Do the EU elections matter in Britain?

Last weekend the EU elections saw a significant increase in support for the populist/alt-right in European elections.

I deliberately avoid using the term far-right. It would be too simplistic and inaccurate to paint a picture of Europe re-living the 1930s and entering fascism. It is not.

The actual result was that across the EU bloc, the centre-right maintained control. But in Germany, France, Belgium, Italy, Austria and various other countries the populist right increased their share of the vote. They are not a majority but a significant bloc in the European Parliament. A bloc that could destabilise the EU.

This is significant for two reasons.

One, these ‘populists’ do not agree on very much. They disagree on the issue of supporting Ukraine or on whether to reform or break up the EU.

Two, the rise in support for the populist right in the EU elections, collates with their increased support for these parties at national polls. The last three European countries I visited (Italy, Netherlands, and Portugal) all elected governments with alt-right parties playing significant roles shortly after I visited. I was gaining a complex but remembered that I had never been to Hungary and it’s been years since I visited Austria, both nations where the populist right won at the ballot box.

Why did Macron dissolve parliament and call an election for the end of the month? Possibly he is banking on tactical voting against Le Pen’s National Rally Party in the second round of voting. A high-risk strategy, and one where Macron’s centrist Renaissance Party risk being wiped out.

Why do we not see a similar right of the populist alt-left? Green Parties did make some gains in Europe last week, but to say the green movement is populist left is inaccurate. Some sections of it are, but much of the green movement in Europe, as in other democracies is mainstream and often part of the political establishment. Green politics are mainstream and as such get tarred with the same brush as other mainstream parties. Moreover, they are often the target of alt-right politician’s wrath.

Given the UK is no longer in the EU, will these results impact the coming UK election?

One recent poll had Nigel Farage’s Reform party level pegging with the Conservatives at 18%. The same rejection of mainstream politics and a desire for governments to be stronger on immigration has fuelled support for these parties in Europe, is also helping the Reform Party in the UK. Farage, who played a leading role in campaigning for Britain to leave the EU is now openly trying to replace the Conservative Party as the main right-of-centre party in UK politics. If this sounds far-fetched, it is what the alt-right has already achieved in France, Italy, Portugal and various other European nations in recent years.

While not being talked about much on the campaign trail, Labour if elected will seek to renegotiate the deal with Europe. The UK will not rejoin the single market, in the short term at least, but closer alignment is on the cards. Under the current EU leadership, this will be challenging, but not possible. The growing populist-right bloc does make things more unpredictable.

The right of the political spectrum is going through a significant transformation. The European elections are the latest example of populism gaining at the expense of the old mainstream parties. While Labour is likely to win the 2024 UK election, polls suggest the rise in the populist right is a European trend Britain is following.

Underrepresented London

On Thursday 02 May 2024 Londoners will vote in the Greater London Authority (GLA) and London Mayoral Elections. This important election will set the direction for this major conurbation in the South-East of England. This city has been politically and economically dominant over the rest of the British Isles for much of the last 2,000 years, but it would be fair to say the capital has had a rocky few years.

In this year’s mayoral election, the choice is between the incumbent Labour Mayor Sadiq Khan, and Trump-supporting Conservative Susan Hall. Unlike previous GLA elections, this election will use the First Past the Post electoral system due to Conservative Government changes to the electoral laws. Voters will also be required to bring ID, a move no doubt designed to suppress voter turnout by non-Tory voters.

The significance of London to the UK economically

The London Metropolitan area generates around 1/3 of the UK’s GDP. For those living outside of London, there is considerable resentment that politicians and bankers hoard wealth in the city and do not share this wealth with the rest of the country. The counter-argument to this is that when London generates 1/3 of the UK’s GDP it must receive proper investment.

The London economy is often viewed as quite separate from the rest of the UK. Certainly, when the UK was a member of the EU, the connection between London and other European cities was stronger than that with regional cities like Sheffield or Liverpool – though there are clearly strong links between these cities and London.

Other parts of the UK, such as the north of England will complain about lack of investment and jobs in their region. This becomes a self-fulfilling prophecy when all the money and jobs are in London – this is more likely to be where new businesses and employment are created. On the other hand, does all GDP generated in London stay in London? Or does quite a bit of it get used to support different parts of the UK?

