Industrial Strategy: May government needs to match it's words with public investment if it wants to unlock missions potential

When Theresa May took over the leadership of the Conservative Party, she heralded a change of approach. There has been a lot of talk of government being willing to get more involved - on May's part, expressed in her insistence on restoring the Unionist part of the party's legacy, including invoking Joseph Chamberlain and a more activist government.

The issuing of an industrial strategy was seen as a statement of intent - an act of intervention that broke with the pro-business, laissez faire brand of 'liberal conservatism' of her predecessors David Cameron and George Osborne.

However, follow through has been limited. So too has money. Once published, the government's strategy looked less about shaping markets and supporting innovators, and more about propping up Britain's failing industries with deals and deregulation.

Theresa May's latest step was to reference the UCL Institute for Innovation and Public Purpose (IPPR), who along with it's director Mariana Mazzucato have been pressing hard for a reshaping of how we understand the role of government in innovation. But her warm words toward the potential of strategic missions will mean nothing without the funding to match.

Mazzucato's work has argued, the state can be the risk taking pioneer - a role expected of the private sector, but which it is never willing to fulfil. By funding R&D, by offering long term, stable public investment, government can open up and shape entirely new markets.

But it can't do this without money - at either end. Projects need investment and support to be there from the start and need the private sector not be able to simply walk away with unlimited potential earnings at the end, with no restitution for the public role. Big ideas should fund new big ideas.

Theresa May's government, however, has yet to be willing to match big words with big funding. Today's speech was no different. There was a lot of praise for public institutions that engage in research, but little mention for how they have been strangled of funding.

May set out her four missions - within four 'grand challenges' facing Britain taken from the Industrial Strategy - and praised the potential of missions to drive innovation forward. But that was the extent of it.

Both the IPPR and the thinktank OECD have argued that increased public investment, and the infrastructure to implement it like a National Investment Bank, is a golden opportunity that the UK is not taking advantage of - despite Britain investing well below 3% of GDP.

Without funding, potential will remain unexplored. Mission statements represent step one in a coordinated approach. The Prime Minister herself acknowledged that progress is born from collaboration and cooperation. There needs to be a lot more of it, and something more: coordination.

Theresa May is committing to the big visions/big speeches aspect of the call for strategic thinking. Will the government wake up and start to put in place the rest of the infrastructure needed to maximise the potential that can be unlocked by long term strategic thinking?

Resolution deposit windfall proposals: Half measures better than nothing, but we must tackle underlying problems in housing

Resolution Foundation package of proposals include a £10,000 windfall at 25, to be used to put down a deposit on a home, a housing policy that only works around current problems.

Last week, the Resolution Foundation proposed a package of measures to restore a sense of fairness in the social contract between those either side of the 'Generational Divide'. It contains some headline grabbing polict proposals.

Resolution's package of measures was headlined by a £10,000 windfall for all citizens at 25 - a policy once proposed by Thomas Paine as a universal inheritance. It was accompanied by a call for a rise in National Insurance payments by pensioners to raise funds for the NHS and reforming council tax.

The Resolution Foundation is a think tank, aiming to improve the standard of living of low income families. It's current chair is former Conservative Minister David Willetts and it's Director is Torsten Bell, a former advisor to Ed Miliband.

As a thinker, Willetts has been the quiet man behind the New Right and the turning of conservatism towards fiscal restraint,  outsourcing and privatisation, favouring markets, with a shell of traditonalism surrounding certain social liberalisms.

In essence: the dominant current within the broader theme of Neoliberalism in the West. And, it is important to note, the Third Way of New Labour under Tony Blair and Gordon Brown.

It's worth noting this because Resolution's proposals come off as very New Labour - seeking a neoliberal way around problems like inequality, accepting them as part of the system and turning them to an advantage, rather than actively fixing them.

Case in point. We live in a time in which house prices are high, prohibitively so, while job security and pay are low. A tax-funded windfall, to help young people put down deposits, would be welcomed. But it pastes over problems with redistribution.

That was New Labour's Third Way. From working tax credits to Private Finance Initiatives, Gordon Brown responded to an imbalanced economy and unequal accumulations of wealth, by taxing them to fund social programmes.

Now. This is not to discredit or tear down the work done by Brown. And yet, exploiting those who are exploiting our society, in order to repair the damage their exploitation does, is a maddening circle.

Laurie Macfarlane, economics editor at Open Democracy who has written extensively on the housing crisis, has taken the same view - casting doubt on the benefit of pouring money into the property market to keep it afloat, arguing that "the property ladder model... was a one-off that can't be repeated."

Even half measures and excuses are not to sniffed at. They could help a lot of people facing lean times. But we shouldn't bet the house on them. We can't keep looking to work arounds, avoiding fixing the underlying things that are actually wrong.

Local Elections 2018 Preview: Labour look set for gains, but what we need more is a greater diversity of perspectives

Manchester City Council, with 95 Labour councillors and 1 Liberal Democrat, is a prime example of the need for a greater diversity of unwhipped perspectives in local government. Photograph: Manchester Town Hall by Stephen Douglas (Licence)

After last year's opportunistic election did not go to plan for Theresa May's Conservative and Unionist Party, her government - propped up by the Northern Irish loyalist Democratic Unionist Party - has been stumbling from one potential crisis to another.

