Can lefties do Britishness?

We shouldn’t be afraid to ground our political vision in an idea of Britain, of who we are and what kind of society we want to build.

Like most good teenagers, I had a lot of dramatic political revelations. This was one of them: we all have multiple identities. I might be a Londoner, a Brit, English and European. But the identity that matters most is our humanity. If everyone could realise that we’d all be ok. No more wars, prejudice or inequality. Everything would be great. Think kum ba yah with logic.
 
Now I’m older, I’m not so sure. Try loving everyone, and you’re in danger of loving no-one. There’s something cold about working from an abstract moral equation rather than natural affection. Reduce people to statistics, and we lose something important. So now I’m not ashamed of feeling a greater connection with the person next to me on the bus in Britain more than the stranger on a coach abroad; I’m proud that I do.
 
The left has always been wary of nationalism. Owen Jones tweeted last week “The more that nationalism rears its head, the less we talk about the tidal wave of austerity hitting working people across Britain”. People are worried about past atrocities we’ve committed in the name of the nation. About people carrying the flag for the wrong reasons. About the apologies we never made. There are good reasons to be skeptical.
 
But there are also good reasons to be positive about Britain. If you’re a lefty, you have to give people a reason to care for one another, to vote and pay their taxes even when times are tough. A collective national identity is one reason to do that. It’s a story we tell to bind us together. It wasn’t a coincidence that the National Health Service was born out of the spirit of the war. We wanted to care for each other. We continue to volunteer thousands of hours. It’s part of who we are.
 
If you want an example of positive nationalism, look at the picture Obama has painted in the United States. To him, national identity wasn’t bigoted or irrational; it was a reason to believe in green energy, health care and hard work (the Chrysler advert still sends lovely shivers down my spine). Nor was it about being introverted. To know what role you want to play on the world stage, it helps to know who you are and why you care.
 
So what is it that unites us? I’m not pretending the answer is easy. But there’s something about sharing space and time on an island in the middle of the Atlantic that pulls us together. Watch Britain in a Day, and you’ll see what I mean. You get this powerful sense of us living together, eating at the same time, sharing the same sunsets, the same holidays and working hours. Then there are our institutions. Our parliament, our football, our NHS. We’re struggling together.
 
And there’s something British about the way we approach this struggle. It’s not simple or easy to articulate, but there’s the gentle way we don’t give up. The quiet determination and common decency, the “caring as well as competing”, as Ed Miliband put it last week. The tolerance, the awkwardness, and the humour.
 
We’ve made great global contributions too. We continue to invent and innovate way above what our population and landmass might predict. We were the first country to industrialise. We invented the rubber band, the pencil and the combustion engine. We created the lawn mower, the jet engine, crosswords, water desalinisation, the magnifying glass. We unveiled the typhoid vaccine and the structure of DNA. Football. Hell, we even discovered Uranus.  
 
Today, our creative industries continue to inspire the world and our universities to educate it. We still touch and influence the world from our tiny corner. Even if we don’t always get it, the people outside do, as Rebecca Omonira-Oyekanmi so eloquently explained earlier this week.
 
The left worries that putting one nation above another is immoral. But that’s what we do with family. Someone once told me that family is not who we share blood with, but who we’d give up blood for. In Britain, we share blood for one another, whether that’s through the army or donating through drips on the NHS. It doesn’t mean we’re justified in treating others badly. It just means there are bonds we just can’t break.
 
And people care. Do we really want to dismiss the 6 million people who participated in the Jubilee as suffering from false consciousness? Or the military wives that got to number one? They brought more people together than politics has recently. Dismissing the thousands turning up in the rain at the Thames doesn’t sound like the love and respect the left should show others. The Olympics. Team GB. The Euros. We should try and understand and work with it.
 
I don’t know what my teenage self would say to all this, and I’m not saying anyone who disagrees with me is naïve. I’m not even advocating a list of policy prescriptions. What I’m saying is that we shouldn’t be afraid to ground our political vision in an idea of Britain, of who we are and what kind of society we want to build. Maybe then we can have a Britain that lefties can be proud of.

National pride? A royal supporter waits outside Buckingham Palace for the Jubliee concert. 4 June 2012. Photograph: Getty Images

Rowenna Davis is Labour PPC for Southampton Itchen and a councillor for Peckham

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The Future of the Left: A new start requires a new economy

Creating a "sharing economy" can get the left out of its post-crunch malaise, says Stewart Lansley.

Despite the opportunity created by the 2008 crisis, British social democracy is today largely directionless. Post-2010 governments have filled this political void by imposing policies – from austerity to a shrinking state - that have been as economically damaging as they have been socially divisive.

