Even given the propensity of the tabloid press to exaggerate and to print alarmist headlines, if five years ago a newspaper headline had stated that half a million people would be reliant on food banks in 2013, it is most likely that it would have dismissed at fanciful. Yet today this is the stark reality.
The Institute for Fiscal Studies has this week reported that the government’s reform of the benefits system will mean the poor suffering most from the current economic downturn. Child poverty will increase from17.5% children living in poverty in 2010/11 to 23.8% by 2016. Youth unemployment continues to grow to record levels. Wealth inequality and income inequality are rising. From 2007 – 2016, most households will find their real incomes will be worth just over 5% less than before the current crisis started.
Communities are under enormous strain. And so are families and children.
These depressing social and economic trends are not uniform across the country, or even between neighbourhoods in the same town. In some areas the impact of the economic, social and public policy changes are having very significantly greater impact than in others. And this is not just a London versus the rest of the country issue either. Inequality is multi-dimensional and growing more so.
This makes many of us both indignant and angry. And rightly so! Emotional and political reactions are both understandable and appropriate. We need more people, especially those in relative comfort, to join the chorus demanding change and social justice. Political pressure and loud voices from the voluntary and community sector, charities, faith groups, trade unions and across civil society as well as individuals are vital – indeed the louder the better.
However, is indignation and concern enough? Absolutely not..
I was recently challenged on the significance of indignation by Neil McInroy, chief executive of CLES. Neil said ‘indignation from commentators’ was not enough and wouldn’t change the situation. He was right. Now is the time for action and new policies.
The policy response to the escalating crisis has to be a combination of European, national, local and neighbourhood initiatives.
There have to be macro-growth strategies. There also have to be local programmes to enable communities and neighbourhoods to build resilience and capacity.
Current austerity policies are not working so there have to be new expansionist macro-economic policies with a long term basis.
Investment in housing, especially social housing and other infrastructure projects should be increased using public and private finance.
There needs to be a more strategic approach to allocating public money so that it can be targeted at projects that will accelerate growth, safeguard social cohesion and protect vulnerable people and communities. This includes strategic approaches to managing public expenditure reductions, not just new spending – not that there is likely to be much of that! It means being willing to stop doing some things, doing many things in different ways and doing a lot of new things. It demands that vested interests, egos and orthodoxy are challenged in constructive ways. Above all, the focus of public expenditure should be on outcomes that add social, environmental and economic value.
The public sector should use its very significant procurement spend at local and national level to support employment, training, apprenticeships and good employment practice as well as wider social outcomes. Such approaches can be powerful contributors to local economic development.
New forms as well as more of the traditional forms of public service delivery can augment public sector provision. Innovation and personalisation are going to be increasingly important to the development of sustainable public services.
The current government’s policies such as community rights to challenge and to buy have the potential to make a positive contribution, as does community planning. However, these will not work if they are merely perceived as excuses for cuts or the off-loading of unwanted premises and services.
Public services and assets such as schools, whatever their legal status, need to be both accountable and accessible to local communities, given they are core community assets.
Public services collaborating with others need to focus on long term prevention and opportunities. They must not be simply about containment but have to offer opportunity and hope. Investment in prevention is essential.
There is an urgent need for progressive redistribution between individuals and between places. I fail to see how the current levels of inequality and social divisions can be addressed without such re-distribution and a much greater emphasis on pre-distribution. Public services and investment can and should contribute to pre-distribution and redistribution. The tax system, both corporate and personal, has a major role to play too. And contributory social insurance schemes are also vital, as are fair and meaningful benefits.
The minimum wage needs to be enforced and migrated to a living wage. Good employment standards with engaged, well-rewarded, skilled and motivated workforces can have significant impact on local economies and societies.
Tax revenues should be maximised and pursued with vigour. The public sector should surely only procure from companies that meet their full tax obligations in the UK.
This is not solely an agenda for government and the public sector. There is an important role for the social sector including the voluntary and community sector. They may have to be supported in building their capacity to support individuals and communities. Social finance, public and philanthropic monies will be needed.
