Blue Labour, Maurice Glasman and the fight for the "People's Port"

Glasman's Blue Labour movement has found a cause in the fight to stop the Port of Dover being privatised.

There are no bluebirds. Pull into Dover, and it’s the geography and the poverty that hits you. The white cliffs sit like quarried giants against a dirty paper sky. They guard a sea that stretches moodily over the southern edge of England. For generations Dover has been an industrial power base; now a few pale kids work on the minimum wage at Costa Coffee. Others loiter around, out of work and out of hope. A southern town with northern levels of poverty.

Right now Dover is also the site of a battle. The local community is fighting to stop the privatisation of the town’s historic port. Lord Maurice Glasman, godfather of the Blue Labour movement, has been talking wide-eyed about this campaign to anyone who will listen.

“The port could be endowed in perpetuity to the people of Dover on behalf of the nation,” Glasman tells me. “It’s a story about Labour helping workers and exports. About Labour winning in the south. About nationhood and building the common good. It’s everything Blue Labour stands for.”

At one time, getting a job with the Dover Harbour Board, which has run the port since 1606, was a great prize. They paid decent wages and guaranteed job stability. The pretty regency town flourished through trade, providing a beacon in the darkest economic times. The Board saw itself as part of the town, providing Christmas decorations and bringing firewood to workers’ families in winter. But over the last ten years, all that’s changed.

Taking a seat in the freezing station coffee shop, two locals have come to meet me. John Heron used to work as a security guard at the port before he was “outsourced”. The other has friends who still work for the Harbour Board, but doesn’t want to give his name. Employees have already been chastised for talking to the press.

“It’s been a very stressful time,” he says. “Our backs are up against the wall. They [the Harbour Board] make it sound like this is the only way – that it’s all hopeless – but we know it’s not.”

Over the last eleven years these workers have watched the number of people employed drop from over 800 to 310. They say safety standards have slipped and quality has suffered as agency workers have replaced those with experience. Heron says this was part of a deliberate strategy by the Harbour Board’s chair, Bob Goldfield, who he believes was brought in to run the port down. After all, a port with fewer fixed contracts is more attractive to foreign buyers.

“He [Goldfield] outsourced everyone apart from his cronies. Workers were repopulated from people outside Dover who didn’t care about the community… G4S and others were re-employing others on zero hour contracts. The economic instability is hollowing out the community.”

As he speaks he points to the young guy serving coffee in the cold.

“Ten years ago he would have worked for the Harbour Board on a living wage,” he says, “It’s not just us we’re fighting for.”

As for Goldfield, he dismisses these allegations as  “paranoid”. He says it became clear that privatisation was the best option only after his appointment, because the port was haemorrhaging money and unable to borrow. Under his watch, he says, the port has finally begun to turn around:

“We were over-manned and over staffed. It’s absolute nonsense to say that standards have slipped . . . I’m not in the business to asset strip, I’m here to grow. That’s why I want privatisation.”

But campaigners fear that foreign owners will have no incentive to care about the town. If privatisation goes ahead, the sole purpose of the port will be to maximise profit for shareholders. They say this won’t just damage local workers, it will also hurt the ferry companies and cargo operators who use the port, who will almost certainly be given higher tariffs without negotiation.

Campaigners are now pushing for their own radical solution. The Dover People’s Port campaign wants to transfer the whole port into community ownership as part of a community land trust. A board of local members – including the local MP, councillors and workers – has already sold over a thousand shares in this venture at £10 each. They’ve approached capital markets, who say they will lend them £200m for the project subject to due diligence. Locals backed community ownership in a referendum last year by 98 per cent.

For Glasman, whose Blue Labour agenda is critical of blanket economic liberalism and believes in more democratic forms of ownership, this campaign is perfect. Over the last year, he has regularly been getting on the train to meet the key players, strategise and give talks about the history of Dover. Patrick MacFarlane, one of Blue Labour’s earliest adherents, gave up his summer to work on the campaign. Although Glasman is not by any means the chief leader of the People’s Port, locals describe him as a “tent pole figure” who has given them hope against great authority.

“He’s helping us create a whole new vocabulary between commerce and community,” says Heron, “He brings people in and shows them another way.”

Sadly not everyone feels this way. Clair Hawkins, Labour’s prospective parliamentary candidate for Dover, says that Glasman’s involvement has “not been without its challenges” for the local party. She says she is “totally against” privatisation but has some concerns that a People’s Port could leave the community with too much debt.

