Martin Wolf has a column in the FT this morning that is headlined:
He does not answer the question as to what the solution is. After a competent analysis of what is wrong that highlights:
- stagnation
- declining productivity
- falling real wages, especially in comparison to other countries
- benefit cuts that have hit the poorest hard
- rising housing costs
- our failure to build or invest, and
- political disenchantment
he concludes by saying (and I have edited this to reveal his core thinking):
As the country falls behind, unhappiness will grow.
Thatcherism did not ... cause an enduring revival of the UK economy.
Strategic problems need strategic solutions. British governance does muddling through, instead. But that just will not work.
Martin Wolf says he will provide answers in another column.
Let me do so now. We need to:
- Care about our fellow human beings. Right now, we don't.
- Make financial services a servant and not a master.
- Prioritise meeting the needs of all and not delivering the wants of a few.
- Plan for our children's and grandchildren's survival.
- Fund strong public services.
- Take action to stop the massively destructive excess consumption of some that is destroying this planet for everyone else, which is also utterly distorting our economies.
- Have a functioning democracy.
- Stop fascism.
How do we do that? It's not hard:
- Tackle inequality by taxing the wealthy and their income fairly. I have shown this could raise £100bn a year.
- Redistribute part of that gain to those in need.
- Use the rest to fund essential public services.
- Change savings incentives so that ISA and pension funds are available to fund the investment required for:
- tackling climate change
- updating infrastructure
- building social housing
- Reform our democracy.
It could be done. It would be utterly transformational. Stagnation would be a dim memory. We would even have a future.
That's my plan. I wonder what Wolf will have to say?
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The outline of an manifesto there for the party who is looking for my vote at the next election! A just future requires that we tackle inequality.
That was my thought – having looked at the opposition party’s initial offerings, there is is nothing very convincing let alone inspiring. Perhaps it’s time to develop an alternative progressive manifesto. Not a long document and it has to be relatable to the average person on most doorsteps. Not just for wonk activists in pub back rooms! (Admitting I was in one last night…). So 3-4 pages of bullets, not 60 page policy papers.
You’ve got a good list of headings there as a starter. I’d fill out the democracy bit with words on pushing power and resources out from Westminster to councils. People relate to that – PR and Lords reform, however desirable, are more niche.
And I’m sure there is a willing sounding board here on the blog.
I think that is the way to go
I will be working on it
Do you consider Marin Wolfe a friend?
No
But we know each other
All too true in my view.
Rampant individualism has driven us of the rails into an economic sand drag.
This may be the wrong place to post this, but it is about caring.
The latest Tory culture war on immigration.
I read on Twitter/X today this:
“Brits could see their foreign partners told to leave the country the next time their visa comes up for renewal – if their household does not earn £38,700, No 10 said”
https://twitter.com/ShoaibMKhan/status/1732128296089842110
So, the Tories are now about deporting people who just happen to be the partners of Brits because they don’t earn enough? Deport them to where? Rwanda? What if they are not earning at all and are bringing up children, being a parent?
Seriously? Cruel and uncaring. Just when you think the Tories can’t go any lower, they do.
What a bunch of Fascists.
Richard
your Taxing Wealth Report
When will it be ready in publishable form?
Maybe we could crowd -fund it to all Labour Party members
I’d certainly chip in
keep up your excellent good works!
And an early fulfilling 2024 to you & your family
Rob
There are still parts to write
It will not be until end January at the earliest
Richard
Apologies if this is the wrong place to post, but I saw a link to this article and thought it worth sharing.
https://www.thenewdaily.com.au/opinion/2023/12/04/alan-kohler-japans-happy-economics
Richard two questions one related to the above one not so……first you seem to be MMT light in regards to looking at taxing and borrowing (isa etc) as a means to paying for increased infrastructure….is this an attempt to fit into a more orthodox fiscal thinking ie are the political parties so fiscally dogmatic that it’s the only way to engage with them?
Also and kind of related can you answer a question regards gov bonds used to cover public spending shortfalls….when these are issued we are told it’s to bridge the deficit gap for that tax year but what happens when the lender removes their deposits after the bond has matured….the shortfall still exists (eg 2022 treasury bond for £100 million is issued and taken up by depositer for 10 year period bearing a yield fir thst period) . Do the BoE just wipe that £100 million shortfall out or is it then just added to the national ‘debt’ after the 10 years?
See my blog post in reply
As well as policies and a “story” it seems like any successful political campaign needs a snappy, chantable slogan.
There have been “Take back control”. “Get Breit done” and “Make America Great Again”
All of which raise nore questions then they solve, control of what, from whom and who will you give control to in its place etc
But while three word slogans don’t solve problems they seem effective in winning votes,(unfortunately)
I would suggest “Make it Fair” as a good slogan for those wanting a a progressive democratic future.
Resulting discussion about what is meant by “Fair” would be helpful,
The LibDems while languishing in the polls and getting little media coverage do talk a lot of sense and I am trying to encourage those of my fellow members that now is the time to be radical and break away from the economic nonsense that is shared by the two major parties.
A possible 5 key points, (pledges) (promises) or what ever could be:
1. A fair, prosperous and innovative economy that promotes opportunity and well-being:
We will build a dynamic economy that prioritises people. We’ll invest in education, training, and promote flexible work, embrace technology, and transition to a green economy with renewable energy and home insulation.
2. Fair access to good public services and a strong social safety net:
We will ensure fair access to quality public services and a robust social safety net. We’ll deliver world-class education, care for pensioners, support for struggling families, and a revitalised NHS.
3. A flourishing environment, with fair access to nature for all:
We will foster a green and sustainable environment. We’ll reshape farming practices, combat air and water pollution, and ensure everyone can enjoy the wonders of nature.
4. A strong United Kingdom and a fair international order:
We will strengthen the UK’s global presence by championing democracy and human rights and fixing our broken relationship with Europe.
5. A truly fair democracy, where everyone’s rights are respected and individuals and communities are empowered:
We will transform British politics to make it more relevant and responsive to people’s needs. We’ll redistribute power to communities and introduce proportional representation.
Yes it is all a bit apple pie and vague but IMHO a good start maybe…?
To muse on…..
…sounds a bit like the Corbyn Labour manifesto.
Ah, fond memories of hope, “For the many, not the few”.
Democracy I suggest is at the top of any manifesto along with the fact that governments are elected to serve the people of the nation.
Whilst we have a voting system that elects a government that represents a tiny minority of the population we do not have democracy. Less than a third vote for the winning party, a third vote for other parties and a third don’t vote although registered. Add to that forty odd percent who don’t even register and you get an idea of the number of people unrepresented and the size of the mandate that our governments claim is the will of the people.
Any manifesto has to address this issue and I would suggest it has to involve a massive devolvement of power from Westminster along with Edinburgh, Cardiff and Belfast to give control to communities. A vested interest and the financial power to change what is going on in our communities may encourage more participation because at the moment only those at the top make the decisions and they are far removed from reality and just serve the vested interest of the political party they are part of and the media barons who tell them/us what to do and believe.