The Progressive

Event Report: Tessa Jowell 'The Mutual Moment'

Last night saw this year’s final Progress lecture on ‘New thinking for Britain’s next decade’. Given by the Rt Hon Tessa Jowell MP, secretary of state for the cabinet office, the lecture entitled ‘The Mutual Moment’ which set out the government’s plan to found a new independent commission on ownership, chaired by Will Hutton, which will work to enhance our understanding of the influence that ownership has on the governance of Britain. Read the full speech here.

The question and answer session showed a large amount of support for Tessa Jowell's proposals, but the question on everyone’s lips was, how do we put this idea into practice?

One member of the audience raised the point that this was not the first time such and initiative has been put forward and how was this going to be any different to previous initiatives. Tessa Jowell responded that this was about modern mutualisation, which is very much in tune with what the public want. The Minister for the Olympics admitted that in the past Labour may have avoided the topic for fear of being branded with the iron of nationalisation. However following the credit crunch she said the time was right to reopen the debate, reiterating the point that she is to be meeting the Rt Hon Ed Balls MP, Rt Hon Andy Burnham MP and other ministers in the new year to discuss how some of the elements under their remit such as Sure Start, could be transferred into the hands of mutuals. Though making it clear that this was not a cure all solution, it was a compelling point and it should be given enough time for proper debate.

In the final moments of the lecture Tessa Jowell was asked a question about the role for possible mutuals in the BBC. The question was asked whether the BBC Trust would be turned into a mutual, and therefore result in ordinary people being elected to the board as is the case in other mutuals, as at present the BBC Trust board is un representative of its stakeholders, the British public. The former culture secretary said that she would have to decline to comment on that point as she was no longer culture secretary. However she stated that she was sure that the point would be addressed alongside a wider debate on the running of the BBC.

In conclusion Tessa Jowell’s lecture raised a point that both the Co-operative party and Progress have been pushing (see Progress editorial ‘A Mutual Moment’) for some time. As Jessica Asato, Acting Director of Progress, said in her introduction, ‘clearly great minds think alike’.

What kind of tax cuts?

Over the last few months there has been increasing consensus across the Labour Party that we should reduce the tax burden for those on lower and middle incomes - with Charles Clarke, Jon Cruddas and Frank Field all arguing for tax cuts for this group in one form or the other. The discussion has been reignited recently, with this week's Sunday papers full of suggestions that the government may cut taxes, and Tuesday's press conferences given by Gordon Brown and David Cameron both featuring discussions of tax cuts.

The question now seems to be not whether there will be tax cuts but what kind of tax cuts there will be. That debate will hinge in part on what the aim of cutting tax is. Possible aims could include using tax cuts as a fiscal stimulus to the economy (this argument could be used to support financing tax cuts from borrowing until the economy recovers), supporting employment and ensuring a fairer balance of taxation in the long-term (and so helping protect those most at risk during the economic downturn). The aim(s) of the tax cuts should help determine the form they take and how they are paid for.

There is also the possibility of combining tax cuts with a radical shaking up of the tax system as a whole. The Institute of Fiscal studies' Mirrlees review may contain some ideas for how this could be done. Whichever approach is chosen, it looks like taxation have a place at the heart of the political agenda in the coming year.

Omar Salem writes in a personal capacity.

If Tesco can move the money …

Recent announcements of all time profits for Tesco needs to linked to the Immigration debate, especially in regards to Polish Immigration and EU expansion. Tesco has been a huge retail player in Poland since 1995 having over 100 stores with plans to open a further 39 stores this financial year. This means that the company will repatriate millions of profits from Poland that constantly boosts the British Economy contributing  to this government’s record levels of investment in schools, hospitals and public services. All services that the right wing press attack the “Poles” for milking.

If capital and multinational companies  can move with such ease, we have to be making the case for people having the same privileges . Social mobility  on a European scale must continue to be a challenge for the EU and its governors, making clear that protectionist policies imposed  by some of our neighbours are regressive and mean that the majority of European people do not benefit on any where near the same scale as business .