for the preservation of their own cosy little carve-up in which the input of the general public into the political process is retained at the scantest level possible whilst still being able to maintain the charade that we live in a democracy.

The no-expense-spared glossy issued by the "No" campaign contrasts markedly with the modest, two-colour A4 sheet issued by the "Yes" group. But the real contrast lies in the depths to which the "No" campaign has been prepared to plunge in order to con the public into voting for the maintenance of their privileged, lazy lifestyles. Thus the contempt that the establishment parties have for the wit and intelligence of the voters upon whose continued support they ostensibly depend in opened up for all to see.

Typically the hook upon which the "No" campaign hangs is money. Not only are establishment politicians themselves obsessed by money, but they assume the general public is also. Pursuing the lie that AV will cost the county £250m to implement, they point out that this amount could provide 2503 doctors, 6297 teachers, 8107 nurses, 35885 hip replacements or 69832 school places.

Putting to one side for the time being the fact that these are annual costs whereas the £250m that is alleged to be the cost of converting to AV - even if it were true, which it isn't - would be a one-off cost, what do really think the chances are that this government will take on all these doctors, nurses or teachers with the money it "saves" from a "No" vote?

Much more likely it will end up in the pockets of the bankers or the non-dom, tax-avoiding fat cats so beloved of the party in power as the rest of us continue to tighten our belts whilst being reassured that "we are all in this together".

One could just as easily ask, of course, just how many teachers and nurses we could be taking on with the money we are wasting prosecuting a dishonest war in Libya, occupying Afghanistan or maintaining a nuclear "deterrent".

Then we are asked to consider the unpopularity of AV and the fact that it is only used in a few countries worldwide, with the inference contained therein that the rest of the world operates First Past The Post.

It doesn't, of course. Much if not most of the world enjoys some form of real proportional representation. But we are debating AV, not PR, precisely because David Cameron was not prepared to have a referendum on anything other than AV and Nick Clegg was, frankly, too weak to call his bluff when the coalition deal was being agreed. Now Clegg is being ridiculed by David Cameron, amongst others, for seeking approval for a voting system that David Cameron foisted upon him! You just couldn't make it up, could you?

But without doubt the most pernicious argument of all appears on the back page of the glossy, under the heading "AV Leads to Broken Promises" alongside a photo of Nick Clegg holding up a placard containing the promises he broke over student fees when he entered into coalition with the Tories. Remember it the Tories, more than anybody else, who are supporting the campaign that has produced and is circulating this glossy leaflet. The Tories are publicly ridiculing Clegg, their own coalition partner, for sacrificing his own credibility in order that they might realise their political objectives.

I dearly hope the general public has the foresight and the intelligence to see beyond the gloss, the spin, and the combined unscrupulousness of the two big vested political interests who have carved up the political process between them in this country and whose self-serving spin machines have for the time being at least come together to try to pull off one gigantic confidence trick against the very people in whose name they purport to govern. But if the self-serving vested interests do succeed, I hope even more dearly that the Lib Dems will take stock of the situation, understand that they have been had, and do something about it very quickly.

There would, after all, be nothing left for them in continuing to support a coalition partner that sets them up and stabs their backs so shamelessly and so publicly whilst pursuing a neo-Thatcherite political programme in government that depends entirely upon Lib Dem support.

This has to be make or break time for Nick Clegg, and I wish him well.

Thursday, 14 April 2011

Conservatives in Coalition Do Their Own Thing

The Business Secretary Dr. Vince Cable has this morning criticised comments about to be made by the Prime Minister about the overall impact of immigration into the UK. The full story can be found here at BBC News.

There is of course a debate to be had on immigration, however the significance of this disagreement between coalition partners is that it would appear the Prime Minister is doing his own thing, without first having sought any kind of accommodation or common ground with those upon whom he depends for his continued tenure.

As somebody who has been there myself I instinctively recognise all the signs. Coalition begins with a sense of excitement on the part of all concerned, with a tangible and genuine feeling of elation and promise of great things to come. When credit is due it will be due all round, and everybody involved is entirely cool with that.

Then, after a short while, a negative mentality sets in in which the senior partner, being a major party, begins to feel resentful towards the "imposter" upon which it is compelled to depend for its continued presence in office.