There is also an important role for businesses – large and small. Business is critical for economic growth and social opportunity but, of course, it requires a pro-active and supportive state to be successful. Business has to be encouraged to play a key role in localities and communities; to collaborate with the local voluntary and community sector; and to be active corporate citizens. For example, if every business with more than twenty staff took on an apprentice for an agreed percentage of their total workforce, the impact on unemployment, especially youth unemployment, would be considerable and people would have job chances previously denied.
The public – we as citizens – have responsibilities too. There should be more co-design and co-production of public service, the use of public space and community development. The future is not and should not be simply about top down public sector solutions any more than it should be about market based business solutions. People need to feel a sense of control and influence over their lives and their communities. Local authorities can support and facilitate this.
Neil McInroy was right. We need action – not just sympathy and indignation. This requires all of us to work and contribute in different ways. And while there is a great opportunity for local initiatives, central government has to create the right conditions and use its authority and power to secure social justice, fairness and growth. Local government too has to contribute – and many local authorities are already showing their intent.
However, we still need strong and consistent voices demanding change and fairness. The changes required may be social, environmental and economic but in honesty, most of the most fundamental changes required are political.
Absolutely agree we need more than indignation. BUT it’s very clear that this government isn’t about to do a U turn on austerity and the labour shambles seems to be set on the same (or very similar) policy course. So, I’m indignant, and I’d also like to act, but I can’t make policy and governments around the world are rapidly becoming LESS democratic and more open to lobbying by big business (aka the rich (who are getting richer as a result)) which means they are not about to start considering any kind of socialist principles. Free speech is being shut down around the world – not just in the middle east but also in our own country, the G8 protesters are clearly very angry and with good reason, but they are demonised by the police (aka the state) and then the press. The Occupy movement seems to have died and the vast majority of the population are politically apathetic – partly because of the seeming futility of involvement. Where does this leave us? What should the indignant actually do? What routes do we have left to us to get things changed? I’d really appreciate a response to this, it’s very clear that change is needed but your article does nothing to address how this is to be achieved.
Incidentally, our labour council (Kirklees) recently ran a consulting exercise with the people in the area asking how they were to save 40% (yep, that’s right 40%) on their current budget next year. It was made very clear at the outset that the council wasn’t wanting any input about questioning this 40% cut with central government and the whole exercise was a sham. So, even the local politicians aren’t willing to make waves.
Hi Fiona, Thanks for your comments. I think one answer can be found in this article – http://tinyurl.com/pbl223w In it Martin Large talks about his work creating ‘common wealth’. He’s helped set up numerous trusts that hold land and property in community ownership. He argues that the ‘task for civil society is to work in partnership with government and with business to preserve and steward our commons’, and he is promoting new (and old) models of ownership that help communities take and hold onto control of key assets.
Agreed Clare, this is one way in which we can act (see my comment on that thread). I’m a director of our local transition town and we have been instrumental in setting up three social enterprises/co-ops in the area. We now face an impasse though with no more land/resource/finance to be found. We need to be doing more than just this though; I think this article suggests a paradigm shift but institutionally there is no desire for it and individual voices are being squashed. Organisations like Occupy and Positive Money are questioning the status quo but in my view, most people don’t even understand the issues let alone have an interest in changing things. Our social capital will be totally dismantled in the next 10 years unless we do something and we’ll be fast returning to a feudal set up…. let alone the impacts on the environment etc.
A good article, and pertinent comments from Fiona. We need to do two things: we need to keep arguing for an alternative agenda as John does, and use whatever influence we have to shift decisions in a positive direction; and we need to keep alive our own sense of outrage and indignation at the damage that’s being done to ordinary people. It can be easy in difficult times to dull our sensitivity to injustice because it seems there’s so little we can do to stop it – and when that happens it becomes easier for decision-makers to perpetrate further injustices.
Thanks for finally talking about >Indignation is not
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