49th Ditchley Lecture: After the ‘decade of war’

49th Ditchley Lecture: After the ‘decade of war’

July 13th, 2013
Ditchley Park



I want to start a long way from here, in the Democratic Republic of Congo – one of the most war-torn places on earth.  I heard about a group of film makers who have just returned after spending the last 18 months there.  They said the following: “If you look at the facts and you don’t get desperate, you aren’t looking at the facts.  If you look at the people and don’t get hopeful you aren’t looking at the people.”



Today I want to try and look at facts and people; at the problems of collective action on global problems, and the unrivalled opportunities now open to spread wealth and power; at the struggle for peace between peoples at a time when war between nations is less and less the norm.  I will be seeking out general principles and lessons, while being conscious, thanks to the Chief Rabbi’s recent foray into the pages of Foreign Affairs, of Emerson’s dictum that “foolish consistency is the hobgoblin of little minds”.



The lecture revolves around the conundrum that while western military intervention is for various reasons toxic, the economic and political alternatives in fragile states seem relatively weak.  So the questions I want to address are whether the successor to a decade of war need be a decade of disorder, whether it matters to countries like the UK and US, and what can be done about it.   There are three parts to what follows.





The first looks at the lessons from a decade of war in Iraq and Afghanistan, through the lens of my own involvement in seeking to bring those conflicts to a close.





The second part is focussed on the conflict in Syria.  While we have learnt in the last decade that western military intervention can trigger chaos, so we have seen in Syria that its absence can mean mayhem – and it is going to get worse before it gets better.   Spurred by a recent visit to the region, I set out the pressing need for damage limitation, humanitarian and geopolitical.

The third part of the lecture then addresses the challenge of rethinking non-military options – economic interventions, diplomatic alliances and political strategies – given the dangers of strategic vacuum.  In particular, it discusses the agenda for governments, NGOs and think tanks who gather under the ‘humanitarian’ banner.



The themes of the speech, from the divisions and gaps in the international system to the new geography of poverty in fragile states around the world, reflect the personal and professional transition I am making from my past life as a UK politician and policy maker to my future life as a US-based leader of a global NGO.   As a politician I was trying to make the weather; the premium was on taking sides and projecting influence.  In the future I will be trying to deal with the consequences of the political weather, asserting the humanitarian cause, and its principles, whose interest is the needs of the people.



It would be neat and tidy if the two worlds, political and humanitarian, were wholly separate.  But of course they are not.  The most challenging questions sit at the intersection of political decisions and humanitarian action.  And just as politics shapes humanitarian crises, so the most effective humanitarian work can reshape political choices.



Let me declare at the outset the binding thread, for me, between these two roles.  I am an internationalist in my heart and my brain.  I fear the absence of global cooperation more than its (un)democratic dangers.  I see values of human dignity and social justice as universal not western.  So from my point of view, it would be worse than an unfortunate irony if the prime authors of the current phase of global integration, we in the industrialised world, now baulked at its consequences and implications. While international engagement is decreasingly popular in the advanced democracies, the multipolar world makes it increasingly necessary, and that is what I want to explore today.



Context: Iraq and Afghanistan



My starting point is January 20th this year.  In his powerful second Inaugural Address President Obama said “the decade of war is now ending”.   That is the reference in my title.



There were echoes of President Kennedy who in his famous speech to the American University shortly before his assassination in 1963 said: “This generation of Americans has already had enough – more than enough – of war and hate and oppression”.    And of course the see-saw between nation-building at home and peace-building abroad has been a recurrent theme of American history.  In fact, as Graham Allison recently pointed out, it has also been a recurrent theme in debate about how to handle the challenge of rising powers right back to ancient Athens.



The immediate context for the President’s statement, however, is specific and powerful. Iraq and Afghanistan have occupied American and other western troops for longer than World War 2, at enormous not to say inordinate cost, human, financial and political. And the longer we have been in these two countries, the less clear it has been not just who has won or even is winning, but also what winning looks like.  Alliances shift, local politics intervenes, recent promises are trumped by old hatreds, my enemy’s enemy turns out to be mine too.



The two cases, Iraq and Afghanistan, are very different in important ways, but the combined effect of the toll in lives, money and political trust on foreign policy will be long-lasting and profound.  Caution is an understandable reaction; isolationism, or what in the French Third Republic was called “attentisme”, waiting for something to turn up, is much more risky.



In Iraq, the war was won easily but the peace has often looked like war.  In Afghanistan and Pakistan, the threat from al qaeda is much reduced, but the prospects for the country – including a new kind of civil war – after the exit of western troops hang in the balance.  As Anthony Cordesman of CSIS recently wrote: “Afghanistan will be a nation at war long beyond 2014”.  As if the Afghan people have not suffered enough.



All of us who have been in politics in this period have been coloured by these events.  I viewed the descent to war in Iraq from the security of the Department for Education where I was Minister for Schools.  Yet it fell to me in 2007/8 to help choreograph the diplomatic and political side of the withdrawal of British troops from downtown Basra – as I arrived at the Foreign Office they were surrounded in Basra Palace – and indeed from Iraq as a whole.  Ten years on, Saddam is gone, and the Kurds are safe, but the country is afflicted by violence and fissures.  The overall reckoning is strongly negative.  There were no WMD, and if we had known that in 2003 then there would have been no justification for war.



In respect of Afghanistan, I attended the Cabinet in 2005-2006 as Minister for Communities and Local Government as Ministers discussed the British move to Helmand Province.  I remember arguments about money, equipment, drugs, and governance.  But neglected was the main point – politics not troops.  The politics of 40 000 villages and valleys; of a society where the state has no monopoly on violence; of complex tribal structures that cross national boundaries 100 years after their creation.



I spent a lot of time over my three years as Foreign Secretary trying to understand and engage with Afghanistan and Pakistan.  I quickly realised that what actually mattered to military or development or diplomatic success was clarity about the design of a national and regional political settlement that could hold the ring for an Afghanistan in which all the tribes were in, Al Qaeda out and the neighbours onside.  Nationally that meant going with the grain of Afghanistan’s decentralised ethnic and tribal structures.  Regionally that meant recognising the stake of all the neighbours in Afghanistan, but insisting that it could be a client state of none of them.    Without that vision, everything was backs-to-the-wall improvisation.



I advocated both secret and open dialogue with the insurgent groups, and a regional process that involved the Iranians and the Russians as well as the Indians and Pakistanis.  The London Conference of 2010 gave some endorsement to these ideas, but in a way that lacked sufficient teeth or political buy-in.  Prime Minister Gordon Brown was preoccupied with fighting off unfriendly (and unfair) fire from within the Ministry of Defence and sections of the press over military equipment. The international community was locked into a mindset and strategy that put defence, development, diplomacy and reconciliation in that order.



In fact, it was only after the announcement of an end date for Nato combat operations, or more precisely the increasing imminence of that date, that political negotiations have been given a really serious push.  Since beginning work on this lecture, the existence, purpose and status of the Taliban office in Qatar have hit the headlines.   And of course far from our position to negotiate having been strengthened by military victories, it has been weakened by military stalemate.



So I have seen up close the failures that arise from over-reliance on military power and under-investment in politics and diplomacy.  I understand too well the cautionary tales that are provided by these events.  Four lessons are most important to me.



Lesson one is that clarity and legitimacy in post-conflict power sharing arrangements needs to be front and centre in any diplomatic or military endeavour overseas.  Without that, peacebuilding or peacekeeping efforts will never succeed.  Power-sharing is what a ‘political settlement’ means.  It requires very careful thought about constitutional structures and guarantees, about Presidential versus Parliamentary systems of government, about centralised versus decentralised power.    We can see what happens when there is no such vision in Syria today: there is nothing to bind opponents of the current regime, or tempt its adherents to switch sides.   It is also relevant in places like Somalia and Mali.



Lesson two is that without the support of regional actors fragile states can never be stabilised.  In other words the political settlement needs to be regional not just national.  We refer to Iraq and Afghanistan as if they were self-contained, when the crises that they have been and become have their origins and consequences well beyond national borders. Afghanistan is after all a crisis of South Asia.  The lesson is that the neighbours cannot be an afterthought.  Again, there is obvious relevance around Africa as well as the Middle East.



The third lesson is that mobile terrorist groups add a whole new dimension to instability in fragile states through their ability to hijack local grievances.  It was striking ten days ago to hear the Head of the UK Counter Terrorist Office highlight the terrorist threat to Britain from fighters training in Syria.  The nationalities of foreign fighters killed in Syria, recently published, should be chilling for anyone who believes this conflict does not have ramifications for the rest of us.  There is a very specific lesson about language.  The phrase “war on terror” had the dangerous consequence of uniting under a single banner a series of disparate and sometimes localised grievances, when the opposite approach, fragmenting those committed to violence, would have been more appropriate.



We need to recognise that these failings in Iraq and Afghanistan – to secure the peace, create meaningful political dialogue and power sharing, and engage the regional players – have contributed to the international paralysis over how to protect the Syrian people and fostered diplomatic stalemate when the opposite is needed.





There is also a further point, not so much a lesson but a reflection.  I think it was the Editor of the Financial Times who said that history books would record that the three most important words of the decade after 9/11 were not ‘War on Terror’ but ‘Made in China’.  It is a fact that while western defence and foreign policy has been consumed by Iraq and Afghanistan, (to the extent that western powers are for example now virtual absentees from UN peacekeeping missions), large parts of the world have been busy rebalancing the economic terms of trade.   It wasn’t a decade of war for them.  It was actually a decade of peace and rising prosperity.



