Blog Archives

FT: a strange blend of truth and spleen unwittingly affirms Jeremy Corbyn’s ‘superannuated socialist’ stance

The FT’s Philip Stephens, Tony Blair’s biographer, pertinently remarks:Today’s elites should ask themselves just when it became acceptable for politicians to walk straight from public office into the boardroom; for central bank chiefs to sell themselves to US investment banks; and for business leaders to pay themselves whatever they pleased”. He continues:

“Now as after 1945, the boundaries between public and private have to change. At its simplest, establishing trust is about behaviour. . . The lesson Europe’s postwar political leaders drew from the societal collapses of the 1930s was that a sustainable equilibrium between democracy and capitalism had been shattered by market excesses.

“Citizens were unwilling to accept a model for the market that handed all the benefits to elites and imposed the costs on the poor. In the US, then president Franklin Delano Roosevelt responded with the New Deal. Europe waited until the continent had been reduced to rubble in 1945 before building what the British called the welfare state and continental governments called the European social model. Economic prosperity and political stability were the rewards.

“The present generation of politicians should learn from the experience. Defending a status quo that is manifestly unfair in its distribution of wealth and opportunity serves only to put weapons in the hands of populists . . .

“One way to start redrawing the boundaries would be to take on the big corporate monopolies that have eschewed wealth creation for rent-seeking; to oblige digital behemoths such as Google and Apple to pay more than token amounts of tax; to ensure immigration does not drive down wages; and to put in place worthwhile training alongside flexible markets”.

The difference: Corbyn would act for altruistic reasons, but thepresent generation of politicians’ concede only to retain privilege

Stephens (right) ends by saying that what we need is a social market economy – combining the central elements of a free market (private property, free foreign trade, exchange of goods and free formation of prices) and universal health care, old-age pension and unemployment insurance as part of an extensive social security system

And most of this is precisely what Jeremy Corbyn, Britain’s Labour party leader, wholeheartedly supports. Though dismissed by Stephens as a ‘superannuated socialist’, he would uphold and enhance the system presently faced with public disgust at the ‘fat-cat’ political-corporate revolving door with its rewards for failure. This disgust is combined with anger at the austerity regime imposed by those currently in power, which prevents local authorities from continuing basic public services and deprives some of the least fortunate of food and decent housing.

 

 

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Owen Smith: the corporate candidate

Owen Smith is on record as being pro-choice aka privatisation in the health sector. Having worked at the heart of America’s corporate world, he is acceptable to right-wing Labour and Conservatives.

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However, public support for the principled Labour leader, Jeremy Corbyn, continues to rise: more than 55,000 people have paid £25 to vote in the Labour leadership cpntest this week, with most expected to be Mr Corbyn’s backers and tens of thousands more are expected to sign up today before the deadline. 

 JC rally post referendumRally: post referendum support for Corbyn

As head of government affairs for Pfizer, which involved lobbying and public relations for the US drug company, Owen Smith endorsed a Pfizer-backed report offering patients a choice between NHS services and private-sector healthcare providers. He moved on to work as head of corporate affairs at the biotech company Amgen until 2015 before becoming Labour MP for the safe seat of Pontypridd in 2010.

During his time as a Pfizer lobbyist, Mr Smith helped the drugs company to strike an exclusive distribution agreement with UniChem, the wholesaling arm of Alliance-Boots, examined by the Office of Fair Trading, whose chief executive warned that such agreements “could cost the NHS hundreds of millions of pounds while reducing standards of service”.

Owen Smith’s choice was to join Pfizer and Amgen, American firms whose products have been charged with significantly harming health.

Jeremy Corbyn’s choice was to work for union members, for international human rights, for good public services, for his constituents, for nuclear disarmament, for just defence: against the war on Iraq and apartheid in South Africa and Israel-Palestine.

Your choice?

 

 

 

Spotlight on a civil service rewarded for failure – 1: MP Margaret Hodge

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Margaret Hodge, who chaired the Commons’ public accounts committee in the last parliament, attacked an unaccountable Whitehall “freemasonry” while speaking at Policy Exchange in February, alleging that the PAC has been threatened with break-up if it did not moderate its treatment of civil servants.

margaret hodgeMrs. Hodge’s tenure has been marked by penetrating criticism of civil service management of big projects [a search on this site will find several instances] – also shining a light on big companies, such as Google, whose tax affairs her committee exposed.

A researcher at the Institute for Government think-tank was said to have passed on comments from senior civil servants, one accusing the PAC and the National Audit Office of being “modelled on the red guards”. Another asked: “Should the PAC be broken up?”

In the past, Total Politics has commented: “Aircraft carriers, IT projects, border checks – the slippery Sir Humphreys are forever hiding behind their department’s ministers to avoid proper accountability for the sometimes very expensive decisions they make”.

The FT reported Margaret Hodge’s statement that the sad truth was – in a battle between Whitehall and politicians – civil servants were most likely to win because whereas we are here today and gone tomorrow, they are there for the long term.

As 26,000 civil servants in the Home Office had not been able to keep up with an era where services were delivered by “a plethora of autonomous health trusts and academy schools” and private providers were delivering public services through “a range of fragmented contracts”, Ms Hodge suggested the principle that had worked when there were 28 civil servants in the Home Office was no longer sustainable.

As noted on this site under the ‘reward for failure’ category, Ms Hodge stressed that those responsible for “dreadfully poor implementation” were rarely held to account for their failures and all too often showed up again “in another lucrative job paid for by the taxpayer”.

Next post: an insider’s view from a civil servant       

So the ‘dream team’ was not elected – now, more of the same

At least, one writes, there will not be the heartache of watching such a team fail – as did the widely hailed Blair and Obama – beset by vested interest and failing to fulfil expectations. Instead on past record there will be:

  • more austerity for the ‘have-nots’, continuing as senior bankers flourish – despite causing the economic crash;
  • declining public services;
  • sub-standard education and training for the young from poorer families;
  • ‘aspirational’ housing built on green spaces as council housing lists grow;
  • the revolving door between big business and government continuing to spin, ensuring that decisions are made in favour of the rich;
  • courting of foreign investment
  • more poorly monitored, polluting incinerators;
  • permission given for fracking in the politically opposed north;
  • exploitation of smaller food producers, favouring food for export;
  • lavish expenditure on HS2 and Trident;
  • private companies entering the NHS and putting profit first;
  • increasing export of armaments, causing mayhem in other countries;
  • assistance for America’s military aggression.

And perhaps more:

broken britain 3 mps bankers