Show Hide image

Andrew Marr: Why the pundits got it wrong - and what the parties should do next

As the media try to make sense of the 2015 general election, Andrew Marr explains why predictions were so far off the mark.

As we try to sift the meanings of the 2015 general election, it’s worth beginning with a fundamental but far too little-discussed problem for political journalism: how the hell do we know what we think we know? What value – if any – do commentators, set apart from the professional politicians, actually bring? It’s not surprising that most of the time we commentators don’t like to talk about this. This spring, we really must.

I pick up my information from four sources, I realise, all of them suspect. The first is the politicians; during this campaign I spoke regularly to the parties, and to old friends across the political spectrum. The party HQs proved to be either deluded, or lying: I was told again and again by Labour that its ground operation was superb and its numbers, particularly in the north-west of England and the Midlands (where the party was slaughtered) were very strong indeed. The Liberal Democrats assured me that Tory talk of destroying them in the English south-west was malicious and ridiculous. (Plainly, it wasn’t.) The Tories said they were doing fine, you know, fine-ish, but never sounded hugely confident.

So much for going to the top. More useful were politicians from all sides I’ve known for years. A series of experienced Labour people sounded pretty wobbly – I should have spent more time thinking about that and less about the messages from the centre. Some Conservative MPs, notably George Osborne, seemed much more confident than Cameron HQ.

The second source, and one that dominated everybody’s day-to-day thinking, was the polling. The pollsters didn’t get everything wrong: they picked up the huge Scottish story. Then again, anybody who stepped off the train at Edinburgh Waverley Station and bought a latte would have picked that up. But they were massively out on the main story. My deep frustration is that this tilted the whole conversation about politics – the reporting, and therefore the pressure the reporting placed on the politicians. To be specific, if we had known how close the Liberal Democrats were coming to wipeout, there might have been speculation about what that would mean. Everybody ignored this. Had we known how badly Labour was doing, there would have been much more pressure on Ed Miliband over his main economic message. There wasn’t nearly enough.

My third main source was the rest of the commentariat, this time including the self-appointed commentariat of Twitter. That’s a big range of voices. But during an election campaign, people retreat into their ideological bunkers. There are some who ask pene­trating questions, keep their heads tilted sceptically, and are worth following, but by and large journalists listening to other journalists only produces an echo chamber of lazy, received opinion, big on the volume, an ear-splitting background noise.

This leads me to the final source of information, always ridiculed and yet the one that proved most accurate and that I wish I had spent more time attending to – anecdote and random conversation. That is plainly dangerous: we are all prisoners of our own geographical and class location, however much we think we are in the swim. One of the advantages of having a televised face and jug ears, however, is that people come up to you the whole time and tell you, unprompted and unstoppably, what they think. As I was doing my daily walk to the shops, or sidling off to my local for a pint of IPA, I was buttonholed again and again.

What people wanted to say, in my part of London, could be broken down into two big themes. First, they hated the idea of a minority Labour government backed by the SNP. Almost immediately that this became a leading Tory theme, I was picking it up on the street. After the first two weeks of a Tory campaign focused on the economy generally and the uselessness of Ed Miliband, and which seemed to me to have been from their point of view wasted time, plainly the Conservatives had found something that was cutting through.

The second theme was that Labour apparently “hated” the self-employed, people running or working in small businesses, and anyone who’d had any kind of success. I’m going to come back to this, but it struck me at the time. A painter and decorator, for instance, who employs half a dozen others, walked across the street to say: “I can’t vote Labour. I work bloody hard. I’m the kind of person they despise . . .” As with the anti-SNP reaction, you ignore a single comment but when you hear the same kind of thing dozens of times, you know that something is going on.

***

Now this isn’t the complete sum total of what was going on in my head during the campaign. I’ve been covering these things since 1983, and echoes of John Major in 1992 reverberated. But note that, compared to his open and confrontational street oratory back then, in among the jeering, the leaders this time were sanitised and surrounded by pre-selected audiences. Jim Murphy, the Scottish Labour leader, put himself through it in Scotland; but apart from that, it seems to me that all the money spent by the broadcasters and newspapers on sending their correspondents to join Cameron, Miliband and Clegg on their bus tours was wasted. No election is just like any other. Having been around for a long time is no guarantee of wisdom.

