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Laurie Penny: What really happened in Trafalgar Square

Neither mindless nor violent, young protesters were forced into a stand-off with police.

"We're fucked," says the young man in the hoodie, staring out through the police cordon of Trafalgar Square, towards parliament. "Who's going to listen to us now?"

It's midnight on 26 March, a day that saw almost half a million students, trades unionists, parents, children and concerned citizens from all over Britain demonstrate against the government's austerity programme. All day, street fights across London between anti-cuts protestors and the police have turned this city into a little warzone. Barricades burned in Piccadilly as militant groups escalated the vandalism; the shopfronts of major banks and tax-avoiding companies have been smashed and daubed with graffiti, and Oxford Street was occupied and turned into a mass street party. Now, night is falling on the Trafalgar kettle, and the square stinks of cordite, emptied kidneys and anxiety. We've been here for three hours, and it's freezing; we burn placards and share cigarettes to maintain an illusion of warmth.

Commander Bob Broadhurst, who was in charge of the Metropolitan Police operation on the day, later states that the clashes in Trafalgar square began because "for some reason one of [the protestors] made an attack on the Olympic clock." That is not what happened. Instead, I witness the attempted snatch arrest of a 23 year-old man who they suspect of damaging the shop front of a major chain bank earlier in the day.

It starts when a handful of police officers moved through the quiet crowd, past circles of young people sharing snacks, smoking, playing guitars and chatting. They move in to grab the young man, but his friends scrambled to prevent the arrest being made, dragging him away from the police by his legs. Batons are drawn; a scuffle breaks out, and that scuffle becomes a fight, and then suddenly hundreds of armoured riot police are swarming in, seemingly from nowhere, sweeping up the steps of the National Gallery, beating back protesters as they go.

Things escalate very quickly. In the space of a minute and a half, the police find themselves surrounded on both sides by enraged young people who had gathered for a peaceful sit-in at the end of the largest workers' protest in a generation. The riot line advances on both sides, forcing protesters back into the square; police officers are bellowing and laying into the demonstrators with their shields.

Both sides begin to panic. Some of them start to throw sticks, and as the police surge forward, shouting and raising their weapons, others band together to charge the lines with heavy pieces of metal railing, which hit several protestors on their way past. Next to me, young people are raising their hands and screaming "don't hit us!"; some are yelling at the armoured police - "shame on you! Your job's next!"

I find myself in front of the riot line, taking a blow to the head and a kick to the shin; I am dragged to my feet by a girl with blue hair who squeezes my arm and then raises a union flag defiantly at the cops. "We are peaceful, what are you?" chant the protestors. I'm chanting it too, my head ringing with pain and rage and adrenaline; a boy with dreadlocks puts an arm around me. "Don't scream at them," he says. "We're peaceful, so let's not provoke."

A clear-eyed young man called Martin throws himself between the kids and the cops, his hands raised, telling us all to calm down, stand firm,stop throwing things and link arms; the police grab him, mistaking him for a rabble-rouser and toss him violently back into the line. The cops seal off the square. Those of us behind the lines are kettled, trapped in the sterile zone, shoved back towards Nelson's column as flares are lit and the fires begin to go out.

It would be naive to suggest that small numbers of people did not come to London today intent on breaking windows should the opportunity arise. It would be equally naive to suggest that no other groups had action plans that involved rather more than munching houmous in Hyde park and listening to some speeches. Few of those plans, however, come to fruition: however the papers choose to report the events of 26 March, there is no organised minority kicking things in for the hell of it. Instead, a few passionate, peaceful protest groups attempt to carry out direct action plans, plans that quickly become overwhelmed by crowds of angry, unaffiliated young people and a handful of genuinely violent agitators.

Those young people are from all over the country, and when the word goes out at 2pm that something was happening in Oxford Street, they headed down in their thousands. By the time the twenty-foot-high Trojan Horse arrives at Oxford Circus in the early afternoon, a full-blown rave is under way, coherent politics subsumed by the sheer defiant energy of the crowd. Chants about saving public services and education quickly merge into a thunderous, wordless cheer, erupting every time the traffic light countdowns flash towards. "Five-Four-Three-Two-One..." hollers the crowd, as bank branches are shut down, paint bombs thrown at the police, and small scuffles break out.

