Showing posts with label in/out referendum. Show all posts
Showing posts with label in/out referendum. Show all posts

5 December 2016

John Key’s real legacy is his lack of blunders

Imagine a Tory Prime Minister chosen to lead his party in 2006, and stepping down in 2016 on his own terms with a long spell of successful leadership in government. The books had been bought back into surplus, troublesome referenda results quickly forgotten, he's still overwhelmingly picked as the 'most popular leader' – and his party is sitting on around 50% in the polls. Not, not the restless dreams of David Cameron, but the record of John Key, New Zealand's soon-to-be ex-PM, who unexpectedly announced his resignation earlier today.

John Key (Getty Images)
Arguably one of the world's most successful centre-right leaders since the Thatcher era, Key has dominated New Zealand politics in the past decade. His National party has held near-majority government despite a proportional electoral system that was meant to make such an occurrence impossible, and his departure has given Labour (currently polling worse than its British sister party) a sliver of hope – Andrew Little, the sixth opposition leader to be thrown into the amphitheatre to face Key, looked visibly relieved heaping praise on the man who'd devoured his predecessors.

Yet for Key's electoral success there isn't much that screams 'legacy' about his time in office – nothing like Reagan, Thatcher, Kohl, or even Blair. His Labour predecessor Helen Clark created the KiwiSaver compulsory superannuation scheme, and renationalised New Zealand's railways. Key's triumph has been playing the hand fate dealt exceptionally well. He's delivered stable, business-friendly government against a backdrop of the global credit crunch, and ran deficits to shield New Zealand, a country heavily reliant on international trade, from the worst of the economic slowdown. There's been massive investment in transport infrastructure, welfare has been reformed, and the hard work of getting Christchurch back on its feet after the 2011 earthquake is underway – imagine demolishing the bulk of Central London and you get a sense of the task's enormity.

Key's goofy moments – memorably pulling a waitress's pony tail – sent the Left into meltdown, but my gut feeling is his 'embarrassing uncle' antics quietly endeared him to the majority of New Zealanders. He's the son of a single mother who grew up in a council flat, married his childhood sweetheart and became a self-made millionaire, yet enjoys popularity comparable to pre-Brexit Boris.

So why step down when he's on top, with another term beckoning? Key (who turned 55 in August) said he had 'left nothing in the tank'; he's a workaholic, not a chillaxer, and three decades of punishing work hours as one of Merrill Lynch's top currency traders and at the top of politics are enough. He's served his country, he's estimated to be worth £30 million – and wants to spend time with the family he's clearly devoted to, judging by the social media insights care of his now celebrity children. He says his decision to step down was made in September, and as his helicopter swooped over the shattered roads and railway tracks on his way to visit communities hit by last month's 7.8 earthquake I wouldn't blame him if he quietly felt relieved knowing someone else was going to shoulder responsibility for the rebuild.

The big shake almost certainly delayed his resignation announcement until today. New Zealand's three year parliamentary terms means resigning before Christmas gives his successor a clear run into the General Election. Key said he'd 'taken the knife to myself to allow others to come through', but the 19 (out of 60) National MPs elected by the list will need refreshing too – a messy job more easily accomplished by a new leader. There will be some nervous members in the party's caucus, keenly trying to ensure they back the right horse in next week's leadership ballot.

And for all the sense that New Zealand is doing well, with the government back to running a surplus, there remain some big challenges that Key has avoided tackling. Auckland's dysfunctional housing market is beginning to make London look like good value. The pension age remains unsustainably low at 65. Immigration levels are increasingly worrying some of the National Party's base. And while Key's government signed free-trade deals with Malaysia, Taiwan and Hong Kong, years of work into the Trans-Pacific Partnership went up in flames during the US election campaign – so salvaging something out of the wreckage will be a priority for the next Prime Minister.

The collapse of the TPP ranks second to Key's biggest regret – failing to persuade New Zealanders to ditch our Union Jack-based flag in a $22 million, two referenda consultation. But in the scheme of things it's hardly an illegal invasion of Iraq, or making the wrong call in a Brexit referendum. Not a bad disappointment to have after eight years at the top.