Like the Labour Party, the Conservative Party instinctively believes that democracy is a process that belongs essentially to the two main parties, and that small parties and independents, although an integral and necessary part of the democratic process, are really there to maintain the charade rather than to actually wield real power.

By now the Conservative part of the coalition will be looking at its agreement with the Liberal Democrats as something to be got around rather than honoured in spirit as well as in deed. It will be scrutinising the small print to see how it can be interpreted to its own benefit, rather than troubling itself too deeply about what was actually intended when the agreement was drawn up.

The bad news for the Lib Dems is that it will get worse, as the next election approaches not only the terms but even the very existence of the coalition will be in danger of becoming completely forgotten. The Lib Dems will find themselves undermined, with progressively less co-operation from Whitehall and a gradual but sustained increase in political attacks and general mischief emanating from the national media.

And then, when Labour is returned to office with a thumping majority in 2014, the Conservatives will scratch their heads and wonder, honestly, where it all went wrong.

What can the Lib Dems do about it? The answer is really not very much. Lib Dem voters supported their party in the hope that it would be in a position to exercise some power. To decline to do so when the opportunity arises would be seen by many as a betrayal, and carries with it the risk of rendering a vote for the Liberal Democrats singularly pointless.

The option of coalition with Labour after the last general election was never a realistic one. Notwithstanding the fact that it lacked legitimacy, having acquired less votes, the Labour Party is even more sectarian than the Conservative Party and would not have been prepared to give an inch in exchange for Liberal Democrat support. When a similar situation arose locally in 2006 I don't recall having given the prospect of a coalition with Labour a second thought. It was simply assumed by us all that it was a thing that wouldn't and couldn't happen.

When looked at in this way AV begins to make perfect sense. I am hoping that the Liberal Democrats are holding out, buying time, until a different electoral system empowers them to the point where they no longer have to play the part of the poor relation in somebody else's government.

Let's just hope they are not so damaged by that time that they still have the opportunity to explain that to the electorate.

Because if their "partners" have anything to do with it, they will be.

Tuesday, 21 December 2010

The dilemma of having a nuclear option without a gun

Of all the big party politicians (that's big parties, not necessarily big politicians) my favourite by some margin is Dr. Vince Cable, Liberal Democrat Member of Parliament for nearby Twickenham and currently the government's Business Secretary.

Not only is he a brilliant economist and a political big player by anybody's standards, but the man also has a likable manner, exudes honesty and integrity and generally comes across, in the simplest of parlance, as being "a nice bloke".

It is not only his televisual persona that persuades me of this. I have met Vince Cable on a few occasions, chatted to him in Marble Hill Park when I happened upon him on a family outing, and also had the chance to exchange a few brief words when he came to offer local residents his support at two brief public gatherings outside West Middlesex Hospital and Mogden Sewage Works earlier this year.


What really warmed me to him on those occasions was his very genuine humility. The body language was that of somebody who considered himself to be a guest on our turf and, whilst of course not deferential, his manner was respectful in a "thanks for inviting me into your living room" kind of way.

It didn't have to be like that of course. A man of his political stature could have strutted into focus, stood in front of the residents who had gathered to meet him with a pretentious "look at me" kind of grin as the cameras clicked away, then hopped into a big black car and been whisked off with an insincere royal wave to his next photo opportunity. Let's face it, it's been done in these parts before and not so very long ago.

Instead once the formal business had been done he hung around and chatted to ICG members every bit as much as to his own party folk who had turned out for him.

Today it would seem he is to be found wiping a little egg from his face. Not in the literal sense in the manner of a John Prescott or a Nick Griffin, but egg of a metaphorical kind following a report in the Daily Telegraph that he has allegedly made comments to the effect that he has the power to bring the coalition down and could walk away should the relationship between his party and the Conservatives begin to go rotten.

His exact comments, which he seems to admit to having made, include the following:

“Can I be very frank with you ... I have a nuclear option, it’s like fighting a war. They know I have nuclear weapons, but I don’t have any conventional weapons. If they push me too far then I can walk out of the Government and bring the Government down and they know that.”

Speaking personally, I don't feel there is anything particularly dishonourable about what Dr. Cable has said.

