The Austerity Illusion

 

There are now just hours to go until the public will be taking to the polling stations and casting their votes for the general election. Tensions are running high and I swear to God if I hear Theresa May come out with a pathetic sound bite one more time I’m going to lose my shit and run through a field of wheat with a covfefe on my head.

The reason that these sound bites are so frustrating is because they hold about as much irony as when she said that the UK hasn’t done enough to tackle terrorism, when that has literally been her job for seven years.

Coalition of Chaos

We have heard countless times, members of the conservative party referring to a Coalition of Chaos, supposedly headed up by Jeremy Corbyn. How unthinkable – parties with opposing views joining together to run the country as an unelected Government! The fact is that we have already seen a coalition of chaos. 2010 brought us the Conservative/Lib Dem coalition, providing with us with David Cameron, our very own unelected Prime minister (they seem to have a habit of doing this). During their five years in power, the Conservative/Lib Dem coalition embarked crippling austerity, causing the start of unimaginable chaos to our public services. The parties introduced the following austerity measures;

The bedroom tax; aimed at low income/unemployed families - according to the TUC, this affected a total of 31% of all working age families in the social rented sector. They also slashed Legal Aid, the top rate of tax was cut from 50p to 45p, we saw Sure Start centres from across the country being shut down (612 in just four years) [site 4children], the Sure Start Maternity grant was also abolished - costing low income mothers £500 and hitting the poorest the hardest, education maintenance allowance for 16-18 year olds was snatched from the hands of the poorest students attending further education, the armed forces were cut - creating a loss of thousands of soldiers, as well as the RAF losing hundreds of helicopters and planes, Child Trust Funds were totally abolished, we have also seen huge numbers of changes to benefits. Child benefit was frozen for a total of three years, inciting a cumulative loss of £1,000 to families with two children, families receiving working tax credits saw a rise in the number of hours they had to work from 16 to 24…the list goes on, including cuts to GP surgeries, Remploy, Youth Centres, local council funding, local parks, police, buses, education, income support, youth employment and support allowance, prisons, public sector pay, mental health.

Basically the coalition government slashed everything they could get their paws on, if I were to list it all in detail it would take up the full blog post, however you can find all the information here.

Strong Economy

Two years on, now with a Conservative government in power and we are still seeing violent austerity across the country. We are being told that we must live within our means and that these measures will create a ‘strong economy’ (you know, that thing they have been promising us for seven years but we are yet to see).

Wrong.

The conservative government displays public spending in the same way as managing a household income. When you are tight on money you make savings through cutting out luxuries; you stop shopping at Sainsbury’s and go to somewhere like Aldi, you decide not to take that holiday that you’ve been planning, you cancel your gym membership – because who are you kidding? You never go anyway.

Cutting back on luxuries works well as a way to survive when you are low on money. The fact is that this logic is not transferrable to government spending and austerity is not about cutting down on luxuries – it is about cutting vital public services that help the majority of people living in this country to thrive.

By cutting funding to education, the poorest children are unable to gain the knowledge and skills that they so desperately need for the future. By cutting spending on mental health services we see individual’s health deteriorate, often resulting in a loss of employment, then housing and sometimes a loss of their own lives. By cutting benefits we see more people pushed into poverty and therefore further from the jobs market, more reliant on our underfunded NHS, more reliant on our underfunded social care services and more reliant on underfunded local authorities.

Do you see a pattern here yet? Circa 100,000 children fell into relative poverty in 2015-16, showing a year on year increase of one percentage point. Not only that but people with disabilities have had to withstand the worst of our government cuts, many of whom have literally had their human rights violated as a result of austerity. Between 1st April 2016 and 31st March 2017, The Trussell Trust’s Foodbank Network provided 1,182,954 three day emergency food supplies to people who literally could not afford to eat. Of this number, 436,938 went to children.

The Tories boast that they have created record numbers of jobs, yet fail to mention the record rise of in work poverty under their leadership; the Nuffield Foundation found that the risk of poverty for adults living in working households rose by more than a quarter (26.5%), from 12.4% to 15.7%, during the ten year period 2004/5 to 2014/15.

The fact is that there is nothing strong about one of the richest countries in the world having literally hundreds of thousands of citizens who can’t afford to feed themselves.