First published by Coffee House on December 5th, 2016

19 June 2016

Why I've voted to leave the European Union

The EU referendum is the biggest question British voters (myself included) will have to wrestle with in a generation. General elections come and go, but deciding on our EU membership transcends the electoral cycle and normal political allegiances. As a postal voter in New Zealand I've already voted 'Leave', so I thought it’d be helpful to explain why I think membership of the European Union is bad for Britain.

Both sides have have used 'facts' to underline their positions – but in both instances 'facts' are often tosh. The Treasury's claims that households will be poorer if Britain doesn't vote to remain in the EU are nonsense: back in 2010 the Treasury 'predicted' the Government would be in surplus by now, yet here we are after six year of Conservative government still very much in the red. Likewise, Britain pays £350 million a week to Brussels, but it does get some of that back in return investment – the real figure is more like £180 million a week (still an enormous amount of money).

You can use 'facts' to make the case for a vote each way – little wonder people are sick of politicians!

So for me the referendum debate isn't a game of Top Trumps. There isn't an EU referendum statistic that beats another stat, but there are parallels that resonate – and this is what I've based my vote on. The big issues that swayed me are as follows:

1) Accountability – This is one of #VoteLeave's big arguments: the European Commission is responsible for setting a decent chunk of British law (around 30%, depending on who you listen to) yet of the 28 Commissioners only five have any commercial experience – the rest are career politicians, academics, lawyers, and so on. As someone who enjoys election campaigns the idea of people making the rules without being answerable to the country appals me (and yes, I support reform of the House of Lords). The European Parliament is merely an advisory body, and besides – no-one knows what Members of the European Parliament do. Can you even name your MEPs?

Oh – and there’s the small problem of the EU failing to sign off its accounts for almost two decades. It’s estimated that over £5 billion of the annual EU’s budget is lost to fraud. If this was the record of an elected government the politicians would be out of office – but the EU Commissioners are appointed, so they aren’t exactly sweating on this.

2) Eurozone integration – It's clear that the Eurozone will need to consolidate if the Euro is to be viable in the coming decades. Britain – outside the Eurozone – won't be part of this, so regardless of whether we vote 'In' or 'Leave' we'll be on the periphery of the next phase of the EU. Second class European citizens, yet still paying in more than we get out. If the referendum is won by ‘Remain’ then polling suggests it will be by a tiny margin, with debate in the UK and with our European partners dominated in the years ahead by a sense that almost half the population wants out. Let’s pull off the plaster and start building a new relationship with the Eurozone countries, and let them take the necessary steps towards integration that are desperately needed to get their economies back into real growth.

3) Trade – Britain is tied to the EU when negotiating trade agreements. The 'Remain' camp say the EU's size helps during trade negotiations, but this isn't true. As a half-New Zealander I've seen how successive governments in Wellington have been able to secure trade deals with the world's major economies. Smaller is better – which explains why New Zealand has secured trade deals with China, the US, Japan and almost all the major economies in Asia. The larger the block, the more vested interests there are to slow down trade talks – and Europe’s arms are regularly tied by French farmers, Romanian leather manufacturers, and so on. The EU trumpets its deals with Mexico and South Korea (New Zealand has also signed deals with these countries) but on a global level they are small fry. Where is the EU trade deal with China? The US? Brazil? These crucial agreements won’t be signed anytime soon, and that’s a real financial loss for the British economy. 

Put simply, the EU is millstone for the UK's global trade ambitions – disastrous given that we're in the era of the container ship and digital trade.

New Zealand's Free Trade Agreements (2016)

4) Less government – The EU's enormous bureaucratic machine is well known to Britain. 10,000 people working for the EU in Brussels take home more pay than David Cameron. And when all the member states were tightening their belts in recent years it was a major struggle to get the EU to reign in its spending. Totally out of touch – so a vote to leave the EU frees Britain from this awful culture of waste.

5) An outward looking Britain – I’d argue that Britain is the most globally engaged European country. I remember organising a fundraiser at one my local curry houses in Tooting – I'd managed to get a junior minister along, and the owner of the restaurant grabbed him by the lapels and told him the government was stopping him from bringing in the talented chefs he wanted to help his business thrive, while the Italian restaurant up the road had no such barriers to contend with. “How is this fair?” the restaurant owner asked.

