Is the government aiming to undermine the credibility of government in the UK?

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Does anyone remember the row over Owen Paterson and second jobs? It was only late last year. And in response, the government said it would do something to put an end to the hidden abuse of lobbying via second jobs.

Only now it has changed its mind. As the Guardian note today:

Plans to cap MPs' earnings from second jobs have been dropped months after the issue provoked a sleaze scandal that plunged Boris Johnson's government into crisis, the Guardian can reveal.

Ministers told the Commons standards committee that a time limit or ceiling on such earnings would be “impractical”.

The government, in true neoliberal fashion, has backed down, healing the same trait that I have noted the Institute for Fiscal Studies displaying this morning, which is that in the face of any issue they say that there is nothing the government can do to solve the problem.

This brought something to mind that I wrote a while ago. I described something that I called the Cowardly State in my book The Courageous State. I described this in 2011 as follows:

Cameron and Osborne, with their allies Nick Clegg and Danny Alexander ….have become the apotheosis of something that has been thirty years in the making: they are the personification of what I call the cowardly state. The cowardly state in the UK is the creation of Margaret Thatcher, although its US version is of course the creation of Ronald Reagan. It was these two politicians who swept neoliberalism into the political arena in 1979 and 1980 respectively. Since then its progress has been continual: now it forms the consensus of thinking across the political divide within the UK, Europe and the US.

The economic crisis we are now facing is the legacy of Thatcher and Reagan because they introduced into government the neoliberal idea that whatever a politician does, however well-intentioned that action might be, they will always make matters worse in the economy. This is because government is never able, according to neoliberal thinking, to outperform the market, which will always, it says, allocate resources better and so increase human well-being more than government can.

That thinking is the reason why we have ended up with cowardly government. That is why in August 2011, when we had riots on streets of London we also had Conservative politicians on holiday, reluctant to return because they were quite sure that nothing they could do and no action they could take would make any difference to the outcome of the situation. What began as an economic idea has now swept across government as a whole: we have got a class of politicians who think that the only useful function for the power that they hold is to dismantle the state they have been elected to govern while transferring as many of its functions as possible to unelected businesses that have bankrolled their path to power.

The references to the people of the day are, of course, out of date. The analysis remains the same. The argument within neoliberalism is always the same. It is that 'there is nothing that we can do'. The aim is to undermine government itself. And I do not buy that.


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