I can of course understand why, as a member of the government, he is a tad embarrassed. But my immediate feeling was one of "I know just how the man feels".

Not that I am making a comparison of scale or importance between the coalition of which I and the ICG were a part when managing Hounslow and the one that governs our country today, naturally. But whilst the scale might be vastly different, the principle remains the same. It is a peculiar feeling indeed to have at one's disposal the means to cause a nuclear explosion without being in possession of the necessary tools to swat a troublesome fly.

I have related before how the senior officer team during the 2006-2010 coalition administration in Hounslow was mobilised to action the demands of the senior coalition partner and to frustrate those of the junior partner (the ICG). Whether this situation was deliberately inspired by our partners, or whether it was officer-driven insubordination that our partners simply ignored, is largely immaterial. Historically speaking the only fact worthy of record is that it happened.

It was 12-18 months before the local elections that the first signs of this bad faith began to make itself obvious to us. It was probably less than twelve months before we went to the polls when it had become a problem of such magnitude that ICG members began to speak openly of walking away.

We had the nuclear option, and more than once we considered using it. We knew our partners were desperate to deliver a fourth 0% budget in 2010, a few months before a general election at which they had high hopes on both a constituency and a national level. We knew we could damage these hopes and dent our partners' aspirations within the borough.

On the other hand we had a responsibility to those who had elected us to exercise power wherever we could. We were making some good progress in our own backyard, and on the Area Committee, in spite of the quite brazen and blatant non co-operation of the Environment Department at and between its meetings.

My colleague Paul Fisher had just completed a year on the Executive in which he had performed magnificently and had every reason to look forward to a second. Another colleague, Jon Hardy, had just joined the same body and both I and he were keen to showcase his undoubted talents. Call it poor leadership if you will, but it just did not seem right to me to pull them away in their prime, and that is even assuming I could have done so.

As the months rolled on the nuclear deterrent failed increasingly to deter. The closer the election came, the more cynical it would have appeared to have pulled out. Chief officers made noises to the effect that it was all a misunderstanding and that they would like to talk through our difficulties with us, although clearly they were simply playing for time and we knew that was the case. If I had had a political pistol I could have held it to certain people's heads and had a good chance of achieving some justice. But all I had was a nuclear trigger which, if detonated, would have blown us up along with the quarry.

Fortified by the belief that the local elections of 2010 would once again result in No Overall Control and that there was a good chance we would be in a position to return to the negotiating table with a much stronger hand than we had played before, we let it ride. In the meantime our partners and the chief officers both impatiently counted the days until the election of the Conservative majority administration they both assumed was on the cards had come about.

In the event of course we had miscalculated, and our partners had miscalculated even more so. The rest is history, but valuable lessons have been learnt.

In the meantime I find myself reflecting upon the fate of the Liberal Democrats in the current government coalition. The equivalent situation, I suppose, would be the Civil Service openly undermining the Lib Dems but I don't think the comparison is an exact one. There is too much scrutiny around the place for this to be permitted to happen.

Instead the Fifth Column the Lib Dems need to be looking over their shoulders at is, in my view, the national press. There is a strong Conservative bias in these circles and, if the same tricks are used against the Lib Dems as were used against us, this is whence the real poison will come.

It would appear that the big man from Twickenham was deliberately set up by the guttersnipes of the Telegraph. It is going to be a long four years.

Wednesday, 22 September 2010

Vince Cable's speech to the Liberal Democrat Party Conference

Reproduced in full:


"I have come to account to you, conference, for the work I have been carrying out in the coalition government.

"I have managed to infuriate the bank bosses; acquire a fatwa from the revolutionary guards of the trades union movement; frighten the Daily Telegraph with a progressive graduate payment; and upset very rich people who are trying to dodge British taxes. I must be doing something right.

"But I am told that I look miserable. I'm sorry, conference, this is my happy face. 'Aren't you having fun?' people ask. It isn't much fun but it's necessary: necessary for our country that our parties work together at a time of financial crisis. And it is an opportunity for the party to demonstrate that we have the political maturity to make difficult decisions and wield power, with principle.

"As for real fun, I am introducing dancing classes into the coalition. Unfortunately, I keep treading on Theresa May's toes and my partners think I have two left feet.