While there can be no doubt that there is considerable money and wealth in London, there is also deprivation and poverty. While London might generate 1/3 of the UK’s GDP, its residents are not all reaping the rewards of this wealth.

London Politics

The population of Greater London in 2019 was around 8.9 million, or around 12.5% of the total UK population. It is by far the most culturally diverse city in the UK. It also is one of the most cosmopolitan cities in Europe.

There is a general feeling of frustration in London. This frustration is directed at the Mayor, GLA, and the government in Westminster. In my earlier blog post on the Uxbridge by-election in mid-2023 I discussed some of the challenges London faces with the introduction of the Ultra Low Emissions Zone (ULEZ), where to ensure the capital has clean air people were being charged for driving older polluting vehicles in the city. That this has been introduced during the worst cost of living crisis in decades has made things very difficult for people who rely on cars to get to work, particularly in the outer suburbs of London. It is worth noting that 46% of London households have no vehicle, and this rate is even higher for those living in zones 1-3 where public transport is more reliable.

But the frustrations go beyond ULEZ. London is a city that voted overwhelmingly ‘Remain’ in 2016, whereas England as a whole the UK nation most supportive of leaving the European Union. In a city with considerable links to Europe, and where the banking sector is a major part of London’s economy, the anger and frustration at the Brexit result continue to simmer eight years after the referendum.

There has been valid criticism in the past that power is too centrally located in and around Whitehall, thus by default political decisions tended to favour London. There is certainly some evidence that this has occurred, at least historically. However, there is also evidence that Londoners often do not benefit and at times are forgotten by policy-makers.

While most MPs and civil servants would spend a significant portion of their week in London, only 73 of the 650 MPs in the House of Commons represent London Constituencies. Labour tends to dominate politics in London. Labour or centre-left candidates have won four of the six London Mayoral elections since 2000. At the 2019 election, while there was a national swing to the Conservative Party, Labour elected 46 Labour 20 Conservative MPs. Labour controls 23 of the 30 Borough Councils in London.

By contrast, the Conservative Party has historically dominated politics in England. And with 80% of the UK’s population living in England, and by winning there, the Conservatives have dominated Westminister and British Politics. UK politics is often dominated by Tory Shires and rural areas and towns in the south of England. The Brexit result in 2016 illustrated that having a London-dominated campaign will likely cause a backlash from voters in other parts of England.

It is not just through Party allegiance or issues like EU membership London is out of step with the rest of England. The fact is that London is perceived as wealthy and affluent. Other parts of the UK have struggled, especially ex-coal mining areas in Wales and the North of England. In these areas where public transport and other key infrastructure is poor, there is little patience for the Government investment in London.

Though not is all that it seems with regards to London. The Levelling-Up agenda has been sold as a programme to invest in these left-behind communities which desperately need infrastructure, industry and jobs. Yet many do not realise, that a not insignificant amount of Levelling-Up funding has also been spent on deprived parts of Greater London.

The high price of living in London

There is money in London. People who live within the M25 earn more. But, they spend considerably more for the privilege of living in Capital City. Increasingly people are being forced out of the city, with many former East London residents now moving to commuter counties like Essex and Kent. The cost of housing has skyrocketed in the last 20 years, meaning once affordable middle-class properties in Zone 2 and 3 of London are now worth over a million pounds. Properties in my suburb of Deptford are being advertised as starter homes with a price tag of £500k. Given most lenders require a 20% deposit, these properties are out of reach of most people living in the area.

So people end up in the rental market. According to Zoopla, the average monthly rent in London as of April 2024 is £2,121. Council tax, internet, water and energy bills are usually on top of this and have increased significantly in the last two years. The average monthly income after tax is £2,902.50. This means most renters spend well over 2/3 of their income on rent and utility bills, with other costs like train fares and groceries many are left with very little disposable income each month.

The demand for council housing or other genuinely social rent homes (rent that is based on levels of income) is high and this cannot be met by local authorities. People can wait for years for social housing. Worse, the condition of many council estates in many parts of London is bad.

People wanting to start a family are understandably leaving London due to these costs, while others are deciding not to have children due to the expense and pressure of living in the capital. There are likely to be school closures across London in the coming years due to these factors. This in turn will potentially drive more families out of the city.

