Don't look to François Hollande for inspiration, Ed

The French Socialist leader is a throwback, not a pioneer.

On Wednesday, François Hollande’s budget announced the doubling of a tax already planned by Nicolas Sarkozy, giving a sliver to the state of certain transactions executed in financial markets. So what, you say. Banks can afford it, can’t they? Besides, they messed up: they should pay. But it’s not that simple: like VAT or any other sales tax, the cost is simply passed on to the buyer; a paltry half-billion euros will be raised annually and the law is full of loopholes. Plus, the original Sarkozy tax was only scheduled to come into force the same day, so no-one yet knows what the effects are.

Clearly, there is a political point being made that banks must pay for their sins, but: at what cost? The advantages of a financial transactions tax are unproven, to say the least. At best, it seems like posturing: at worst, it adds to the cost of companies, and the country, raising capital, affecting growth and competitiveness. Plus, with a unilateral move, there is always the danger that people will simply take their business elsewhere, which is why no-one here – not even Miliband –  is suggesting such a unilateral tax for the City, a financial centre which easily dwarfs Paris.

Perhaps, then, it’s a good moment to take a closer look at the Hollande administration. He has, at least, one sensible positive: his belief that growth is the key rather than austerity. Good. However, unlike the UK, Eurozone rules cap his borrowing, meaning next year he needs to make €33bn of cuts. So one wonders how he can fulfil pledges which require him to spend to achieve that growth.

Then there’s his manifesto proposal for a 75 per cent “super tax” for earnings over €1m, a move not seen in Britain since the days of Denis Healey (that said, his own advisor, Harvard’s Prof. Philippe Aghion, admits it was probably just an electoral sop to the left that he didn’t really mean). But many suggested that Hollande’s manifesto largely comprised things he would not really implement, and which he now has. And these are nothing compared to Hollande’s decision to lower the national retirement age from 62 to 60, which gives an insight into some very flawed thinking, because it doesn’t seem to make sense at the level of basic maths. The explanation is quite simple and goes like this:

If I pay a portion of my salary towards a pension, I create a pot, which the government looks after for me. When I retire, that pot buys me a pension until I die, the level of which depends on the size of the pot. Four things determine the size of my pot: the percentage I pay in from my salary; the number of years; the amount I work each year (working hours, holidays, and so on); and the fourth and final thing is the number of years I’m likely to live – the more years, the bigger pot I’ll need.

The problem is in the fourth factor. Most national pension systems in the western world are broke, and are on the verge of not being able to pay out to all the pensioners. They didn’t quite count on so many people staying alive so long, so they under-provided. Most governments are therefore trying to find ways to fund the “pensions time-bomb”, by getting more money into each person’s pot.

So, what you’ve got to do is change one of the first three factors. But in France, the amount you work each year is already fixed at a relatively low level, because of its uniquely-constricting thirty-five hour week and generous statutory holidays. Then there’s the number of years you work, which in France we have just reduced by two. That leaves only one thing: to increase national insurance; raise taxes on those who are working to pay for those who aren’t – which is not really sustainable (particularly during an economic crisis). For this reason, policymakers worldwide are accepting an inevitability: people will have to work longer.

Ah, but not in France. Not in the homeland of Lagrange, Fourier and Descartes, where mathematics nowadays apparently work differently. Or rather, the raising of pensionable age makes no sense at all, because sooner or later the government will have to reverse it, as will all governments. And, in the meantime, it makes the ticking time-bomb worse. It is a sweetie, handed out to make people feel better: Hollande will give you a sweetie today, but some future government will need to take it back tomorrow twofold.

What is most disappointing for the left about Hollande, then, is that he seems much less the avant-guardiste of a new paradigm for the left, than a throwback to old, ostrich-like ways of the 1970s. It fits, too, because France itself has traditionally been the last big country in the west to accept realities such as flexible labour markets and the death of trade protectionism, as global business moves east.

The danger for Hollande, in short, is that he could end up like Spain's “Crisis? What crisis?” Zapatero, someone many on the left also had high hopes for, and whose career ended in ignominy as he was ultimately forced to take back all the sweeties. Miliband was politically astute in taking advantage of the apparent lack of connection between Hollande and Cameron, and right in going to Paris to make common cause with practically the only socialist premier left. But that, perhaps, should be as far as it goes.

Rob Marchant is an activist and former Labour Party manager who blogs at The Centre Left

French President François Hollande welcomes Labour leader Ed Miliband before a meeting at the Elysée Palace in Paris. Photograph: Getty Images.
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The SATs strike: why parents are taking their children out of school to protest against exams

Parents are keeping their children away from school to highlight the dangers of “over testing” young pupils.

My heart is beating fast and I feel sick. I force myself to eat some chocolate because someone said it might help. I take a deep breath and open the door…

The hall is silent except for the occasional cough and the shuffling of chairs. The stench of nervous sweat lingers in the air.

“Turn over your papers, you may begin.”

I look at the clock and I am filled with panic. I feel like I might pass out. I pick up my pen but my palms are so sweaty it is hard to grip it properly. I want to cry. I want to scream, and I really need the toilet.

This was how I felt before every GCSE exam I took. I was 16. This was also how I felt before taking my driving test, aged 22, and my journalism training (NCTJ) exams when I was 24.

Being tested makes most of us feel anxious. After all, we have just one chance to get stuff right. To remember everything we have learned in a short space of time. To recall facts and figures under pressure; to avoid failure.

Even the most academic of adults can find being in an exam situation stressful, so it’s not hard to imagine how a young child about to sit their Year 2 SATs must feel.

Today thousands of parents are keeping their kids off school in protest at these tough new national tests. They are risking fines, prosecution and possible jail time for breach of government rules. By yesterday morning, more than 37,000 people had signed a petition backing the Let Our Kids Be Kids campaign and I was one of them.

I have a daughter in reception class who will be just six years old when she sits her SATs. These little ones are barely out of pull-up pants and now they are expected to take formal exams! What next? Babies taught while they are in the womb? Toddlers sitting spelling tests?

Infants have fragile self-esteem. A blow to their confidence at such an impressionable age can affect them way into adulthood. We need to build them up not tear them down. We need to ensure they enjoy school, not dread it. Anxiety and fear are not conducive to learning. It is like throwing books at their heads as a way of teaching them to read. It will not work. They are not machines. They need to want to learn.

When did we stop treating children like children? Maybe David Cameron would be happier if we just stopped reproducing all together. After all, what use to the economy are these pesky kids with their tiny brains and individual emotional needs? Running around all happy and carefree, selfishly enjoying their childhood without any regard to government statistics or national targets.

Year 2 SATs, along with proposals for a longer school day and calls for baseline reception assessments (thankfully now dropped) are just further proof that the government do not have our children’s best interests at heart. It also shows a distinct lack of common sense. It doesn’t take a PhD in education to comprehend that a child is far more likely to thrive in a calm, supportive and enjoyable environment. Learning should be fun. The value in learning through play seems to be largely underestimated.

The UK already has a far lower school starting age than many other countries, and in my opinion, we are already forcing them into a formal learning environment way too soon.

With mental health illness rates among British children already on the rise, it is about time our kids were put first. The government needs to stop “throwing books at heads” and start listening to teachers and parents about what is best for the children.

Emily-Jane Clark is a freelance journalist, mother-of-two and creator of stolensleep.com, a humorous antithesis to baby advice.