The Lib Dems' shift left could be more dangerous for the Tories than Labour

With the Tories his party's main electoral foe, Clegg is seeking to woo the One Nation voters alienated by the Conservatives' UKIP tendency.

Chris Huhne has ventured in Juncture magazine that any Labour/Lib Dem coalition after the next election is likely to be based upon common agreement in the policy areas of tax, the environment and housing. Which would be grand if he’s right, as Lib Dem members seem to think that these three areas (plus jobs) should form the four key pillars of the 2015 manifesto.

And indeed the received wisdom is that Nick has moved left (much to the chagrin of certain high profile MPs) - remember the long list of things we’ve stopped the Tories doing in government announced at conference, the free school meals announcement, the agreement to look again at secret courts post 2015, the apparent acceptance that the bedroom tax might not be the best idea since sliced bread...

The differentiation strategy is in full swing and it looks like Nick has heeded the advice of Tim Farron when he said of left-leaning Lib Dem voters from 2010: "The people who are most likely to vote for you next time are the people who voted for you last time...You don’t write people off, they’re there to be persuaded to come back, or rather stay with us". 

So, it’s all guns blazing on the swing to the left. Or is it? I wonder if there isn’t another thought in the minds of Great George Street folk.

We’ve already tacitly accepted that 2015 is going to be tough for the Lib Dems and we’re in defensive mode. The second place party in the majority of our seats is the Tories, not Labour (38 vs. 19). Of our top 50 target seats, the majority are Tory. Of the 13 seats we lost in 2010 – in theory, the easiest for us to win back – no less than 10 fell to Tories.

Which is why I suspect what’s going on is less a lurch to the left but a small veer, designed to appeal to One Nation Tories alienated by the UKIP tendency in the Conservatives that seems to be in the ascendency. The sort of person who cares about the environment, who bought into "vote blue, go green" and now feels a little let down. The sort of voter who benefits most from the rise in the income tax threshold. The sort of voter who cares quite a lot about house prices and home ownership. The sort of voter Nick Boles had in mind when he suggested it might be time for a revival of the National Liberal Party – before it was pointed out that there already is one…

The environment. Tax. Housing. It’s what we’ll be fighting the next election on. But I wonder if it’s an agenda that should give David Cameron more sleepless nights that Ed Miliband?

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

Nick Clegg speaks at the Lib Dem conference in Glasgow earlier this year. Photograph: Getty Images.

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

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Brexit will hike energy prices - progressive campaigners should seize the opportunity

Winter is Coming. 

Friday 24th June 2016 was a beautiful day. Blue sky and highs of 22 degrees greeted Londoners as they awoke to the news that Britain had voted to leave the EU.  

Yet the sunny weather was at odds with the mood of the capital, which was largely in favour of Remain. And even more so with the prospect of an expensive, uncertain and potentially dirty energy future. 

For not only are prominent members of the Leave leadership well known climate sceptics - with Boris Johnson playing down human impact upon the weather, Nigel Farage admitting he doesn’t “have a clue” about global warming, and Owen Paterson advocating scrapping the Climate Change Act altogether - but Brexit looks set to harm more than just our plans to reduce emissions.

Far from delivering the Leave campaign’s promise of a cheaper and more secure energy supply, it is likely that the referendum’s outcome will cause bills to rise and investment in new infrastructure to delay -  regardless of whether or not we opt to stay within Europe’s internal energy market.

Here’s why: 

1. Rising cost of imports

With the UK importing around 50% of our gas supply, any fall in the value of sterling are likely to push up the wholesale price of fuel and drive up charges - offsetting Boris Johnson’s promise to remove VAT on energy bills.

2. Less funding for energy development

Pulling out of the EU will also require us to give up valuable funding. According to a Chatham House report, not only was the UK set to receive €1.9bn for climate change adaptation and risk prevention, but €1.6bn had also been earmarked to support the transition to a low carbon economy.

3.  Investment uncertainty & capital flight

EU countries currently account for over half of all foreign direct investment in UK energy infrastructure. And while the chairman of EDF energy, the French state giant that is building the planned nuclear plant at Hinkley Point, has said Brexit would have “no impact” on the project’s future, Angus Brendan MacNeil, chair of the energy and climate select committee, believes last week’s vote undermines all such certainty; “anything could happen”, he says.

4. Compromised security

According to a report by the Institute for European Environmental Policy (the IEEP), an independent UK stands less chance of securing favourable bilateral deals with non-EU countries. A situation that carries particular weight with regard to Russia, from whom the UK receives 16% of its energy imports.

5. A divided energy supply

Brexiteers have argued that leaving the EU will strengthen our indigenous energy sources. And is a belief supported by some industry officials: “leaving the EU could ultimately signal a more prosperous future for the UK North Sea”, said Peter Searle of Airswift, the global energy workforce provider, last Friday.

However, not only is North Sea oil and gas already a mature energy arena, but the renewed prospect of Scottish independence could yet throw the above optimism into free fall, with Scotland expected to secure the lion’s share of UK offshore reserves. On top of this, the prospect for protecting the UK’s nascent renewable industry is also looking rocky. “Dreadful” was the word Natalie Bennett used to describe the Conservative’s current record on green policy, while a special government audit committee agreed that UK environment policy was likely to be better off within the EU than without.

The Brexiteer’s promise to deliver, in Andrea Leadsom’s words, the “freedom to keep bills down”, thus looks likely to inflict financial pain on those least able to pay. And consumers could start to feel the effects by the Autumn, when the cold weather closes in and the Conservatives, perhaps appropriately, plan to begin Brexit negotiations in earnest.

Those pressing for full withdrawal from EU ties and trade, may write off price hikes as short term pain for long term gain. While those wishing to protect our place within EU markets may seize on them, as they did during referendum campaign, as an argument to maintain the status quo. Conservative secretary of state for energy and climate change, Amber Rudd, has already warned that leaving the internal energy market could cause energy costs “to rocket by at least half a billion pounds a year”.

But progressive forces might be able to use arguments on energy to do even more than this - to set out the case for an approach to energy policy in which economics is not automatically set against ideals.

Technological innovation could help. HSBC has predicted that plans for additional interconnectors to the continent and Ireland could lower the wholesale market price for baseload electricity by as much as 7% - a physical example of just how linked our international interests are. 

Closer to home, projects that prioritise reducing emission through tackling energy poverty -  from energy efficiency schemes to campaigns for publicly owned energy companies - may provide a means of helping heal the some of the deeper divides that the referendum campaign has exposed.

If the failure of Remain shows anything, it’s that economic arguments alone will not always win the day and that a sense of justice – or injustice – is still equally powerful. Luckily, if played right, the debate over energy and the environment might yet be able to win on both.

 

India Bourke is the New Statesman's editorial assistant.