The revolution according to Mary Berry

Democratic control over quantitative easing would be a welcome first step to my kind of revolution, writes Stewart Cowley.

Hitler lived out his final days in the foothills of the Patagonian Andes pottering around his plantation in a gardening smock with Eva Braun. The Japanese are a quirky set of sexless robots too busy upgrading their manga subscriptions to care about producing the next generation. A new study of the Zapruder Film shows that, if you look carefully, it is actually the driver of the Dallas limousine who turns around and shoots JFK. And, finally, an actor/comedian/pop star says it would be nice if everybody had a nice life all of the time. You would have thought the world had a pleasing regular rhythm to it the way these stories rise and fall like dead fish from the bottom of the ocean.

These days, economics can only dream of this kind of regularity and rhythm. The rules of supply demand have all but disappeared from our lives. For instance, there was a day when, if the economy wasn’t so great and unemployment was high, prices would fall as both buyers and sellers of goods and services reacted rationally and adjusted their behavior accordingly. I distinctly remember haggling with a salesperson in Dixons during the recession of the early 1990s for a ten percent discount on the sticker value of sound system. And I got it.

But now none of this works. People in the UK are working harder than ever before but their real wages are increasing at a crawling pace of about one percent a year.  The gap that is opening up is like nothing we have seen before and symptomatic of something very strange; economics has stopped working.

To fill the gap we have policies like Quantitative Easing, which pump-primes the economy with made up money, and schemes like Help To Buy, which attempts to reignite the problem that got us into this state in the first place. And it’s not like these policies are unique to the UK. The US, Europe, China and – above all – Japan are all doing the same. The result is a twisted and distorted system where the old rules of free market economics have simply broken down. If you were a physicist you would be wondering whether the speed of light really was constant.

Even attempts to revert to confrontational tribalism have stopped working. Russell Brand’s editorship of the New Statesman set me on edge waiting for Mary Berry to hold a press conference from the Claridges tearoom to call for the immediate redistribution of profits from the Great British Bake Off. But the social media response to Brand’s 4,500 word thesis was as incoherent as the original. There was much talk of the coming revolution but nobody on the left (defined only as those people who don’t see themselves ‘on the right’) could agree what it looked like. They had been led to the top of the mountain but there wasn’t anything there when they arrived – a basic error of leadership. The episode had the whiff of the scene in Citizen Smith when Robert Lindsay’s Wolfie was asked when the Tooting Popular Front’s revolution was starting – “About six, maybe half past depending on when everybody can get there.”

Meanwhile, in the real world, away from the undefined Utopia proclaimed from West End hotel rooms by multi-millionaire anarcho-syndicalists, the Unite Union had to climb down from the rejection of the INEOS rescue deal to save Grangemouth petrochemical plant faster than any shop steward has ever shouted “Everyone out!!!”.  In the face of private capital, labour does not have an argument, least of all from union leaders who think the rhetoric of the 1970’s applies to the financial realities of today. The traditional negotiating voice of workers has dwindled to a whisper.

We now have a twisted system of inadequate political and social responses to the financial crisis which says that we have learned nothing whatsoever from it – all we have done is to seek to dampen its effects so that we can avoid confronting it. At the same time, increasing calls for the post-crisis props to be extended and institutionalised is creating a democratic deficit – people now do not have a say in the things that really control their lives; there is no democratic control over QE for instance. By taking away the forces that would have, in previous times, allowed the recalibration of society we are brewing up a longer-term problem that leads you to an uncomfortable conclusion. If there was ever a time when free market forces should be allowed to let rip in a society it is now.

Mary Berry - revolutionary? Not likely. Photograph: Getty Images.

Head of Fixed Income and Macro, Old Mutual Global Investors

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Inside the progressive alliance that beat Zac Goldsmith in Richmond

Frantic phone calls, hundreds of volunteers, and Labour MPs constrained by their party. 