Likewise James Dyson wants to bring the best engineers to help make his amazing vacuum cleaners – but the Government's clampdown on non-EU migrants makes this impossible. Not cool. I want Britain to be open to the brightest and best in the world, and I simply note that New Zealand (where my family is from) has a net immigration level three times higher than the UK, yet people are relatively comfortable with this because they know the government has the ultimate say on the numbers, and can match skills to the needs of the labour force. 

Blanket freedom of movement has seen wages stagnate, and zero hours contracts are being promoted under EU Flexible Labour Market rules. Millions of Britons are being undercut by workers who are happy to share rooms and send their pay packets home to to their families in countries where the cost of living is substantially lower. High levels of immigration have also pushed up the cost of housing, both in terms of rent, and the overall cost of property – and put enormous pressure to build on yet more of the British countryside.

Migrants should be celebrated, but the EU's open-door freedom of movement means this often isn't the case.

The perceived lack of control on immigration is utterly toxic for politics in the UK – particularly when politicians shut down anyone who disagrees by calling them ‘bigoted’. But it’s also toxic for anyone coming to the UK and bringing their skills to help make the country a better place to be.

As a sovereign nation Britain can adopt an immigration policy in line with the population's wishes. Current polling suggests freedom of movement agreements with countries like New Zealand, Australia and Canada would be popular, but we could extend these to Poland, the Netherlands, and so on – if that was judged to be in Britain's interest.

6) Progressive values – The 'In' camp suggest Brexit will lead to a bonfire of worker's rights, and so on. This simply isn't true – important UK legislation like the Equal Pay Act came into force before Britain joined the (then) EEC, and British values are based on 800 years of common law, Magna Carta, parliamentary democracy, and so on. At the risk of pointing out the obvious, Britain was one of a handful of European countries during the early 1940s that remained open and tolerant, while much of Europe was up in flames. All of which predated the EU. The Labour Leave campaign has a lot to say about how the EU is bad news for the progressive agenda

A Brexit vote won't suddenly turn the country into a Nigel Farage theme park. Blighty will still be home to generous, tolerant people who want a country that's open to the world. New Zealand is a modern, progressive country – and we’ve done this without being EU members. What is so inherently wrong in Britain that you need to be in the EU to remain ‘decent’? It’s a nonsense argument.

7) Security – Supposedly the crowning triumph of the European Union is a lack of war on the Continent since 1945. This is nonsense, of course – it is NATO that has secured peace since 1945, and regardless of next Thursday's vote the UK will still be one of its leading members. Britain will also remain in the ‘Five Eyes’ intelligence network – it’s the most powerful intelligence organisation in the world (with the US, UK, Canada, Australia and New Zealand). Our European partners rely on intelligence we pass onto them, so any suggestion that we may be punished if we leave the EU is utterly ridiculous.

Field Marshal Guthrie’s recent endorsement of the Leave campaign pointed to the importance of building relationships with reliable allies that are willing to act. Lord Guthrie felt German attitudes to Croatia during the 1990s Balkan crisis created a sort of paralysis that led to the unnecessary loss of thousands of lives. “To get 28 people sitting round a table being decisive is very, very difficult. If you have a European Army, you will find that lots of those taking part will see it as a way of getting a seat at the top table as cheaply as they possibly can. Then they can actually do less, and the equipment programmes and the size of the forces suffer. When it comes to leading, you want a very clear chain of command, capable of making quick decisions.”

The 'EU gives us peace' argument also overlooks the war currently raging between Russia and the Ukraine. The latter would love to join the EU, but this is impossible given its corrupt public sector is wholly incapable of administering government in a manner acceptable to EU members. Ukraine remains outside the EU, and won't be joining for a generation. The EU in its current form is focused on government, rather than trade, and that's deeply destabilising for countries around Europe's periphery that are decades away from having the sort of administration capabilities that would enable them to join the EU. Greece's government is barely able to administer EU law – and look where they are now.

The Times (Feb 3rd, 2016)
8) EU reform is impossible – Brussels desperately needs to drive a genuine reform agenda, given that the Euro has destroyed the Greek economy (it hasn't been great for Spain or Italy either) and with the far right currently surging upwards in the polls across Germany, Austria, Poland, and so on. These are fully-blown fascist parties, by the way, the likes of which we haven't seen in the UK – yet.