So there are economic as well as political reasons for western nations to be gun shy and to focus on the home front.  However, the humanitarian community I am joining deals every day with the dangers of impunity, when governments (or their opponents) can kill or terrorise their own people, without effective reproach.  We in humanitarian NGOs can try to stop the dying; we need politics to stop the killing.



We have seen these dangers in the last twenty years around the world.  We now see them in stark relief in Syria.  They raise very hard questions about the rights of citizens and the responsibilities of nations – responsibilities embraced in the idea of a ‘Responsibility to Protect’.  For me, the lessons of the last decade go beyond staying away.



Syria: The Challenge of Impunity



I last visited the extraordinary city of Damascus in 2009.  I paid my respects at the extraordinary, beautiful central mosque.  I ate ice cream in the famous souk in the middle of town.  I talked to religious and civic society leaders.  I also met with President Assad for a couple of hours to talk about domestic reform, his alliance with Iran, and regional issues. There was courtesy and attentiveness, but also a strange set of blind spots every time difficult issues were raised – from human rights at home to the Iranian nuclear programme abroad.   He professed puzzlement; questioned sources; resorted to generalities.  We were offering cultural, economic and political engagement, but he was focussed on holding onto power.





Today, the organisation I am joining in September, the International Rescue Committee, is delivering life-saving help to some of the 4.7 million IDPs within Syria and 1.5 million refugees in the countries beyond.  Let me set out what I have just heard and seen, on a visit to Jordan two weeks ago.  A three day visit does not make for great depth, but it does allow for stories to be combined with data to produce a deeply alarming picture.



Inside Syria, IRC has talked to refugees who report life-threatening shortages of medicines, while food and fuel shortages are a daily reality.  Doctors told me of colleagues (and relatives) who have been targeted, and killed, in the war.   There are allegations of truly horrific human rights abuse – in fact human abuse.



In addition to nearly 100 000 dead inside Syria, and countless more dying for lack of medical help, close to a third of the Syrian population have already been displaced, within the country or beyond.  The refugee numbers in Jordan now amount to over 10 per cent of the population.  That is the equivalent of the whole population of Romania moving to the UK, or the population of Poland moving to the US.  In Lebanon the figure is closer to 15 per cent.



There are refugee camps in Jordan, Iraq and Turkey, but across the region the large majority of refugees are fending for themselves in urban areas.  So there is tangible strain on host communities, consistent with the new pattern of refugee flows around the world, where some 60 per cent are in urban areas.



Two weeks ago, I sat with four families in a two room apartment (plus kitchen) in Mafraq in Northern Jordan, with around 15 children.  There is immense pressure on local services, from schooling to rubbish disposal.  Rents are being pushed up by landlords who know that there is some UN sponsored cash assistance available.   Children are not allowed out, in part because the family explained that they have no money for anything they want to buy.



At a clinic for Syrian refugees, I heard mothers and widows talk about dead husbands and sons.  Violence against women, detailed in IRC’s January Report Syria: A Regional Crisis, is rife.  A Bedouin family explained that the head of the family had been shot by a sniper while queuing for bread.



Traditionally, the political world and the humanitarian world are meant to occupy separate boxes.  Politics was normative; humanitarian action was neutral.  Yet the humanitarian toll in Syria is now as much part of the geopolitics as the balance of military power.



The scale of killing has created sectarian reprisals, not just in Syria but in Lebanon and Iraq.  Meanwhile the extent of refugee flows is itself a source of destabilisation within the country and outside.  And under any scenario, there are many more refugees to come – not least the 250-300 000 Syrians living up against the Jordanian border.



This makes the mismatch between the scale of need and the current levels of aid even more worrying.  The UN has launched a massive appeal for humanitarian aid, the biggest this century, for work inside and outside Syria, but funding has only come in at about one third of this level.  It is not as though we lack ideas of what to do, from running medical supplies across the border to aiding neighbouring states to pressuring both sides to allow humanitarian access.  But there is a serious lack of resources in a conflict growing more complex by the day.



Western governments have called on President Assad to leave power since the summer of 2011, no doubt spurred by predictions from within the region that a Mubarak moment was coming.  When I visited the Middle East twice at the beginning of 2012 the consensus was that President Assad would last weeks or at worst months.  But obviously that was wrong.  Since then, needs have grown and options diminished.



We know the conflict started with a small boy scrawling graffiti on a wall.  It became a popular protest against the subsequent government crackdown.  I still see the bulk of opposition to the regime as fundamentally nationalist in character.   But what began as a follow up to the 2005 Damascus Declaration, the demand for openness and accountability in governance, has become a sectarian clash between different Syrian communities, an intra-regional proxy war and on the part of Russia a great power clash.  Small wonder that a dissident artist quoted by the Economist called the conflict “a war in Syria but not a Syrian war”.





We need to be honest with ourselves about how this clash is going, in geopolitical terms as well as humanitarian.  It is not only his supporters who judge President Assad to be, and feel, more secure and confident than he was a year ago.  The opposition, military and political, seems more fragmented, with over 1000 militias around the country, some of them fighting each other according to recent reports, while the Government and state machine has more or less held together.  The greatest rebel gains in the last year have been made by radical jihadist groups, led by Jabhat as Nusrah, and there are serious allegations of abuse by the rebels. The sectarian clash is growing and spreading, and the chance of post-conflict stability and reconciliation receding with every death and injury.    The leverage of the West is lower than a year ago.  Iran, Russia and Hizbollah think they are winning.



Here is a key point.  Many of the fears that tilted the balance of argument about Syria against western intervention – the growth of radical jihadism, the destabilisation of neighbouring countries, the igniting of sectarian tensions, the use of chemical weapons, the Balkanisation of the country into divided communities, the rise of Iranian influence  – have happened anyway.  And while the West may not be engaged militarily, it seems like everyone else is, from Russia to Iran to Gulf States to AQ.



It is on the record that in 2011 I was cautious about western military engagement in Syria.  I saw many more risks than in Libya.   By early 2012 I said that the balance of argument had changed.  I said the burden of proof had shifted to those who opposed intervention, because I feared that the conflict was on course to become longer, more intractable, more deadly to Syrian civilians and more dangerous for the region and the wider world.



Today, the options have become much more difficult.  I am very struck by the argument, recently made in cogent and compelling form by the International Crisis Group, and by the European Council on Foreign Relations, that ‘intervention lite’ – for example arming the rebels – is not going to tip the balance and is really beside the point.  The stakes are higher, and the choices far tougher.



It is no longer my place to decide on military intervention.  My priority is the safety of IRC and other humanitarian staff, and the people they serve.  I advocate along with other NGOs, and the UN Emergency Relief Coordinator Valerie Amos and High Commissioner for Refugees Antonio Guterres, for humanitarian access inside Syria and extra help for the neighbours.  This is desperately needed.

I can, however, observe that in the Syria conflict today there is an unequal fight between calls for political negotiations and the reality of war and chaos.  Humanitarian NGos are dealing with the consequences.  Of course there needs to be a peace process based on negotiation.  But Syria feels like an instance to support the maxim attributed to Frederick the Great: diplomacy without weapons is like music without instruments.



Syria’s prospects are increasingly compared to Lebanon of the 1980s, which was the victim of other people’s war games for 15 years.   But Lebanon did not become the regional conflagration, nor the export terminus for global terrorism, that Syria is beginning to resemble.  It looks more like Afghanistan than Lebanon to me.



The danger is not that Syria becomes the global norm, but that it is a harbinger of 21st century conflicts that bring disorder without all-out war.    If the west is not going to intervene militarily, and the arguments are obviously finely balanced, then it will have to be more modest in its aims, and more decisive in its non military interventions, for example in the field of humanitarian aid, if it is to gain some protection from the disorder that is now threatened.



Decade of Disorder?



Professor Stephen Pinker of Harvard University says this is the most peaceful time in human history.  There are fewer wars.  There is more democratic and accountable government than ever.  There is more prosperity and less poverty.   There are good reasons to believe that the major powers have more than enough incentive to settle differences amicably.



Yet despite these trends, there are more people fleeing conflict than ever before.  UN Commissioner for Refugees Antonio Guterres has calculated that here is one new refugee every 4.1 seconds – more than half from five countries (Afghanistan, Somalia, Iraq, Syria and Sudan).  Estimates from Lawrence Chandy of Brookings are that by 2030 two thirds of the world’s poorest people, living on less than $1.25 a day, will be living in fragile, ie conflict ridden, states.  And conflict states in the developing world account for half of the world’s children who die before their fifth birthday.



So there is a new geography to conflict and to poverty, focussed on fragile states stuck in a deadly equilibrium of sectarianism, poverty and conflict.  This was highlighted in then Secretary of State for DFID Douglas Alexander’s White Paper in 2009, and is being carried forward by the current UK government.



These fragile states and their people are not feeling the benefit of generalised forces for stability, prosperity and resilience – from economic growth to the rise of the open society to more accountable government.  By their nature these forces are diffuse in their aim, long term in their impact, episodic in their influence and often double-edged in their potential.



On the other side of the balance sheet, the drivers of disorder and conflict are clear, powerful and focussed.



-       There is increasing prominence in local ethnic and tribal ties over national ones.  It is indicative, for example, to see Human Rights Watch put ethnic tension top of the list of priorities in Mali.



-       Parts of the Islamic world are being fragmented into warring (and well funded) factions.  I know that for many years in many countries Sunni and Shia muslims have lived alongside each other.  There is high politics – and in some cases deliberate strategy – in the heightened sectarianism that we now see.  As the Syrian journalist and civil rights lawyer Alia Malek has written: “While sectarianism has become the vehicle of the Syrian conflict, it was never its impulse”.