Excessive freedom for markets has brought a society ever more divided between super-affluence and impoverishment, but also an increasingly fragile economy, and too often, as in housing, complete dysfunction.   Productivity is stagnating, undermined by a model of capitalism that can make big money for its owners and managers without the wealth creation essential for future economic health. The lessons of the meltdown have too often been ignored, with the balance of power – economic and political – even more entrenched in favour of a small, unaccountable and self-serving financial elite.

In response, the left should be building an alliance for a new political economy, with new goals and instruments that provide an alternative to austerity, that tackle the root causes of ever-growing inequality and poverty and strengthen a weakening productive base. Central to this strategy should be the idea of a “sharing economy”, one that disperses capital ownership, power and wealth, and ensures that the fruits of growth are more equally divided. This is not just a matter of fairness, it is an economic imperative. The evidence is clear: allowing the fruits of growth to be colonised by the few has weakened growth and made the economy much more prone to crisis.

To deliver a new sharing political economy, major shifts in direction are needed. First, with measures that tackle, directly, the over-dominance of private capital. This could best be achieved by the creation of one or more social wealth funds, collectively held financial funds, created from the pooling of existing resources and fully owned by the public. Such funds are a potentially powerful new tool in the progressive policy armoury and would ensure that a higher proportion of the national wealth is held in common and used for public benefit and not for the interests of the few.

Britain’s first social wealth fund should be created by pooling all publicly owned assets,  including land and property , estimated to be worth some £1.2 trillion, into a single ring-fenced fund to form a giant pool of commonly held wealth. This move - offering a compromise between nationalisation and privatization - would bring an end to today’s politically expedient sell-off of public assets, preserve what remains of the family silver and ensure that the revenue from the better management of such assets is used to boost essential economic and social investment.

A new book, A Sharing Economy, shows how such funds could reduce inequality, tackle austerity and, by strengthening the public asset base, rebalance the public finances.

Secondly, we need a new fail safe system of social security with a guaranteed income floor in an age of deepening economic and job insecurity. A universal basic income, a guaranteed weekly, unconditional income for all as a right of citizenship, would replace much of the existing and increasingly means-tested, punitive and authoritarian model of income support. . By restoring universality as a core principle, such a scheme would offer much greater security in what is set to become an increasingly fragile labour market. A basic income, buttressed by a social wealth fund, would be key instruments for ensuring that the potential productivity gains from the gathering automation revolution, with machines displacing jobs, are shared by all.  

Thirdly, a new political economy needs a radical shift in wider economic management. The mix of monetary expansion and fiscal contraction has proved a blunderbuss strategy that has missed its target while benefitting the rich and affluent at the expense of the poor. By failing to tackle the central problem  – a gaping deficit of demand (one inflamed by the long wage squeeze and sliding investment)  - the strategy has slowed recovery.  The mass printing of money (quantitative easing) may have helped prevent a second great depression, but has also  created new and unsustainable asset bubbles, while austerity has added to the drag on the economy. Meanwhile, record low interest rates have failed to boost private investment and productivity, but by hiking house prices, have handed a great bonanza to home owners at the expense of renters.

Building economic resilience will require a more central role for the state in boosting and steering investment programmes, in part through the creation of a state investment bank (which could be partially financed from the proposed new social wealth fund) aimed at steering more resources into the wealth creating activities private capital has failed to fund.

With too much private credit used for financial speculation and property, and too little to small companies and infrastructure, government needs to play a much more direct role in creating credit, while restricting the almost total freedom currently handed to private banks.  Tackling the next downturn, widely predicted to land within the next 2-3 years, will need a very different approach, including a more active fiscal policy. To ensure a speedier recovery from recessions, future rounds of quantitative easing should, within clear constraints, boost the economy directly by financing public investment programmes and cash handouts (‘helicopter money’).  Such a police mix – on investment, credit and stimulus - would be more effective in boosting the real economic base, and would be much less pro-rich and anti-poor in its consequences.

These core changes would greatly reform the existing Anglo-Saxon model of capitalism and provide the foundations for building support for a new direction for progressive politics. They would pioneer new tools for building a fairer, more dynamic and more stable economy. They could draw on experience elsewhere such as the Alaskan annual citizen’s dividend (financed by a sovereign wealth fund) and the pilot basic income schemes launching in the Netherlands, Finland and France.  Even mainstream economists, including Adair Turner, former chairman of the Financial Services Authority, are now talking up the principle of ‘helicopter money’. For these reasons, parts of the package are likely to prove publicly popular and command support across the political divide. Together they would contribute to a more stable economy, less inequality, and a more even balance of power and opportunity.

 

Stewart Lansley is the author of A Sharing Economy, published in March by Policy Press and of Breadline Britain, The Rise of Mass Impoverishment (with Joanna Mack).