Combatting the Lost Decade
As Chancellor Rishi Sunak urged the public to look to tomorrow in his Spring Statement last week, Labour figures highlighted in fury that the Conservative government have been in power for twelve years. During this time, they have presided over what is now coined ‘the lost decade’. In this period, growth has become exceedingly low and wages stagnant. Life expectancy has rapidly declined alongside living standards, while regional inequality continues to grow. Public services such as education and health have been cut and allowed to fall into disrepair, with dropping standards compounding other challenges.
Last week’s Spring Statement was a missed opportunity by both parties to present a plan to get out of this vicious cycle. The scale of inflation and energy price rises mean that the country is about to embark into another period of austerity, despite promises that this would not return. The Chancellor has pointed to the difficult circumstances of the Russian invasion of Ukraine and the coronavirus pandemic; however, this is not a short-term problem but one compounded over several Conservative governments. The funding promises granted under new policies such as ‘levelling up’ pale in comparison to what has been lost since 2010 and the household support measures recently announced are a drop in the ocean when it comes to the financial pain that the public is suffering.
The Spring Statement has now passed, but the challenges for the country remain unaddressed and therefore there is an opportunity for Labour to seize the political moment. The sour reaction to Sunak’s tinkering financial statement reflects the lack of public appetite for this continuing stagnation and the desire for a clear plan for change. The public are looking beyond the rhetoric of debt and deficit on the economy, as rising costs begin to hurt their pockets. There is a desire for stability but one that provides strong services, which delivers good wages, and affords opportunity across society for each generation and the next.
As highlighted by fellow Labour in Communications champion Dan Julian, since the economic crash, Labour has struggled to build a narrative on the economy. However, the next election – probably in just over 18 months - will likely be fought on who can take Britain forward on the path to recovery and economic stability.
This is a tired Conservative government, after twelve years and numerous crises, they find themselves often full of bluster and lacking in innovation. Labour needs to put themselves in the driving seat and outline a plan that can break the cycle of low growth and provide a decade of prosperity and opportunity to compensate for what has been lost.
To do this, they need to build a message that is founded in the public domain from listening to those on the doorsteps and the townhalls, that brings together views from across society. By reflecting on the ‘lost decade’, it is crucial that we highlight not only the backwards steps that the country has taken, but the opportunities that have been missed. Labour needs to show that in their plan, they would take steps to rebuild but also take opportunities to do things differently, to innovate, to grow. To formulate this, there also needs to be a dispassionate examination of our economic arguments of the past, what has worked and why.
While our current messaging around ‘high tax, low growth’ is persuasive, our narrative needs to be grounded with simple policies and accompanying messaging that stands out, is unified and consistently utilised from now until the election. With the local elections just over a month away, the groundwork has been laid but a unified plan for the future must be brought forward, especially given next month marks two years under this Labour leadership. A decade has been lost under the Conservatives; Labour needs a plan to show that they can lead the country into prosperity during the next one.
Alice Pleasant
Lansons