These elections come at a strange time. Despite both main parties struggling, they both remain at around 40% in the polls and have a strangling grip on local government. Is this a chance for smaller parties to make some breakthroughs on councils?

With the majoritarian two-party system reasserting itself, some pushback from smaller parties like the Greens or Lib Dems would be welcome, to ensure representation of a wider set of perspectives - and to increase the accountability of local councils.

Conservatives

This will be the Tories first big electoral test since then. The final totals will need to weighed against the fact that half of the seats up for re-election are currently held by Labour. Yet there could be some headline defeats for the government.

Theresa May's party is particularly at risk of losing council seats in London. This includes control of Wandsworth, their flagship council from the time of Margaret Thatcher, which was used as the pioneer for contracting out local services.

The Conservative have taken a low key approach to the local elections. This may be a result of their own strategists projecting heavy losses to Labour. Downing St may have accepted that and prepared to downplay the significance.

This hasn't stopped local Conservative branches from pursuing aggressive campaigning tactics - including repeating the racist and Islamophobic overtones of the Goldsmith campaign for Mayor of London, which targetted Sadiq Khan's ethnicity and religion.

This time around there has been condemnation from Tory voices. But is the Conservative establishment distancing itself simply because of the timing? Local councillors have said their leaflets were signed off by Conservative HQ.

Mired by the Windrush scandal - entirely of their own creation - and with the media pursuing Labour hard over antisemitism, did the Tories just find it an inconvenient moment to be pursuing openly divisive tactics themselves?

Labour

With Labour holding most of the council seats up for grabs this time around, the party has to make inroads in Conservative areas. Part of that has them focussing very heavily on London - perhaps sensing that there are big headlines to be written.

Key Conservative controlled areas could be vulnerable to Labour and sweeping gains - on a night when they will begin already in a dominant position - will be an emphatic statement that can be milked for publicity and be used to continue the narrative of a Labour Party on the ascent.

For the Labour Party leadership, that would be a much need boost as their forward momentum has been arrested - despite the Tories creating problems for themselves - by their inability to adequately address the issue of antisemitism.

The media and critics have run roughshod over Labour on the issue, and Corbyn and his team have not come up with a way to convincingly show that antisemitism will not be tolerated - and thus diffuse the issue. As a result, a cloud hangs over the party.

So too does the ever looming prospect of a split. It's hard to see how anyone on the opposition benches would benefit, in the short term, from an inamicable split - even though a split increasingly seems like a good idea, to end the spiteful internal squabbling.

A split is hindered however, by the archaic quirks of our electoral system, that does not abide multiple parties and the increase in critical perspectives it can bring, nor the prospect of groups working together despite holding different membership cards.

Opposition

The Green Party laid out this, the big theme of the local elections, in the UK in their campaign launch. Co-leader Jon Bartley called for an end to Britain's "one-party state" local councils, to increase their transparency and accountability to local people.

It's an argument that thinktank Compass and it's chair Neal Lawson also press, stressing that Labour need to overcome their obsession with claiming a monopoly on power - which leads it to absorb or crush any possible rivals, rather than working with them.

In terms of the Green Party's own prospects, their best hope may be in trying to make inroads into Labour dominated councils, whose unchallenged authority has resulted in some poor outcomes - that have left some voters disaffected. Consider, for example, the goings-on under Labour at Haringey or Sheffield.

The other visible party of opposition in local government are the Liberal Democrats. Buoyed perhaps by their consistent - as usual - good form in council by-elections, they've been talking up their chances of a mini-revival at the local government level.

With the polls consistently putting the Conservatives and Labour neck and neck, 40% to 40%, it's difficult to see where the Lib Dems will make inroads - especially after several years of desperate defence, to hang on to what they hold.

As supporters of a Progressive Alliance, The Alternative wants the Lib Dems to refind their progressive side. But at present their best chance of picking up seats may be by, finally, convincing Conservative voters that what they liked about the Coalition was actually the Lib Dems all along.

So watch Lib-Con head-to-heads. This is a dynamic that could have a gigantic affect on a future election, where Lib Dems taking votes and seats directly from the Tories could tip Theresa May out of office and open the way for Labour.

Voter ID

These local elections will also be the first to trial the controversial new Voter ID measures that the Conservatives hope to roll out nationally. Such measures have been deeply criticised by electoral and rights groups.

The reality is that, first of all, Britain has very little in the way of electoral fraud, and second, that Voter ID does little to stop voter fraud. In fact, it does little but deter voters - discriminating particularly against the poor.

The trial runs will take place in Swindon, Gosport, Woking, Bromley, and Watford.

Municipalism

If we are to have effective local government there must be no barriers to participation for the community. Their representatives must be accountable and transparent, and able to hold local bodies to those same standards on the public behalf.

Erecting barriers, especially those disproportionately impacting voters from minority groups, and leaving one-party local councils unchallenged, is a recipe for bad governance. Well run, accountable local government can achieve so much at the municipal level.

There are big ideas out there, from Barcelona to Preston. Municipalism taking root. Local government can empower local people. The first step is to break up the local political monopolies, to leave them no choice but to start hearing criticism and engaging with it.