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item0030E 608, 609
608 20 January 2003
Top-up Fees are wicked
It would be wicked to single out
low-income students and their families, allowing the wealthy to pay
university fees in cash, and force the poor into enhanced debt for much of
their lives. The only acceptable socialist solution is the
introduction of a universal, redistributive,
graduate income tax..
Those were my views when I first addressed the issue in December, when I
used the term "Adult Education Premium"
- in the terminology that has recently emerged, that is a
Graduate Tax. Every
socialist argument points to this conclusion. The mere recovery of
top-up fees from low-income students, which seems to be the Government's
preferred option, would do no more than to reinforce existing wealth
differentials. And for the pay-back levy to kick-in at £12,000 pa is
wildly absurd - the figure should not be less than £20,000.
Redistributive options are
limited, in an open, liberal, market-oriented society. They are limited to
the beginning and ending of life, lifelong education and healthcare.
In between, personal freedom and market forces are likely to hold sway,
Government redistributive measures resisted. Socialists should take
advantage of every opportunity to redistribute wealth, however limited they
are by the practicalities of politics. And in the provision of university
education, funded by general taxation, socialists have a perfect
opportunity.
It would be wicked to burden
graduates from low-income families-of-origin with pay-back levies -
effectively, a targeted tax - higher than the wealthier graduates with whom
they must in life compete. It would constitute a dark stain upon the
Labour escutcheon...
A universal Graduate Tax would be
widely perceived to be fair, with the Government meeting the full costs of
university fees, while accepting that universities will always enjoy
differing degrees of success in attracting supplementary donor funds and
sponsorship of all kinds. It might annoy a few middle-class voters,
for whom Blair has an irrational fear and regard.
-
Socialists should stick to their guns,
and work for a universal, tax-based solution, accepting the principles of a
Graduate Tax.
Where do you stand on this issue? Drop me a line
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609
20 January 2003
Salariat
v Proletariat
UK socialists
are in disarray. The emergence of a well-paid political
salariat has generated, within the Labour Party, a gulf
between its leaders (i.e. all salaried politicians) and rank-and-file
members. Popular suspicion of politicians' motives is weakening traditional
bonds of political commitment and loyalty. New Labour has triggered
the formation of the Socialist Alliance, as a competing political Party, in
Scotland and Wales the nationalist parties have made inroads into Labour's
support. Socialists have of course
always come in all shapes and sizes, and in many different hues of red and pink,
both within the Party and outside. But since 1945, the Labour Party has in
practice been the primary socialist standard-bearer, the sole effective democratic
manifestation of socialism in public life.
And the Labour Party
is splintering. This is the Party
which I joined in June 1963, and which has been my political home ever
since. The fissures are not
between Parliamentary factions as they once were - Militant, Tribune
Group, and Payroll versus the Rest. They are
between the leaders (the salariat,
the apparat) and the Party’s
foot-soldiers, its paying members.
There are now some 2,000
salaried Labour politicians, ranging from Ministers of the
Crown to local authority Cabinet members, through the Scottish and Welsh
Assemblies. Perhaps another 5,000 are trying to dig themselves in, as future
successors to the present salaried incumbents. And there are some 350,000
actual or recent Party members, the political rank-and-file sufficiently
interested to register for Party membership. Current Party membership is
reported to have fallen to perhaps 250,000 - the precise figures are not
important. But the trends, and relations within the Party, certainly are
important.
For the salariat
and the foot-soldiers are
now singing from different hymn-sheets.
-
The
foot-soldiers
want to see the creation of a new universal old age
pension, payable as of right, delivering to every citizen the assurance of
a rudimentary income in old age, a state assurance against impoverishment
- this was Labour's commitment in 1976, cruelly unpicked by Margaret
Thatcher in 1981.
Cannot be done,
says the
salariat
- too rigid a Treasury commitment, reducing economic
and fiscal flexibility to an unacceptable degree, threatening
Government’s room for manoeuvre – the Thatcher settlement must stand -
look at the horrors of France and Germany, they are crippled by their
pension system – we must maintain a system of low entitlement, supplemented by
means-testing for those in greatest need.
Cannot be done,
says the
salariat
– parents must have choice, and that means encouraging
the emergence of schools with different specialisms, permitting pupil
selection – these options must all be provided within the state system,
or else there will be an even greater flight of the middle-class from
state schools into the private sector – what matters is what works…
-
The
foot-soldiers hate means-testing, and demand that the
society of their choice should be based throughout upon doctrines of
entitlement – in health, in education, in housing, and in
pensions.