-       Resource scarcity, with rising food and energy prices plus a scramble for natural resources such as water or minerals, is fuelling tension.  It is striking that UNEP has tracked 40 per cent of intra-state conflicts over the last sixty years to natural resources, and this link doubles the risk of a relapse to conflict in the first five years.  Climate change is clearly a threat multiplier.



-       So is migration, with 45 million refugees and IDPs a strain on cohesion and community.



This tells me various things relevant to my past life, and sets an agenda for my new one.



It tells me there is a massive job to bend economic growth in an inclusive direction. As Dr Jim Kim, President of the World Bank has said: “What we know is if you don’t include the bottom 40 per cent, if you don’t include women, if you don’t include young people in that economic growth, you are building instability into your societies.”   Yet economic inequalities are profound and growing, not least in the mountainous number of young unemployed in the developing as well as the developed world.     This is a huge gamble with stability.



It tells me that peacekeeping needs countries like ours to be participants and not just payers.  Peacekeeping is never a substitute for political strategy, but we have learnt a lot in twenty years, as operations have expanded significantly in their scale and scope since the end of the Cold War, with a growing regional component.    It is easy to pick holes in the results – in the DRC for example – but East Timor, Liberia, Sierra Leone and the Balkans are a rejoinder.  The international system needs to put this experience to good use, and it needs our capacities.



It tells me we should not fear expanding the political ring.   Politics needs to be inclusive too.  Pakistan taught me this and Egypt if anything reinforces it.  I remember when I first became Foreign Secretary there was entrenched resistance to the idea of Nawaz Sharif returning to Pakistan.  But the effect of keeping him out was to drive up the extremist vote.  So it made enormous sense to me for him to be in the system, subject to the disciplines of democratic politics, facing the need to be a responsible Opposition, and finally claiming power by democratic mandate.



When I look at the example of President Santos in Colombia talking to FARC, or President Aquino reaching an agreement with the insurgent MILF, or the Turkish government talks with the PKK, I don’t just see political bravery and vision, but a belief that the discipline of politics strengthens the centre and disarms the extreme.  Humanitarian NGOs have to talk to all kinds of movements, whatever their label, in the drive to meet need in an impartial and independent way.  We cannot just wish they did not exist.  The commitment of my former colleague Jonathan Powell to take the lessons of Northern Ireland and apply them more widely, through his new organisation Inter Mediate, is therefore in my view an exemplary public service.



One other point.  The mismatch between generalised forces for stability and acute drivers of disorder also tells me to believe in the logic and potential of regional associations, starting in our own continent here in Europe, but not limited to this part of the world.  It is easy to rubbish the EU and its weaker regional counterparts elsewhere in the world.  Given the weakness of global governance, I don’t see anything better on the horizon.  But that is a subject for another day.



These issues are the province of my old life.  So let me turn to my new one, and a major factor I have not discussed: humanitarian aid and its close relation international development.



The Challenges for the Humanitarian System



Save the Children UK briefed me last week on their determination to make this the generation that reduces to zero the number of children in the world who die before the age of five from preventable diseases.  It is hard not to be inspired by that kind of ambition.  It speaks to the idealism that fires the commitment and bravery of NGOs.



One of the attractions of the NGO sector, for me, is its capacity for innovation and risk taking.  I am thinking of everything from helping survivors of sexual violence in the midst of conflict, to finding water in deep aquifers in the desert; from using mobile phone technology to track aid flows, to helping refugees in camps earn a living; from reducing tension between refugees and host communities, to market assessments designed to support local economies.



Emergency relief and development aid is to me a measure of our humanity.  The best argument for such aid is that it saves and improves lives.  The last Government in the UK institutionalised the mission of the aid budget to tackle global poverty.  NGOs defend it.  And it is significant when the current UK Prime Minister reaffirms it, as he does regularly and with passion.



Yet asserting the moral virtue of international aid does not remove its challenges, whether in emergency relief or long term development or the intersection of the two.  A recent IPI overview, “Rethinking Humanitarianism” by Jeremie Labbe identified four big challenges for the humanitarian system.  The growing caseload – and the mismatch between need and help.  The changing nature of the crises that the humanitarian system has to address, exemplified by the issue of climate stress.  The renewed assertiveness of “host” states, by which he means the crackdown on NGOs in some places.  And the finite financial commitments that are pressuring donor budgets.



The context for humanitarian effort is changing fast, with new pressures displacing people and new players seeking to help them.    I want to highlight four issues that will be high up my agenda when I start at IRC in September.



One is age old.  It concerns the protection of civilians in conflict situations. We all know that the stronger versions of “Responsibility to Protect” are honoured in breach not observance.  I am looking forward to the publication soon of Madeleine Albright’s study of how the US should take forward the doctrine.  Its importance is immediately evident when one sits in Jordan and is told by Syrian doctors that they have colleagues who have been killed by government forces for the sin of treating people in rebel areas.  20 Syrian Arab Red Crescent volunteers have been killed while doing their job of providing relief aid.  There is a terrible irony in this since it was in Syria in 634 AD that the Caliph Abu Bakr implored the first Moslem Arab Army to learn the rules of war: “You must not mutilate, neither kill a child or aged man or woman” he said.



Since the days of the Caliph, and especially since the 1864 Geneva Convention following the Crimean War, the corpus of law and practice for the defence of civilians in conflict has been made comprehensive and clear, with special recent protection for women and girls, and for children.  Yet there is political division, inertia and ennui when it comes to stopping the killing of civilians.  The recent effort by the Foreign Minister of Australia to protect doctors in Syria ran into the sand.  And it is not only in Syria that civilians have been killed without consequence.



The laws are there.  The resolutions have been passed.  The conventions ratified.  There is a shared responsibility of governments and NGOs to establish how to make them relevant in practice.



The second issue is about new partnerships – with local people, with local and national governments, and with other NGOs and governments from outside the west.  This is a growing theme in the humanitarian world, and its implications are far-reaching, from how aid is planned, to what it covers, and who it is delivered with.  In essence it means a new business model based on local and national leadership with external support, rather than vice versa.



I have seen how in domestic policy a commitment to partnership with local people represents a massive shift with potential to deliver extraordinary results.  The models of post-conflict transition advocated by the g7+, a group of 18 fragile states, with locally-determined priorities setting the agenda, point the way to the future.



Partnership in my experience means a mindshift from thinking about “building capacity”, as if it does not exist, to mobilising capacity, on the assumption that it does.  It means abjuring “quick impact” in favour of locally-determined wins. It means thinking about the whole person, not just the service you are responsible for.  It means recognising that ignoring the economy and private sector is a recipe for disaster.   It means searching upstream to tackle problems at source – what the humanitarian community calls Disaster Risk Reduction, which the Ashdown Review highlighted for DFID in 2011, and which can be seen in practice in the contrasting experiences of Ethiopia and Somalia in dealing with the recent drought in the Horn of Africa.



In IRC that translates into achieving very high levels of local hiring; working with local leaders not around them; engaging marginalised groups, especially women; seeking private sector partners; and trying to understand the motivations of new players on the humanitarian scene, from the Gulf and from the BRICS.



The third issue has been raised recently by Hillary Clinton in forthright and stark terms.  Helping women, she said, is not a “nice to have…some luxury that we get to when we have time on our hands to spend”.  It is instead an imperative.



The point is not just that although wars are traditionally fought by men, conflict settings are also the scene of unspeakable violence against women – a cause which I am happy to acknowledge is being forcefully advocated by my successor at the Foreign Office, William Hague.   It is also an economic case and a political case, central to breaking the spiral of disorder and poverty that has been a focus of this lecture.  IRC has been at the forefront of work against gender-based violence and for the empowerment of women, and I look forward to putting my ideas and effort into these causes.



The fourth issue is how rigorous evaluation can improve aid effectiveness.   The humanitarian and development community is striving to evaluate its work as aggressively as possible.  The IRC has been a leader in this effort by using randomized control trials accurately to assess a programme’s impact.  We must learn what works and what does not, and we must be willing to shine the light on our failures as well as our successes in order to change practice and improve programming.



Evaluating humanitarian and development programmes is an especially difficult task given their settings and timelines.  It takes rigour and of course funding.  We have some hard thinking to do about what counts as success, and how to promote it. Done wrong, the demand from donors for outcome measures can lead to perverse results.  Programmes can become warped as targets are chased rather than needs.  What is measurable can become the guide rather than what is important to beneficiaries – which should be the real accountability.  I have already heard how this is a real danger not just for NGOs, but for the people they serve.  The best antidote is not to shun accountability, but to embrace it, and shape it in a sensible direction.



Conclusion



The scale and consequence of the Syria crisis brings to mind the prescient and sad epitaph of Richard Holbrooke’s book To End a War.  Many of you will know that the book celebrates the triumph of Richard’s unique brand of diplomacy.  But it also says the following:





“There will be other Bosnias in our lives, different in every detail but similar in one overriding manner: they will originate in distant and ill-understood places, explode with little warning, and present the rest of the world with difficult choices – choices between risky involvement and potentially costly neglect…But if during the Cold War Washington sometimes seemed too ready to intervene, today America and its allies often seem too willing to ignore problems outside their heartland”.



One response is that a defensive realism is our best bet.  Henry Kissinger once warned zealous liberal interventionists as follows:  “Once the doctrine of universal intervention spreads and competing truths contest we risk entering a world in which, in GK Chesterton’s phrase, ‘virtue runs amok’”.