Politics for a progressive has been gloomy for a long time. On Thursday, in Richmond Park of all places, there was a ray of light. Progressive parties (at least some of them) and ordinary voters combined to beat Ukip, the Tories and their "hard Brexit, soft racist" candidate.

It didn’t happen by accident. Let's be clear, the Liberal Democrats do by-elections really well. Their activists flood in, and good luck to them. But Richmond Park was too big a mountain for even their focused efforts. No, the narrow win was also down to the fast growing idea of a progressive alliance. 

The progressive alliance is both a defensive and offensive move. It recognises the tactical weakness of progressives under first past the post – a system the Tories and their press know how to game. With progressive forces spilt between Labour, Liberal Democrats, Greens, the SNP, Plaid Cymru, the Women’s Equality Party and more – there is no choice but to co-operate, bring in proportional representation and then a whole new political world begins.

This move opens up the wider strategy – to end the domination of the City, and right-wing newspapers like the Mail, so Britain can have a real debate and make real choices about what sort of economy and society it wants. A pipedream? Well, maybe. But last night the fuse was lit in Richmond Park. The progressive alliance can work.

Months before the by-election, the pressure group for a progressive alliance that I chair, Compass, the Greens, and some Labour, Liberal Democrat and SNP MPs and activists, began considering this. The alternative after Brexit was staring into the void.

Then the Tory MP Zac Goldsmith stepped down over Heathrow. To be fair, he had pledged to do this, and we should have been better prepared. In the event, urgent behind-the-scenes calls were made between the Greens and the Liberal Democrats. Compass acted as the safe house. The Greens, wonderfully, clung onto democracy – the local party had to decide. And they decided to stand up for a new politics. Andree Frieze would have been the Green candidate, and enjoyed her moment in the autumn sun. She and her party turned it down for a greater good. So did the Women’s Equality Party.

Meanwhile, what about Labour? Last time, they came a distant third. Again the phones were hit and meetings held. There was growing support not to stand. But what would they get back from the Liberal Democrats, and what did the rules say about not standing? It was getting close to the wire. I spent an hour after midnight, in the freezing cold of Aberdeen, on the phone to a sympathetic Labour MP trying to work out what the party rule book said before the selection meeting.

At the meeting, I am told, a move was made from the floor not to select. The London regional official ruled it out of order and said a candidate would be imposed if they didn’t select. Some members walked out at this point. Where was the new kinder, gentler politics? Where was membership democracy? Fast forward to last night, and the Labour candidate got less votes than the party has members.

The idea of a progressive alliance in Richmond was then cemented in a draughty church hall on the first Tuesday of the campaign – the Unitarian Church of course. Within 48 hours notice, 200 local activist of all parties and none had come together to hear the case for a progressive alliance. Both the Greens and Compass produced literature to make the case for voting for the best-placed progressive candidate. The Liberal Democrats wove their by-election magic. And together we won.

It’s a small victory – but it shows what is possible. Labour is going to have to think very hard whether it wants to stay outside of this, when so many MPs and members see it as common sense. The lurch to the right has to be stopped – a progressive alliance, in which Labour is the biggest tent in the campsite, is the only hope.

In the New Year, the Progressive Alliance will be officially launched with a steering committee, website and activists tool-kit. There will also be a trained by-election hit squad, manifestos of ideas and alliances build locally and across civil society.

There are lots of problems that lie ahead - Labour tribalism, the 52 per cent versus the 48 per cent, Scottish independence and the rest. But there were lots of problems in Richmond Park, and we overcame them. And you know, working together felt good – it felt like the future. The Tories, Ukip and Arron Banks want a different future – a regressive alliance. We have to do better than them. On Thursday, we showed we could.

Could the progressive alliance be the start of the new politics we have all hoped for?

Neal Lawson is the Chair of Compass, the pressure group for the progressive alliance.

Neal Lawson is chair of the pressure group Compass, which brings together progressives from all parties and none. His views on internal Labour matters are personal ones.