Can François Hollande begin a centre-left revival?

The French presidential election will show whether the European left is bouncing back or in possibly

If 2011 was a tough year wherever you were it truly was annus horribilis for the European left - a year of frustration and failure. Frustration as the conservative politicians who lead most European governments spectacularly mishandled the eurozone debt crisis and persisted with co-ordinated austerity programmes that have pushed many countries back into recession and driven unemployment to frightening new levels. Disappointment as socialist governments in Spain, Portugal and elsewhere were toppled from power - collateral damage from the sovereign debt crisis.

From the high point in the late 90s when Blair, Schroeder, Prodi and Jospin set the terms of debate in European politics, the centre-left has now been reduced to impotence in opposition, in power in a mere handful of countries. Although Europe is still embroiled in an economic crisis which originated in the financial sector, social democratic parties rather than their conservative rivals have been the ones to suffer at the hands of the electorate

Incumbency did not help. The governments of Gordon Brown and Spain’s Jose Zapatero were routed because they presided over the boom and then were blamed for the extent of the bust. But, more profoundly, the economic collapse created an identity crisis which social democrats are still wrestling with. Having embraced market economics, light touch regulation and a managerial style of politics in the 1980s and 90s, many centre-left parties have found themselves in political no man’s land – outflanked on the economy by liberals and conservatives and on social policy by the hard-left.  

Indeed, although social democrats in Denmark and Slovakia have taken power in the past few months, the defeat of the Zapatero government in Spain meant that the Prime Ministers of the five biggest EU countries – Germany, France, UK, Italy and Spain – are all conservative.

But is the political tide about to turn in France?

With six weeks until the first round of voting, François Hollande is very well placed to become just the second socialist to get the keys to the Elysee Palace in over half a century. Although Nicolas Sarkozy is a formidable campaigner and has improved his opinion poll numbers in recent weeks, the evidence suggests that he is picking up votes from National Front supporters rather than from the centre. Every poll so far has Hollande ahead by between six-ten points in the second ballot.

The French presidential election has taken on huge importance for the rest of Europe as well as France. The ‘Merkozy’ hegemony has led the response to the eurozone debt crisis, so it did not come as a surprise when Angela Merkel publicly endorsed Sarkozy’s re-election bid. But a similar axis of the left has emerged during the campaign. Last month, Hollande shared a platform with Ed Miliband during a campaign visit to London even if, in truth, they don’t have much in common politically. However, more robust support has come from Sigmar Gabriel, the leader of the German SPD. Both Miliband and Gabriel will be acutely aware that if the French left cannot win against a hugely unpopular President who has presided over five years of economic decline, their own election prospects will fade as well.

In Gabriel’s case ideology as well as pragmatism is at play. The Franco-German axis has dominated European politics in the past few years, with the 'Merkozy' inspired fiscal compact treaty the shining example. However, we are gradually starting to see a coherent alternative from Hollande and Gabriel. Both have criticised the fiscal compact treaty, with Hollande promising to re-negotiate if he is elected, and Gabriel threatening to oppose parts of it in the Bundestag. They have also pointed out the glaring omission from the treaty, namely, the absence of any measures to promote economic growth and create jobs. We could expect to hear demands for a growth and jobs pact from a Hollande presidency.

Moreover, last summer, during the negotiations on the EU’s new economic governance framework, they signed up to a pan-European campaign ‘Let’s change Europe’ which, among other things, called for a financial transactions tax, Eurobonds and an embryonic common fiscal framework, while also decrying the “economic and social decline brought about by blind austerity policies.” Although hardly a manifesto, here are the building blocks for a revitalised European left.

The irony of post-debt crisis Europe has been that while the terms of economic debate have shifted firmly to the left, the centre-right has established a clear narrative that has driven economic policy at national and EU levels. From Berlin, London, Paris, Rome and Madrid, the mantra is the same - the debt crisis is solely the result of reckless governments over-spending and a diet of budget cuts and tax rises offers the only route to recovery.

Yet, perversely, there is little public support for co-ordinated austerity and common agreement about the need to re-balance our economy away from relying on financial services and revulsion at the excesses, and incompetence, of the self-appointed masters of the financial universe. In the past two years a raft of financial sector regulation has, most notably, banned uncovered short-selling, put in place limits on bank bonuses and regulated the derivatives market. Merkel and Sarkozy have even driven plans for a financial transactions tax – itself a policy that would have been dismissed out of hand just a few years ago.

For the past two years conservatives and liberals across Europe have tried an economic experiment that has been an abject failure, but have been allowed to do so virtually unchallenged by social democrats who have been confused and in retreat. Faced with a lost decade of austerity induced economic stagnation and social unrest, the fight-back needs to start and the French elections will offer a clear indication of whether the European left is bouncing back or in possibly terminal decline. The stakes are high. If Hollande and the Parti Socialiste cannot win when the political odds are stacked in their favour, then the prospects for their sister-parties here and elsewhere will look increasingly bleak.

Ben Fox is chairman of GMB Brussels and political adviser to the Socialist vice-president of economic and monetary affairs.

French Socialist presidential candidate François Hollande waves as he speaks during a campaign meeting in Nimes, southern France. Photograph: Getty Images.
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The Brexit Beartraps, #2: Could dropping out of the open skies agreement cancel your holiday?

Flying to Europe is about to get a lot more difficult.

So what is it this time, eh? Brexit is going to wipe out every banana planet on the entire planet? Brexit will get the Last Night of the Proms cancelled? Brexit will bring about World War Three?