When UK Uncut's well-publicised secret occupation plan kicks into action at 3.30pm, the numbers and the energy quickly become overwhelming. As we follow the high-profile direct action group's red umbrella down Regent Street, we learn that the target is Fortnum and Mason's - the "Royal grocer's", as the news are now insisting on calling it, as though the stunt were a yobbish personal assault on the Queen's marmalade. The crowd is too big to stop, and protesters stream into the store, rushing past the police who are too late to barricade the doors.

Once inside, squeezing each other in shock at their own daring, everyone does a bit of excited chanting and then down for a polite impromptu picnic. Placards are erected by the famously opulent coffee counters, and tape wound around displays of expensive truffles imprecating the holding company to pay all its taxes. Tax avoidance is the ostensible reason for this occupation; the class factor remains unspoken, but deeply felt.

The posh sweets, however, remain untouched, as do all the other luxury goodies in the store, as protestors share prepacked crisps and squash and decide that it'd be rude to smoke indoors. When someone accidentally-on-purpose knocks over a display of chocolate bunny rabbits, priced at fifteen pounds each, two girls sternly advise them to clear up the mess without delay. "It's just unnecessary."

Refined middle-aged couples who had been having quiet cream teas in Fortnum's downstairs restaurant stare blinkingly at the occupiers, who are organising themselves into a non-hierarchial consensus-building team. "I oppose the cuts, I'm a socialist, but I think this type of thing is too much," says property manager Kat, 32. "There are old ladies upstairs. And I just came in to buy some fresh marshmallows, and now I can't."

Outside the building, the crowd is going wild. Some scale the building and scrawl slogans onto the brickwork; others turn their attention to the bank branches across the road. I leave Fortnum's and make my way down Piccadilly under a leaden sky, past the ruined fronts of Lloyds and Santander, to Picadilly Circus, where the riots - and make no mistake, these are now riots - have momentarily descended into an eerie standoff. The police raise their batons; the crowd yells abuse at them. Noone is chanting about government cuts anymore: instead, they are chanting about police violence. "No justice, no peace, fuck the police!' yells a middle-aged man in a wheelchair. I scramble onto some railings for safety as a cohort of riot police move into the crowd, find themselves surrounded and are beaten back by thrown sticks. Someone yells that a police officer is being stretchered to safety. Flares and crackers are let off; red smoke trails in the air.

"A riot," said martin Luther King Jr, "is the language of the unheard." There are an awful lot of unheard voices in this country. What differentiates the rioters in Picadilly and Oxford Circus from the rally attendees in Hyde Park is not the fact that the latter are "real" protestors and the former merely "anarchists" (still an unthinking synonym for "hooligans" in the language of the press). The difference is that many unions and affiliated citizens still hold out hope that if they behave civilly, this government will do likewise.

The younger generation in particular, who reached puberty just in time to see a huge, peaceful march in 2003 change absolutely nothing, can't be expected to have any such confidence. We can hardly blame a cohort that has been roundly sold out, priced out, ignored, and now shoved onto the dole as the Chancellor announces yet another tax break for bankers, for such skepticism. If they do not believe the government cares one jot about what young or working-class people really think, it may be because any evidence of such concern is sorely lacking.

A large number of young people in Britain have become radicalised in a hurry, and not all of their energies are properly directed, explaining in part the confusion on the streets yesterday. Among their number, however, are many principled, determined and peaceful groups working to affect change and build resistance in any way they can.

One of these groups is UK Uncut. I return to Fortnum's in time to see dozens of key members of the group herded in front of the store and let out one by one, to be photographed, handcuffed and arrested. With the handful of real, random agitators easy to identify as they tear through the streets of Mayfair, the met has chosen instead to concentrate its energies on UK Uncut - the most successful, high-profile and democratic anti-cuts group in Britain.

UK Uncut has embarrassed both the government and the police with its gentle, inclusive, imaginative direct action days over the past six months. As its members are manhandled onto police coaches, waiting patiently to be taken to jail whilst career troublemakers run free and unarrested in the streets outside, one has to ask oneself why.

Shaken, I make my way through the streets of Mayfair towards Trafalgar to meet friends and debrief. In the dark, groups of people wearing trades union tabards and carrying placards wander hither and thither down burning sidestreets as oblivious shoppers eat salad in Pret A manger.

By 8pm, there's a party going on under Nelson's Column. Groups of anti-cuts protestors, many of whom have come down from Hyde Park, have congregated in the square to eat biscuits, drink cheap supermarket wine, share stories and socialise after a long and confusing day.

