Gavin Kelly

Economics, politics and the reality of the 'squeezed middle'

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Haven't I seen this revolution before?

David Cameron's public service reforms suffer from a serious zeitgeist problem.

Buried under the detritus of the escalating News International scandal is the government's long awaited public services white paper. Assuming you missed it, it's all about the need for "narrative" and to demonstrate a coherent governing project.

Senior politicians, and the commentators they talk to, obsess about this. Strange though it may seem to much of the public, the need to produce these wide ranging plans on public services can feel all-consuming to those working in No.10. On this front, the current administration is no different to its predecessors.

Generally these occasions tend to leave the public undisturbed. During the Labour years, in all the conversations I had with nurses, teachers and social workers -- many of whom begrudgingly supported much of what the government was doing -- there was almost no awareness of our "big public service argument", as it used to be termed.

The few who registered these efforts at all tended to view them as little more than a vanity exercise for the PM of the day.

Nor are these exercises popular across Whitehall. "I'm from the Cabinet Office White Paper team and I'd like to talk to you about our new public service reform narrative" must be one of the worst lines in government. Once uttered, departmental doors close, conversations dry up, and policy ideas get hidden away.

Hence these exercises are never easy. And this white paper, with its troubled gestation, will have been harder than most. The recent NHS debacle has both overshadowed it and undercut its ambitions. Being convincing about your radical intent on public services is hard going when you've spent the last few months submerged in the politics of U-turn, compromise and painstaking public reassurance.

So what's new? For all the effort to make it sound like a departure into a brave new era of personal "choice and control" the White Paper is characterised far more by continuity with the past than the coalition, or many on the Labour side, would like to recognise. "A right for anyone with a chronic condition to receive a personal budget." "Every hospital to become a Foundation Trust". "Takeovers and mergers to create a new generation of a not-for-profit chains of schools." A "default assumption" that all government data will be open source.

Sounds like strong stuff. Except all of these lines are from Labour's 2010 Manifesto -- and all have a clear echo in yesterday's publication.

Where the white paper seeks to go further is in relation to the role of the private sector and charities in running any public service. The early press briefings, which suggested a far-reaching right for the private sector to takeover services, will no doubt have generated grave concerns from those fearing the widespread privatisation of core services.

Personally, I think they can relax, at least on the basis of what's actually in the white paper. It's hard to see what new in it would force any of this to happen.

Similarly, the main proposal for securing individual choice across public services appears to be a byzantine plan to consult with various Ombudsmen on how they might be able to offer some type of (as yet unspecified) redress to citizens who feel dissatisfied. If you are scratching your head about what this means, and how this bureaucratic sounding procedure might work then, rest assured, you are not alone. Suffice to say that I gather it was not the most rigorously thought through part of the document.

Government strategies like these, which are supposed to demonstrate governing coherence, always involve a concerted effort to conceal the contradictions that necessarily plague any administration. What is right for policing is very unlikely to work for schools. But for Cameron there is a deeper tension between the part of him that wants to be a visionary - even reckless - reformer willing to tear up all manner of existing institutions, and the other Cameron - the cautious Burkean conservative - who recoils from blue-prints and grand schemes.

Sometimes the cracks show. Look at schools policy, the alleged exemplar of the new agenda. The most telling thing that Michael Gove has said over recent months is his commitment to all schools achieving 50 per cent 5 A- Cs at GCSE, including English and Maths, by the end of the Parliament (which build on Labour's previous 30 per cent ambition).

Just in case you missed it, this is a "top-down target" -- you know, the sort coalition is supposed to shun, that Labour were so keen on.

Personally, I broadly support Gove on this ambition - it is right that the centre of government has a sharp focus on under-performing schools. But this would necessitate a far more balanced approach to school improvement then Gove's existing agenda. In this, as in other areas, the Coalition's own goals will crash into their self-declared model of statecraft - a point that has been commented upon before on these pages.

Above all, today's report suffers from a serious zeitgeist problem. If an argument about public service reform is to have any prospect of resonating beyond the world of Westminster it needs to somehow chime with the times we are living in.

At his best, Tony Blair pulled this off. His mission to extend individual choice in public services - whether you liked it or not - connected with the post millennium era of rising prosperity, increased consumerism, and fast-growing use of the internet as a source of empowerment in our daily lives. These currents are of course still relevant: the popular demand for a good local school or hospital is just as keenly felt as ever. But the prevailing public mood is now darker - characterised by economic insecurity, falling living standards, and the desire to protect work.

It is possible to provide an account of how reformed public services can help speak to these challenges. We have some of the most expensive childcare in the world and it is highly inflexible, jarring with the working patterns of many parents. Reform is badly needed. Equally, millions of older workers will need support to help them stay in work, not least as the pension age rises. Again, existing services need to change.

