I am planning on attending the ‘
Can’t Pay, Won’t Pay’ rally tomorrow at which the Green Party’s MP Caroline Lucas and the venerable Tony Benn will be amongst the speakers voicing their solidarity with Greek workers. These workers are facing cuts to their wages and pensions as a result of financial mismanagement from their Government which has contributed to remarkable falls in global markets today. Although I am looking forward to the event given the esteem that I have for both Lucas and Benn, I have to admit that my first impression was that I don’t necessarily agree with what they, and the rally in general, are aiming to achieve.
Sure, I have sympathy for the plight of the Greek people and I have solidarity with them insofar that I hope they get through this tough period relatively unscathed but to oppose the proposed remedy for a financial crisis that threatened to wreak havoc across Europe is a big ask and requires an equally big alternative answer.
On the face of it, my approach to the Greek strikers is the same as that to Unite in the BA standoff, ‘roll with the punches and just get on with it’. However, I respect Caroline and Tony as politicians and would generally trust their judgement. With their views not so easily dismissed, I decided that I needed to be better briefed before tomorrow evening took place and the below is the twists and turns of my thought process on the matter:
Greece’s woes stem from the Government effectively running out of money and attracting huge rates of interest if it turns to the money markets to plug the gap. Consequently, Greece has turned to the IMF and the EU for financial help to ensure that it can rebalance its books and function independently. In return, conditions have been attached to some £20bn of bail out money including public sector wage freezes, increasing VAT, cutting or scrapping of bonuses, pension cuts and tax rises. There will be a nationwide strike in Greece tomorrow in protest at these austerity measures and, presumably, it is primarily this strike that tomorrow’s rally is in solidarity with.
My first reaction remains my current one, at the time of writing at least. There’s no easy way out of a financial hole that starts plumbing its own new depths and there is little choice for a weakened Government but to target its public sector. Tax companies too harshly and they fold or leave the country. Tax the super-rich too harshly and they head for Monaco. What is left to be done but squeeze the masses as much as is required to balance the books? It’s painful and unpleasant, but it is necessary, ne c’est pas?
Well, perhaps not.
Considering my initial take on the answer to Greece’s woes and trying (and failing) to reconcile it with the views of the Caroline Lucas’ and Tony Benns of this world, I can feel myself losing touch, feel the nascent ‘just get on with it and don’t ask questions’ opinion beginning to take hold, an opinion so commonly woven into the fabric of the cantankerous, the spiritless and, in many instances, the done for. I’d already had my first warning too, the beginnings of the luddite ‘just get a job’ internal retort when a homeless person had the gall to ask for change.
Right-wingers are generally older than left-wingers and I have to face up to being less of a spring chicken than I once was. Have I found myself straddling that left-right fence already? Why is there no warning for such a frightfully awful proposition?
Thankfully, real life and keeping one’s eyes and ears open can always help save one from oneself. The cuts in the UK, however necessary they may be, are not as stark as those in Greece but even so their observable human impact helps to crystallise the mind. The examples of pain are many from the numeracy and literacy adult learning group that is having to close down in Edinburgh for the sake of £11k a year to the story in the London Evening Standard this week of the Eastern European father who jumped off a London bridge to an expected watery demise so desperate was his plight in terms of housing and employment prospects.
Setting up structures to tactically and strategically address life’s difficult problems alongside the (relatively easier to sell) new schools and ring-fenced health budgets takes political stomach and cold hard cash. I fear we may be unnecessarily entering an era where we have neither at our disposal.
For the Lib-Con administration, reducing the deficit is the be all and end all, the chief consideration that sits atop everything else. However, the risk of creating a new underclass surely has to be a red line that we refuse to cross come what may. “We’re all in this together” shouldn’t be an excuse for soaking the poor when lightly dousing the rich is a fairer route out of the mess we (and Greece and Spain and Italy) find ourselves in. When belt tightening becomes a garrotting of the working classes then we have to step back and consider the entire situation. Yes, we are spending more money than we raise but does that mean spending less or taxing more? Are there areas facing the axe in the UK and Greece that need to be protected if we wish to see a Europe working and prospering together? If so, which other area can make up the shortfall?
To answer that question I personally can look inwards. I’ll be perfectly honest, I’ve had a good recession. Mortgage payments have collapsed, I’m getting paid a lot more thanks to the London dividend and the price of food and living in general seems to be lower than before due to brutally competitive markets. There’s something not right when I can start thinking about taking advantage of others’ woes by buying an investment property in a year or two while the nation prepares to strike and Greece turns in on itself. The UK Government’s plans in today’s Queen’s Speech to implement a (bizarre) tax cut for middle-earners when it is that demographic that needs to pay more has me lost, only when I’m able to see past my own selfish interests that is.
A ‘tax on jobs’ the Tories warned during the election campaign but if those in well-paid jobs are the lucky ones then they, we, are the ones who need to feel the most pain as far as I can see. I pay tax at about ~20% but in Sweden I’d be paying ~32% which is fairness’ gain and my looming property portfolio’s loss. In short, I should be taxed more, along with millions more in a similarly or more comfortable position in life. That much is plain to see when I allow my mind to open wide enough to admit it but the majority don’t see it that way, the majority don’t vote that way and so the majority ensures that the Government won’t rule that way.
Greece is struggling and it is the Greeks who struggle the most who are bearing the brunt of the country’s pain. That deserves more than sympathy, even if it is not always so clearly the case. Put another way, being lucky enough to absorb life punching you in the gut unexpectedly does not mean that you should demand the same fortitude from those less fortunate and more vulnerable, whether they are inside this country or living further afield. Furthermore, a vindictive kicking of Greece out of the Eurozone and/or Europe should not be a future condition of any deal.
Now is not the time for the hardening of hearts. It is the time for clear minds, steely resolve and, above all, fairness. Bigger taxes and bigger pensions is the rebalancing that is required, not a slicing of working class wages into a financial black hole that wasn’t of their making.
Thank goodness for Caroline and Tony then, lefties to the end who will, I am sure, speak passionately and eloquently tomorrow, helping to resolve the internal struggle that will no doubt be raging within many of us watching and listening on.
(The Can’t Pay, Won’t Pay event takes place at 7pm at Conway Hall, Red Lion Square). (h/t
Jim Jay)