This week’s George Monbiot column in the Guardian is excellent. It paints a vivid picture of the full scale of corporate capture of the democratic process at a time when the Institute of Directors proclaims a “generational struggle” to defend the “principles of the free-market”:
The corporate consensus is enforced not only by the lack of political choice, but by an assault on democracy itself. Steered by business lobbyists, the EU and the US are negotiating a Transatlantic Trade and Investment Partnership. This would suppress the ability of governments to put public interest ahead of profit. It could expose Britain to cases like El Salvador’s, where an Australian company is suing the government before a closed tribunal of corporate lawyers for $300m (nearly half the country’s annual budget) in potential profits foregone. Why? Because El Salvador refused permission for a gold mine that would poison people’s drinking water.
Last month the Commons public accounts committee found that the British government has inserted a remarkable clause into contracts with the companies to whom it is handing the probation service (one of the maddest privatisations of all). If a future government seeks to cancel these contracts (Labour has said it will) it would have to pay the companies the money they would otherwise have made over the next 10 years. Yes, 10 years. The penalty would amount to between £300m and £400m.
Windfalls like this are everywhere: think of the billion pounds the government threw into the air when it sold Royal Mail, or the massive state subsidies quietly being channelled to the private train companies. When Cameron told the Conservative party conference “there’s no reward without effort; no wealth without work; no success without sacrifice”, he was talking cobblers. Thanks to his policies, shareholders and corporate executives become stupendously rich by sitting in the current with their mouths open.
Ours is a toll-booth economy, unchallenged by any major party, in which companies which have captured essential public services – water, energy, trains – charge extraordinary fees we have no choice but to pay. If there is a “generational struggle to defend the principles of the free market”, it’s a struggle against the corporations, which have replaced the market with a state-endorsed oligarchy.
What confuses me is the unwillingness to make political capital out of these trends. Certainly, something like the TTIP will tend to be abstract and covert (by design) hence rather difficult to describe succinctly. But surely one government locking in another to the privatisation of the probation service through absurdly expensive clauses is rather easier to explain? Let alone massive subsidies to putatively private public services.
Is the malfeasance here not IOTTMCO (intuitively obvious to the most casual observer) and hence rife for exploitation? Is it just a matter of Labour politicians lacking the nerve to repeat the message ad nauseam in the same way the Conservatives have with strivers and skivers? Or has their political socialisation left them having internalised the governance habits of New Labour to such an extent that they can’t imagine abandoning triangulation?