Ten years of Policy Exchange

Free Schools, elected police chiefs, welfare reform - this is the legacy of my think tank.

Policy Exchange was founded ten years ago. We believed - and still do - that there is a role for the State, albeit a much smaller and more efficient one, to help improve peoples' lives. We also felt that people should have more of a direct say on the decisions that affect themselves and their families.

Decentralisation was one of our key themes and some of our better known policy recommendations such as directly elected police commissioners and Free Schools stem from this initial premise. The first elections for police and crime commissioners will take place this November. We believe that a police chief who is directly accountable to the people he or she serves will improve not only the standard of policing at a local level but also re-establish trust in the police, something that has diminished recently with the recent phone hacking scandal.

We first put forward policy recommendations for the setting up of Free Schools because we believe that every parent should have access to a good, local school which offers their child the best possible education. Teaching is one of the most important jobs in the country. We want schools, especially in the most deprived areas of the UK, to have the means to attract the best possible teachers. That means challenging dated concepts such as national pay bargaining, which defines how much a teacher should earn based on time spent in the job, rather than ability. Head teachers know how good a teacher is and should be allowed to pay that person accordingly. Likewise if someone is not cut out to be a teacher, then he or she should not simply be moved from one school to the next as is currently the case. We need to reform the education system to attract the brightest and the best to help our children achieve their potential.

The pupil premium - an additional cash payment for the most disadvantaged children - is one idea that some people forget was first floated by Policy Exchange. The Liberal Democrats took the idea forward in their 2010 election manifesto and the policy came into being this year.

Our work on re-establishing the contributory principle in the welfare system has been taken forward by both Labour and Conservative politicians. The universal credit, set to be introduced in 2014, is a stepping stone to making it more worthwhile to work rather than remain on benefits. However, there is a huge amount more to be done to create a fairer welfare system. Recently we have proposed tougher sanctions and conditions on jobseekers who are not doing all they can to find work. At the same time, the government has a responsibility to help jobcentre advisers identify those people who are the least likely to be able to hold down a job due to alcohol or drug problems or a history of mental health problems. These people need the most help and we need to create a system where on day one of someone signing on, a Jobcentre adviser has the information to tailor specific help towards people with particular needs.

While a number of our policy recommendations have found their way into Coalition thinking we are not resting on our laurels. There is a huge challenge facing all political parties - how do you improve public services with no money. We will be publishing a number of reports over the coming months which specifically look to provide answers to this question.

How can you improve the effectiveness of the police when they are faced with 20 per cent budget cuts over the next three years? We think the police could deploy existing, fully trained officers more effectively rather than simply hire more staff - deployment is more important than employment. Private companies and civilian staff can play a role in delivering back office functions, such as manning call centres, freeing up time for officers to carry out more visible policing roles which is what the public is crying out for.

Energy bills are the biggest concern to most people around the country if you look at any of the opinion polls. We think the government could help energy companies reduce electricity bills by revising current climate change policy. We believe that global warming is happening and we believe that the UK has a responsibility to reduce its carbon emissions. But, current energy policy throws billions of pounds of taxpayer's money on the deployment of specific, expensive technologies such as offshore wind. Government should spend more of its budget on financing innovation directly, rather than subsidising the mass roll out of expensive technologies.

Opening up public data is something that this government is committed to doing and we fully support this aim. Only this week we published a report calling on a right to open data. All non personal information held by government departments (maps and postcodes for example) should be made available for free. We think that entrepreneurs and civic activists could use this information to create new "Apple-like" services and products. Free, open data could create billions for the economy.

As you can probably tell, there is plenty of work to do. We need to make sure that the modern day Policy Exchange rises to the challenge.

Neil O'Brien is the Director of Policy Exchange

Neil O'Brien is the director of Policy Exchange.

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Hilary Benn has been sacked. What happens now?

Jeremy Corbyn has sacked Hilary Benn, effectively challenging his critics to put up or shut up.

Hilary Benn been sacked from the shadow cabinet, following an article in the Observer reporting that the former shadow foreign secretary had told Labour MPs he would challenge Jeremy Corbyn should Corbyn lose the vote of confidence in his leadership that the PLP are due to discuss on Monday.

Anti-Corbyn plotters are convinced that they have the numbers to pass the no confidence motion in Corbyn’s leadership. Passing that motion, however, would not formally trigger either Corbyn’s resignation or a leadership challenge.

The word from Corbyn’s inner circle is that he would remain in post even if he were to lose the confidence vote, and dare his opponents to collect the 50 names they would need to trigger a leadership challenge.

Should that come about, Corbyn’s allies are certain that they would triumph over whoever ran against him. As one senior source said “they lost really badly in September and that’s not gonna change”.

Labour’s rebels are convinced that they have the numbers necessary to trigger a formal challenge to Corbyn’s leadership.

What happens next is fraught as the relevant clause in Labour’s rulebook is unhelpfully vague: 

“ii. Where there is no vacancy, nominations may be sought by potential challengers each year prior to the annual session of party conference. In this case any nomination must be supported by 20 per cent of the PLP. Nominations not attaining this threshold shall be null and void.”

The question that no-one is certain of the answer to: whether the challenged leader would have to seek nominations as well or if they would be on the ballot as by right. My understanding is that the legal advice that Corbyn’s critics have is that Corbyn would not automatically have a place on the ballot. But Jolyon Maugham, a lawyer who writes regularly for the New Statesman, looked over the clause for us and believes that he would.

More important than the legal basis, though, is what the party’s ruling National Executive Committee, which would rule on whether Corbyn had to seek nominations to stand, believes.

Although Corbyn has received the backing of 12 of Labour’s affiliated general secretaries, a well-placed source tells me that they are confident the NEC would rule that Corbyn will need to seek nominations if he is to stand again.

But control over the NEC is finely balanced, and could shift decisively towards Corbyn following this year’s elections to the NEC; one reason why Corbyn’s opponents are keen to strike now.

In that situation, Corbyn’s allies believe they can secure the 50 nominations he would need – the threshold has been raised due to a rule change giving Labour members of the European Parliament the same nominating powers as their cousins in Westminster – thanks to a combination of ideological support for Corbyn and pressure from the party’s grassroots. Senior sources believe that once Corbyn reached shouting distance of 50 nominations, the bulk of the shadow cabinet would quickly fall in line. Another estimates that the “vast majority” of the PLP accept Corbyn requires more time and that the plotting is the result of “a rump” of MPs.

But Corbyn’s critics believe that the European result, which saw Labour voters reject the party line in large numbers, has left Labour MPs with large majorities in the party’s ex-industrial seats more spooked by their voters than by their activists, putting them in the same group as those MPs with small majorities. (The two groups who currently pose the biggest danger to Corbyn are MPs who are old enough to be eligible to collect their pension at or before the next election, and MPs with majorities of under 2,000.) 

Who's right? Much depends on the disposition of Labour's 20 MEPs. Prior to Britain's Brexit vote, they were believed to be the most sensitive to the concerns of the party's activists, as Labour members vote on the order of the party's list, making anti-Corbynites vulnerable. Now all 20 MEPs are out of a job at, or before, the next European election regardless, the question is whether they decide to keep Corbyn off the ballot, or try to curry favour with Corbyn's supporters in the membership prior to making a bid for seats at Westminster. 

Stephen Bush is special correspondent at the New Statesman. He usually writes about politics.