How naive, says the
salariat – do these foot-soldiers
understand nothing of the subtleties of retaining power in a modern
democracy - how do they think we can keep our jobs? Is not our
job-security of our importance as well? All declared political ends must be
achievable by covert manipulation, by unobserved sleight-of-hand, and
the Means-Tested State (including the
clever device of the means-tested tax-credit, which conceals many
subsidies...) is designed to deliver
precisely that degree of flexibility, without changing the perceived
headline rates of tax and Government expenditure. Do they understand
nothing, these foot-soldiers?
-
The
foot-soldiers are outraged by
abuses within the corporate sector, fat cat salaries, pensions scams, City
scandals, arbitrary global manipulation, blatant tax evasion, anti-Union
practices, and they demand radical reform, the assertion of socialist
priorities throughout company law.
Cannot be done, says the
salariat.- the UK cannot act unilaterally,
and there is no hope of securing international agreement on company law
reform - we must stick with the pack - we will do what we can, of course, but no
radical reform is possible, such as
that advocated at Tame the Corporations
- we cannot risk offending the
captains of industry, there would be a flight of corporate settlement and
investment from
the UK - and the foot-soldiers would not like that, would they?
-
The
foot-soldiers
long for a Party which allows them to
participate, which respects their democratic rights, in which local CLPs
can choose their own candidates, re-selecting at will, and making a
contribution to the day-to-day cut-and-thrust of politics.
Cannot be done,
says the
salariat – if we are to attract
“good people” into politics, they must be given a reasonable degree of
career certainty, and re-selection procedures should be biased firmly in
favour of retaining sitting members, to the extent that de-selection
becomes virtually impossible. And as for “policy”, foot-soldiers should
leave that to the expert
salariat, foot-soldiers
concentrate on what the issues may or may not arise two years ahead,
within a framework fixed by the
salariat – that’s why we have so
helpfully arranged Policy Forums, precisely to keep the foot-soldiers
quiet, and stop them interfering with current politics. Falling
Party membership? Oh, not very important really, just iconic - the
salariat wins or loses Elections, by central action or inaction, for
better or for worse..
-
The
foot-soldiers are adamant that there should be for better
protection as of right for individual workers against the vagaries of
unemployment and of an arbitrary global economy, with improved unemployment
benefit and job-search support - for foot-soldiers, insecurity of earned-income
remains a key anxiety.
Too rigid and too
expensive, says the
salariat – look at the
Continent, and see their problems – better to rely on the harsh
disciplines of the market, in the American manner, knowing that even if
individuals are penalised for inaction, the overall systemic gains will
outweigh the hardship of a minority - no, that's not
trickle-down, but a bit like percolate-through..
-
The
foot-soldiers are exasperated by the authoritarianism of
the
salariat, its reliance on repressive policing and excessive
incarceration, and the retention of a policy of drugs prohibition - which
is very expensive, socially disruptive and wholly unsuccessful.
Foot-soldiers are bleeding-heart liberals, who
should leave the really tough Government decisions to the
salariat – some foot-soldiers even
oppose war on Iraq, we understand, so we know where they are
coming from – the truth is that any Government
that does not act with consistent and well-publicised harshness on any of these issues –
drugs, immigration, Saddam – will be severely punished at the polls –
we know our voters, and they are a nasty lot, we know what
needs to be done to get re-elected – and that is what the foot-soldiers
want too, is it not?
-
The
foot-soldiers dislike the massive constitutional
centralisation of recent years, and yearn for some means of pursuing
socialist solutions within their own regions and communities, of
reconnecting with the exciting process of governing themselves.
We do agree with
that, say the
salariat – provided that we
retain overall control, and that there is no substantive dilution of our
power. Devolution to London? No, London is too important for any real power to be
allowed to leave our hands. Scotland and Wales? Effectively, we
control the purse-strings, and anyway we regret relinquishing so much
power in 1999 – as for the English regions, you can rest assured that they will
not be allowed to exercise any power of any significance, although they
have already been offered the option of talking-shops, to keep the
children quiet while we get on with the real work of Government –
anyhow, local government has declined in calibre beyond the point of
no-return, in terms of both Councillors and Officers - we are therefore
forced to muscle in on a wide range
of local initiatives (which is admittedly good for our political
standing, therefore re-election prospects). We are completely in favour
of local devolution, so long as the compliant local authorities
prove to us in advance that they will keep
their noses clean – we have cunningly called that “earned autonomy” –
clever, huh?
That’s very old-fashioned, says the
salariat - that went out with the Ark, and
we must modernize – the private
sector can handle wide swathes of public service functions, and should
be encouraged to do so - the practice reduces the exposure of Ministers
and local councillors to criticism for non-performance, because "the
contractors" can be blamed – PFI allows a major public works
programme to go ahead off-balance-sheet, without frightening the
middle-class horses with obvious taxation increases –
what the eye does not see, the heart does not
grieve over – and Gordon’s powers of prestidigitation are
legendary...
What do you think? Drop me a line
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