If Clegg wants to keep tuition fees he needs to rename them

The Lib Dems (and students) would immediately feel better if tuition fees were renamed as a 'capped graduate tax'.

Unlike the Independent, I’ve not been privy to the 'Learning and Life' paper that is apparently being presented to Lib Dem conference in September, which suggests we should go into the next election without making any, um, pledges, on how tertiary education should be funded. Just a bit of a vague promise to take a look at it when we’re in government  - by all accounts:

 …we have thoroughly examined the current system and the alternatives – a graduate tax and lowering fees – and concluded that we should stick with the current system and review it once it has been given a proper chance to bed in

Now, I know us foot soldiers are all meant to be on our best behaviour and act like grown ups right now , so I will be considered and patient and wait until I read the paper before throwing all my toys out of the pram and shouting 'this is madness isn’t it?'; but can I make one small suggestion to the good folk in the working group? We could just rename 'tuition fees' as a 'capped graduate tax' and everyone would immediately feel a whole lot better.

I’ve suggested this before and I willingly admit that there’s more than a tad of the snake oil salesman about it. But there’s no doubt that while the phrase 'tuition fees' is like a red rag to a student bull, a capped graduate tax is not.

Renaming an unpopular fee as a more acceptable 'tax' is effectively just behavioural economics, beloved by the No 10 Nudge Unit and, indeed, popular with the PM himself. It would have been a neat solution to avoiding a lot a lot of unpleasantness for the Lib Dems right from the start.

I’ve never been able to understand why we didn’t go down this road. When I originally asked the question, I was told it was because ministers had been advised by civil servants that they couldn’t do it. So I put in a freedom of information request to see this advice; this revealed that not only were ministers not advised that they couldn’t just call tuition fees a 'graduate tax' - in fact they were given the opposite advice:

in some respects, the loan repayment is equivalent to a capped graduate tax (and presentationally there is an advantage in describing it as such).

So why don’t we do it?

Now, is this what I want to happen? No. I’d like a full on debate on tertiary education funding at conference and actual implementation of our current policy. But apparently the leadership isn’t so keen on that. Not good for the cameras. And not very grown up.

So this seems a fairly good compromise, delivering what the Lib Dem working party want (the status quo), the grassroots would buy (no more tuition fees), and be better for tertiary education to boot (because more people would buy into it).

Any takers?

Nick Clegg speaks at last year's Liberal Democrat conference in Brighton. Photograph: Getty Images.

Richard Morris blogs at A View From Ham Common, which was named Best New Blog at the 2011 Lib Dem Conference

Photo: Getty
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How a small tax rise exposed the SNP's anti-austerity talk for just that

The SNP refuse to use their extra powers to lessen austerity, says Kezia Dugdale.

"We will demand an alternative to slash and burn austerity."

With those few words, Nicola Sturgeon sought to reassure the people of England, Wales and Northern Ireland last year that the SNP were a party opposed to public spending cuts. We all remember the general election TV debates, where the First Minister built her celebrity as the leader of the anti-austerity cause.

Last week, though, she was found out. When faced with the choice between using the powers of the Scottish Parliament to invest in the future or imposing cuts to our schools, Nicola Sturgeon chose cuts. Incredible as it sounds the SNP stood shoulder to shoulder with the Tories to vote for hundreds of millions of pounds worth of cuts to schools and other vital public services, rather than asking people to pay a little bit more to invest. That's not the choice of an anti-austerity pin-up. It's a sell-out.

People living outside of Scotland may not be fully aware of the significant shift that has taken place in politics north of the border in the last week. The days of grievance and blaming someone else for decisions made in Scotland appear to be coming to an end.

The SNP's budget is currently making its way through the Scottish Parliament. It will impose hundreds of millions of pounds of cuts to local public services - including our schools. We don't know what cuts the SNP are planning for future years because they are only presenting a one year budget to get them through the election, but we know from the experts that the biggest cuts are likely to come in 2017/18 and 2018/19. For unprotected budgets like education that could mean cuts of 16 per cent.

It doesn't have to be this way, though. The Scottish Parliament has the power to stop these cuts, if only we have the political will to act. Last week I did just that.

I set out a plan, using the new powers we have today, to set a Scottish rate of income tax 1p higher than that set by George Osborne. This would raise an extra half a billion pounds, giving us the chance to stop the cuts to education and other services. Labour would protect education funding in real terms over the next five years in Scotland. Faced with the choice of asking people to pay a little bit more to invest or carrying on with the SNP's cuts, the choice was pretty simple for me - I won't support cuts to our nation’s future prosperity.

Being told by commentators across the political spectrum that my plan is bold should normally set alarm bells ringing. Bold is usually code for saying something unpopular. In reality, it's pretty simple - how can I say I am against cuts but refuse to use the powers we have to stop them?

Experts - including Professors David Bell and David Eiser of the University of Stirling; the Resolution Foundation; and IPPR Scotland - have said our plan is fair because the wealthiest few would pay the most. Trade unions have backed our proposal, because they recognise the damage hundreds of millions of pounds of cuts will do to our schools and the jobs it will cost.

Council leaders have said our plan to pay £100 cashback to low income taxpayers - including pensioners - to ensure they benefit from this plan is workable.

The silliest of all the SNP's objections is that they won't back our plan because the poorest shouldn't have to pay the price of Tory austerity. The idea that imposing hundreds of millions of pounds of spending cuts on our schools and public services won't make the poorest pay is risible. It's not just the poorest who will lose out from cuts to education. Every single family and business in Scotland would benefit from having a world class education system that gives our young the skills they need to make their way in the world.

The next time we hear Nicola Sturgeon talk up her anti-austerity credentials, people should remember how she did nothing when she had the chance to end austerity. Until now it may have been acceptable to say you are opposed to spending cuts but doing nothing to stop them. Those days are rapidly coming to a close. It makes for the most important, and most interesting, election we’ve had in Scotland.

Kezia Dugdale is leader of Scottish Labour.