But David Cameron's failure to secure meaningful concessions demonstrated just how incapable of reform the EU, and the idea that by staying in Europe we'll bring about change is naive. Besides, what do you think the EU will look like in two decades time? Will it even exist? Will Greece have finally been booted out? Will the 'passport free' Schengen Zone have been wound up? And will the Eurozone have integrated its tax system to try and make the single currency work? A vote to remain in Europe is a huge political gamble, but all the more so when the EU's leadership has demonstrated time after time its unwillingness to cast a critical eye on itself.

So that's why I've voted to leave the EU.

I'm optimistic about Britain's future – there's not a smidgeon of 'Little Englander' in me – and a vote to leave the EU will mean a Britain that is more progressive, tolerant, and prosperous than at the moment. If the likes of Dyson and JCB want Britain out of the EU, then I’ll listen to them any day over the faceless bankers and career politicians like George Osborne. It won’t be an easy transition, but likewise it won’t be the disaster some on the ‘In’ camp have suggested. Leaving the EU is a decision that will benefit Britain and Europe for decades to come – and will allow us to re-engage with the world.

Please Vote Leave on Thursday.

First published on my Facebook page on June 19th, 2016

25 March 2015

(Only) three reasons to vote Conservative in May

The polls say the election’s outcome is up in the air, but one thing is clear – the Tories are close to passing the 36.1% share of the vote won in 2010. No mean feat given the perils and challenges of five years in office. Of course there have been a few facepalm moments (ask me after May and I’ll give you my list) but overall David Cameron’s government has been one of innovation and reform – not a bad record when the books left by Labour offered little room to breathe.

That I’ll be voting for the Tories on May 7th is hardly a revelation given that I stood for council on the blue ticket last May, enjoyed (rather than endured) my first party conference a couple of years ago and have traipsed off to all sorts of by-elections around the country. But forget the slightly tame election promises and #LongTermEconomicPlan – here are three concrete reasons why I’ll be out pounding the pavements for the Tories in the run-up to May 7th – and why you should consider voting for Conservative too.


Apprenticeships

It is the Conservatives who are the party of opportunity – not Labour – and if you want proof of that just look at the how we’ve revitalised apprenticeships. I’m not sure whether it’s healthy to have a favourite graph, but here’s mine. Note how women have been doing better under the Conservatives then under Labour.


In 2010 the Conservatives committed to creating 400,000 apprenticeships. Here we are five years on and we’ve created 2,000,000 apprentices. In comparison Labour’s idea of opportunity was telling everyone to go to university: ‘why do an apprenticeship when you can have a degree?’ This was a betrayal of the idea that some people might actually be able to enter the workforce and secure skilled, well-paid employment by in-work training, paid for by the employer.

Apprenticeships were a massive part of Britain when we made things and exported to the world, but cruelly Blair and Brown saw them simply in the context of their inept class war. Besides, who needs skilled British workers when you’re one of three EU countries not to put in place freedom-of-labour controls when the EU expanded eastwards? Much easier to bring over the cream of the Accession States’ workforce.

And note how quickly Labour have forgotten their disgraceful record on apprenticeships:


Wow, 80,000 apprentices. That’s 80% fewer than the Tories promised in 2010, and 4% of the apprentices created during the five years of this Tory government. It is David Cameron’s government that has done the hard work of rebuilding apprenticeships, which are so important in the fight to upskill our workforce, improve productivity – and transform people’s lives.


Public Transport

Crossrail tunnels (John Zammit)
Like most people in the South East travelling on the railways and underground is a big part of my life, and the good news is that this government has poured enormous amounts of money into future-proofing the transport network.

Labour electrified 13 miles of railway under Blair and Brown. One poxy mile per year in government. In comparison we’ve just about finished electrifying the entire railway from London to Wales in five years. Work on Crossrail (London’s new East-West underground line) is on target for completion in 2018, by which point Crossrail 2 will be well underway – much to the relief of Northern Line commuters. George Osborne was under pressure to cancel these projects, but he recognised how vital it was to have transport that was worthy of London’s position as one of the world’s great cities. Likewise hundreds of railway platforms across the country have been lengthened to accommodate longer trains that are being brought into service – why we’re not shouting about this I have no idea.

