The austerity backlash: public support for the welfare state rises

The 2013 British Social Attitudes report shows a significant rise in support for higher benefits even if it means higher taxes.

One truism among George Osborne and his team is that "you can never be too tough on welfare". But after three years of benefit cuts, the new (and always fascinating) British Social Attitudes report shows that support for the welfare state and sympathy for the unemployed is rising. 

The number of people agreeing that benefits for the jobless are "too high and discourage work" fell from a high of 62% in 2011 to 51% in 2012. There has also been a five point increase in the number (47%) who believe that cutting benefits "would damage too many people’s lives". In addition, 34% support spending more on social security even if it means higher taxes, up from 28% in 2011. The proportion who believe that the unemployed could find work if they really wanted to, has fallen from 68% in 2008 to 54%. It does appear, as the survey's organisers suggest, that austerity is "beginning to soften the public mood" although it's also possible that the coalition's welfare reforms (such as the benefit cap) have increased confidence in the system. 

Less happily, support for the welfare state remains at a near-record low. In 1987, 55% of the population favoured spending more on benefits, a figure that now stands at 34%. But given the misinformation spread by the media about the system, this is hardly surprising. More than eight out of 10 (81%) believe that large numbers of people falsely claim benefits (fraud actually represents just 0.7% of the budget) compared with 67% in 1987.

But if there is any consolation for social democrats, it's that the numbers are at least moving in the right direction. I'd expect this trend to continue as Osborne's cuts to in-work benefits and tax credits (which are being uprated by just 1%, a real-terms cut) hit families already suffering from the longest squeeze on living standards since the 1870s. The coalition, which rejoices in reinforcing tabloid myths of "scroungers", may yet find that it has underestimated the decency of the public. 

Work and Pensions Secretary Iain Duncan Smith arrives to attend the government's weekly cabinet meeting at Number 10 Downing Street. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Getty
Show Hide image

John Major's double warning for Theresa May

The former Tory Prime Minister broke his silence with a very loud rebuke. 

A month after the Prime Minister stood in Chatham House to set out plans for free trading, independent Britain, her predecessor John Major took the floor to puncture what he called "cheap rhetoric".

Standing to attention like a weather forecaster, the former Tory Prime Minister warned of political gales ahead that could break up the union, rattle Brexit negotiations and rot the bonds of trust between politicians and the public even further.

Major said that as he had been on the losing side of the referendum, he had kept silent since June:

“This evening I don't wish to argue that the European Union is perfect, plainly it isn't. Nor do I deny the economy has been more tranquil than expected since the decision to leave was taken. 

“But I do observe that we haven't yet left the European Union. And I watch with growing concern  that the British people have been led to expect a future that seems to be unreal and over-optimistic.”

A seasoned EU negotiator himself, he warned that achieving a trade deal within two years after triggering Article 50 was highly unlikely. Meanwhile, in foreign policy, a UK that abandoned the EU would have to become more dependent on an unpalatable Trumpian United States.

Like Tony Blair, another previous Prime Minister turned Brexit commentator, Major reminded the current occupant of No.10 that 48 per cent of the country voted Remain, and that opinion might “evolve” as the reality of Brexit became clear.

Unlike Blair, he did not call for a second referendum, stressing instead the role of Parliament. But neither did he rule it out.

That was the first warning. 

But it may be Major's second warning that turns out to be the most prescient. Major praised Theresa May's social policy, which he likened to his dream of a “classless society”. He focused his ire instead on those Brexiteers whose promises “are inflated beyond any reasonable expectation of delivery”. 

The Prime Minister understood this, he claimed, but at some point in the Brexit negotiations she will have to confront those who wish for total disengagement from Europe.

“Although today they be allies of the Prime Minister, the risk is tomorrow they may not,” he warned.

For these Brexiteers, the outcome of the Article 50 negotiations did not matter, he suggested, because they were already ideologically committed to an uncompromising version of free trade:

“Some of the most committed Brexit supporters wish to have a clean break and trade only under World Trade Organisation rules. This would include tariffs on goods with nothing to help services. This would not be a panacea for the UK  - it would be the worst possible outcome. 

“But to those who wish to see us go back to a deregulated low cost enterprise economy, it is an attractive option, and wholly consistent with their philosophy.”

There was, he argued, a choice to be made about the foundations of the economic model: “We cannot move to a radical enterprise economy without moving away from a welfare state. 

“Such a direction of policy, once understood by the public, would never command support.”

Major's view of Brexit seems to be a slow-motion car crash, but one where zealous free marketeers like Daniel Hannan are screaming “faster, faster”, on speaker phone. At the end of the day, it is the mainstream Tory party that will bear the brunt of the collision. 

Asked at the end of his speech whether he, like Margaret Thatcher during his premiership, was being a backseat driver, he cracked a smile. 

“I would have been very happy for Margaret to make one speech every eight months,” he said. As for today? No doubt Theresa May will be pleased to hear he is planning another speech on Scotland soon. 

Julia Rampen is the editor of The Staggers, The New Statesman's online rolling politics blog. She was previously deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines.