Winner of the New Statesman SPERI Prize in Political Economy 2016


Showing posts with label Lisa Nandy. Show all posts
Showing posts with label Lisa Nandy. Show all posts

Tuesday, 2 July 2019

Is Brexit a culture war or a class war?


The dynamic of today’s service based economy means that social liberalism is in part generated by class.

Imagine someone with a piece of thin card. They draw a circle with a compass and cut out the circle. Two people arrive and pick up the card. One says look, someone has cut out a circle. The other says there is no circle, its just a thin bit of card. The debate over Brexit within the Labour party is in danger of following a similar structure.

For most Labour voters and members its position should be absolutely clear. Labour should stand for openness and international cooperation. Brexit is the opposite of these things. However a minority says that many in Labour’s working class heartlands support Brexit and we should not abandon them. The first side sees a circle but is in danger of ignoring that it is made out of card, and the second side sees only a piece of card.

We need to think about politics in two dimensions rather than just one. The first dimension is the traditional left/right division that used to be the mainstay of politics. The second is the dimension of culture or identity. At one end of the cultural dimension you have social conservatives, who value local communities and the nation and are suspicious of outsiders, where being an outsider can involve sexual norms, race or religion. At the other end are social liberals, who value diversity and tolerance, and who dislike borders of most kinds.

People see in three dimensions, so the card circle is both a circle and a piece of card. Equally people care about issues in both the left/right dimension and the cultural dimension. For most people Brexit is an issue on the cultural dimension. The call for Labour to represent Remain is straight forward. Labour has for decades been on the liberal side of the cultural axis, and so they should support Remain. It is the main reason why the majority of Labour voters and members support Remain.

The response of a minority in the Labour movement is to talk about Labour’s traditions as a working class party. Examples are John Cruddas or Lisa Nandy. It is a powerful argument for Labour party members, who both respect the traditions that Labour represent and do want the party to represent the working class. It is particularly powerful because there is some guilt that the Labour party, like other parties of the left, has moved from a party of the working class to being a party of what Piketty calls the Brahmin left, and Paul Mason calls the new core of the Labour project. But this argument could be accused of seeing the card circle as a piece of card.

Of course Labour should represent the working class along the familiar left/right dimension, in terms of labour market policy, industrial policy, reducing inequality and so forth. Cultural politics in no way replaces class politics. But just because working class communities tend to be more socially conservative than professional classes does not mean we should abandon Labour’s liberal stance on issues like immigration and, of course, Brexit. Labour should represent the working classes in the economic dimension but not the social dimension.

To reinforce this point Danny Dorling points out that Leave was as much a middle class as a working class vote. Furthermore, as I noted here, once you take London out of the equation the North is now only slightly more pro-Brexit than the South, and there is as much a divide between the West and the East. Why should Labour be the party that supports middle class social conservatives?

Adding the dynamic of today’s big cities

This conceptualisation of Brexit as essentially a culture war and not a class war is powerful and contains a lot of truth. But it leaves some puzzles unresolved. The first is geographical. If Brexit is a guide to people’s position on the cultural axis, why is London along with other dynamic cities full of social liberals and the towns, depressed cities and countryside much more socially conservative? The second is about class. Again if Brexit is a measure of social conservatism, why is the working class more socially conservative than the professional class? If where we are on the culture axis reflects innate preferences, why don’t we find as many social liberals as conservatives in different regions and classes?

One possible answer may relate to the geographical and social dynamics of an advanced, service based economy, where towns and cities based around manufacturing plants are an exception rather than the rule. Suppose in countries of this kind, where the state does little to intervene (it is neoliberal), it is the cities that provide the dynamic that propels the economy forward, while cities based on old industries and rural areas are more stagnant. This does seem to be true for the UK and other advanced countries. In addition, people flow constantly between the dynamic and stagnant areas, in part because cities tend to be younger.

If this is the case, then this dynamic could play a geographic sorting role. Those who are more open, who like change and diversity will move to the city. Those who prefer continuity and community will stay, or may even move from the city to the town after a time. So over time you will find the more socially liberal tend to be in cities, and the more socially conservative tend to be in more rural areas.