And an enormous overhaul of railways in the North-West is being delivered – new electric trains through Manchester on the new Ordsall viaduct, with big service improvements – like Chester to Manchester in under 40 minutes (over an hour at present). Labour likes to think the North is its home turf, but what did they do for commuters in Manchester, Leeds, Liverpool, Preston, and so on? The Conservatives have made the investment that is helping increase the reliability and capacity of the railways, and helping more people get a seat in the morning.


Leadership

Perhaps the most contentious of the three points, but I really do think David Cameron has shown genuine leadership as Prime Minister in the past five years. He has held together a government with the Liberal Democrats, our most despised opponents. I was on the officer team of a rock solid Tory Association outside the M25 for much of this parliament, and vividly recall our Chairman announcing his defection to UKIP as the first item on our AGM – so I have some insight into how difficult his position must have been.

Yet look at the alternatives. Wind up the government half way though? We’d have been slaughtered in the polls. Avoid addressing gay marriage? Labour would have introduced it from the opposition benches and caused all sorts of havoc. Cameron didn’t bow to UKIP’s agenda, the wisdom of which can be seen as the latter’s credibility disintegrates in the run-up to May 7th. It’s easy to bag Ed Miliband, but has he demonstrated the qualities needed to lead a government as Leader of the Opposition? I – and seemingly many others – think not. And Clegg’s lot has found coalition politics to be as comfortable as snuggling up to a boa constrictor, with single figure poll ratings since 2011. This May will see seats turning blue that have been yellow for decades.

There’s also the issue of the European Union referendum. I’ve always felt our EU membership is like an unhappy marriage: we need to try counselling before we divorce, and that’s what Cameron’s renegotiation is all about. Let’s see how serious Brussels is about changing. The EU is a political construction for wealth redistribution and regulation generation completely at odds with European project’s founding aim of building peace through economic activity, and I’d almost certainly vote to leave. But I want a proper national debate before any decision, and my gut instinct says that rushing a referendum makes a vote to stay in more likely – and then where will we be? Confirmed members of an EU that has little incentive to reform. So the Prime Minister is spot on: 2017 is the right date to hold the referendum.

Perhaps David Cameron will never be held in the same affection as our party’s great leaders, but I can’t imagine he’s particularly bothered. What I imagine he does worry about is getting Britain heading in the right direction after the precarious position that Labour left us in 2010 – and he’s done a pretty good job of that.



Which brings me back to my starting point. Back in the depths of 2013 I bet a particularly recalcitrant district councillor £20 that we’d be ahead in the polls in the run-up to the general election – and here we are, ahead in the polls and ready for the heat of the final weeks before polling day. Apprenticeships, transport and leadership are small fry in the bigger picture of rescuing the nation’s economy. But they’re indicative of a government that has taken tough decisions, improved people’s lives, and put us on the right course for the years ahead. That’s a record I’m proud to campaign on – and one that appeals to the heart as much as the head.

First published by Platform 10 on March 25th, 2015

8 December 2014

David Cameron and the Pope as bosom eurobuddies? I didn’t see that one coming.

Did you miss the big speech on Europe? Fresh from pushing his followers towards a more liberal line on gay rights, it was David Cam – actually it was Pope Francis who made the most telling intervention on the future of the EU, warning MEPs in Strasbourg that the European project was ‘no longer fertile and vibrant’ and ‘slowly losing its own soul’.

He is right. Millions of British small businesses already know that the EU’s appetite for regulation is denting their competitive advantage – Brussels-approved oven gloves being the most recent example of a regulatory mindset that is at odds with the founding vision of creating wealth and security through trade between nations. Everyone in business has their own examples of how Europe’s bureaucrats have given them the benefit of their limited wisdom: vacuum-cleaner manufacturer James Dyson is critical of ‘sustainability legislation that rewards sustained mediocrity and waste’ and is taking the European Commission to court over its latest efficiency regulations. I know who I’d trust to make decent domestic products – and it isn’t Jean-Claude Juncker.

That the European Commission is so blind to the realities of commerce is hardly surprising. Only a handful of the 28 commissioners have any meaningful commercial experience running the sorts of businesses that ultimately pay their bills. The vast majority come from the law, academia and professional political careers, which perhaps explains their surprise that an unexpected bill for £1.7bn might piss off the unfortunate people having to cough up the readies. Likewise a shortfall to the tune of €259bn would prompt a fairly robust internal efficiency drive in the business world.

