Month: Mar 2020

When the world re-opens

‘When the world does re-open, there will be some big surprises,’ is how I ended my last post. Will we, in this country, be surprised? Or will it be more of the same?

We have deserted city centres. We’re keeping our distance. At the same time we’re coming together. The post-Brexit agenda has been sidelined. Will it, I wonder, resume in the same way? The same desire to separate from countries close at hand and do deals with distant countries in a world which will be even more cautious, looking closer to home, than in recent times?

Go global, with all the risks that involves? Talk up trade with China, and India. Anywhere that isn’t close at hand. Give way to US demands even if they run counter to popular sentiment. Talk down our neighbours. Build barriers, where we least need them.

What is new is the proposed big spend on infrastructure, as outlined in Rishi Sunak’s first budget this month.

It’s probably a fond hope but it just might be that the new focus on community would encourage the government to rein in the current obsession with infrastructure for its own sake in favour of a more considered approach. Who would have imagined a few months ago the Tories switching so abruptly to a big state agenda? Philip Hammond, where are you now?

Manchester and Leeds are big beneficiaries. Liverpool and Hull miss out. Likewise the peripheral towns and villages which haven’t the glamour of the big cities. The focus needs to be more on the detail, less on the big gestures which catch headlines. By that I mean (re)establishing a strong industrial base. Guaranteeing good local communications. A focus on effective local government, and investment focused around local funds going into local enterprises.  Tempering capitalism with common sense. See my comments on Preston below.

Corbin is now claiming the Tories have stolen Labour’s clothes. Labour talked about a people’s quantitative easing. As a strategy that was scorned. The government’s focus on debt is more or less the same thing, and yet the Tory press are silent. (Labour and the Conservatives have of course different ideas on where investment should go, and I’m not attempting to review Labour’s plans here. And they are indeed already history.)

What the Tories haven’t stolen of course is Labour’s social agenda. The NHS may be getting more spending, but there’s no sign of any sympathy for, let alone action on, reversing the appalling impact of austerity on the less privileged in society.

As for how the right-wing justify their volte-face there’s an amusing quote from Jesse Norman, author of an excellent biography of Edmund Burke, linking big sending and Brexit. Tories love to call on Burke to justify their actions. It’s akin to American Supreme Court justices with their strict interpretations of the constitution. Trying to apply 18th century notions to the present day is fraught with dangers. All it does is make Norman look foolish.

‘It’s a Burkean understanding that the nation is a moral idea: a group of people bound together by a moral affinity. It’s that legitimating sense of self that underwrites a nation’s capacity to tax.’ (The Economist, 21st March)

The one thing we don’t have is ‘a group of people bound together by a moral affinity’. Not that I’ve noticed.

There’s talk of renationalising the railways, with franchisees find themselves running out of cash as people work from home and radically cut down on travel.

Also part of the big state are attacks on the BBC and the judiciary, for supposed over-reach. Borrowing this time from the European far right. And at the behest of Dom Cummings.

Reducing immigration: another big state intervention. It assumes that UK-born care workers and workers in the hospitality sector will emerge from the woodwork, just because the government wills it. We’ve also had nonsense arguments about robots. Germany has x3 more robots than we have, South Korea x10. Immigration it seems is to blame. Businesses are deferring investment in robots because immigrants are an easier and cheaper option. This is an argument of convenience, without any semblance of truth as far as I’m aware. But it sounds plausible.

Also within Priti Patel’s remit, a bigger prison population is also part of a bigger state. Money which would better go on community work and rehabilitation is wasted on building new prisons.

Preston, the Preston experiment, highlights the government’s obsessions, and illustrates how opposed they are to genuine communitarian politics.

Preston has over the last few years encouraged ‘anchor institutions’ (councils, hospitals, colleges and the like) with big budgets to use local suppliers. To spend locally. That might seem to fit well with a post-virus localist mentality. But likely to be welcomed by the government? No way.

Johnson on Preston: ‘I am sure they are an estimable bunch but Preston Council are not the locomotives of the economy. We Conservatives know that it is only a strong private sector that can pay for superb local services.’