‘'These young people are right to be angry. I don't think people are angry enough, actually, given that the NHS is being destroyed before our eyes," says Barry, 61, a retired social worker. "The rally was alright, but a huge march didn't make Tony Blair change his mind about Iraq, and another huge march isn't going to make David Cameron change his mind now. So what are people supposed to do?"

That's a tough question in a country where almost every form of political dissent apart from shuffling in an orderly queue from one march point to the other is now a crime.

"I don't have a problem with people smashing up banks, I think that's fine, given that the banks have done so much damage to the country," says Barry, getting into his stride. "Violence against real people - that's wrong."

Minutes after the fights begin in Trafalgar square, so does the backlash. Radio broadcasters imply that anyone who left the pre-ordained march route is a hooligan, and police chiefs rush to assure the public that this "mindless violence" has "nothing to do with protest."

The young people being battered in Trafalgar square, however, are neither mindless nor violent. In front of the lines, a teenage girl is crying and shaking after being shoved to the ground. "I'm not moving, I'm not moving," she mutters, her face smeared with tears and makeup. "I've been on every protest, I won't let this government destroy our future without a fight. I won't stand back, I'm not moving." A police officer charges, smacking her with his baton as she flings up her hands.

The cops cram us further back into the square, pushing people off the plinths where they have tried to scramble for safety. By now there are about 150 young people left in the square, and only one trained medic, who has just been batoned in the face; his friends hold him up as he blacks out, and carry him to the police lines, but they won't let him leave. By the makeshift fire, I meet the young man whose attempted arrest started all this. "I feel responsible," he said, "I never wanted any of this. None of us did"

Back on the column, a boy in a black hoodie and facerag hollers through his hands to his friends, who have linked arms in front of the police line. "This is what they want!" he yells, pointing at the Houses of Parliament. "They want us to fight each other. They want us to fight each other!

“They're laughing all the way to the bank!"

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

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Brexit is an opportunity to rethink our economic model

Our industrial strategy must lift communities out of low-wage stagnation, writes the chair of the Prime Minister's policy board. 

With the long term fallout of the great crash of 2008 becoming clearer the issue of "inclusive growth" has never been more urgent.

Eight years after the Great Crash, it is becoming clear that the long term impacts of the crisis profoundly challenges the model of economy - and politics - we have become used to. Asset inflation and technological revolutions are entrenching untold wealth for a small global elite.

This sits alongside falling relative disposable incomes for the many, and increasing difference in the disposable income of different generations. Meanwhile, a cohort of "just-about-managing" citizens are working harder than ever simply to get by, despite falling rates of savings. All of this – along with a persistent structural deficit in pensions, welfare and health budgets - combines to create an urgent need for new economic thinking about a model of growth and 21st century economic citizenship that works better for all people and places in our country.

The main political parties have set out to tackle these challenges and develop policy programmes for them. Theresa May has set out a bold new Conservative agenda of reforms to help those of our fellow citizens who are working hard but struggling to get by: to build an economy that works for everyone, and for the people and places left behind.

But this challenge is also generational, and will need thinkers from all parties - and none - to talk and think together about fresh approaches. This is why this cross-party initiative on inclusive growth is a welcome contribution to the policy debate.

The Prime Minister leads a government committed not just to deliver Brexit, but also to the fresh thinking and fresh solutions to the scale of the domestic challenges we face, which clearly contributed to the scale of the Leave vote last June. As she has said, it's clear that as well as rejecting the EU, voters were rejecting a model of growth that wasn’t working for them.

The UK’s vote to leave the European Union was one of the most dramatic and significant political events in decades – for this country and potentially for Europe. It changes everything: our economic model, our long term economic prospects, the assumptions and mechanisms through which we run most of our government and the diplomatic and economic status of the UK internationally.

Delivering a successful Brexit – one which strengthens our global security, our united kingdom, our economy and popular trust in parliamentary democracy, and a model of political economy that works to these ends, will dominate this political generation.

This is a challenge. But it is also an unprecedented opportunity to reform our model of political economy to tackle the causes of deepening domestic political disillusionment and put our country on the path to long-term recovery. 

Brexit provides us with a unique chance to address two of the most important public policy challenges facing our country.

