Disestablishment of the Church of England may be closer than we think

The idea that there should be a special place within our constitution for one particular religious outlook is increasingly anachronistic.

The British constitution is a curious beast. It can lie slumbering for many years and then suddenly change quite radically. We have seen this happen for example with reforms such as votes for women and the devolution of power to Scotland, Wales and London. What had seemed fixed and permanent turned out not to be so after all.

We may be slowly moving towards such a turning point with the current situation in the Church of England (CofE). Last week the church voted not to allow women bishops. There has been lots of sound and fury from members of the church themselves (64 per cent of the electoral college actually wanted change but they needed a two-thirds majority) and inevitably politicians of all sides even from those MPs who you would ordinarily expect to defend it.

The CofE is currently exempt from equality legislation and there is discussion that this should be addressed. There is also talk of not allowing the bishops to remain in the House of Lords whilst the gender anomaly remains (there is a petition asking for this here). On the other hand there are some who argue that parliament should keep its nose out of the affairs of other institutions.

The primary reason for all of this consternation from those outside of the church is because of the fact that it is established. It is intertwined within our constitution in a way that other institutions are not. So politicians feel a duty to make comments on its composition and potentially even legislate in order to address concerns.

At this point I think it is worth considering the wider problem of the fact of its establishment in the first place. Britain has changed quite dramatically in the last century. Our population is made up of people who practise a plethora of religions and increasingly no religion at all. A survey at the turn of the current century showed that almost half of our population claimed no religious affiliation at all with only around a quarter considering themselves members of the established church. Roughly five per cent are Catholics, and five per cent of the population are now Muslim for example.

With such a religiously diverse and increasingly non-religious demographic mix the establishment of the church is an huge anomaly in itself. At the moment politicians are restricting themselves to discussions about trying to make sure Anglicanism keeps itself up to date and relevant in terms of its internal processes. But I think this latest episode could be the first step along a process of eventual disestablishment.

The demographic trends are not in favour of the church. Across the world there is strong evidence that religion is in severe, perhaps terminal decline. The idea that there should be a special place within our constitution for one particular religious outlook is increasingly anachronistic.

Another factor that is worth considering here too is the view of the current heir to the throne. The Prince of Wales has made it clear that when he eventually becomes King he will not consider himself "Defender of the Faith" as his predecessors have but instead wants to be declared "Defender of Faith". This dropping of the definite article is highly significant and is a sign that our next monarch himself perhaps understands how the current settlement is unsustainable in the longer term.

I appreciate we are probably a fair way away from full disestablishment at the moment. But like with other large constitutional changes that we have seen in the past I would not be surprised if within my lifetime we see it happen.

The wafer-thin loss of the vote on women bishops has just made it that little bit more likely.

A sticker supporting Women Bishops is displayed on a car. Photograph: Getty Images
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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.