"But what is it like being in bed with the Tories? First, it's exhausting; it's exhausting because you have to fight to keep the duvet. But to hold our own we need to maintain our party's identity and our authentic voice. We had to go through a merger to found our party….we'll never merge again.

"We will fight the next general elections as an independent force with our options open. Just like 2010. But coalition is the future of politics. It is good for government and good for Britain. We must make sure it is good for the Lib Dems as well.

"What brought this coalition together is the need to clean up the inherited economic mess: the aftermath of the banking collapse; the largest fiscal deficit in the G20.

"This is bound to hurt. Strong disinfectant stings. The public is, broadly, sympathetic to the coalition. But we are faced with an aggressive Labour opposition which has chosen the easy option of deficit denial. Deficit; what deficit? Nothing to do with us, guv.

"It has everything to do with them.

"There was, of course, a global financial crisis. But our Labour predecessors left Britain exceptionally vulnerable and damaged: more personal debt than any other major economy; a dangerously inflated property bubble; and a bloated banking sector behaving as masters, not the servants of the people. Their economic model combined the financial lunacies of Ireland and Iceland. They built a house on sand and thought that they were ushering in a new, progressive work of architecture. It has collapsed. They lacked foresight; now they even lack hindsight.

"In an emergency it was right to accept large scale deficit financing. But the deficit must now be corrected. Public spending was ramped up using tax windfalls which have gone. We are a poorer country than two years ago and the budget must reflect what we can afford.

"We know that if elected Labour planned to raise VAT. They attack this government's cuts but say not a peep about the £23bn of fiscal tightening Alistair Darling had already introduced. They planned to chop my department's budget by 20 to 25%, but now they oppose every cut, ranting with synthetic rage, and refuse, point blank, to set out their alternatives. They demand a plan B but don't have a plan A. The only tough choice they will face is which Miliband.

"A proper debate is impossible with people who start from the infantile proposition that there isn't a problem; and simply hark back to a failed world of 'business as usual'.

"But our party will emerge with credit from this crisis. We were the first, by far, to warn of the crisis to come. And last year, Nick Clegg and I warned of future cuts. This inconvenient truth wasn't popular but you heard it here first.

"Then, we established in government the need to combine firmness and fairness. Yes, there has to be a freeze on public sector pay, to save jobs and services, but the lowest paid should be protected. Yes, there will be higher taxes overall. But the broadest backs should carry the biggest burden.

"But I am also optimistic about the party's future because I know there is stamina and determination born of years of real life experience in local government. Those of you who took power from Labour in Newcastle, Hull, Oldham, Bristol, Sheffield and here in Liverpool had to take unpopular decisions to correct budgets which didn't add up. Nationally we have the same problem on a grander scale and want to learn from your experience.

"But the real debate is not 'cuts versus no cuts' - an absurd parody of the policy choices - but how we balance cuts with economic recovery and job creation.

"Growth is essential. Recovery is not possible without sorting out the public finances; but the public finances cannot be sorted out without the revenue from economic growth. Moreover the growth has to be balanced and sustainable, not based on another bubble.

"But economic recovery will not happen automatically, by magic. Government has a key role. It has to sustain demand. That is basic Keynes. Liberal economics also requires us to remove obstacles to growth led by private enterprise. Among them is the threat to recovery from a credit squeeze by banks on small businesses.

"On banks, I make no apology for attacking spivs and gamblers who did more harm to the British economy than Bob Crow could achieve in his wildest Trotskyite fantasies, while paying themselves outrageous bonuses underwritten by the taxpayer. There is much public anger about banks and it is well deserved.

"But I am not seeking retribution. We have a pressing practical problem: the lack of capital for sound, non property, business. Many firms say they are already being crippled by banks' charges and restrictions.

"The Chancellor and I have set out a range of sticks and carrots to get banks to support the real economy. Tough interventions will be needed if capital which could be used to support business lending is frittered away in bonuses and dividends.

"The Coalition Agreement was crystal clear, too, that the structure of banking must be reformed to prevent future disasters and promote competition. Our agenda can be summed in seven words: make them safe and make them lend. I agree with Mervyn. We just can't risk having banks that are too big to fail.