But these are not questions that today's white paper attempts to answer. The events at News International are not the only reason that today's report, like many of its predecessors, is likely to be lost without a trace.

 

Gavin Kelly is chief executive of the Resolution Foundation.

 

 

16 comments

Xtreme's picture

But newspapers are central to who Mr Murdoch is. News Corporation executives speak with bemusement or despair of the boss’s obsession with what goes in his papers, down even to the placement of stories.

Nodbod's picture

Lox, no-one in their right mind could object. However could they do it whilst maintaining the wages of the workers, not asking for a bigger budget (public sector grant) and maintain the service to the customer whilst not increasing costs at more than the rate of inflation? Do you know of any private sector company managing to do this?

hugh markey's picture

Two Tory tactics. (1) Public institutions rubbish - private enterprise concerns marvellous.
(2) Pretence that new Tory policies are more clearly defined common sense measures that previous government was making a hash of.
If violent public reaction to the first approach - U-turn and claim it was a presentation problem.
If the second type of approach raises some doubt amongst the electorate - U-turn ( not if you want - pull on the hand brake ) and procrastinate.
Then try New Labour camouflage!
Use the friendly media attack dog sparingly. Short leash. Should the mutt slip its lead then unfortunately all bets are off!

Cruffts

mike cobley's picture

Spot the difference between these two paragraphs from the Open Public Services white paper:

"There is an overwhelming imperative – an urgent moral purpose – which drives our desire to reform public services. We want to make opportunity more equal. Our society is blighted by the persistent failure to extend equal opportunity, dignity and worth to all. Inequalities in access to good schools, decent healthcare, safe places to play, culture, sporting opportunities, good nutrition and so much more leave our society less free, less fair and less united."

And this -

"Many of our public services are already among the best in the world. Public sector providers in Britain are often global leaders in innovation and there are fantastic examples across the country of the great public services provided for individuals and communities."

So, to sum up, everything is terrible and needs fixing - yet everything is superior, excellent and world class. I believe Orwell called this doublethink.

mike cobley's picture

In short, the Tories' agenda has nothing to do with extending opportunity, dignity and worth to all. Its about extending commercial opportunities to the market, flinging open the doors of civil society to the sharks and hyenas of the corporate jungle. It all boils down to this - yes, you can have great local public services, wonderful parks and gardens, terrific sport facilities, top-notch health clinics, excellent schools, regular rubbish collections, well-maintained roads, yes, you can indeed have all of this. Just as long as someone can come up with a way to make a tidy profit out of it. Until then, well, just shuffle off back to your hovels and work on your CVs. And dont forget to bow your heads.

Lou's picture

Giving this 'right to choose' via a personal budget which means anyone can buy any services from any provider (save the the police & judiciary) will cause many of our vital services in the public sector to fail and is nothing more than an attempt to break up the public sector and services wholesale.

Cameron is going to allow companies to make a profit, save the NHS, which will totally undermine the public sector services again. Private companies doing public sector work fail to provide decent services when driven by profit margins and costs. Southern Cross is surely a lesson to that effect for us all.

The higher costs for any of these public services proffered by the private sector will find the customer/client in need of a service but bereft of any personal budget left to buy in the service.

This is nothing to do with improving services, merely about privatising what is left of the state.

Lou's picture

Well said Mike Cobley

Mizar's picture

Surely the public have seen enough of the private sector. Lies and criminality.

Mike S's picture

Quite right Lou. The Southern Cross announcement was perfectly timed!!

Freeman2's picture

Mizar wrotes, 'Surely the public have seen enough of the private sector. Lies and criminality.'

If only that were true. All the Tory press (with Blair cheering in the background) have to say is 'gold-plated pensions' and 'excessive pay' and the bulk of the population is on their side. All lies of course, but New Labour did the groundwork for the Tories.

mike cobley's picture

One more thing - the Coalition isn't proposing the demolition of market-free public services because they aren't working, but because they are.

frenetic's picture

its is already happening(the contracting out that is) with welfare as private companies such as G4S usually associated with running prisons win contracts to 'help unemployed and disabled people' into work. Which of course will mean constant harrassment and surveillance for a period of two years for these individuals, indentured slavery indeed...

Federico's picture

Cameron is going to allow companies to make a profit, save the NHS, which will totally undermine the public sector services again. Private companies doing public sector work fail to provide decent services when driven by profit margins and costs. Southern Cross is surely a lesson to that effect for us all. http://www.weddings101.org/

greg's picture

It's all the same neo-liberal shit that's been shovelled out since Thatcher, by both parties.

Lox's picture

OK, Mike. Hypothetically-suppose a private sector organisation could run a particular public service well, and make a profit at the same time: would you be opposed to that?

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