In addition, those from middle class backgrounds will find it easier to gain the skills that the city needs, while those from working class backgrounds will find it harder through no fault of their own. The less the state intervenes to assist social mobility, the more this will be true. If you are middle class the more likely you are to be in environments (universities and then cities) that are diverse and therefore encourage social liberalism, while if you are working class you are more likely to get stuck in towns or stagnant post-industrial cities. This helps explain something else about Brexit: lack of education is one of the strongest predictors of support for Brexit.

I would like to add one additional dynamic here. The more educated you are, the more likely you are to be familiar with multiple sources of information, and the more open you will be to different perspectives. You are more likely to value expertise because your position in the labour market depends on your own expertise. As a result, you will be less likely to be influenced by what you read in one newspaper, and more likely to seek out what experts are saying on issues like Brexit. In my view newspaper coverage, both of immigration and then of Brexit itself, were important factors behind Brexit, and may be part of the reason that Scotland voted for Remain.

This suggests two social processes. First, this economic dynamic based on growth in cities sorts those at different points of the cultural axis by geography. Second, and I think more importantly, where you are in this cultural axis may not just be the result of your genes, but may also be a result of this sorting process itself. Liberal attitudes may be encouraged by a university education and working in dynamic, diverse cities.

In a dynamic environment where there are plenty of opportunities, diversity seems like a natural consequence of that dynamism. Indeed it may even be seen to contribute to the dynamism, which in fact it does. And of course a university education often gives you a skill set that defines your class position. In contrast, if you live in areas that are economically stagnant you are more likely to see things in terms of a zero-sum, us and them mindset. If immigrants arrive, or you fear they might arrive, you naturally think that they must take away something you already have. These are all tendencies of course. There are plenty in the cities who see little benefit from their dynamism, and plenty in the countryside who are much wealthier. There are Leave voters in dynamic cities and Remain voters in the countryside.

Power and Populism

There is one additional point about this segregation between dynamic cities and more stagnant towns. Political power generally resides in dynamic cities, and this leads to a perception at least that the political elite acts only in the interest of the cities. As a new and fascinating paper by Will Wilkinson argues for the US, this economic divide that both sorts for and encourages certain social attitudes among those in cities can cause resentment and alienation in the rest of the country to a degree that can create the conditions for populism to flourish.

Trump’s support, like support for Brexit, comes from rural America or areas of industrial decline, while most in dynamic cities view this type of populism with incredulity. Population sorting, where power and growing wealth lie in cities where the governing elite rule, leads to self-reinforcing resentment against the elite from those who live elsewhere. That resentment can manifest as simply protest, as happened with the gilet jaunes in France, or it can be captured by politicians or policies that pretend to attack the elite.

Where does that leave our original two dimensional conception where most of the Brexit action takes place on the socially conservative to liberal axis? We can now add two key caveats. First, while a position on this axis is often portrayed as reflecting innate characteristics, it may also be in part a consequence of economic forces and class. Second, support for Brexit may in part reflect some basic economic forces to do with the geography of economic dynamism in predominantly service economies.

Does this mean those arguing that Labour should support Brexit because the working classes are more likely to support it are right? Of course not. Brexit, like Trump, will do nothing to help the working class, and Labour should never become a socially conservative party. Indeed Brexit will do precious little to help any of those that voted for it: it is an utterly stupid policy. But equally seeing this as a culture war that the progressive side have to win is much too simplistic. The roots of our current populism are based on an economic dynamic where growth occurs in large cities, and an economic system that does not spread enough dynamism, knowledge, wealth or power to the rest of the country.



Tuesday, 4 June 2019

Labour’s position on Brexit is not a compromise, but is taking the wrong side


The elections for the European parliament showed us the implications of a basic imbalance in politics today. Brexit is the dominant issue, yet both of the major parties support one side, the Brexit side. The Labour leadership tells itself that it is trying to bring the two sides together. It tells itself, by aiming for a softer Brexit than May wanted, it is trying to compromise. But as someone once said, Brexit is Brexit, and those voting in the European elections agreed.