London is increasingly becoming a city where urban professionals work every hour they can to survive. For the unemployed or those on low incomes, living in this city is nye-on impossible. My own experience of moving to London in 2017 was not easy. Finding decent work in London takes time and the set-up costs of moving to the city were extreme. While for me part of this was moving from New Zealand, for people moving from other parts of the UK to London they face many of these same challenges. It is very easy to get into considerable debt or to face hardships. Yes, moving to London is a choice, but it is the UK’s capital and economic centre so continues to be where many of the work opportunities are.

Infrastructure in London

One of the key narratives around the Levelling-up strategy is that it is to improve infrastructure in parts of England that traditionally have missed out. It is hard to argue that a decent rail network between Manchester and Liverpool should not be a key priority for transport investment.

London has received transport investment with the Cross Rail/Elizabeth line which opened in 2022. Though arguable much of the benefit of this line was for people outside of London in places like Reading who are now connected to the London network.

However, one of the key challenges in London is investing in the existing network. An example of this is the Bakerloo line. The current rolling stock on this line was purchased in 1972 and was due for replacement in 2008. It is now 16 years past its best-before date, and the line is now at risk of critical failure as a result. There are also strong arguments that this line should now be extended from its current final stop in Elephant and Castle, South East through to Hayes via Old Kent Road, Lewisham and Catford. A campaign was recently launched called Back the Bakerloo with the support of Borough Councils throughout Greater London.

The challenge for projects like this is that the Central Government at this time will be reluctant to bankroll major projects in London. They can underwrite any loans for the Greater London Authority, but even here, with the current state of Government finances and debt, this could be challenging.

Devolution of power to the Greater London Authority

One of the big challenges faced by the Greater London Authority is that it only receives a fraction of the tax collected in London. In New York roughly 50% of taxes collected go to the city authority, and in Tokyo over 70%. In London, that figure is under 10%. This is why during the pandemic the London Mayor had to go cap in hand to the Conservative Government (a Government most Londoners did not vote for) and ask them to bail out Transport for London due to the fall in passenger numbers during lockdown. The Government insisted that passenger fares in London increase, something Mayor Sadiq Khan has promised not to do. This was clearly political game-playing and is all too common when it comes to local government finances.

The implementation of ULEZ suffered similar political game-playing. When it was implemented, the London Mayor had asked the government to support a vehicle scrappage scheme just as it had done in the West Midlands where Conservative Mayor Andy Street has held office since 2017. If the Greater London Authority had stronger devolutionary powers and a greater share of London’s tax revenue a much better scrappage scheme could have been introduced.

Of course, the history of London Government and Westminister has been marred in conflict. In 1986 the Thatcher Government famously abolished the Greater London Council in response to the policies of left-wing Mayor Ken Livingston. Most people across the political spectrum would now agree this was a foolish decision and the current Greater London Authority was created by the Blair Government in 2000. However, there remains a power imbalance in favour of Whitehall and the government. The Greater London Authority and Borough Councils in London are not given sufficient powers to serve their local community. This challenge is not dissimilar to that faced by local leaders in other parts of the country. Whereas in Manchester or West Midlands, there is general recognition of the need for greater self-determination, not so for Greater London.

Reasons to be Cheerful

It would be easy to conclude that the picture is fairly gloomy given the challenges facing London. In addition to those mentioned, its Police force the Metropolitan Police has a poor reputation, while knife crime continues to plague London.

But London remains the cultural, political and economic capital of the UK. It does still have many strong leaders who will advocate for the city. Further, the challenges facing London like the housing crisis are becoming harder to ignore.

Sadiq Khan’s re-election pledges include free school meals for all primary school kids in London, building 40,000 new social houses and implementing rent controls. Khan also plans to continue his agenda to tackle air pollution in the city to improve public health and reduce greenhouse emissions in the capital. These are good practical measures to help people living in London.

The report authored by Gordon Brown in late 2022, recommends greater devolution in regions of England. It is highly likely that if Labour are elected to government this year, they will look to implement this part of the Gordon Brown report. This may include greater powers to the GLA.