Magic Money Tree, Magic Money Tree, Magic Money Tree

On the BBC Election Debate, the night that our Prime Minister Theresa May went missing, we heard Amber Rudd squealing about Labours ‘magic money tree’. Throughout the campaign we have seen this phrase banded about – probably a tactic used to avoid the fact that the Labour manifesto is fully costed and has the backing of 120 economists from across the globe, while the only figures that appear to be in the Conservative manifesto (in the words of John MacDonnell) are the page numbers.

“There is no magic money tree!” we hear them scream, “We can’t just find this money from nowhere! We have to build a strong economy to afford such luxuries as money that allows people with disabilities to live independently and…you know…eat.”

Funny that, because it seems that there is quite a large sum of money floating around.

In March, the conservatives managed to implement their inheritance tax cut, meaning that couples who pass on homes worth up to £750,000 pay no inheritance duty. Not only this, but by 2020 even homes up to £1million will be exempt from the tax. According to figures from the House of Commons library, this measure will cost the taxpayers £1billion over the next three years, while only benefitting 26,000 of the country’s richest households – and I can guarantee those are not the ‘just about managing’ that Theresa May loves to speak about.

We have also seen a huge tax cut for high earners by pushing up the threshold for paying the 40p rate of income tax, we have seen a reduction in corporation tax and cuts to capital gains. They implemented the new ‘lifetime ISA’ which means that wealthy parents are now able to open tax free savings accounts for their children, deposit up to £4,000 a year and gain £1,000 of tax payer money as a bonus. On top of this they have allowed people with spare rooms, houses or flats to get a tax break on the first £1,000 a year they make renting them out online, not only benefitting people with extra properties but encouraging them to let them out on a short term basis rather than long term.

The fact is that austerity does not work. The method has been widely discredited by economists. Back in 2012, the International Monetary Fund’s (IMF) chief economist, Olivier Blanchard, said that although his organisation never bought into the notion that austerity would actually boost economic growth, the IMF now believes that it massively understated the damage that spending cuts inflict on a weak economy.

But why would our Conservative government continue down the path of austerity if it is doing nothing but pushing thousands of people into poverty and taking away any hopes for decent employment? It’s not like they are too stupid to realise what is happening. They aren’t doing it just because they hate poor people, people with disabilities, mental health needs, single mothers and everyone else who is losing out. Nor is this an accident. This is a very well planned out dismantling of our welfare state and it is happening because it widens the gap between the rich and the poor, it strips the pockets of the most vulnerable and in return, lines the pockets of the most wealthy.

I was going to go into a more detailed answer to this question but I think from today’s events and the headlines printed across our right wing mainstream media, it is very clear. The priority of the Conservative party is to enhance the interests of the ruling classes. The majority of our main stream media which happens to be owned by billionaires will continue to push austerian messages to keep this government in power, meaning that they can keep getting those juicy tax breaks.

Austerity is not just about cutting spending, it is also very much about privatisation of publically owned services. Conservative values mean that they are ideologically opposed to having a public sector. By privatising and selling off our public services, capitalism prospers, shifting the priorities of these services from serving the public to generating profits. Cue: zero hours contracts, low pay and restricted worker’s rights.

Is it any surprise that in 2015, the Conservatives signed their biggest private deal on our NHS - £780million to be exact – to private firms, half of which have ties to the party.

For the Many

Whatever the result tomorrow, we can take a glimmer of hope from this election. Not only has Theresa May’s car-crash of a campaign been highly entertaining to follow; starting by basing all promotional materials around May herself, rather than the Conservatives as a whole, presenting herself as a ‘strong and stable’ leader, followed by her refusing TV debates, avoiding the general public at all costs and basically imploding during questions given by TV audiences.

The real hope that we can take from this campaign is the excessive support that Jeremy Corbyn has harnessed from previously disillusioned voters. People from all walks of life coming out and backing him. The most vulnerable in society finally finding a voice in politics. The anti-austerity message that has finally been brought to the table.

Even if we lose tomorrow, this campaign has touched so many people and it won’t be forgotten by them. They will continue to vote and they will continue to hold our government to account. During Corbyn’s time as leader he has forced the Conservatives to make huge U-turns on policies that would have had a detrimental effect to the poorest in our country, with the backing of new voters, he or whoever takes his place, can and must continue to do this.

Social mobility on this level has never been easy and if Corbyn were to win it would be the most monumental change in political history dating back to the war. We must take his campaign as a victory and we must make a promise to ourselves and each other that we will continue to fight, for the many, not the few.