Labour Lifts-Off Into 2012
Ed Miliband is seeking to relaunch his leadership and confound his critics by unveiling a clear vision for the Labour party of 2012.
On Monday, he began a media blitz that outlined what a future Labour government would look like. His speech at the OXO Tower guaranteed that Labour would continue to promote fairness and social justice “even in tough times”, but made it abundantly clear that it would be “a different party from the one we were in the past.” At a stroke, Ed appeared to banish the ghosts of New Labour while allaying the fears of those critics who believe he wants to take party policy back to the days of tax-and-spend.
It was a forceful speech made by a leader with fire in his belly. Polling at the end of 2011 revealed that while the Prime Minister enjoys a +5 point personal rating on his job performance, Ed is burdened with a -17 rating, putting him just ahead of Nick Clegg on -19. Labour’s lacklustre support among the electorate has led some erstwhile friends of the leader to openly criticise his handling of the party. Ed needed to begin the New Year with a gutsy show of character that made clear where he stood on the policy spectrum- especially in regards to the economy.
However, while the delivery was impressive, the content revealed that there is still some way to go before Ed and the party can make a coherent case on where they stand. The references to “tough times”, and admittance that “whoever is the next Prime Minister will not have money to spend” suggest that Ed is adopting the doctrine of fiscal conservatism that underpins the Coalition’s support and was recently advocated by the authors of ‘In the Black Labour’. While Ed attempts a positive spin on this by arguing that he will co-opt the private sector in the mission to improve the living standards of the vulnerable, the underlying principle still resembles that which motivated New Labour. The rhetoric also contradicts messages coming from elsewhere in the Labour Party, especially from the Shadow Chancellor, who in previous months has argued that short-term stimulus is more important than immediate fiscal contraction.
Contracting-out the task of providing fairness and social justice to the private sector isn’t exactly what some on the left want to see Labour support. What is more distressing, however, is the lack of inventive policy positions or promising reforms that would get the electorate excited about a future Labour government.
This is where think-tanks like the Fabian Society step in. In the recent Fabian Review¸ society chair Andrew Harrop argued that Labour should move away from ‘short-term Keynesianism’ and Osbornomics alike by committing to spending, rather than prohibiting it, but only spending on investment and unemployment relief. He also suggested that Labour could steal a march on the Coalition and reboot the economy with a stimulus programme based on short-term tax cuts. The promise of a fiscal stimulus that appeals to the electorate and outflanks the Right could put Ed’s name back in lights- provided he retains a commitment to strong infrastructure spending and the welfare state.
That last proviso is an important one. As Ed seeks to convey a clear message on what the Labour Party stands for and what policies it would implement, he has to be careful not to abandon the values and language of democratic socialism. He was right to state that “my Labour Party is not going to bow to the outdated idea that says that government cannot help”, and as the Left rallies for a new campaign against the misguided policies of the Coalition, many look forward to hearing more about what a Miliband government would do to bolster the state’s ability to create a more progressive society.
Louie Woodall is Assistant Editor of the Young Fabians Blog
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