This is the serious argument that problems in the Middle East, South Asia, or Africa are complex and longstanding, western interests there less than vital, its reputation sullied by well-publicised atrocities, and its resources decidedly limited, so it should be modest in our designs.  Sure these places affect us, especially in an age of mobile jihadist movements, but the best we can do is insulate ourselves through effective counter-terrorism.  And the last decade has shown the power of effective counter terrorist work – despite the recent horrors in Boston and Woolwich.  As Richard Haas puts it in his new book, we need “less foreign policy”.



However, that determination seems to me quite a gamble for a world in which the old order of national sovereignty is in some parts of the world breaking up under the weight of its own tensions.  Defensive work to prevent the forces of disorder lapping up on our shores is vital.  Restorative work to our economic situation and national priorities is important.  But there is more to discuss – given our alliances, interests and values.



I leave this country for a job in the US conscious of the enduring strengths and fallibilities of both, but also the common causes that join them together.  In my political life, I have come to know that while the US and UK can get things wrong together, it is also the case that when the transatlantic partnership, and I use that phrase deliberately to include the rest of Europe, is not setting a global agenda, whether on security or climate change or development or financial stability or human rights, then too often there simply isn’t a global agenda at all.



It is a sad fact that it is easier to find points of dispute about or veto on global cooperation today than sponsors of shared initiatives, more incentives for countries to say no to proposals than actually to make them.  Contrary to much of what we hear in the UK about the European Union, the danger today is not an international system of institutions and rules that is too strong and overbearing, but rather one that is far too weak and divided for the burdens of an interdependent and unbalanced world.



The debate about intervention has taken many turns in the last twenty years. My own view is that the big question is not whether to intervene but how; not less foreign policy but better.  Iraq and Afghanistan are their own warning.   But they cannot be the last word or trump card in discussion.  An interdependent world does not offer the option of a quiet life.  So the choice is engagement or disengagement – and I would prefer a course of activism to prevent problems, rather than passivity before reacting to them.  That is the real challenge after the decade of war.

Speech on Welfare Debate

Speech on Welfare Debate
House of Commons
January 8th, 2013
David Miliband (South Shields) (Lab): It is a pleasure to follow the hon. Member for Brent Central (Sarah Teather).
The truth is that all western economies need to refashion their social contract to cope with demographic and economic change—expanding child care versus higher child benefit; housing benefit versus house building; and long-term care versus reliefs and benefits for old age. In each case, we need to choose.
The Bill asks us to make three judgments: about fairness, affordability and politics. The Chancellor claimed in his autumn statement that the Bill was about distinguishing working people from those
“asleep, living a life on benefits.”—[Official Report, 5 December 2012; Vol. 554, c. 877.]
That has been blown out of the water by the facts that have come out since; the facts unearthed by my right hon. Friend the shadow Secretary of State today are damning.
What of the 3,120 people in South Shields on income support or the 4,200 on jobseeker’s allowance alleged to be choosing a life of Riley? I have three points. Two years ago, the Prime Minister said that he had ended the option of a life on benefits through the so-called Welfare Reform Act 2010. Secondly, the Government’s own figures about the level of fraud show it to be 0.7%—by the way, it is lower among immigrants to this country. Thirdly, the DWP’s own figures, published by the Secretary of State, show that more than 10 jobseekers in South Shields are seeking every job. In all the talk of fairness, that is what is unfair.
David T. C. Davies (Monmouth) (Con): Will the right hon. Gentleman elaborate on the statistic he gave? Do immigrants not have a lower level of benefit fraud because fewer of them are entitled to the full range of benefits?
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David Miliband: I do not want to give the hon. Gentleman a maths lesson—I did not get good marks in maths—but percentages are percentages; that is the whole point. If we change the denominator it plays through in the percentage that comes later. I do not want to get too diverted by that, but I thank him for the extra 50 seconds.
Let me get on to the question of affordability, which is central to the Government’s case. The Government claim that the alternative to this Bill is higher borrowing or higher taxation, but I want to show why that is not true. The Government themselves have projected the total cost of all benefits, all tax credits and all tax relief for the next few years, and I am happy to debate priorities within that envelope. I will take the envelope that they have set, but let us have a proper debate about choices, not the total sum—a priorities debate, not an affordability debate.
Nadhim Zahawi rose —
David Miliband: Just a minute.
The measures before us raise £3.7 billion from poor and lower-middle-income people in 2015-16. The Chancellor cut tax relief for pension contributions by wealthier people, but by how much? It was by £200 million in 2013-14 and £600 million in 2015-16. The cumulative saving from the richest between now and 2015-16 is £1.1 billion; the cumulative saving from those on lower-middle incomes on benefits and tax credits is £5.6 billion. Taking five times as much from poor and middle-income Britain as from the richest in Britain—
Kwasi Kwarteng (Spelthorne) (Con) rose —
David Miliband: I will come to the hon. Gentleman in a minute.
Taking five times as much from lower and middle-income Britain as from the richest in Britain is not equality of sacrifice. The Chancellor reminds me of the man at the top of a ladder in a 1929 election poster. The man at the bottom of the ladder has got water up to his neck, and the man at the top shouts, “Equality of sacrifice—let’s all go down one rung!” It is not equality of sacrifice when you are up to your neck in water.
Kwasi Kwarteng rose —
David Miliband: I will come to the hon. Gentleman in a moment.
The Government have made a great deal of the point that no one should receive more on benefits than the average wage of £26,000 a year, but they offer tax relief of £40,000 for those with £40,000 spare. Just to be clear, that tax relief costs £33 billion a year, while we are talking about a total bill of £42 billion for out-of-work benefits. If tax relief on pension contributions were limited to £26,000 a year, we would not need this Bill. That is the point about priorities and choices that need to be made.
Kwasi Kwarteng: The right hon. Gentleman gives a very powerful speech in which he mentions lots of facts and statistics, but there is a very fundamental question that he has not answered. Is it right that people on
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out-of-work benefits should be receiving faster and greater increases in their income than people on very low wages? Is that fair?
David Miliband: Forty thousand soldiers are not on out-of-work benefits but they are being hit by this Bill. Eighty per cent. of the savings—
Kwasi Kwarteng: Answer the question.
David Miliband: I will address it directly; I am very happy to do so. If a couple on £5,500 a year or someone on £3,700 a year gets a 1% increase, that is different from someone who is on £15,000, £20,000, £25,000, £30,000 or £35,000 getting the same increase, because although the people on £15,000, £25,000 or £30,000 are making tough choices, those on £5,000 or £3,700 are making a choice between feeding their kids and heating their home.
Nadhim Zahawi rose —
David Miliband: Let me make some progress and I will come to the hon. Gentleman if I have time.
The truth is that this rancid Bill is not about affordability; it reeks of the politics of dividing lines that the current Government spent so much time denouncing when they were in opposition in the dog days of the Brown Administration. It says a lot that within two years they have had to resort to that dividing-line politics. We know the style: you invent your own enemy, you spin your campaign to a friendly newspaper editor, you “frame” the debate. But the enemy within in is not the unemployed; the enemy within is unemployment.
I do not want to live in a society where we pretend that we can enjoy the good life while our neighbours lose their life chances. It is bad enough to have no economic growth, or 420,000 young people out of work for more than six months, or rising levels of child poverty, or declining levels of social mobility, but it is hard to stomach a Government who take absolutely no responsibility for their mistakes. It is intolerable—[ Interruption. ] Government Members are laughing, but I am ready to say what we did wrong; I have not heard them say a word about what they are doing wrong. It is intolerable to blame the unemployed for their poverty and our deficit. That is why I will vote for the amendment and against this rotten Bill.