To see why Labour’s position will not bring people together, just look at what happened to the Conservative vote. May was trying to achieve a very hard Brexit, where we were neither a member of the Single Market or Customs Union. She failed mainly because the Brexit extremists in her own party did not support her. European election voters punished the Conservatives and sided with the Conservative extremists. They didn’t want compromise.

Suppose Labour, after winning a future general election, enacted their softer Brexit. Would voters come together recognising Labour had attempted to unite both sides? Those voting for the Brexit party of Nigel Farage certainly would not. That slightly more Labour voters from 2017 voted fot the explicit Remain parties combined than Labour in the European elections suggests no appetite for compromise on that side either. Labour would instead suffer the fate of Theresa May and be hated by Remainers and Brexiters alike.

It is for that reason that this discussion is purely academic. Not because Labour would not win an election advocating a softer Brexit: there is a non-zero probability they would. Instead it is because Labour would end up being like Theresa May in failing to achieve their desired Brexit. As I argue here, the Conservatives would say Labour’s Brexit was a betrayal. Labour would only stand a chance of getting it through parliament if they agreed to have a second referendum with Remain on the ballot, and they would lose that referendum badly because Remainers and Brexiters would vote against them.

This dislike of a compromise is not irrational. Brexiters have ending up with No Deal because anything else fails to get complete independence from the EU. They are quite right to say that a softer Brexit would be worse for sovereignty than Remaining, because it amounts to pay, obey but no say. Equally for most Remainers a soft Brexit is qualitatively worse than staying in the EU. Look at the way the EU has supported Ireland in these negotiations, they would say. The moment you leave the club, you lose the backing of one of the most powerful political and economic organisations in the world. They are quite right to point to the many flaws in believing that the 2016 referendum is a mandate for any particular type of Brexit.

Why therefore are Labour antagonising their 2017 voters and their members by having a Brexit position that will be very unpopular and impossible to achieve? The answer normally given is that this is the only way to win a general election. Anything else risks losing ‘heartland seats’ because Labour voters will vote for a Brexit party. While this idea might have had some validity in 2017, it has since become an article of faith rather than an evidence based argument.

The basic problem with this argument is that there are many Remain voters in the constituencies that voted Leave in 2016. Polls throughout 2019 suggest a 3 to 1 ratio: by supporting Brexit Labour are losing three times as many Remain voters as any Leave voters they would lose by supporting Remain. The European elections backed part of that finding up with actual votes, and also suggested Labour are in danger of losing Leave voters anyway with their current stance. If anything like that ratio persists, they will lose their traditional heartland seats because Remain voters will not vote Labour.

The table below is from the Ashcroft exit poll for the European election. It compares the percentage of voters who voted for Labour or explicit Remain parties, and also the Leave/Remain balance, by region. The most Leave orientated regions are to the left. Overall this sample is almost certainly biased to Leave voters, because only a tiny number of young people (18-24) voted, and polls regularly show a small lead for Remain over Leave.

%
EM
NE
York
WM
East
SE
Wales
NW
SW
Lon
Scot
Leave
59
55
54
54
54
52
51
50
50
39
37
Remain
38
38
43
42
42
45
45
45
46
57
59
Lab
11
21
17
17
9
9
12
23
11
17
10
LD,G+
33
28
35
31
40
40
43
34
43
46
62
Lab L
4
7
6
6
3
3
4
8
4
6
3

The first point to make is that the outliers here are London and Scotland. Elsewhere, the Leave vote varies from 59% to 50%, and the Remain vote from 38% to 46%. The idea that leave voters are predominantly in the ‘North’ is nonsense. (If anything, the English divide is East versus West outside London, but it is still a small tendency rather than a real divide.) A key consequence of this observation is that areas like the East Midlands and the North East still contain many Remain voters.

These voters made their choice on the basis of the current policy stance of their parties. Nationally about a third of Labour voters in the European election want some kind of Brexit (Ashcroft does not give a regional breakdown), and two thirds want to Remain. The final row applies that percentage to the Labour vote in each region to get the percentage of Labour leavers. These are the maximum number of voters that Labour could lose from its European election result if it became a Remain party. Compare that to the total number of Remain voters, nearly all of whom could vote Labour if it became a Remain party.