Should a Conservative Party mayor be elected this week, or at some point in the future, the issue of devolution will not go away. Susan Hall or other City Hall Conservatives will not appreciate being dictated to by the government, especially if Labour are in power. Further, the Levelling-up agenda by the Conservative Government has included commitments to the devolution of power to local authorities. While there may be arguments on the details, both major UK political parties agree in principle that greater devolution is a good thing, including for London.

Greater London will not have an easy time over the next decade. The problems listed above are coming to a head fast and cannot be ignored for long. Things need to change in London, and it is reasonable to assume things will change over the next few years.

Iran launches missiles at Israel in retaliation for consulate strike in Damascus

In the last few hours, Iran has launched 300 missiles at Israel. Most of these were shot down by the Israeli missile defence system, and by Israel’s allies including the UK.

An antimissile system targets an Iranian aerial attack on Israel 14/04/2024

This attack was in retaliation for the Israeli bombing of the Iranian consulate annexe building adjacent to the Iranian embassy in Damascus, Syria,killing 16 people. This was part of Israel’s broader campaign to target Hezbollah assets in Syria since 2011. This has escalated since October 7 2023 and the intensified conflict between Hamas and Israel.

In October I described the attacks by Hamas on 7 October as horrific and appalling. I went on to say:

Hardliners in both Israel and Palestine are in control, which makes the prospect of peace or a lasting resolution to the conflict in the region seem a distant prospect at this stage. Whether it is a two-state solution, a one-state solution with power sharing, or some other construct, there needs to be a way that Israelis and Palestinians can live in peace. Until this happens, this conflict will destabilise not only the Middle East but the whole w
The horrific situation in Israel and Gaza

This conflict has indeed now escalated and the region is increasingly unstable. This is the first time that Iran has directly attacked Israeli territory. US President Joe Biden has told Israel that it will not participate in a counter-strike against Iran. However, Netanyahu and his hard-line coalition have ignored similar wise words of caution from the US in recent weeks. If Israel does respond, Iran has already signalled there will be further retaliation.

Since the 7 October attacks, Israel has argued that it has a right to defend itself. Israel does have this right, but it also has a responsibility to comply with international law and to the human rights of people living in Gaza. Israel also has a responsibility to stop the settler attacks in the West Bank, which have intensified since the 7 October 2023 attacks. It has a responsibility not to escalate violence by attacking Rafah, again something Biden has warned Israel against.

The South African Government has taken the Israeli Government to the International Court of Justice (ICJ), alleging that Israel is responsible for violations of the Genocide Convention in respect of its actions taken in Gaza. While it will likely be years before any decision is made by the ICJ, there is growing evidence that Israel has attacked hospitals and other civilian targets.

Historically the US Government has been Israel’s strongest ally, under both Democrat and Republican Presidents. Therefore it is no small thing that in a recent UN vote calling for an immediate ceasefire in Israel-Gaza, the US abstained rather than using their power of veto. Many supporters of Palestine and those on the left have been critical of the Biden Administration over its response to the Gaza conflict. In reality, Biden has pushed back on the Netanyahu Government much harder than his predecessors. Unfortunately, the response of the Israeli Government to the horrific attacks by Hamas on 7 October has escalated the violence and has now drawn Iran into active conflict against Israel.

Israel should not have bombed the Iranian consulate buildings in Damascus. Iran should not have fired 300 missiles at Israel in response. Neither of these actions should have happened, but they now have. The world now watches to see if there is further retaliation and escalation of violence, or if calmer and wiser heads prevail.

The prospect of peace or a lasting resolution to the conflict in the region seems more distant than ever. But only by doing everything possible to achieve such an outcome will there be any chance of this conflict de-escalating and a lasting peace being achieved.

In an episode of The Rest is Politics recorded shortly after 7 October, Alastair and Rory interviewed historian Yuval Noah Harari who had family caught up in the Hamas attacks on Israel. During this interview, Yuval rightly said that for people living in places like London instead of taking a side in this conflict, we need to be seeking long-term solutions to this conflict. I do not claim to have these solutions. But as a first step, an immediate ceasefire and a return to peace talks is an essential first step. By contrast, any escalation in this conflict will do untold harm both in the region and globally.

Tobacco bans in NZ and the UK.