Put simply, all Tory talk of big infrastructure spend will be as nothing unless local people, local councils, local businesses are empowered. Preston is not operating a socialist state. But it is seeking to ensure that local investment and expansion doesn’t come from handouts but from local engagement, and self-belief at a local level.

Markets for the government are the ultimate arbiter. Creative destruction the watchword. I’m not arguing against creative destruction per se. Businesses rise and businesses fall. But it pays no heed to community. And what we do not want is a disempowered and disaffected community.

One great lesson of politics, maybe the great lesson, disregarded by politicians, and the current crowd are a worse-case scenario, is that you rarely get what you want. Big spending is high risk, and high risk rarely delivers. Remember, amongst others, two previous chancellors, Reggie Maudling and Anthony Barber, and their ‘rushes for growth’.

However great the crisis we have to be thinking beyond. The big issues won’t go away. But it may be the crisis will lead to a better understanding. So may a new Labour leadership better equipped to challenge the government. We shall see.

Sunny days and coronavirus

We know that March can have wonderful days. Not this year, we thought. We were wrong. The wind is south-easterly, the sky a deeper blue than we Brits are used to, and the sun is warm, even hot by day, and the nights are chill. Floods are receding, the mud which clogs our field paths is drying out. Should we be exultant? The clocks will change this weekend…

If only. This is crisis time. Coronavirus has invaded all our lives. A time to be anxious, to worry about relatives and friends. If not ourselves. We’ve a wartime, a bunker mentality. We can’t get together to chat by conventional means, so we find new ways.

All those political disagreements, the scars of four years of Brexit enmity, are put aside because we all of us have a bigger, shared agenda.

That may sound positive. But the real world is bleak  For health workers, care workers, anyone travelling by public transport, for people working when they don’t want to, living in towns or cities, built-up areas, blocks of flats, for people who’ve lost their jobs, or the self-employed, people without work or income, relying on promises from government.

Testing kits, ventilators, masks? We haven’t had, and still don’t have, the equipment. Anti-viral kits – available when?

The real statistics – how much worse are the real statistics, with so many untested?

What of the US? Trump believes the tide could be turned, restrictions lifted, by Easter. But New York is battening down. Has Italy peaked? Check the number of deaths there as a percentage of cases. So much higher than anywhere other than Spain. Spain now has more deaths recorded than China.

Reading through the data it is evident that different countries have radically different testing regimes. In the U.K., what about care homes? They aren’t testing their residents – there simply isn’t the equipment.

The available data suggest that France and Germany have far more cases, France twice as many, Germany three times as many, as the U.K. But France has forty deaths per one million population, the U.K. eighteen – and Germany only six. That suggests far more testing in Germany, and a realistic death rate, and far less testing in the U.K., which is indeed the reality. We have far more cases than the available figures suggest.

(The demographics are helpful in contrasting the U.K. and Italy and Spain. In 2018 just 16% of (British) 25-34 year olds lived with their parents, compared with 44% of Spaniards and 49% of Italians.’ (The Economist))

India with only a small number of cases, that is, reported cases, has gone into lockdown. What indeed, would be the implications for a country as open and chaotic as India if the virus took hold? An early lockdown of 1.3 billion makes sense.

Coronavirus has scale. It has entered into very corner of our lives and, it seems, into every corner of the world. We are reminded, as maybe never before, that we are one world, one humanity, open to the same diseases, and with the same capacity for coming together in a crisis.

I try to keep up with wider news. Bennie Gantz being asked to form a government in Israel, though today’s news is that he will serve in a unity government under Netanyahu. The end of Netanyahu?The reining in of settlements? Not yet.

Joe Biden looks odds-on to be the Democratic candidate for president. The opponent Trump didn’t want. And backed by a Bloomberg billion or two. Trump has a remarkable ability to dictate agendas. It may be harder now. Especially if coronavirus heads west and south from New York across the USA.

And what of the USA and China, with their spat over the origins of the virus, and the impact it’s already had by way of expulsion of high-level American journalists from China.

But as for other news, you may search, but you will not find.

When the world does re-open, there will be some big surprises.