"Beyond the banks, there are vast amounts of institutional capital - in pension funds and the like - looking for productive outlets. The Government is proposing to establish a Green Investment Bank to support environmentally valuable projects and infrastructure alongside these private investors: making the rhetoric of the Green New Deal real.

"And looking further ahead, my colleague Ed Davey is doing valuable work promoting mutual ownership and also - as in the Royal Mail - spreading worker ownership alongside private capital.

"I want to announce today that employees in Royal Mail will benefit from the largest employee shares scheme of any privatisation for 25 years. The Liberal Democrats were the first and only party to call for an employee stake and we are now implementing it in Government.

"The Post Office is not for sale. There will be no programme of closures as there were under Labour.

"And the principle of responsible ownership should apply across the business world. We need successful business. But let me be quite clear. The Government's agenda is not one of laissez-faire. Markets are often irrational or rigged. So I am shining a harsh light into the murky world of corporate behaviour. Why should good companies be destroyed by short term investors looking for a speculative killing, while their accomplices in the City make fat fees? Why do directors sometimes forget their wider duties when a cheque is waved before them?

"Capitalism takes no prisoners and kills competition where it can, as Adam Smith explained over 200 years ago. I want to protect consumers and keep prices down and provide a level playing field for small business, so we must be vigilant right across the economy - whether in the old industries of economies textbooks or the newer privatised utilities and cosy magic circles in auditing, law or investment banking. Competition is central to my pro market, pro business, agenda.

"But the big long term question is: how does the country earn a living in future? Natural resources? The oil money was squandered. Metal bashing? Mostly gone to Asia. Banking? Been there, done that. What is left? Actually quite a lot. People. Skilled and educated people. High tech manufacturing of which we already have a great deal. Creative industries, IT and science based industries and professional services. In my job I meet many outstanding, world class, British based companies. But we need more companies and more jobs in the companies we have.

"It is my job as Business Secretary to support business growth. And this knowledge based economy requires more high quality people from FE, HE and vocational training. Here, we have a problem. Businesses cannot grow because of a shortage of trained workers while our schools churn out young people regarded by companies as virtually unemployable. The pool of unemployed graduates is growing while there is a chronic shortage of science graduates and especially engineers.

"There has to be a revolution in post 16 education and training. We are making a start. Despite cuts, my department is funding 50,000 extra high level apprenticeships this year - vital for a manufacturing revival. My Conservative colleague David Willetts and I want to sweep away the artificial barriers between universities and FE; between academic and vocational; between full time, part time and continuing life long learning; between the academic and vocational. I was the first person in my family to stay on at school beyond 15. I want everyone to have the chance to continue their education.

"There are some unhelpful, cultural, prejudices and vested interests to overcome. The belief that only A-starred A levels count; not apprenticeships. Or a gold standard as defined by the Russell Group not good teaching institutions like Teesside University or Liverpool John Moores. Or the assumption that top Oxbridge maths brains should go to Goldman Sachs or hedge funds not to Rolls Royce or into teaching. Wrong. Completely wrong.

"But what do we do when there is less government money?

"I realise that there are people in the hall who believe that education at all levels must be free and the taxpayer should pay up, regardless of the bill. In reality the only way to maintain high quality higher education with less government money is for the graduate beneficiaries to make a bigger contribution from the extra earnings they enjoy later in life.

"I am doing everything I can to ensure that graduate contributions are linked to earnings. Why should low paid graduates - nurses, youth workers or science researchers - pay the same as corporate lawyers and investment bankers? We have to balance higher contributions with basic fairness.

"The biggest test of our party's contribution to the coalition is whether we can ensure fairness more widely. You'll remember our Conservative colleagues campaigned in the General Election to lift the inheritance tax burden on double millionaires.

"But they have dropped that commitment. They have gone halfway to accepting our case for equalising income tax and capital gains tax rates. They have accepted in the Coalition Agreement that the priority for cutting income tax is for low earners not top earners.

"Ironically, we may be able to make more progress on a fairness agenda with the Conservatives than New Labour was willing to do. Labour was constantly on its knees trying to prove that it was a friend of the super rich.