To be honest, I think we’re pretty well covered already on that last score, but no, this week it’s nothing so terrifying. It’s just that Brexit might get your holiday cancelled.

What are you blithering about now?

Well, only if you want to holiday in Europe, I suppose. If you’re going to Blackpool you’ll be fine. Or Pakistan, according to some people...

You’re making this up.

I’m honestly not, though we can’t entirely rule out the possibility somebody is. Last month Michael O’Leary, the Ryanair boss who attracts headlines the way certain other things attract flies, warned that, “There is a real prospect... that there are going to be no flights between the UK and Europe for a period of weeks, months beyond March 2019... We will be cancelling people’s holidays for summer of 2019.”

He’s just trying to block Brexit, the bloody saboteur.

Well, yes, he’s been quite explicit about that, and says we should just ignore the referendum result. Honestly, he’s so Remainiac he makes me look like Dan Hannan.

But he’s not wrong that there are issues: please fasten your seatbelt, and brace yourself for some turbulence.

Not so long ago, aviation was a very national sort of a business: many of the big airports were owned by nation states, and the airline industry was dominated by the state-backed national flag carriers (British Airways, Air France and so on). Since governments set airline regulations too, that meant those airlines were given all sorts of competitive advantages in their own country, and pretty much everyone faced barriers to entry in others. 

The EU changed all that. Since 1994, the European Single Aviation Market (ESAM) has allowed free movement of people and cargo; established common rules over safety, security, the environment and so on; and ensured fair competition between European airlines. It also means that an AOC – an Air Operator Certificate, the bit of paper an airline needs to fly – from any European country would be enough to operate in all of them. 

Do we really need all these acronyms?

No, alas, we need more of them. There’s also ECAA, the European Common Aviation Area – that’s the area ESAM covers; basically, ESAM is the aviation bit of the single market, and ECAA the aviation bit of the European Economic Area, or EEA. Then there’s ESAA, the European Aviation Safety Agency, which regulates, well, you can probably guess what it regulates to be honest.

All this may sound a bit dry-

It is.

-it is a bit dry, yes. But it’s also the thing that made it much easier to travel around Europe. It made the European aviation industry much more competitive, which is where the whole cheap flights thing came from.

In a speech last December, Andrew Haines, the boss of Britain’s Civil Aviation Authority said that, since 2000, the number of destinations served from UK airports has doubled; since 1993, fares have dropped by a third. Which is brilliant.

Brexit, though, means we’re probably going to have to pull out of these arrangements.

Stop talking Britain down.

Don’t tell me, tell Brexit secretary David Davis. To monitor and enforce all these international agreements, you need an international court system. That’s the European Court of Justice, which ministers have repeatedly made clear that we’re leaving.

So: last March, when Davis was asked by a select committee whether the open skies system would persist, he replied: “One would presume that would not apply to us” – although he promised he’d fight for a successor, which is very reassuring. 

We can always holiday elsewhere. 

Perhaps you can – O’Leary also claimed (I’m still not making this up) that a senior Brexit minister had told him that lost European airline traffic could be made up for through a bilateral agreement with Pakistan. Which seems a bit optimistic to me, but what do I know.

Intercontinental flights are still likely to be more difficult, though. Since 2007, flights between Europe and the US have operated under a separate open skies agreement, and leaving the EU means we’re we’re about to fall out of that, too.  

Surely we’ll just revert to whatever rules there were before.

Apparently not. Airlines for America – a trade body for... well, you can probably guess that, too – has pointed out that, if we do, there are no historic rules to fall back on: there’s no aviation equivalent of the WTO.

The claim that flights are going to just stop is definitely a worst case scenario: in practice, we can probably negotiate a bunch of new agreements. But we’re already negotiating a lot of other things, and we’re on a deadline, so we’re tight for time.

In fact, we’re really tight for time. Airlines for America has also argued that – because so many tickets are sold a year or more in advance – airlines really need a new deal in place by March 2018, if they’re to have faith they can keep flying. So it’s asking for aviation to be prioritised in negotiations.

The only problem is, we can’t negotiate anything else until the EU decides we’ve made enough progress on the divorce bill and the rights of EU nationals. And the clock’s ticking.

This is just remoaning. Brexit will set us free.

A little bit, maybe. CAA’s Haines has also said he believes “talk of significant retrenchment is very much over-stated, and Brexit offers potential opportunities in other areas”. Falling out of Europe means falling out of European ownership rules, so itcould bring foreign capital into the UK aviation industry (assuming anyone still wants to invest, of course). It would also mean more flexibility on “slot rules”, by which airports have to hand out landing times, and which are I gather a source of some contention at the moment.

But Haines also pointed out that the UK has been one of the most influential contributors to European aviation regulations: leaving the European system will mean we lose that influence. And let’s not forget that it was European law that gave passengers the right to redress when things go wrong: if you’ve ever had a refund after long delays, you’ve got the EU to thank.

So: the planes may not stop flying. But the UK will have less influence over the future of aviation; passengers might have fewer consumer rights; and while it’s not clear that Brexit will mean vastly fewer flights, it’s hard to see how it will mean more, so between that and the slide in sterling, prices are likely to rise, too.

It’s not that Brexit is inevitably going to mean disaster. It’s just that it’ll take a lot of effort for very little obvious reward. Which is becoming something of a theme.

Still, we’ll be free of those bureaucrats at the ECJ, won’t be?

This’ll be a great comfort when we’re all holidaying in Grimsby.

Jonn Elledge edits the New Statesman's sister site CityMetric, and writes for the NS about subjects including politics, history and Brexit. You can find him on Twitter or Facebook.