Britain, Ireland & Europe

Britain, Ireland & Europe
Dublin
May 22nd, 2013
Dublin is a good place to discuss the future of Europe and the European Union, and the debate about Britain’s place in it – or out of it. This matters to me as a British citizen. And it also matters to me as someone leaving politics in Britain to work from a base in the US in the field of humanitarian relief, where the EU’s massive global effort has been positively influenced by British development policy over the last 15 years.
Sitting on the West of Europe, you have seen massive economic and social change in the last two decades, some of it powered by your position in the EU. Like us in Britain, you are a deeply plugged into the global as well as European economy; you have strong links to the US; and you are working through the triple challenge of repair to financial systems, fiscal balances and the wealth creating base. Unlike us, you are in the Euro, and your governing parties are united in their commitment to a future in the European Union. So there is contrast as well as commonality – and of course competition as well as cooperation.
I don’t need to tell you that the work to resolve the Euro crisis is still ongoing. You have nationalised banking sector debts, turned the current account to surplus in part through big productivity driven improvements in unit labour costs, renegotiated loans, turned the economy to positive growth, but still face rising national debt and banking sector challenges. So there is a pressing economic question of what European efforts could help promote sustained and stronger growth. But there is also a wider question coming into view – dramatically so in the British case. It is whether reforms in the Euro area will make the position of non Euro members like Britain in the EU untenable – or whether in fact the resolution of the Euro crisis need not lead to a two-tier Europe. I think it is vital that pro Europeans enter this debate with humility but also passion. There should be no glossing over the scale of the problem facing countries of the EU. Too many citizens feel we are now on the wrong side of economic history; and that the EU is making the problem worse not better. We need to understand this, and engage with it.
There are five themes running through my remarks today:
- First, that deep trends rather than short term policy choices provide good reason to see Europe as a risk in the short term but as strong in the medium/long term. The EU has a powerful logic and purpose in the 21st century.
- Second, in the debate about fiscal consolidation and structural reform, the best option for western economies – the balance of deficit reduction, incentives for innovation, and macroeconomic stimulus – has not yet been achieved, but there are some signs of change coming out of Brussels.
- Third, that politics and economics – over migration, sharing of sovereignty, welfare reform - are pulling in opposite directions and need to be reconciled.
- Fourth, that the Euro is not the EU, and that reform of the Euro must not kill off the EU as an alliance of equal partners. In saving the Euro it is vital not to neglect the EU of 28 countries, from trade to energy to services. We need alliances across the in/out divide to achieve this, and Anglo-Irish alliance is a good place to start.
- Finally that Britain and Europe are better off with the UK in, but there is real danger of a semi detached status. I don’t think Britain will leave, but it is not in our interest or Europe’s for our potential exit to be the defining question of our engagement. The Director of the British CBI’s warning last week is well-timed and absolutely right.
Global Change
The place I want to start this lecture is not in the thicket of the European debate, but with a broader view of global changes that affect all countries, in or out of the Euro, in or out of the EU. The truth is that the context for domestic and European policy for western countries like ours is changing rapidly. There is the seismic shift of economic power away from the industrialised economies of the west, and towards the emerging economies to the East and South. There is a radical democratisation of access to information, that is affecting public and private sector alike. There is a resource crunch, epitomised by the rise in the price of non oil commodities over the last decade. There is the growth in power of Muslim majority countries from Turkey to the Gulf to Indonesia, so that it is now fair to say that no global problems – from security to economy to humanitarian relief where I will from September be devoting my energies – can be addressed without partnership with the power and influence of the Muslim worlds. And then there is the reality of a hyper-connected world, where economic, social connections are not just wide and deep but all but instantaneous.
It is this latter point that I want to start with. It is not contentious to say that from health to terrorism to finance, the world is more closely connected than ever before. But the implications are contested. And nowhere more so than in the debate about the future of regional organisations like the EU.
One school of thought argues that the future is all about ad hoc alliances across the globe, virtual and flexible networks that take advantage of the smaller world to forge ties of mutual benefit. In this conception, countries like Britain and Ireland should be looking to South Korea as much as to Poland or Germany for cooperation. For reference the population of South Korea is 50 million, and GDP per head $23 000, for Poland 35 million and $13 000, for Germany 85 million and $41 000.
South Korea is democratic, fast-growing, and highly educated. It has a lot to teach us. But that does not mean that we can turn to the South Koreas of this world as an alternative to our membership of the EU. The alternative argument that needs to be put is that in this more connected, smaller world, neighbourhood still matters – and matters a lot.
In fact, the strong version of the argument is that in the context of weak global governance, regional association grows in importance; that security, cooperation, shared rules and shared endeavour in your own archipelago are even more important; and these regional associations do not just increase power and strengthen protection; they also make more likely and more effective the international engagement with emerging powers, whether South Korea or any other. This is the modern case for the European Union: helping countries get the best deal for their own citizens in the world as it exists today, not at the expense of global partnerships, but as the best basis for them. Put another way, unless we band together in the EU, then we will be at the mercy of the decisions of others in years to come.
This is the case that the European single market is a hard-won advantage in the global economy; that trade agreements are better for us when we negotiate together rather than alone; that shared effort on piracy in the Gulf of Aden by eight European navies has achieved what any one country could never have achieved; that cooperation on migration is the only way to manage global flows of people; and that a pooled development and emergency aid budget can achieve much more than the diluted strength of 27/28 such budgets, as I saw for myself in Brussels two weeks ago with my new colleagues from the International Rescue Committee, discussing the crisis in Syria and its neighbours, humanitarian relief in Afghanistan, Pakistan, Myanmar and Thailand, plus endeavour across Africa.
Shared geography is not a guarantor of shared culture – one just has to look at the intra-regional conflict in Syria to see that - but it is a driver of shared interest, and because of shared history and memory often the basis of shared values. This is the very strong view I have of the European Union. That it was not just a great project for the post-war peace, when binding the wounds of war above all between France and Germany was such a challenge; nor that it was only important during the Cold War, and after, as an anchor for European unity and hope for the countries of the Soviet bloc (who are now the most pro European countries of all); but that the modern European project is an important support for our prosperity and security in a world that becomes not just smaller and more competitive but also in some ways more chaotic by the day.
Far from regaining power and sovereignty by opting out of international bodies, we actually surrender our influence by doing so. The call to strike out for “independence” is a mirage in the modern world. There is no opting out of the global challenges we face, and less chance of addressing them separated from our neighbours.
The Case for British Withdrawal is Flawed
Lord Lawson has now put the opposite case high on the political agenda. But read his article in the Times and it is deeply flawed. He says Britain should leave essentially for three reasons. First, that the Eurozone is a bloc which will come to override the rest of the EU. President Hollande’s proposal for a President of the Eurozone will exacerbate his fears. But the negative reaction to the proposal shows the folly of Lawson’s argument that the Eurozone is a unified bloc. The Euro crisis has taught us the opposite. The countries within the Eurozone have different views of how to promote competitiveness. And countries like Germany, Netherlands and Ireland have a lot in common with countries like Britain, Sweden and Poland.
The second argument is that there is a European plot against the City. Leave to one side George Osborne’s boast that he has tougher regulation than the rest of Europe. In fact Britain never lost a vote on financial regulation in the EU – until this year, when our refusal to make alliances on the bonus tax left our position without supporters. The best way to maintain the benefits of Britain’s financial services industry is for the government to represent our interests in Brussels.
The third argument is that the single market is somehow cosseting British industry, and they would prosper better by looking outside the EU. The experience of British players in emerging economies, buffeted by local politics, is not always an encouraging precedent. But this neglects the basic point that the rest of the world has trade agreements with the EU. There are 46 of them. All would have to be negotiated by Britain if we left the EU. And of course the Transatlantic Trade and Investment Partnership is now under negotiation with the US.
The House of Commons Library confirmed for me that membership costs £1 per person per week. So to me the case that European membership is an untenable burden for Britain falls apart. But if the case for membership is so strong, then there is an obvious question which arises: if the European Union is so necessary, why is it not more popular?
Europe Needs Reform
The statistics, not just in Britain and Ireland but also more widely, are pretty clear. According to recent Pew polling, those with a favourable view of the EU fell by a median of 15 per cent across Germany, Britain, France, Italy, Spain, Greece, Poland and the Czech Republic in the space of the last year. They didn’t poll in Ireland but I would guess the statistics are similar.
But the reason for this is quite simple, and actually quite sensible. If you wanted to dream up a cocktail for draining support from the European Union then you would include the following:
- A long period from 2002 to 2007 when the EU was preoccupied with internal institutional navel-gazing.
- A policy mix in the Eurozone that in wake of the financial crisis seems to have lengthened the tunnel rather than bringing closer the light.
- An institutional structure that is opaque at best and incomprehensible at worst.
- National interests that have blocked even the creation of a single home for the European Parliament.
And of course the Euro crisis is not over. I think European leaders have demonstrated their absolute determination to preserve the Euro. The ECB has shown that it can successfully play a game of chicken with the financial markets, driving down bond spreads across the Continent. And European citizens in countries including Ireland have shown remarkable resilience in the face of big hits to their living standards.
But the core imbalances between creditors and debtors are still real, and in some cases growing. The policy mix is still too pro-cyclical, so that the deflationary impact of fiscal consolidation is drowning out the benefits of structural reform. Banking systems in some countries are still vulnerable, as the IMF warned in its recent assessment of Ireland, highlighting the nearly quarter of loans that are non performing; and proposals for Banking Union are being rebuilt, our of timber rather than steel, to use the metaphor of German Finance Minister Schauble. This is not a heartening basis on which to be looking at the challenge of recession or weak growth in the core of the Eurozone.
The EU’s unpopularity should be a spur not to exit but to reform – and critically reform that embraces the 28 countries of the EU, deliberately crossing the Euro in/Euro out divide, making the EU work better rather than tinkering with the structure. I would prefer a more expansive list than the focus on the Working Time Directive proposed by David Cameron. There was a missed opportunity on the budget, where the focus on limiting the size of the budget obscured the importance of reforming the budget. But there are other things that countries like Britain and Ireland could argue for together:
- Last June’s European Council, at the prompting of the ECB, identified a key role for the European Investment Bank in plugging market failures in the supply of corporate credit across the European economy. There was agreement for more aggressive deployment of the EIB balance sheet in the periphery of Europe. But it hasn’t yet happened, and needs a big push.
- The completion of the single market is challenging but right, and needs to be allied to strong European commitment to the trade deal with the US. This is not just about the economic bounce it involves; it is also a geopolitical statement of intent to set the standards for global trade and cooperation.
- The increasing cohesion of European engagement with Russia – Poland more cooperative, Germany less rose-tinted – has no greater challenge than in the field of energy. This is high finance and high politics, for example with Russian pipelines circumventing Ukraine speaking to deep questions of identity and political alliance.
- In this country, you know that 30 per cent of your unemployed – who total some 15 per cent of the labour force – are unemployed for more than two years. Youth unemployment now afflicts 26 million people across the EU. The June summit is pledged to action on this, but we cannot afford implementation that takes years to reach the frontline.
- European migration and border policy is critical, and involves help for countries like Greece as well as assurance for countries on the Continent.
- There is a vital task of using the budget reductions to squeeze efficiency out of the system, and improve delivery.
- And I still hanker for real engagement of National Parliaments in European decision making. It would be smart politics as well as high-minded for the European Parliament to see the benefit of this.
This is an agenda squarely focussed on how the EU works, not how it is structured. But I hold to the belief that it is the delivery deficit rather than the democratic deficit that is Europe’s biggest problem. Restore growth, extend opportunity, protect citizens, improve efficiency, build the economic infrastructure of the future, and the EU will not reverse the decline in trust in all governing institutions overnight. But it will be part of the solution rather than be perceived as part of the problem.
There is in any case very little enthusiasm on the Continent for Treaty revision, and the Parliamentary and popular approvals that are then required. So changes are going to have to be achieved within the existing Treaties. And that leads directly to the British debate, because the British government is banking on Treaty revision by 2017.
You read the newspapers and talk to friends, colleagues and relatives. My own diagnosis is that the rise of UKIP, much commented upon, is more a revolt against the mainstream parties than against Europe, more a blast against politics as usual – of which the EU is sometimes a part – than against the EU.
But this should not be a cause of complacency. Europe is unpopular. Some grievances are real. And there is a fever in the Tory party on this issue. It has been long in the making, and is deep in its festering. It is impossible to get through a Tory selection meeting without an arms race on European policy. And if the Tory tragedy is activists obsessed with Europe, Labour’s tragedy is the opposite: not that everyone asks about Europe at selection meetings, but that no one asks about it.
There are obviously two issues for you in Ireland.
One issue, the least likely and the least talked about, is that Britain does indeed pull out of the EU, and sets out on social and economic policy deliberately to undercut the competitive position of Ireland and other European countries. This could be about corporation tax or social policy. And there are some in the UK government who argue that the case for getting out of Europe is to avoid costly regulations. But in truth the minimum wage and other items of social legislation are national not EU creations. They can be amended in the EU as much as outside.
So the second issue is more real. It is not that Britain leaves the EU, but that Britain is weak in the EU, and that on a whole range of issues where Britain and Ireland have common interests and common cause, we get left behind. This is the more serious danger.
I know from my experience that give and take in Brussels, the search for consensus, depends on a feeling that all partners are committed to some version of the European project. And the danger for Britain is that it gives the impression that it has no such vision, which creates a vicious circle, where more decisions seem to run against our interests, and more grievance is built up. There is already evidence that, in the metaphor of European Council President Van Rompuy, putting your hand on the handle of the exit door means people in the room are less likely to want alliances with you. So the danger is that our influence wanes.
There are big decisions ahead. Not just on the single market but on Justice and Home Affairs and the make-up of the next Commission, to name but two. These need a strong British voice. To the extent that the Prime Minister articulates the case for membership he will help that; if he looks to be in hoc to his backbenchers, it hurts.
Conclusion
The sad truth is that the Euro crisis has provided fodder for Federalists and for Sceptics – who form a strange alliance in arguing that only a fully-fledged federal union can make the Euro work. The difference between them is that while the Federalists want it to happen, and fear it won’t, the Sceptics don’t want it to happen and fear it will.
But neither Federalism not Scepticism are an adequate response to the crisis. Federalism neglects the foundations of political legitimacy in the nation state. Scepticism neglects the power of shared sovereignty on key issues. The EU needs both the legitimacy that comes from one nation one vote, and the efficiency that comes from Qualified Majority Voting. It isn’t neat, but it is necessary.
Timothy Garton Ash has written of a “dysfunctional triangle” of national politics that is enduringly strong, European policies that seem remote, and global markets that are demanding and fickle. It is a powerful analysis. But the answer is different Europe, not less Europe or out of Europe.
In this, Britain and Ireland have much to offer each other. We both need each other. We are strong allies in Europe, and long may it stay that way.