The fact that the sitting Conservative MP, Charlie Elphicke, has helped lead plans for the People’s Port complicates matters even further. In true Blue Labour style, Glasman can get people’s backs up by finding more in common with One Nation Tories than members of his own party. For this, he remains unapologetic:

“Labour has to restore trust with ordinary people in the south, and that means showing that we can genuinely represent a future that can work . . . there is an alternative between nationalisation and privatisation that is Labour, and it’s called the People’s Port.”

Right now the fight is continuing. The Dover Harbour Board has rejected the community’s plans, but campaigners are keeping up pressure on the government who are about to make the final decision. It’s clear this isn’t just a decision for Dover and its people. It’s a fight for what kind of capitalism we want to embrace – whether we are going to let globalisation go unchallenged or find ways to create more democratic forms of ownership. It’s also a battle for the heart of the Labour party, which needs to pick a side. Let’s see what the tide brings in.

The Port of Dover. Photograph: Getty Images

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

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BHS is Theresa May’s big chance to reform capitalism – she’d better take it

Almost everyone is disgusted by the tale of BHS. 

Back in 2013, Theresa May gave a speech that might yet prove significant. In it, she declared: “Believing in free markets doesn’t mean we believe that anything goes.”

Capitalism wasn’t perfect, she continued: 

“Where it’s manifestly failing, where it’s losing public support, where it’s not helping to provide opportunity for all, we have to reform it.”

Three years on and just days into her premiership, May has the chance to be a reformist, thanks to one hell of an example of failing capitalism – BHS. 

The report from the Work and Pensions select committee was damning. Philip Green, the business tycoon, bought BHS and took more out than he put in. In a difficult environment, and without new investment, it began to bleed money. Green’s prize became a liability, and by 2014 he was desperate to get rid of it. He found a willing buyer, Paul Sutton, but the buyer had previously been convicted of fraud. So he sold it to Sutton’s former driver instead, for a quid. Yes, you read that right. He sold it to a crook’s driver for a quid.

This might all sound like a ludicrous but entertaining deal, if it wasn’t for the thousands of hapless BHS workers involved. One year later, the business collapsed, along with their job prospects. Not only that, but Green’s lack of attention to the pension fund meant their dreams of a comfortable retirement were now in jeopardy. 

The report called BHS “the unacceptable face of capitalism”. It concluded: 

"The truth is that a large proportion of those who have got rich or richer off the back of BHS are to blame. Sir Philip Green, Dominic Chappell and their respective directors, advisers and hangers-on are all culpable. 

“The tragedy is that those who have lost out are the ordinary employees and pensioners.”

May appears to agree. Her spokeswoman told journalists the PM would “look carefully” at policies to tackle “corporate irresponsibility”. 

She should take the opportunity.

Attempts to reshape capitalism are almost always blunted in practice. Corporations can make threats of their own. Think of Google’s sweetheart tax deals, banks’ excessive pay. Each time politicians tried to clamp down, there were threats of moving overseas. If the economy weakens in response to Brexit, the power to call the shots should tip more towards these companies. 

But this time, there will be few defenders of the BHS approach.

Firstly, the report's revelations about corporate governance damage many well-known brands, which are tarnished by association. Financial services firms will be just as keen as the public to avoid another BHS. Simon Walker, director general of the Institute of Directors, said that the circumstances of the collapse of BHS were “a blight on the reputation of British business”.

Secondly, the pensions issue will not go away. Neglected by Green until it was too late, the £571m hole in the BHS pension finances is extreme. But Tom McPhail from pensions firm Hargreaves Lansdown has warned there are thousands of other defined benefit schemes struggling with deficits. In the light of BHS, May has an opportunity to take an otherwise dusty issue – protections for workplace pensions - and place it top of the agenda. 

Thirdly, the BHS scandal is wreathed in the kind of opaque company structures loathed by voters on the left and right alike. The report found the Green family used private, offshore companies to direct the flow of money away from BHS, which made it in turn hard to investigate. The report stated: “These arrangements were designed to reduce tax bills. They have also had the effect of reducing levels of corporate transparency.”

BHS may have failed as a company, but its demise has succeeded in uniting the left and right. Trade unionists want more protection for workers; City boys are worried about their reputation; patriots mourn the death of a proud British company. May has a mandate to clean up capitalism - she should seize it.