Other sources will be more respected next time. The betting market wasn’t great – money was pouring on to Ed Miliband right at the last minute, by which time he’d already lost – but the gilt markets seemed to know what was going on. Number crunchers using historical voting data did pretty well. And intriguingly, those in the parties who had scanned postal voting returns were also in on the secret.

Finally, I’ve interviewed many dozens of politicians many times. I ought, therefore, to know where their weaknesses are – though that doesn’t necessarily translate into knowing what the public thinks. But if there is a logical problem obvious to me, presumably it is obvious to millions of ­other people. The ever more glazed and convoluted attempts by the two Eds to avoid saying that they had overspent while in office is a good example.

There was a perfectly rational way of dealing with this. They could have said: “Look, the overspending was relatively minor in historic terms and was supported by almost everybody at the time. And be very careful of describing the building of new hospitals, schools and nurseries as ‘profligate’ or ‘waste’: our alleged overspending has given Britain places where children are currently learning and their grandparents are having heart operations. It’s not like blowing too much money on your credit card in B&Q.

“At the time, none of us knew – not you, not the government, not David Cameron or George Osborne – that an obscure housing crisis in Middle America was going to bring down the entire banking system.”

They could have said that. They didn’t.

Why not? Because, had they engaged in the conversation seriously, they would have had to go on to say something like: “However, given what we know now, do we wish we had spent a little less during the good times? Of course we do.” And, true or not, they thought that the Conservative media would have translated this into: “Ed admits, ‘Yes, the crash was our fault.’”

That seems to me to have been a huge tactical mistake on the Labour side. The party should have engaged in the argument, and made its case, not unreasonable, long before the proper election campaign started. As I have written here before, by allowing the Conservatives to set that narrative they handed David Cameron a huge weapon, which he used during April and May almost every day.

There were big mistakes on the Tory side, too, I thought. I was flabbergasted when Cameron and Osborne suddenly found a minimum of £8bn, and perhaps a lot more, for the NHS right at the last minute. It seemed to me to blow a hole in their “uncosted spending commitments” attack on Labour. In the end, it didn’t seem to matter, because voters presumably thought that ­Labour would always spend and borrow more than the Tories, whatever anybody said. Still, it was a heck of a risk.

***

But the biggest issue that emerged during interviews was, as I found on the street, the SNP surge. I have been studying and writing about the Scottish National Party since I was in my twenties. I wish I had been back in Scotland much more, and earlier, but I’ve been up there quite a lot recently, working and visiting family. So I know that the SNP is not the Maoist threat Middle England cowers from. Among its new MPs are former Conservatives, business people, all types. It’s true that its new 110,000 membership contains many on the hard left who have made a lot of noise, but the party is a complex phenomenon.

Still, the “watch my lips, no deals” rebuttals by Ed Miliband were always going to be difficult. He might have ruled out a coalition and a formal confidence-and-supply arrangement, but the numbers dictated that a minority Labour government – the best he could hope for – would have to rely on SNP acquiescence at best week by week.

Now, I have no hard evidence for what follows, but I don’t believe that English ­voters’ hostility to an SNP-influenced outcome was anti-Scottish. I think it was the combination of the thought of a relatively weak government, which would have to negotiate its way through its programme, with the anti-Trident and anti-austerity messages of the SNP, that spooked much of Middle England.

Don’t forget that all the voters who do not want Trident, and were against austerity, weren’t up for grabs anyway: they were ­already committed, presumably, to Labour or the Green Party. So a Scottish National Party programme, crafted to appeal to Glasgow Govan and Dundee, didn’t go down so well with soft Tory voters and Liberal Democrats in Cirencester or the Peak District. Quelle surprise!

That, for me, was the story of this election campaign. Looking ahead, what lessons can we draw from it?

Living in London, I am very cautious about trying to predict what is going to happen in Scotland next. But the following things seem almost self-evident. First, to have any chance of revival, Scottish Labour has to separate itself from the party south of the border. It has to begin again, unionist but with its own head office; back to the party’s origins. This may not work, either. Second, in politics, winning brings new problems and winning big brings bigger new problems. Nicola Sturgeon now not only has to negotiate with somebody she never thought she’d have to deal with, and who has the authority of a big election win, she has to manage the enormous expectations of what looked like, in effect, a Scottish revolution. I couldn’t fit into her shoes in a million years; but I’m glad I don’t have to try.