"It will be said that in a world of internationally mobile capital and people it is counterproductive to tax personal income and corporate profit to uncompetitive levels. That is right. But a progressive alternative is to shift the tax base to property and land which cannot run away and represent, in Britain, an extreme concentration of wealth. I personally regret that mansion tax did not make it into the Coalition Agreement but in a coalition we have to compromise. But we can and should maintain our distinctive and progressive tax policies for the future.

"I started by saying that I am reporting back to you conference. I want to conclude by saying that your role is crucial. In government we are trying to put Lib Dem ideas into action; your job is to keep us honest. We have punched above our weight in government because we have a democratic party which has clear principles and policies. In a few short months we have showed how we can advance our party's policies and principles while serving the wider national interest. But we need to sell this message. The Tories will not do that for us. We have to do it ourselves. That means focus leaflets and doorsteps. That means you. We need you. All of you".

Thursday, 20 May 2010

Who gets shafted in coalition - David or Goliath?

I have read some interesting articles and discussions around the place following the emergence of the Cameron-Clegg coalition from the recent general election.

On Facebook and the local Internet community forums much complaining has taken place, a lot of it to the effect that any agreement would be Conservative dominated and that the Liberal Democrats would end up playing patsy to their larger partner. Understandably a lot of this has emanated from members or supporters of the Labour Party, who could be assumed to be unhappy with the coalition if for no other reason than that it replaced their own regime and that they are not part of it.

Reading the News at the BBC and elsewhere it seems there are rumblings of discontent from some on the right wing of the Conservative Party, who seem surprised and upset that a Conservative-Liberal Democrat coalition appears unlikely to pursue a purebred Conservative agenda.

An uneasy sense of deja vu overcame me when I read the particular concerns of Lord Tebbit. The reason for this was that I had beheld similar outbreaks of incredulity on occasions as a member of the previous administration at the London Borough of Hounslow, in which the Community Group had itself been a junior partner to the Conservatives, when it had been explained to those concerned that as a coalition the administration would be taking some aspects of the Community Group's programme on board as part of its overall policy portfolio.

What sometimes gets overlooked during the debate as to whether it is the senior or the junior partner that is calling the tune is that political parties and groups are themselves often coalitions of a kind, and the larger the party or group in question the more of a coalition it presumably is. The Leader of Hounslow Council under the coalition administration was a moderate and pragmatic man. It would be fair to say (although usually disputed by Labour for tactical reasons) that on the mundane issues of policy the Community Group on the council had more in common with the "moderate" wing of the Conservative Group - for want of a better term - than with its right wing. And, more significantly, the moderate wing of the Conservative Group had more in common with us.

If I can put that another way, it wasn't always with regret that the Conservative leadership would abandon proposals from its right wing "because the Community Group won't accept them". The Prime Minister would appear to be using his being in coalition with the Liberal Democrats as an opportunity to shape his own policy programme in much the same way, to the evident annoyance of the headbangers.

Of course where the Community Group was more "extreme" than its Conservative partners of both left and right, in the areas of culture change and democratisation, we met a lot more resistance and eventually, in my view, failed to break down the establishment sufficiently in a way that would have prevented the Old Order from being rebuilt, as it is now likely to be.

The Liberal Democrats in government will similarly find their partners to be less co-operative in areas where there are real differences between themselves and the Prime Minister's team.

It will be interesting to see what comes out of the mix. For the moment I am just pleased that Clegg would appear to be holding his ground in the face of what must have been some quite formidable pressure.

Friday, 1 January 2010

Happy New Year 2010

It wasn't my intention to go all Gordon Brown on the relatively small but loyal readership of this blog, but the temptation to deliver a New Year's message of sorts, especially to my own colleagues in the Independent Community Group and to other like-minded individuals, turned out to be too much.

Last night four of Hounslow's six community councillors and several other ICG members saw in the New Year at a party at Isleworth's Royal British Legion. There were about 150 people there and a really fun time was had by all. There was a lot of dancing, a lot of socialising and, when the clock struck twelve, a lot of sincere affection being exchanged all around.

Although "politics", thankfully, formed no part of the occasion I was struck once again by the real spirit of togetherness that exists these days in our community. There was, for me, an unspoken sense of purpose about the whole gathering. As always we activists were all made to feel extremely welcome by everybody there and there was for us a very tangible feeling of belonging, and of generally being at the centre of the whole experience.