First, the need to enable and enhance the conditions for creating and developing greater enterprise and innovation across our economy, in order to increase competitiveness and productivity. Second, the need to tackle the growing alienation of so many people and places from the opportunities of globalisation, which has in turn entrenched attitudes towards welfarism. I believe these two challenges are fundamentally linked. 

Without social mobility, and the removal of the barriers holding back national and regional participation enterprise, we will never be able to tackle the structural challenges of productivity, public service modernisation, competitiveness and innovation. 

It's becoming clearer to more and more people that a 21st century "innovation economy" both requires and drives an "opportunity society". You can't have an enterprising economy with low rates of social mobility. And the entrepreneurial spirit of economic aspiration is the fuel that powers the engine of social mobility.

For too long, we have run an economic model based on generating growing tax revenues from an ever smaller global elite, in order to pay for the welfare costs of a workforce increasingly dependent on handouts.

Whitehall has tended to treat social policy quite separately from economic policy. This siloed thinking – the Treasury and the Department for Business, Energy and Industrial Strategy for "growth" and the Department for Work and Pensions, Department of Health and Department for Education for "public services" - compounds a lack of the kind of integrated policymaking needed to tackle the socio-economic causes of low productivity. The challenges holding back the people and places we need to help do not fall neatly into Whitehall silos. 

Since 1997, successive governments have pursued a model of growth based on a booming service sector, high levels of low-cost migrant labour and housing and asset inflation. At the same time, policymakers tried to put in place framework to support long term industrial renaissance and rebalancing. The EU referendum demonstrated that this model of growth was not working for enough people. 

Our industrial strategy must be as much about lifting communities out of low-skill and low-wage stagnation as it is about driving pockets of new activity. We need Cambridge to continue to grow, but we also need to ensure that communities from Cromer to Carlisle and Caithness, which do not enjoy the benefits of being a global technology cluster, can participate too. That means new measures to spread opportunities more widely. 

The Great Crash and its aftermath - including Brexit - represents a chance for a new generation to think these problems through and tackle them. We all have a part to play. Six years ago, I set up the 2020 Conservatives Group in Parliament, as a forum for a new generation of progressive Conservative MPs, regardless of increasingly old-fashioned labels of "left" or "right", or where they stood on the Europe debate. This is a forum to discuss new ways to tackle the current problems facing our country, beyond the conventional silos of Whitehall. Drawing on previous career experiences outside of Parliament, the group also looks ahead strategically at the potential longer-term social and economic challenges that may confront us in the future.

I believe that technology, and a new zeitgeist for public sector (as well as private sector) enterprise hold the key to resolving the barriers that are currently holding back the development of new opportunities. With new approaches, better infrastructure and skills connecting opportunities with the people and places left behind, better incentives for our great innovators, and new models of mutualised public/private partnerships and ventures, we can build an economy that genuinely works for everyone.

The government has already set about making this happen. Through the industrial strategy, the £23bn package of investment in new infrastructure and innovation announced by the Chancellor, Philip Hammond, we can now be much bolder in developing a 21st century knowledge economy infrastructure that will be the foundation for economic success. 

The success of inclusive growth rests on a number of core foundations - that our economy grows, that social inequality is redressed; that people are given the skills they need to pursue a career in the new economy and that we better spread the opportunities of the global economy hitherto enjoyed by a segment of our workforce to the many. 

This can only be achieved if we recognise the way in which enterprise and opportunity are interdependent. Together, politicians from all parties have a chance to set out a new path for a Global Britain: making our country the world capital of innovation and opportunity. Not trickle-down economics, but "innovation economics" where the private and public sector commit to a programme of supporting each other for mutual benefit.

An economy that works for everyone is an economy in which the country unites around the twin pillars of opportunity and security, which are open to all. A country in which "shared values" are as important as "shareholder value". And in which both are better shared by all. A country once again with that precious alignment of economic and social purpose which is the hallmark of all great civilisations. It's a great prize.

This is an edited version of George Freeman's article for All-Party Parliamentary Group on Inclusive Growth's new "State of the Debate" report, available to download here.The APPG on Inclusive Growth's "State of the Debate" event with the OECD, World Economic Forum, RSA and IPPR is on Tuesday 21st February at 6.30pm at Parliament. See www.inclusivegrowth.co.uk for full details. 

George Freeman is the MP for Mid-Norfolk and the chair of the Prime Minister's Policy Board.