Speech to US-European Sustainable Ocean Summit

Speech to US-European Sustainable Ocean Summit
June 4th, 2013
Cascais, Portugal
I am not a scientist, so I don’t propose to tell you today what you already know – that despite some positive moves, the deterioration of the global ocean, near shore, coastal and high seas, is dangerous and accelerating. Instead I want to focus on why I am here; what the Global Ocean Commission is, and is doing, and is not doing; what our emerging theses are; and how we can work together.
My interest in oceans is three-fold. As a policy-maker I created the world’s largest no-take ocean reserve at Chagos in the British Indian Ocean Territory. I was able to find an outlet for my passion for the environment through the unexpected residual powers of the British Empire. Yet I was shocked to find how little headway had been made around the world. The ocean is 75% of the Earth’s surface, the high seas 45%.The Chagos Reserve, at 640,000 square kilometers, makes up about one third of the total area of ocean that is fully protected as marine reserves in the world today. That total area consists of less than 1% of the total ocean area of the planet. With honourable exceptions, most recently the Australian government with the zoning of its entire Exclusive Economic Zone and John Kerry for identifying the challenges facing the global ocean as a priority, the issues of the global ocean do not command international political attention.
As Foreign Secretary I saw the difficulties of global governance, and the weakness of the multilateral system. The oceans are a prime example of this.The UN Convention on the Law of the Sea (UNCLOS) set a benchmark for ocean governance, but in the high seas its spirit is honoured more in breach than observance, as technological and economic change has outstripped the institutional mechanisms for protecting the common weal.
My next job is President and CEO of the International Rescue Committee in New York, starting in September. This organisation helps the victims of civil conflict around the world. We all know, thanks to Paul Collier, that the bottom billion people in the world existin a complex range of circumstances, including in middle income countries. But for many of them, their primary nutrient is fish. So the future of the oceans is the next frontier in development policy.
The founding idea of the Commission is that the gap between ocean expertise and political clout needs to be bridged. We are not going to add to the scientific knowledge about the oceans. But we can try to turn the increasing evidence of ocean degradation into a political issue higher up the global agenda.
None of us are experts in ocean science and economics, but our secretariat and extended network of experts are. We are focused on the high seas; we recognise the interdependence of high seas to EEZs, but our interest is in the high seas because it is a recognised part of the commonwealth of all nations and requires multilateral engagement. In addition, while we have organised the way we think about the ocean according to lines on maps, marine life knows no borders and we need to consider the value of the high seas to country waters and vice versa.
The formal mandate of the Commission is overfishing, habitat and biodiversity protection, monitoring and compliance, and governance, but this also touches on larger issues such as food security, national security, global resilience and human rights. Few of us are still serving in government, but many of us have national and multilateral experience including Paul Martin, Pascal Lamy and Sri Mulyani Indrawati. We have reached out to business in the emerging economies, to people such as Ratan Tata, because we know there is a massive North/South and East/West equity issue underpinning the debate about the future of the commons.
We have just started our work, with one meeting in Cape Town, and we will finish within a year. We have set ourselves three goals. Firstly, to sound the alarm about the state of the oceans; I don’t need to do that here. Secondly, to develop practical ideas for how to reverse the degradation; I am going to say something about that. And thirdly, to build a coalition for change; I hope that you will be part of that.
Our founding analysis of the problem is not difficult to state: the rules and incentives for exploitation of the high seas are – in the main – too weak to serve the interests of current or future generations.  Let me unpack that a bit:
“Rules”. We are concerned that key rules on fishing are set on the high seas by governments acting through Regional Fisheries Management Organisations (RFMOs), but they only bind those countries that are members of these bodies. They are focused on fishing for specific high value species, not the overall resource, and marked by resource allocation decisions rather than conservation imperatives. Decisions are largely taken by consensus, which means that when they are made, they often reflect the lowest common denominator approach. Since the rules don’t apply to any countries that are not members of RFMOs, the result is that illegal and unregulated fishing is rife, as policing is almost non-existent.
“Incentives”. We are concerned that the economic incentives, for example through subsidies, are actually stacked for exploitation of high sea resources, not conservation. And the refusal to address issues like bottom trawling are crippling to the ecosystem.
“In the main”. It is important not to knock everything. For example, there is some evidence that the new EU fisheries policy is a step forward in science-led policy making. The International Seabed Authority does have comprehensive rules in place for regulating seabed mining. However, the seabed legally has been separated from the water column, which to me is a good example of how high seas governance is disjointed and patchy.
“Current generations”. It is sometimes thought that resource efficiency is a long term issue. In fact it is a short term issue, for current generations. We in the Commission are doing the maths, but the up-front cost of overfishing on the high seas is currently many tens of billions of dollars per year. So we know that overfishing is economically dangerous today.
And “Future generations”. The Commissionis not addressing the climate change threat head-on. But we do believe it is real and present and dangerous for the ocean. Warming is not just driving fish stocks to new grounds; it is also shifting currents and changing the acidity of the ocean at an unprecedented rate. And the issues the Commissionis addressing are crucial if we are to build ocean resilience to climate change, restock waters and try to restore marine life so that in adapting to climate change, we are mitigating its impacts on this essential life support system and the people who depend on it.
So the three strands of the Global Ocean Commission’swork are economic, environmental and governmental. We see the nexus of all three as absolutely key. And although it is too early for us to come to conclusions, we are asking some suggestive questions:
The Port State Measures Agreement has an important mandate: once ratified, it will be the first internationally binding agreement that establishes the duty of port states to inspect fishing vessels and to deny entry to those operating illegally. Yet while it was finalised in late 2009, it has not been ratified by enough countries to come into force. Why?
Aeroplanes in the sky are required to carry identification tags and tracking devices, and we know where they are. So it is for commercial maritime shipping vessels. But there is no such requirement for industrial and large fishing vessels, even though some of them have been acknowledged by the UN Office on Drugs and Crime as being involved in drugs and weapons smuggling, and human rights abuses. Why?
We are living in an age of austerity, but fishing subsidies are being used to undercut the livelihoods of fishermen. Why?
These are not easy wins. There will be strong vested interests opposing any change. But if people knew what was going on, they would demand change.
Our aim is to formulate a series of short-, medium- and long-term proposals that bring together a range of interests while challenging others. We cannot afford to let the best to be the enemy of the good, and we do not have the luxury of starting from scratch. We will be looking for practical and costed ideas to make change.
The Commissionis explicitly seeking to be additive to the work of others, many of them in this room. But we are also seeking to catch the tide, as well as make it. 2014 seems to us a year of key decisions for the global ocean. The UN has made September 2015 (the end of the 2014 General Assembly session) a key target date for a decision on whether to begin negotiations that were called for inthe Rio+20 process, to negotiate a new international agreement on the conservation of marine living resources on the high seas. Either there will be a moment of reckoning and decision, or this vital agenda will get lost, as the worlds of ocean science and international politics drift further apart, the problems get worse, the challenge of collective action more complex, the sunk costs bigger, and the clash of short-term versus long-term more difficult. Or we make a change, and show that we understand our own interests as well as the planet’s.