As to the shattered English left, I go back first to all those conversations about Labour not being for “people like me”. Labour politics works when it is, in effect, an alliance between the bulk of people working in private companies, big and small, and those on the margins. Now, if Labour chooses to forget about people on benefits, those on poverty wages, and the huge inequities caused by a super-rich global class, then it ceases to have any purpose. But it simply can’t get itself into a position again where shopkeepers, tradesmen and all those who want to better themselves think Labour “hates” them.

I don’t suppose this was something that Ed Miliband or those around him ever set out to achieve. It was more about tone, and where they came from, and what their own instincts were. Britain is brimming with relatively affluent (or at least comfortable) non-socialists who have a strong sense of community and social altruism. They support homelessness projects run by churches, they back local campaigns, they spend spare income not on bigger cars but on Oxfam appeals. They are good people. They just happen to be outside the immediate reach of the state. Labour can sometimes give the impression that only those working in the public sector or those on benefits are virtuous and admirable. This is politically lethal.

***

Is that more important, or less important, than confronting the “Blue Labour” questions of immigration, low pay and embattled trade unionism? I don’t know – but reaching out to the majority isn’t a luxury.

So, Labour has a cultural problem to resolve. It’s about how the party speaks, the way it pitches its appeal. It is vastly more important than who the next leader is. Over the next few years, we will see, I suspect, little real sign of a Labour advance in Scotland – the defeat is so profound that it will take many years to recover – while in England boundary changes further entrench the Conservatives. Unless Labour has the courage and imagination to reform itself completely, it has no chance of recovery.

Democracy is a pendulum. Not even the biggest and most unexpected victories last; in fact, they contain the seeds of the next defeat. Yet this assumes and requires that the defeated parties learn hard lessons. The Tories’ biggest problem ahead isn’t the EU referendum. It isn’t even the relationship between London and Scotland – federal Britain is taking shape before our eyes. No, it is their relationship with big money, the global financial system that remains unstable and often incompetent. David Cameron is a more sophisticated and flexible Tory leader than many understand. But I don’t see him trying to fix that problem, and that leaves Conservatism vulnerable.

Ought Labour and the Liberal Democrats to forget their differences and try to merge? Probably not: they have different philosophies and those differences matter. But it would be a good, useful and salutary thing for both of them to contemplate the possibility. A big election defeat ought to shatter old ways of thinking. It’s important not to waste a good defeat. I have spent the past few days doing two things – sleeping and worrying about how I do my job.

Defeated politicians, as well as humbled journalists, could do worse.

Andrew Marr’s most recent book is his novel, “Head of State” (Fourth Estate)

Andrew Marr is a broadcaster and journalist. Formerly the BBC’s Political Editor, he presents the Andrew Marr Show on BBC1 on Sundays and Start the Week on Monday mornings on Radio 4.

This article first appeared in the 14 May 2015 issue of the New Statesman, The Tory triumph

Jeremy Corbyn. Photo: Getty
Show Hide image

Lexit: the EU is a neoliberal project, so let's do something different when we leave it

Brexit affords the British left a historic opportunity for a decisive break with EU market liberalism.

The Brexit vote to leave the European Union has many parents, but "Lexit" – the argument for exiting the EU from the left – remains an orphan. A third of Labour voters backed Leave, but they did so without any significant leadership from the Labour Party. Left-of-centre votes proved decisive in determining the outcome of a referendum that was otherwise framed, shaped, and presented almost exclusively by the right. A proper left discussion of the issues has been, if not entirely absent, then decidedly marginal – part of a more general malaise when it comes to developing left alternatives that has begun to be corrected only recently, under Jeremy Corbyn and John McDonnell.

Ceding Brexit to the right was very nearly the most serious strategic mistake by the British left since the ‘70s. Under successive leaders Labour became so incorporated into the ideology of Europeanism as to preclude any clear-eyed critical analysis of the actually existing EU as a regulatory and trade regime pursuing deep economic integration. The same political journey that carried Labour into its technocratic embrace of the EU also resulted in the abandonment of any form of distinctive economics separate from the orthodoxies of market liberalism.