Now, as the music fades and the drinks wear off, the realisation kicks in that we have now arrived at 2010, or it with us, and May 6th is standing there before us like a wall as we hurtle relentlessly towards it.

As I indicated on this blog almost a year ago the outcome of that contest is probably less clear to us than others had been on previous occasions. In 1998, 2002, 2006 the dynamic was simple - win as many seats as we can, and wait for New Labour's consistently diminishing majority to slump into deficit. Then - hopefully - coalition.

This time there are a number of possible scenarios to consider. The unlikely, but technically possible, return of an overall New Labour majority. Or, the emergence of an overall Conservative majority. In a sense both these scenarios are easy ones for us in that, other than winning the wards we contest, there is really little we can do to prevent either. Any overall majority means that we are out of office.

In Labour's case it will almost inevitably mean a return to the bad old ways as, other than for the party's probably reluctant support for our Community Empowerment motion in July 2009, there is little to suggest that the essential mindset has changed. In the case of an all-out Conservative majority I would guess we would have an administration which single-mindedly prioritised low tax, with a structure fairly much like the one we have today with the possible exception of some budget-driven reductions in personnel.

I hope I don't need to spell out, therefore, why it necessary for voters throughout Hounslow to think more cleverly and more strategically than ever before. The great irony of the current administration is that it has been stronger, and more purposeful, than previous ones in spite of the fact that it has been managed by a minority coalition. Every councillor's vote is at times important and on occasions Groups of three or even two have had a recognisable role to play in shaping events.

In May 2006 the ICG emerged as part of the coalition that assumed office in Hounslow. I still believe that to have been the correct decision for us to take. Having campaigned in our localities for change it would have been a shameful betrayal of our constituents, when offered an opportunity to help make that change, not to have done whatever we could to bring it about.

When we entered into coalition we formed a partnership with an organisation which was vastly bigger than ours, even locally in a borough-wide sense and which, although the individuals involved were new to running a local authority as we were, could call upon the vast reservoir of knowledge and expertise that existed within its own organisation in the persons of those that had been there before.

When one bears that in mind we did not play our negotiating hand too badly. We achieved political if not organisational buy-in for our Empowerment agenda. The changes we introduced in the once heavily politicised arena of our Housing operation received the total backing of our partners. We were even able to secure support for a limited programme of New Build. We have had a more or less free hand to implement a powerful community-driven agenda in the wards we represent, and where there has been resistance our numerical superiority on the local Area Committee has seen it off.

Where in my role as Leader I may have let people down is by not tying the coalition down to timescales. There has without any question been a twin-track approach to the respective programmes of the two coalition partners with the low-tax, cost-cutting agenda racing full-throttle from day one and the empowering agenda being sometimes humoured, sometimes frustrated - but always operating in first gear. Some will call me naive, but I honestly do not believe that our coalition partners were actively complicit in this. I am of the firm view that the goodwill was there, and that it was by a sin of omission rather than commission that the corporate council was allowed - at first furtively but now very blatantly - to resist the culture change that we had been mandated by our electors to make.

Our own hope is obviously that, once the votes have been counted, we will once again be in a position in which the coalition option will be available to us. Whether or not other Groups will be prepared to go into coalition with us is of course a question that only they can answer, but a successful coalition can only ever be built upon mutual respect and respect is only ever given to those who stand up for themselves and politely but firmly defend their corner.

There have been some unhelpful mumblings about this or that Group being prepared to enter into coalition with some community councillors (whom for whatever reason they deem to be malleable) but not with their colleagues. Talks with any Group which attempts this stunt will terminate very abruptly indeed.

But we ought not to get ahead of ourselves. Before we even consider what our role may be after May there are elections to be fought. We don't fear any of our opponents but neither must we take them or, more importantly, the voters for granted. We need to fight if we are to win.

From what I saw at the election meeting in Isleworth a couple of weeks back there need be no worries about our appetite for the fight, nor about our ability to win it. We are considerably bigger, stronger and more sophisticated than we were when we won six seats in 2006 and the political climate is more favourable to us. But we still have to do the work and there must be no slacking.

Happy New Year.