Speech to the 75th reunion of the Kindertransport

Speech to the 75th reunion of the Kindertransport
June 23rd, 2013
London
I feel a deep sense of privilege and responsibility in being asked to speak to you today. The stories of the kinder, and the story of the kindertransport, speak through time to universal questions of humanity, solidarity and compassion. But they also speak to a specifically British response to the particular traumas of European Jewry 75 years ago. Politicians and citizens; Jews, Christians, Quakers and atheists; North and South; cosmopolitan Britain and rural Britain; all, or almost all, came together in common cause to forge life-saving links across boundaries of nationality and religion. Like many of you here, I have very personal reasons to be aware of this.
My father and grandfather found their own way here in 1940 from Belgium. They were helped by many people along the way. And then they did what refugees and immigrants have done down the ages: they put something back. My grandfather spent the war clearing out bombed buildings. My dad studied and then joined the Royal Navy. Fortunately my grandmother and aunt, left behind in Belgium, were sheltered by a Catholic farming family. My mother was not so lucky as to escape Poland before 1940. She spent the war in hiding before coming here with Rabbi Shonfeld in 1946, where she was looked after by British families before going to university and making her own career and family.
These stories were the background music to my childhood. After all, I was born only twenty years after the Holocaust. Now I am part of a transitional generation, born early enough to have met survivors, kinder and non kinder, but part of a generation destined to outlive them, and required in years to come to take up their story and its lessons without the benefit of their living testimony.
The Holocaust was the memory of our parents but it is history taught to our children. As time moves on, and the number of kinder declines, the responsibility of remembrance grows heavier still on this generation and those not yet born. That is one reason that events like this, and related efforts by the Holocaust Education Trust, the Anne Frank Trust and others, are so important.
Today we pay personal tribute to the parents, to the children and to those who gave them refuge. “He who saves one single life it is as if he has saved an entire world”. Those who were part of kindertransport saved 10 000 single lives – and saved ten thousand worlds, reaching across continents to forge a common bond between strangers.
I have met the kinder over the years. I learned that somehow the kinder found a greater strength in part because they gave one another strength. Having many of them lost all their families – they became one another’s family and lifted one another.
But what was so special is that the kinder did not just survive. One would have almost understood had they turned away from life itself. But they didn’t. They chose life. They built communities. They made a collective affirmation of life, the kind that lives on in us today. They won Nobel Prizes. They looked towards the future. And partly because of their faith in life itself they married, had children, grandchildren, even great grandchildren, and refused to let evil have the final word. Hundreds and thousands of worlds saved by single acts of kindness a generation ago.
Today I think of so many right across this country, whose whole lives during the darkest years the world has ever known, were a way of enhancing the lives of others. Those rescuers believed that in each child there burned a moral flame that if nurtured could defeat the darkness in our nature. Many of those children who survived and those who saved them, have spent the years since telling their stories, educating Jews and non-Jews about the dangers of intolerance and the need to respect the dignity of difference. In doing so they make a great affirmation of life.
They inspire us still, to fight anti-Semitism whenever it rears its ugly head anywhere in the world, to fight against ignorance and intolerance, to tackle poverty and injustice, and to educate our children, not just about the history and lessons of the Shoah, but about the acts of compassion which brought light to the darkness.
One moment of real pride as Foreign Secretary was to commission and unveil the plaque in the Foreign Office to the diplomats who broke all the rules and helped Europe’s Jews. I never understood the resistance to Sir Sigmund Sternberg’s idea, but now the plaque will sit in the Old India Office as a reminder of what duty and responsibility is really about.
I wish I could say that the children of the 21st century will be spared the horrors of the 20th. But cast your eyes to the Middle East, to the Democratic Republic of Congo, to Afghanistan, and the story is not of solidarity but of sectarianism and slaughter. Although there are thankfully fewer wars than ever before, there are more people fleeing conflict and disaster. The figure is scarcely believable: one new refugee every 4 seconds, 45 million in the last year. And this provides a clue to the personal transition I am now making.
There is one pretence under which I am here falsely. The programme bills me as a Member of Parliament, but that is no longer the case. As many of you will know, I have agreed to take up a new job, starting in September in New York, as President of the International Rescue Committee, a global charity helping the victims of civil conflict and natural disaster around the world. In a small way, I feel I am repaying a personal debt to those who helped my parents.
The role of the IRC’s 12000 staff is to provide emergency relief and longer term help to millions of people afflicted by conflict and disaster. In over 40 countries torn apart by war, we provide life-saving help. In so doing, we call on the qualities of compassion and mutuality that helped the kinder 75 years ago.
The Wiener Library, whose work we also recognise here today, has the slogan: “If we do not save our history it will perish”.
History and memory. Two different words, so closely related that in Hebrew, I am told, since I am not a speaker, they are the same: zachor.
What is the difference between history and memory? Consider the elegant words of Chief Rabbi, Professor Lord Sacks, in The Chief Rabbi’s Haggadah: “History is his story – an event that happened sometime else to someone else. Memory is my story – something that happened to me and is a part of who I am. History is information. Memory, by contrast is part of identity.”
As the chain of memory is broken by the passing of time and generations, so history and its lessons becomes more important. And the biggest lesson of the kindertransport is that when we are asked “whose responsibility is it to save a life”, the answer must be “ours”.
When I asked the Catholic farmer in Belgium why he put himself in danger to save my aunt and grandmother, his answer was simple: “one must”. I heard the same spirit this week in the story of a janitor on the East Coast of the US who is one of the IRC’s most regular donors, giving $10-12 000 a year, probably one quarter of his salary, to help us save lives around the world.
That is the spirit of the kinder and those who helped them. It is the spirit we honour today. And it is the spirit we promise to keep alive tomorrow.