It’s been astounding to witness so many left-wingers, in meltdown over Brexit, resort to parroting liberal economics. Thus we hear that factor mobility isn’t about labour arbitrage, that public services aren’t under pressure, that we must prioritise foreign direct investment and trade. It’s little wonder Labour became so detached from its base. Such claims do not match the lived experience of ordinary people in regions of the country devastated by deindustrialisation and disinvestment.

Nor should concerns about wage stagnation and bargaining power be met with finger-wagging accusations of racism, as if the manner in which capitalism pits workers against each other hasn’t long been understood. Instead, we should be offering real solutions – including a willingness to rethink capital mobility and trade. This places us in direct conflict with the constitutionalised neoliberalism of the EU.

Only the political savvy of the leadership has enabled Labour to recover from its disastrous positioning post-referendum. Incredibly, what seemed an unbeatable electoral bloc around Theresa May has been deftly prized apart in the course of an extraordinary General Election campaign. To consolidate the political project they have initiated, Corbyn and McDonnell must now follow through with a truly radical economic programme. The place to look for inspiration is precisely the range of instruments and policy options discouraged or outright forbidden by the EU.

A neoliberal project

The fact that right-wing arguments for Leave predominated during the referendum says far more about today’s left than it does about the European Union. There has been a great deal of myth-making concerning the latter –much of it funded, directly or indirectly, by the EU itself.

From its inception, the EU has been a top-down project driven by political and administrative elites, "a protected sphere", in the judgment of the late Peter Mair, "in which policy-making can evade the constraints imposed by representative democracy". To complain about the EU’s "democratic deficit" is to have misunderstood its purpose. The main thrust of European economic policy has been to extend and deepen the market through liberalisation, privatisation, and flexiblisation, subordinating employment and social protection to goals of low inflation, debt reduction, and increased competitiveness.

Prospects for Keynesian reflationary policies, or even for pan-European economic planning – never great – soon gave way to more Hayekian conceptions. Hayek’s original insight, in The Economic Conditions of Interstate Federalism, was that free movement of capital, goods, and labour – a "single market" – among a federation of nations would severely and necessarily restrict the economic policy space available to individual members. Pro-European socialists, whose aim had been to acquire new supranational options for the regulation of capital, found themselves surrendering the tools they already possessed at home. The national road to socialism, or even to social democracy, was closed.

The direction of travel has been singular and unrelenting. To take one example, workers’ rights – a supposed EU strength – are steadily being eroded, as can be seen in landmark judgments by the European Court of Justice (ECJ) in the Viking and Laval cases, among others. In both instances, workers attempting to strike in protest at plans to replace workers from one EU country with lower-wage workers from another, were told their right to strike could not infringe upon the "four freedoms" – free movement of capital, labour, goods, and services – established by the treaties.

More broadly, on trade, financial regulation, state aid, government purchasing, public service delivery, and more, any attempt to create a different kind of economy from inside the EU has largely been forestalled by competition policy or single market regulation.

A new political economy

Given that the UK will soon be escaping the EU, what opportunities might this afford? Three policy directions immediately stand out: public ownership, industrial strategy, and procurement. In each case, EU regulation previously stood in the way of promising left strategies. In each case, the political and economic returns from bold departures from neoliberal orthodoxy after Brexit could be substantial.

While not banned outright by EU law, public ownership is severely discouraged and disadvantaged by it. ECJ interpretation of Article 106 of the Treaty on the Functioning of the European Union (TFEU) has steadily eroded public ownership options. "The ECJ", argues law professor Danny Nicol, "appears to have constructed a one-way street in favour of private-sector provision: nationalised services are prima facie suspect and must be analysed for their necessity". Sure enough, the EU has been a significant driver of privatisation, functioning like a ratchet. It’s much easier for a member state to pursue the liberalisation of sectors than to secure their (re)nationalisation. Article 59 (TFEU) specifically allows the European Council and Parliament to liberalise services. Since the ‘80s, there have been single market programmes in energy, transport, postal services, telecommunications, education, and health.

