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Hey, Dave: our society's bigger than yours

We have an uprising that's far bigger and more social than Cameron could have imagined.

The words "big society" will be written on the tombstone of this Conservative government. They were written on the side of the Treasury - which is, in effect, the same thing - in angry spray-can letters during the riots in December. The people of this country will not mutely acquiesce to the mortgaging of civic society to pay off the debts of the super-rich. A new social spirit is on the move, but it is not the one that the Tories envisage.

As vital public services are being dismantled, people are occupying their local libraries instead of volunteering to staff them. Instead of wealthy parents setting up academies, there are education activists running free schools for all-comers in empty mansions in Fitzrovia. David Cameron's big society branding platform imagined us "taking responsibility for the people around us". He didn't imagine that we'd be doing it by standing together on picket lines.

The Tory rhetoric around the big society is breathtakingly patronising. It's not just the awful name, which makes it sound suspiciously as though our politics were now a slick children's television show, fronted by puppets. It's not just the glib way in which the parties in government are slashing training programmes at a time when youth unemployment is nearing a million, while holding lavish fund-raising balls where millionaire donors can bid for top City internships for their sons and daughters.

And it's not just the way they declare that we can no longer afford to care for our sick and disabled, while they somehow find spare cash for tens of billions of pounds in tax breaks for banks. It's that they have the gall to do all of this and then to suggest that it is ordinary voters who have lost their sense of social responsibility.

Guess what? Enforced hardship makes people band together and now we have an uprising that's far bigger and more social than Cameron could have imagined. Who are the authors of this revolution? Check your mirror.

The real deal

It's true that there are career activists and romantic student adventurers leading the charge. But the real revolt taking place in Britain involves every one of us, whether we like it or not. It's about whether you and I are willing to let our society be broken apart and sold to unelected global financiers or whether we have the courage to stake our claim.

The sort of dissent that petrifies the powerful has an everyday face. It's the 12-year-old who organises a picket of the Prime Minister's constituency office to save his youth centre. It's the woman with progressive multiple sclerosis who builds an online resistance network to fight the cuts to disability benefits. It's the striking call-centre worker. It's the 16-year-old with no hope of affording university who misses class to protest in front of the Houses of Parliament and the teacher who lets her go.

“David Cameron, can't you see? We're the big society!" chanted members of the protest group UK Uncut at a recent demonstration against corporate tax avoidance. Cameron is about to meet the real big society and he's about to discover that it's more than a branding exercise. It's about real people standing together to fight real injustice. It's called socialism.

 

Laurie Penny is a contributing editor to the New Statesman. She is the author of five books, most recently Unspeakable Things.

This article first appeared in the 21 February 2011 issue of the New Statesman, The offshore City

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Debunking Boris Johnson's claim that energy bills will be lower if we leave the EU

Why the Brexiteers' energy policy is less power to the people and more electric shock.

Boris Johnson and Michael Gove have promised that they will end VAT on domestic energy bills if the country votes to leave in the EU referendum. This would save Britain £2bn, or "over £60" per household, they claimed in The Sun this morning.

They are right that this is not something that could be done without leaving the Union. But is such a promise responsible? Might Brexit in fact cost us much more in increased energy bills than an end to VAT could ever hope to save? Quite probably.

Let’s do the maths...

In 2014, the latest year for which figures are available, the UK imported 46 per cent of our total energy supply. Over 20 other countries helped us keep our lights on, from Russian coal to Norwegian gas. And according to Energy Secretary Amber Rudd, this trend is only set to continue (regardless of the potential for domestic fracking), thanks to our declining reserves of North Sea gas and oil.


Click to enlarge.

The reliance on imports makes the UK highly vulnerable to fluctuations in the value of the pound: the lower its value, the more we have to pay for anything we import. This is a situation that could spell disaster in the case of a Brexit, with the Treasury estimating that a vote to leave could cause the pound to fall by 12 per cent.

So what does this mean for our energy bills? According to December’s figures from the Office of National Statistics, the average UK household spends £25.80 a week on gas, electricity and other fuels, which adds up to £35.7bn a year across the UK. And if roughly 45 per cent (£16.4bn) of that amount is based on imports, then a devaluation of the pound could cause their cost to rise 12 per cent – to £18.4bn.

This would represent a 5.6 per cent increase in our total spending on domestic energy, bringing the annual cost up to £37.7bn, and resulting in a £75 a year rise per average household. That’s £11 more than the Brexiteers have promised removing VAT would reduce bills by. 

This is a rough estimate – and adjustments would have to be made to account for the varying exchange rates of the countries we trade with, as well as the proportion of the energy imports that are allocated to domestic use – but it makes a start at holding Johnson and Gove’s latest figures to account.

Here are five other ways in which leaving the EU could risk soaring energy prices:

We would have less control over EU energy policy

A new report from Chatham House argues that the deeply integrated nature of the UK’s energy system means that we couldn’t simply switch-off the  relationship with the EU. “It would be neither possible nor desirable to ‘unplug’ the UK from Europe’s energy networks,” they argue. “A degree of continued adherence to EU market, environmental and governance rules would be inevitable.”

Exclusion from Europe’s Internal Energy Market could have a long-term negative impact

Secretary of State for Energy and Climate Change Amber Rudd said that a Brexit was likely to produce an “electric shock” for UK energy customers – with costs spiralling upwards “by at least half a billion pounds a year”. This claim was based on Vivid Economic’s report for the National Grid, which warned that if Britain was excluded from the IEM, the potential impact “could be up to £500m per year by the early 2020s”.

Brexit could make our energy supply less secure

Rudd has also stressed  the risks to energy security that a vote to Leave could entail. In a speech made last Thursday, she pointed her finger particularly in the direction of Vladamir Putin and his ability to bloc gas supplies to the UK: “As a bloc of 500 million people we have the power to force Putin’s hand. We can coordinate our response to a crisis.”

It could also choke investment into British energy infrastructure

£45bn was invested in Britain’s energy system from elsewhere in the EU in 2014. But the German industrial conglomerate Siemens, who makes hundreds of the turbines used the UK’s offshore windfarms, has warned that Brexit “could make the UK a less attractive place to do business”.

Petrol costs would also rise

The AA has warned that leaving the EU could cause petrol prices to rise by as much 19p a litre. That’s an extra £10 every time you fill up the family car. More cautious estimates, such as that from the RAC, still see pump prices rising by £2 per tank.

The EU is an invaluable ally in the fight against Climate Change

At a speech at a solar farm in Lincolnshire last Friday, Jeremy Corbyn argued that the need for co-orinated energy policy is now greater than ever “Climate change is one of the greatest fights of our generation and, at a time when the Government has scrapped funding for green projects, it is vital that we remain in the EU so we can keep accessing valuable funding streams to protect our environment.”

Corbyn’s statement builds upon those made by Green Party MEP, Keith Taylor, whose consultations with research groups have stressed the importance of maintaining the EU’s energy efficiency directive: “Outside the EU, the government’s zeal for deregulation will put a kibosh on the progress made on energy efficiency in Britain.”

India Bourke is the New Statesman's editorial assistant.