Speech on north east economy

Speech on north east economy
Westminster Hall, UK Parliament
November 13th, 2012
David Miliband (South Shields) (Lab): I know that I speak for all my colleagues when I say that we are delighted to serve under your chairmanship, Mr Hollobone. I am sure that there will be excellent behaviour from all of us. There is no regional Minister any more and, sadly, as yet no Minister from a north-east constituency in the Government, but we welcome the Minister today.
There are two subjects that I feel passionately about, but I will restrain myself and not talk about those today. First, I do not expect the Minister to announce that she is changing the misguided decision to abolish the regional development agency, splitting the region in half. In fact, it would not be sensible to do so, having gone through two years of reorganisation. I hope that my party learns the lesson that unnecessary reorganisation on the not-invented-here principle is not a good basis for policy.
The second thing that I am not going to talk about is the not misguided but masochistic economic policy that the Government are imposing. The contrast between President Obama’s growth path since May 2010 and our own is striking. Equally, it is a bit much to expect the Minister to contradict the Chancellor of the Exchequer in one of her early outings.
It is ironic that I was accused on BBC Newcastle radio today of coming to Parliament just to take part in a talking shop. I asked what was the point of Parliament if not for talking. Hopefully, there will be some practical outcomes from today’s discussion, and at least some greater understanding.
I am sure that I speak for all hon. Members when I say that we regard the north-east economy as an asset for the UK, not as a problem for the UK. The north-east has a consistent trade surplus that is higher than the UK average, faster growth in exports than the UK average, and we have some great companies, from cars to chemicals. We also have world-class universities. Equally, we do not shy away from highlighting some big problems: income per head and education are lower and unemployment and non-employment are higher. Those are the long-term problems, and there are short-term problems too: construction is flat and business confidence is fragile. I was sent the Lloyds purchasing managers index data for the fourth quarter, showing that it is dipping in that quarter. There are cyclical as well as structural problems.
I do not hide my own interest. I want to look at practical issues. The test of this debate, for me, is whether it makes a difference in South Shields to the unemployed youngster seeking work, the small business seeking finance and the shopkeeper seeking renewal of the town centre. In the 10 or 12 minutes that are available to me, I want to highlight five issues that I think successful regions around the world put at the
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heart of their economic policy. I want to make some specific points. First, there is not a successful region or city in the world that is not connected to the rest of its nation and the rest of the world. One in seven jobs in the north-east depend on foreign investment, never mind British investment. That puts issues such as transport high up the agenda. Some of my colleagues will speak about transport, especially rail and road. As the Member in whose constituency a large part of the Port of Tyne sits, I know that ports are important. The Port of Tyne need its freight capacity strengthening.
On transport, the figure provided by the Institute for Public Policy Research and the Civil Engineering Contractors Association is striking. I am delighted by the Crossrail investment in London—£2,750 per head being spent on Londoners and their transport—but in the north-east the figure is not £1,000, £500 or £50, but £5 per head. I am not saying that the Minister needs to say that that figure should be £2,750, but honestly, £5 per head is not consistent with our needs. We are not asking to be funded on the same level as the capital city, but we do think that that is a problem.
Colleagues will talk about airports. Newcastle airport provides 7,500 jobs and deals with 4.3 million passengers. For anyone watching, we have airport capacity and we can increase that without much argument. A transatlantic route for the north-east would be welcome. People say that a revenue-neutral tweak in air passenger duty would make a difference, relieving congestion in southern airports.
I want to make a different point, which I do not think will be raised elsewhere. We have five great universities with a large number of fantastic foreign students, and historically those students have created businesses in the north-east. Every university vice-chancellor will tell the Minister that the Government’s policy on student visas is barmy. We are keeping out of the country people who want to learn from and contribute to it. We are reducing the number of students who come here from abroad and we are preventing them from staying here to work, not to claim benefits. I am glad to see, from the honesty in the Minister’s face, that she recognises my point. For the record, I will not claim that she has nodded in agreement, but she certainly nodded in recognition of the point. Hon. Members should not take it from me. My reading of Home Office’s own study—I should like the Minister to confirm this in her response—is that the immigration cap for foreign students will cost the British economy £2.4 billion a year. This self-defeating policy has nothing to do with tackling illegal immigration and it is injurious, not just to the so-called golden triangle of the south-east, but to our region.
Secondly, successful regions around the world make the most of their global links and develop their local assets. Every city and region has its own history. We have great traditions. In my constituency, those traditions include shipbuilding and mining, although shipbuilding is almost reduced to a nugatory level. Other hon. Members will talk about that. I want to make a point about how we build on our manufacturing history in respect of energy policy, which is no longer the responsibility of the Minister’s Department, although I am sure that she will say that there is close co-operation with the Department of Energy and Climate Change.
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The energy revolution is potentially transformative for the north-east, and although it does not just include renewables, they will play a significant part. We have strength from Narec in Blyth, right through the Port of Tyne in South Shields, down to Teesside. The north-east chamber of commerce estimates that that could be worth 40,000 jobs and £6 billion in the next 20 years. However, Government energy policy is a complete mess: it is a pushmi-pullyu or hokey cokey. The Minister of State, Department of Energy and Climate Change, the hon. Member for South Holland and The Deepings (Mr Hayes)says one thing and the Secretary of State contradicts him.
It is obvious that long-term investment by business needs long-term clarity and certainty from Government. There is fast reaction to clarity from Government. In October 2010, the Government set out an offshore wind strategy and Siemens and others responded quickly with investment, but now they are halting that investment because they do not know what the Government’s game is. The Energy Bill is coming up, so for goodness’ sake let us make it a model of how countries can, on a bi-partisan basis, set long-term strategy for business to invest.
People are saying, “Oh well, we have been in recession. We may be going into a triple-dip recession. We can’t afford to go green.” That argument is nonsense. The argument should be that now is precisely the time to go green, but we cannot do so if the private sector does not know what the public sector is doing and if one bit of the public sector does not know what another bit is doing.
Thirdly, people should stop complaining about public spending draining the private economy—the so-called crowding out of private investment. Government policy so far has been framed on the idea that the more public spending there is, the less private spending there is. That is nonsense: we need only think about Britain’s strength in pharmaceuticals. The integrated purchasing power of the national health service is one reason why Britain has a strong pharmaceuticals industry; one has fed off the other.
I think that all hon. Members agree: no one says that there will be as much public money around as there used to be. We argue about the speed of reduction. What we spend needs to have maximum economic impact. It is not just a social policy, but an economic one. I want to make two points in that regard. One is about the benighted regional growth funds. Honestly, it is one thing to cut the funding by two thirds, from the old regional development agencies to the regional growth fund, but on the figures I have—I would like the Minister to confirm this—of the £1.4 billion announced in rounds 1 and 2 of the regional growth fund, the amount that has left the Department’s bank account is £60 million. Not £600 million—nearly half of the total figure—but £60 million has reached the companies that won the competition. Thirty companies that won in rounds and 1 and 2 have subsequently pulled out because of the delays in Government decision making. Can we have some clarity and determination to get this thing sorted out? We will reach the next election with winners in round 3 still without their money—I do not want to give the Government political advice, but it is deeply
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worrying for our economy if we cannot get allocated money out of the Department for Business, Innovation and Skills.
Secondly, connected to that, public decisions have a big private benefit. My hon. Friend the Member for Sedgefield (Phil Wilson) did an extraordinary job in bringing people together for the Hitachi contract to build 600 or 700 carriages in Newton Aycliffe. That was a massive decision by a Japanese company and a massive vote of confidence in the people of Newton Aycliffe, but we must ensure that the supply chain feeds that investment, and that will not happen by the elixir of market forces alone—there is work to be done. In the same way, Nissan is a massive employer in the north-east, but MPs in Sunderland and elsewhere would say that an important part of the benefit comes from the supply chain, and we must get that right for the Hitachi investment as well.
The fourth area, which I feel strongly about, is that successful regions around the world do not allow significant sections of the population to fall behind the rest. They especially do not allow a large group of young long-term unemployed to become a drain on their own livelihood and on the wider economy. The economic inequality of unemployment is a massive issue for the future of our country. The figures are extraordinary: 270,000 young people have not been in work for more than 18 months, with a further 180,000 not in work for more than six months—450,000 youngsters unemployed for more than six months. In my constituency alone the claimant count is 380 and throughout the north-east it is 12,000, and that count underestimates by 35% the number of those who are not in employment, education or training. If I may explain to the Minister, 35% of 18 to 25 year olds do not claim the benefits to which they are entitled—they are unemployed and not in education or training, but they do not claim the benefits, so the claimant count underestimates the total.
Helen Goodman (Bishop Auckland) (Lab): Is my right hon. Friend aware that the number of young people who have been unemployed for more than 12 months has risen by 750% in the past year alone?
David Miliband: I was not aware of that figure from my hon. Friend’s constituency, but it speaks to the point that I am asking the Minister to address. The Minister’s own party leader has said on behalf of the Government that he wants to abolish long-term youth unemployment. That is excellent, but people who say that they want to abolish long-term youth unemployment have a responsibility to put in place the policies to do so, not least because young people who hear that message from the Government will feel a double betrayal—it is one thing to be long-term unemployed, it is another to be told that the Government will help them out of it, but then do not do so.
I beg the Minister not to read out a script from the Department for Work and Pensions that tells me that 150,000 people are getting a wage subsidy. I promise the hon. Lady that they are not. First, the 150,000 is for a three-year programme; secondly, the level is set at £2,500, which has never in history produced the kind of reaction needed among employers. When the right hon. and learned Member for Rushcliffe (Mr Clarke) tried that in 1995 or 1996, he got a 3% take-up rate on a scheme of the same size, so I beg the Minister not to tell me that
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the Government will achieve that mass take-up of wage subsidies: they will not. I urge her not to tell me that apprenticeships are the answer: we know that less than 40% of apprenticeships are going to the under-25s, because 60% are jobs for adults relabelled as apprenticeships.
I urge the Minister not to tell me that work experience will make up for the lack of a guaranteed job at the end of nine, 12 or 18 months of unemployment. Although we welcome what the previous Employment Minister told us—that I think 35% of those who had had work experience got a job—he killed the future jobs programme on the grounds that only 50% of people coming out of it were getting a job. We welcome the effect of work experience, but let us not kid ourselves that it is the answer. The Under-Secretary can take away a serious message: certainly in my constituency, and more widely throughout the north-east, we want the power and the funds in our own hands, to suit the welfare-to-work programme to our own needs. The hon. Lady has an honourable history of talking about localism, and this area of welfare policy is a classic. The labour market in my constituency is completely different from the labour market in her constituency, and we cannot rely on a national sausage machine of welfare-to-work programmes. We need local flexibility to tackle the existing problems, especially for young people. The issue is economic, not social.
Finally, I think that all 20 of us in the Chamber agree that the future of our economy in the north-east, and of the British economy, is in innovation. I want to raise one issue about innovation, which is finance and how the financial services sector in Britain needs to be a spur for domestic industry and not only a global blood supply for financial services around the world. It is good that we are the global capital for financial services and I welcome the fact that the City of London is the blood supply for global financial services, but I want it to be the blood supply for the north-east’s businesses that want to invest and innovate. There is a problem.
The British Chambers of Commerce now agree that a British investment bank is the way forward, and it has suggested some interesting ideas. We should be thinking about not one, national, statist investment bank that is the whole answer to all our problems, but about how investment coalitions can be brought together—public and private sectors—at the local and regional levels. The experience of the regional growth fund shows the dangers of expecting one national institution to process the information; we need local engagement in finance for industry. As the banking sector shakes out, we have a big job to do to underpin regulation—we do not want to risk another financial crisis—but we cannot afford to strangle the flow of investment from financial services into businesses. That is the danger that I see at the moment.
I will have got my breath back from my run from the tube by the time I finish, but I will do so on the following note. What is interesting, if we look at the statistics, is that 640 businesses have been created in South Tyneside in the past year. That is quite a striking statistic. A figure I received yesterday is that 1,000 more people are self-employed than was the case two years ago. The sad thing is that that is in spite of Government policy, not because of it.
In the end we cannot mandate job creation, we cannot legislate for businesses to start up or for people to become self-employed, but we can support them. In the
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five areas that I have set out, we are not looking for handouts, we are looking for support. We are not asking the Minister to contradict the Chancellor’s spending envelope—I do not expect her to do that—but I do expect her to take on board practical, common-sense, innovative ideas that are necessary and that are brought forward with a passion. The Prime Minister last night talked about rebalancing the British economy, but one aspect of rebalancing, which unfortunately he did not talk about, is rebalancing so we get a better regional balance in the country. That is not a new issue—we have had issues of regional imbalance for a long time—but rebalancing the British economy has to mean strengthening the north-east and the northern economies. The interesting point is that such a rebalancing of the British economy can go hand in hand with a transition that is going on in the north-east economy at the moment. We lost our economy in the 1980s, we began rebuilding it in the 2000s and we need to complete the transition now, but if we are going to do so we need the help of Government and not the hindrance.