Monday 1 October 2012

Whatever Happened To Blue Labour?

Rowenna Davis writes:

Whatever happened to Blue Labour? Last year I wrote a book about a term that was causing political circles to chatter . Now the name has almost dropped out of existence. Its founder, Lord Maurice Glasman, has effectively been under house arrest in the second chamber after a string of controversial outbursts, the latest on this website. But one year on, Blue Labour is still the rising philosophy of Ed Miliband’s party. The players, the relationships and the policies are having an effect. The name might not be there, but the influence is.

Ed Miliband’s conference speech is set to focus on “predistribution”. Although the term is diabolically policy-wonkish, the concept is spot on. The starting position of Blue Labour is that previous governments were too hands off with the market and too hands on with the state. Predistribution wants us to change that balance. If you force employers to pay the living wage for example, then you don’t have to worry about correcting in work poverty through tax credits. This is central to Blue Labour’s call on the party to value hard work and reduce dependency, and it’s supported by shadow minister Rachel Reeves in a new Fabian pamphlet outlining Miliband’s ideas.

Ed Miliband’s “responsible capitalism” is underpinned by this philosophy. Take the leader’s emphasis on energy companies. If we split up this oligopolistic market and force the companies to compete, we would encourage them to suck out less in profit and dedicate more revenue to improving their offer to customers. Crucially, that means there would be less demand for winter fuel allowance. Similarly, demanding workers’ representation on the boards of companies would give them the chance to challenge fat cat salaries, and call for more profits to be given in wages. Improving vocational education is another way of increasing wages without relying on state redistribution. In economic terms, it’s developing a supply side policy for the left. To your average voter, it’s a way of making a real difference to people’s lives without spending huge amounts of money.

It’s true to say that Glasman is not as close to Ed Miliband as he once was, but he remains tight with people who are. Lord Stewart Wood is a big fan of Germany’s model of worker representation and vocational education, and Marc Stears, one of Ed Miliband’s best friends from university, is working at the heart of the leader’s office. They are both longstanding friends of Glasman.

Meanwhile, Jon Cruddas MP has been chosen to lead Labour’s policy review. Cruddas has been one of the biggest fans of Blue Labour in the parliamentary party (not that this says much) and his close friend Jonathan Rutherford is very close with Glasman. Ed Miliband knew that when he made the appointment. Cruddas is already showing his Blue streak, particularly his call for a referendum on EU membership. We can also expect to see calls for a decentralisation of the state, and a focus on what kind of society we want to build together, rather than an obsession with what processes we want to get there. The conference slogan championed by Cruddas – “Rebuilding Britain” – came from Glasman before anyone else.

The third area where Blue Labour is influencing the party is less well known, but still highly important. A new man has come to work in Ed Milband’s team, focusing on party organisation. Arnie Graf has come from the United States with a long track record of community organising, which Glasman has always admired. Older and wiser than your frantic special adviser stereotype, his gentle but strong manner has won round people from surprising quarters in the party, and last year he was given permission to conduct a root and branch review of its organisation. His report was never published, but he called on the party to open up, raising the possibility of open primaries and less top down control from London. Now he’s taking leave from his work in the US to continue here, and he remains something of a trusted elder to the Labour leader. Few know that it was Glasman who first convinced Graf to come over from the US, and that he was personally responsible for introducing him to the Labour leader.

Whilst all this is happening, Lord Glasman is not sitting still or acting alone. Out of the media spotlight he’s beavering away, building alliances and making new friends. This summer a big conference was held on the “Common Good” – members of the green movement and women’s groups were there alongside MPs and faith groups to discuss how to take the agenda forward. Glasman is also forming links with unions, particularly those representing the private sector, about how they can work together. If that wasn’t enough, he’s also working with the people of Dover to stop the privatisation of their port. A perfect campaign for Blue Labour, it’s about reengaging with the South, supporting private sector workers and mutual ownership. The relationships, the policies, the players – there’s a lot going on. It might not be called Blue Labour, but a rose by any other name…

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