In October, UK PM Rishi Sunak announced that he would follow New Zealand’s policy of gradually lifting the age at which people can buy tobacco. This would mean anyone born after 2009 would never be legally allowed to purchase tobacco. Last week, the new centre-right National Party-lead government in New Zealand announced it would be repealing this policy.

Two centre-right governments in English-speaking nations, both clients of Crosby Textor, yet opposite responses to tobacco regulation. The incoming NZ Health Minister Dr Shane Reti expressed concerns about a black market in tobacco sales if the ban was to be implemented. Reti also used the straw man argument that the tobacco ban was a factor driving recent ram rads of shops in New Zealand.

Worst of all, a key motivation for repealing the 2021 NZ tobacco legislation is to fund tax cuts. Before the election, it was clear that the National Party’s tax policy was unrealistic, just as Liz Truss’s tax cuts were in the UK. So the new government’s answer, remove restrictions on tobacco sales and use the revenue to fund tax cuts rather than funding the health system that tobacco tax revenue should be used for.

The decision in 2021 to introduce the smoking ban was a courageous one. Smoking causes many deaths each year and places a strain on the country’s health system. Smoking is addictive and we should do all we can to discourage young people from taking up this habit. This being said, putting a total ban on tobacco sales of people born after 2009 is well-meaning, but would likely have unintended and profoundly negative consequences.

There is a considerable body of evidence showing that prohibition does not work. Attempts at banning the sale of alcohol in the USA famously resulted in black market moonshine being sold. Attempts to stop the sale of narcotics in the so-called war on drugs have been a resounding failure. While it still may not be a popular view, the evidence shows that banning substances rarely stops consumption. Worse, it drives manufacturing and sales underground giving criminal gangs a great source of income and power.

The weird thing about the NZ ban is that in 2020 there was a real possibility that marijuana would be legalised. Run in parallel with the 2020 general election, the referendum on legalising marijuana was held. The result was 48.4 % in favour of legalising and 50.7 against it. In a country where studies have found that 80% of the population have tried pot, the level of cognitive dissonance of many voters is astounding.

Further, during the election campaign in 2020, Jacinda Ardern refused to state whether she supported legalising marijuana, despite earlier admitting she had tried the substance before. The concern from NZ Labour strategists was that Jacinda coming out in favour of legalising would be used against them by the opposition. As it happened, Labour won with a huge majority and the referendum was narrowly lost.

Jacinda Ardern had earlier stated her personal support for the legalisation and party members have voted at conferences in favour of policy remits calling for the same. Jacinda and other Labour frontbenchers could have openly stated their support for legalisation and still comfortably won the 2020 election. That they did not was an uncharacteristic failure of leadership by Jacinda Ardern and her team. This may have contributed to NZ still having drug laws that are disproportionately used against Maori and Pacifica populations and completely fail to stop the widespread use of marijuana.

That being said, it should not need the Prime Minister saying she supported legalisation for the referendum to succeed. The evidence from both NZ and overseas should have been enough.

All the arguments for legalising marijuana apply to tobacco as well. As a nonsmoker, I would be delighted if everyone stopped smoking. But I realise there will always be some who choose to. There will be black markets in tobacco, especially when other countries do not legislate for similar bans so people will be smuggling tobacco into the country. Further, while the state should encourage people to make good health choices and drive behaviours, banning tobacco is a bridge too far.

It might seem strange that a center-left Labour Party member would take this position. But it is a position based on evidence. Yes regulate the sale, add taxes, and limit where these products can be sold, which was also part of the 2021 NZ legislation. But prohibition of tobacco, like alcohol or marijuana will not work and will result in negative and unintended consequences.

It is unclear whether Rishi Sunak’s Conservative government will be successful in implementing a similar tobacco ban to that which NZ has just repealed. While there will be support across the political aisle for stronger restrictions, it is difficult to see how banning sales to people born after 2009 would work. Given how readily available hard drugs such as cocaine, MDMA and ketamine are on the streets of London, one has to be sceptical about the UK’s ability to successfully ban tobacco.

Instead of looking to the criminal justice system to tackle a health problem, we need policies that support people with addictions. Yes control the sale, and heavily regulate the strength and quality of what is being sold. But history has shown time and again that just banning things does not fix the problem.