Britain has long been an extreme outlier on privatisation, responsible for 40 per cent of the total assets privatised across the OECD between 1980 and 1996. Today, however, increasing inequality, poverty, environmental degradation and the general sense of an impoverished public sphere are leading to growing calls for renewed public ownership (albeit in new, more democratic forms). Soon to be free of EU constraints, it’s time to explore an expanded and fundamentally reimagined UK public sector.

Next, Britain’s industrial production has been virtually flat since the late 1990s, with a yawning trade deficit in industrial goods. Any serious industrial strategy to address the structural weaknesses of UK manufacturing will rely on "state aid" – the nurturing of a next generation of companies through grants, interest and tax relief, guarantees, government holdings, and the provision of goods and services on a preferential basis.

Article 107 TFEU allows for state aid only if it is compatible with the internal market and does not distort competition, laying out the specific circumstances in which it could be lawful. Whether or not state aid meets these criteria is at the sole discretion of the Commission – and courts in member states are obligated to enforce the commission’s decisions. The Commission has adopted an approach that considers, among other things, the existence of market failure, the effectiveness of other options, and the impact on the market and competition, thereby allowing state aid only in exceptional circumstances.

For many parts of the UK, the challenges of industrial decline remain starkly present – entire communities are thrown on the scrap heap, with all the associated capital and carbon costs and wasted lives. It’s high time the left returned to the possibilities inherent in a proactive industrial strategy. A true community-sustaining industrial strategy would consist of the deliberate direction of capital to sectors, localities, and regions, so as to balance out market trends and prevent communities from falling into decay, while also ensuring the investment in research and development necessary to maintain a highly productive economy. Policy, in this vision, would function to re-deploy infrastructure, production facilities, and workers left unemployed because of a shutdown or increased automation.

In some cases, this might mean assistance to workers or localities to buy up facilities and keep them running under worker or community ownership. In other cases it might involve re-training workers for new skills and re-fitting facilities. A regional approach might help launch new enterprises that would eventually be spun off as worker or local community-owned firms, supporting the development of strong and vibrant network economies, perhaps on the basis of a Green New Deal. All of this will be possible post-Brexit, under a Corbyn government.

Lastly, there is procurement. Under EU law, explicitly linking public procurement to local entities or social needs is difficult. The ECJ has ruled that, even if there is no specific legislation, procurement activity must "comply with the fundamental rules of the Treaty, in particular the principle of non-discrimination on grounds of nationality". This means that all procurement contracts must be open to all bidders across the EU, and public authorities must advertise contracts widely in other EU countries. In 2004, the European Parliament and Council issued two directives establishing the criteria governing such contracts: "lowest price only" and "most economically advantageous tender".

Unleashed from EU constraints, there are major opportunities for targeting large-scale public procurement to rebuild and transform communities, cities, and regions. The vision behind the celebrated Preston Model of community wealth building – inspired by the work of our own organisation, The Democracy Collaborative, in Cleveland, Ohio – leverages public procurement and the stabilising power of place-based anchor institutions (governments, hospitals, universities) to support rooted, participatory, democratic local economies built around multipliers. In this way, public funds can be made to do "double duty"; anchoring jobs and building community wealth, reversing long-term economic decline. This suggests the viability of a very different economic approach and potential for a winning political coalition, building support for a new socialist economics from the ground up.

With the prospect of a Corbyn government now tantalisingly close, it’s imperative that Labour reconciles its policy objectives in the Brexit negotiations with its plans for a radical economic transformation and redistribution of power and wealth. Only by pursuing strategies capable of re-establishing broad control over the national economy can Labour hope to manage the coming period of pain and dislocation following Brexit. Based on new institutions and approaches and the centrality of ownership and control, democracy, and participation, we should be busy assembling the tools and strategies that will allow departure from the EU to open up new political-economic horizons in Britain and bring about the profound transformation the country so desperately wants and needs.

Joe Guinan is executive director of the Next System Project at The Democracy Collaborative. Thomas M. Hanna is research director at The Democracy Collaborative.

This is an extract from a longer essay which appears in the inaugural edition of the IPPR Progressive Review.

 

 

This article first appeared in the 14 May 2015 issue of the New Statesman, The Tory triumph

0800 7318496