Labour needs to be more confident on the expenses crisis

There is no doubt that the expenses issue is a constitutional crisis, the likes of which I do not think we have seen in our time, not may see for another generation. In 100 years time, what we are going through will be the a key topic I am sure in many a GCSE student's history and politics class. It is hugely serious, and enormously sad. I for one feel enormously let down by politicians across all parties who have clearly done the "unforgiveable" - simply because they could.Perhaps it is the final trigger that will bring the parliamentary expenses system into the 21st century.

I have never understood why expenses whether for Westminster or Europe were so loosely defined. Perhaps this comes from having had a career in the private sector, where my expenses have always had to be backed up by receipts, scrutiny was clear, and accountability was clear. As well as the finance teams monitoring expenditure and rules, so did the business you were in. For projects I have run, I had to estimate project expenses and be accountable to the business for costs incurred. Accountability, and clarity of accountability is a jolly good thing.

The crisis we are currently going through has been exacerbated I believe by Labour's reluctance to get on the front foot. I knew from talking to journalists a year ago that this was the issue political journalists were going to hold on to like a dog to a bone. It was never going to go away. The end result we were going to arrive at, by hook or by crook, was transparency of the expenses. There is no doubt this fervour by the media would have been fed by inside information that was not in the public domain; they knew the extent of the story perhaps more than politicians and certainly the public. Politicians may have known about their own expenses but very little about each others; hence the system blindness that led do a total underestimation of this issue.

That's why for the Speaker to have led the resistance in making expenses information public has been perhaps the biggest tactical blunder. And I for one would join the calls for him to go. The resistance to making this information public only delayed the inevitable, and the resulting impression of the political class desperate to hold onto its privileges has been as damaging as the exposure of an out of date expenses system, totally out of touch with today's standards and expectations.But one thing that puzzles me is why Labour has not taken a more confident ground on this issue. It is Labour that came in in 1997 with a desire to clean up British politics. Political donations reform through the PPERA has meant that for the first time all can see who is potentially pulling the purse strings of political parties. The removal of hereditary peers; unquestioned for generations, and against which as an injustice the expenses system is like a younger cousin. Freedom of Information - courageous and morally right. Labour brought it in. And once the genie is out of the bottle, you cannot push it back it in.

We should still be the rightful leaders to sort out the expenses system - it has been the predictable consequence of what we began in 1997. And even at this time, I am proud to be Labour, and that the exposure of this issue would most likely not have happened without my party. But it means that now we need to find the courage to step forward and to consistently be leaders not followers on this issue.

But to do that is going to require real clarity. Clarity on who is in charge, and who we want the public to know is in charge. Clarity on how to respond to the public mood. Clarity on how the parties must work together - things will only change if consensus is reached. Clarity on how we think the expenses rules should change, which were clearly wrong and in which there is no public confidence. Clarity on who is accountable for the system, including the fees office who I hear have apologised to some MPs for the advice they gave; but who had a responsibility to the public on this and have little defence for what they have allowed to happen.

No crisis in insurmountable in my opinion; no valley of despair is so deep that there is no way out. There is always a way forward, and it may well be a long march. But with confidence, a clear view of what is acceptable and what is not acceptable and communication of this, tough action against Labour MPs who have crossed the line (e.g Elliot Morley and David Chaytor), but equally defence of those who have been potentially libelled or certainly unfairly treated in this frenzy (e.g. Phil Woolas, Ed and Yvette).

This is vital; MPs who have either minor misdemeanours or factually incorrect allegations against them should not be listed alongside the potentially criminally fraudulent; they should not be hung out to dry or given to the lynch mob that is the Tory led media. Gordon's leadership is not under challenge; but his support could start to fall away if the party does not show it is prepared to defend the right-doers as well as punish the wrong-doers. We will start to see an "each person for themselves" response that will simply lead to death by 1000 cuts.This story has a long way to go before it ends. But by being leading player, we might yet be surprised at how this story starts to turn, where the public mood goes and the confidence in politics that could and should start to return. We really should take the moral high ground on this issue and find the courage to do it, that we know is there in our leaders and in our party values more widely.

The 50p tax needs a stronger narrative or it will cost Labour dear

Some time ago I was aware of the YouGov/Fabian poll result that showed levels of public approval for a 50% tax rate for the rich. Earlier Fabian research has also shown support for higher tax rates particulary where hypothecated for public services. This is not a new conversation, but it was a huge and significant leap for (New) Labour as it finally opens the door to attacks that the Labour of high taxes and uncontrolled public expenditure is back.
I personally do not believe that the party of old is back. I also believe it made economic sense (as well as political sense) to make the move in the budget in April though I would not on previous signs have expected a jump above 45%.
Even so, we are in tight economic times and every part of society needs to play its part. My concern is not so much with the 50% tax rate, but with the lack of a clear narrative as to why we have done it, that keeps the wealthy parts of society bonded in common purpose with the poorer parts of our country.
Labour has been successful not because it has stood up for one section of society, but because it supported aspiration for all parts of society. You could be poor, you could be on middle income, you could be rich. But Labour was on your side as you developed your talent, pursued your dreams and supported yourself and your family. And through this was a common ambition for Britain. Cool Britannia with a loose tie and rolled up sleeves, despite cycnicm, I believe is still a contribution to our culture and our modern story of our nation.
I do not think the wealthy, even the socially aware, will now believe Labour is the party for them, without a narrative as to why the tax rate was needed. Was it about fundamental consideration of fairness today and economic necessity in the interests of Britain? Was it punishment of the rich generally just for being rich? Do we see all wealthy people as proxies for risk taking irresponsible bankers?
It should be the former. Indeed I don't really want to subscribe to a mob-like mentality that indiscrimately seeks a social "out group" that can be blamed for everything. The 50p tax should not be about punishment for the wealthy, but part of a clear and well communicated story of how the nation needs to move next, and why this is necessary and fair to do at this stage.
It is vital we maintain a cross-class progressive consensus that we have held together for twelve years, and I do believe that many of those who are better off would recognise that the burden needs to be shared. Wielding the axe against the rich indiscrimately with no clear message to accompany the act may make us temporarily feel better, but could cost Labour dear in the long term.

The Power of Dreams

When you look at the people who have made real changes to our world, our expectations or our way of thinking, there are often common characteristics you associate with them. We call them inspiring, inspired perhaps, determined, passionate, committed to their cause.

But what is also a powerful force behind the movers and shakers of our world is the power of the dream. An account of Walt Disney as an entrepreneur on the American website YoungEntrpreneur.com describes this beautifully in the article Inside The Magic Kingdom: How Disney Achieved Success. It reads: "He Followed His Dreams: “You reach a point where you don't work for money,” Disney said. He reached that point early on in his career; he had pursued his passion to the point where he had made it successful and his work became a pleasure. "

I believe there is a lot more we can do to nurture the entrepreneurial spirit in our nation. And that what will result is an increasingly powerful nation, empowered and confident through the creation of dreams and the courage to realise them. It is not just Martin Luther King and other greats of our world who have had dreams; dreams that have inspired others even beyond their own lifetime. It is an experience we all have before we condition ourselves to shut down our out of the box thinking about how the world can be different. On the first day of Labour's thirteenth year in power, I'm going to state my dream; that this country comes alive with spirit that each person has to change their life and the world around them.