There is an arrogant culture of command economics, and you know we’re in deep trouble when the Commission President says ‘If Europe invests more, Europe will be more prosperous and create more jobs – it’s as simple as that’. Pope Francis’s description of the ‘bureaucratic technicalities’ of the EU’s institutions is spot on.

Over to the other speech on Europe: David Cameron was very good. Immigration is a big concern for people – I certainly found that canvassing back before the last general election. The UK’s system for redistributing wealth does throw up some clear incentives to up sticks from countries less well off than the UK. But remember that freedom of movement can also equate to asset stripping of nations, and in the past decade we’ve undoubtedly benefitted from harvesting some of the brightest, most laborious and entrepreneurial people from the EU’s newest members – and what their home country has gained in remittances, it has certainly lost in people with energy and innovation to drive their domestic economies forward. Tighter immigration controls may well be more palatable to scrapping tax credits for migrants (which I worry risks creating an underclass of migrants living on very, very little) but the depth of EU reform needed to restore controls over movement might require divine intervention.

So the battle to shape the future of the EU was laid out by two very different voices. One rooted in pragmatic politics, with a tougher line on immigration pitching to Labour’s blue collar voters as much as it is aimed at neutering, if not shooting, Nigel Farage’s fox. But it was the man from the Vatican whose critique resonated strongest with me, given the immense challenge of reforming the EU in the face of inertia from beneficiary states, not to mention the 23,000 people employed in Brussels’ ivory towers. Cardinal Bergoglio’s career was built on humble service and fiscal discipline with the Church’s resources, which sounds like something that the lawyers and professors of the Commission should be up for. But David Cameron and the Pope as bosom eurobuddies? I didn’t see that one coming.

First published by Platform 10 on December 8th, 2014

7 April 2014

The Ryanair Generation knows the EU needs reform

Reading David Cameron's Telegraph piece on his vision for a reformed European Union found me reflecting on a conversation I had a decade ago with my friend Paul. I'd been in New Zealand for the past five years and was in the final throes of packing up to move back to London. Paul was – with the help of a lot of beer – telling me what a whale of a time I was about to have.

“Europe's changed, mate,” he explained. “You can fly anywhere for a tenner. A flight to Zagreb costs less than a train ticket to Manchester. Girls, parties, culture – it'll all be on your doorstep once you're back in London.”

He was right. At the drop of a hat Michael O'Leary and Stelios did more for European integration than decades of Brussels edicts could ever have hoped for. If you're under the age of 40 you're part of the Ryanair Generation – with workmates from Poland, Hungarian girlfriends (or boyfriends), stag weekends in Prague and summers spent on the Adriatic coast.

So on the face of it Cameron's 2017 referendum isn't a big deal for us: we're more concerned about finding work, getting qualifications, the cost of transport, buying houses and falling in love. 'Banging on about Europe' isn’t on the radar.

But our international outlook also means we know just how unrealistic the whole notion of 'ever closer union' is, given our first-hand experience of the huge cultural diversity across the Continent. This sits uncomfortably with a sense that our destiny lies with Europe. The current Ukraine-Russia crisis is the perfect illustration of this dilemma. British sympathies are overwhelmingly with the pro-West faction in Ukraine, and whatever is left of Ukraine after Putin has dissected the country will be desperate to join the EU, which – given Kiev's current predicament – is entirely understandable.

The genesis of the European project lies in the formation of the European Coal and Steel Community in the aftermath of World War Two, which aimed to build security through trade. Six decades on from this the Ryanair Generation's natural instinct would normally be to welcome Ukrainian accession with open arms. Yet this is obviously not going to happen given the unitary design of today's EU, with its high barriers to entry. Ukraine is even more corrupt than Russia and its economy is smaller than Romania's, despite having double the population. Ukraine in the EU would be an administrative catastrophe, with a bonanza of passports for sale from dodgy officials, and destructive brain-drain of the country's brightest and best heading west to secure better wages and better life prospects.

As things stand full EU membership is an unrealistic dream for Ukraine, which is a pretty damning verdict on the introspective political cadre in Brussels. David Cameron's agenda for reforms has the potential to get the EU heading in a more sustainable direction, which as anyone living in Lviv or Kiev knows can't happen soon enough. The Ryanair Generation wishes him well.

First published by Bright Blue on April 7th, 2014