The article of faith that those who justify Labour’s current stance cling to is that Remain voters will return to Labour in any general election, while if Labour became a Remain party any Leave voters would be lost. Examples in the past of protest votes that have all but disappeared are given to justify that faith. But it is never explained why Remain voters will come back to Labour even though it supports Brexit, but Leave voters will not come back in a general election if Labour supports Remain. In addition Brexit is not like anything in the past. It has divided the country like no issue before it. As I showed above, you really need pretty well all Labour Remainers to return to the fold to get a number smaller than the number of likely Leave losses.

The idea that Remain voters, and not the Leave vote, will return en masse to Labour in a general election relies in part on a universal use of tactical voting that is simply unrealistic. A good example will be the forthcoming Peterborough by-electon, which is a classic example of a Leave marginal that we are told Labour has to keep its current Brexit policy to win. If the European elections are anything to go by, Brexit will win. In 2017, when Labour just won, the LibDem and Green vote was small. Let’s see if Labour voters from 2017 will unite to keep the Brexit party out.

Some say it worked in 2017, so why will it not work in the future? Many things have changed since 2017 (when Labour still lost). The stance of the EU is now clear, and therefore so is the range of deals the UK could possibly get. The Remain movement is much stronger. But the Labour party has also changed. The 2017 election was the era of Starmer’s 6 tests, which included the ‘exact same benefits’. Today those tests are gone, and instead we have prolonged negotiations between the government and Labour over a possible Brexit deal. Too many Remainers who voted for Labour in 2017 feel they can no longer trust Corbyn on Brexit.

The weakness of the argument to keep current policy and ignore the European elections and the polling evidence has lead some to resort to nostalgia. The argument goes that the working class support for Leave is above the national average, and Labour should be a party of the working class. Labour is becoming less and less a working class party. Supporting Remain would be to “abandon much of the working class – and with it any prospect of a Labour government” according to Lisa Nandy.

There are three main holes in this argument. First there are plenty of working class voters that support Remain. Adopting a Brexit policy, even if it is milder than Theresa May’s hard Brexit, is in danger of alienating those voters. Second, Labour stopped being the party of the working class some time ago. Its heartlands today are in large cities and university towns, and supporting Brexit betrays its new heartlands. It betrays the young who overwhelmingly support Remain and overwhelmingly support Labour.

Third, the way you get the working class vote back is by promising or enacting economic measures that help the working class, and not by offering a weaker form (in their view) of Brexit to socially conservative working class voters. If Brexit, then why not immigration? If you think about it, Labour have been trying to appease exactly the same group of voters who voted Brexit for at least a decade, and they have failed miserably for one simple reason. Anyone who wants Brexit enough not to vote Labour is not going to be convinced by a party that is Remain at heart and which is offering them a half baked version of what they want. It was true for immigration under Blair/Brown and Miliband, and it remains true for Brexit.

I said there was still a chance that Labour with its current Brexit policy could win the next election. However the probability that it could win an election with a new policy that fully supports Remain is much higher, and certainly over 50%. The Leave voted could be divided, but the Remain vote if Labour supports Remain much less so. The key to any change in policy is to recognise that, thanks to the Brexiters, a ‘middle way’ (Labour’s current policy) is no longer possible. It will always be opposed by a blocking coalition of No Deal Brexiters and Remainers. The choice is now No Deal, a hard Brexit under the Tories or Remain. Of those three Labour have to support Remain.

What about a small shift in Labour policy, supporting an unconditional People’s Vote where Remain is always a choice on the ballot? The trouble with that policy is it traps Labour with endless questions of under what circumstances Labour would support Remain. Instead of the campaigning party Labour should be on Brexit, it becomes in most voters eyes the party of convoluted explanations. The next Brexit battle is to stop No Deal, and Labour can only do that effectively if it stops pretending it can achieve a softer Brexit.