The New Labour Policy era 1997 – present day
During the 1980s and early 1990s the British Labour Party underwent a prolonged and protracted ideological crisis. The political norms and values that had been viewed as integral components to the party’s outlook for decades were being systematically challenged by a series of dominant Conservative governments and many within the Labour movement considered the party’s ideological standpoint to be at odds with mainstream public sentiment. As such, New Labour essentially came about as a response to deterioration in both electoral success and ideological dominance (Powell; 1999).
Therefore, the theoretical foundation of New Labour and the ‘third way’ is a result of a variety of different ideological forces interacting in both unity and opposition simultaneously. The purpose of this piece is to assess the extent to which the welfare polices of New Labour since 1997 have been affected by this convergence of ideological sentiment. As such, during the course of this work three competing conceptions of welfare policy will be assessed in relation to policy programmes adopted by the Labour Party since 1997. The ideological viewpoints concerned are; old liberalism; new liberalism and conservatism. It will be shown that all three political outlooks have played their part in forming the identity of the Labour Party in relation to welfare policy and that in both theoretical and practical terms they often continue to act in opposition to one another. However, before we begin such assessment it is first necessary to briefly outline the various outlooks of each ideology and the position they adopt in relation to welfare policy.
Classical Liberalism or ‘Old Liberalism’ as it is often termed, is largely a product of the Enlightenment and the consequent wish of many political theorists to enact a system of political organisation based on the fair and equal treatment of the individual in relation to the state. As such, Old Liberalism as laid down by academic authorities like John Locke and David Hume is primarily concerned with ensuring that the freedom of the individual is preserved both in terms of political liberty and private property (Eccleshall; 2003). Therefore, this ideological outlook is invariably suspicious of the proactive actions of government forces and thus believes that the role of government in all policy areas should be limited. As such, although Old Liberalism aims to ensure equality before the law along with the establishment of clear political rights for all in society, it is vehemently opposed to intrusive government action in relation to economic distribution and social welfare. Indeed, those who adhere to this conception believe that the lassez faire market is capable of providing balance and distribution in an effective manner and thus the role government should be curtailed as far as possible (Freeden; 1978).
However, during the late nineteenth and early twentieth centuries a new progressive form of Liberal outlook began to manifest itself, particularly in Western Europe. The New Liberals were united in their belief that the lassez faire system of economics failed to adequately protect the most vulnerable in society. Moreover, it was the responsibility of government to ensure that social welfare was available to all on the basis of need and not the ability to pay (Freeden; 1978). Put another way, “welfare is actually a form of liberty in as much as it liberates men from social conditions which narrow their choices” (Eccleshall, 2003; p. 23). Therefore, in Britain such theoretical assumptions laid the basis for much of the social welfare programmes witnessed in the first half of the twentieth century. Between 1906 and 1914 the Liberal governments led primarily by Herbert Asquith set about establishing the first widespread measures of British social welfare provision in the form of old age pensions, unemployment benefit and social insurance. This was then built upon considerably by Clement Attlee’s Labour Party in the years that followed the Second World War (Stewart and Pearce; 2002). Thus, it is important to note that Labour’s establishment of the welfare state after 1945 was largely based on the political outlook of New Liberalism. Indeed, William Beverage, the man responsible for outlining the theoretical foundations of the welfare state was a life long liberal and not a socialist (Foote; 1997).
Alternatively, it is sometimes difficult to provide a clear and unambiguous definition of Conservatism. All conservatives have a natural inclination towards preservation of the status quo and thus an innate dislike of change. However, in political terms the outlook adopted by Conservative thinkers often varies in relation to the country and period in question (Eccleshall; 2003). The British Conservative Party has traditionally taken a similar standpoint as that of Old Liberalism. As such, limiting the actions of government has often been a consistent feature of Conservative policy throughout the last one hundred and fifty years. Therefore, in ideological terms Conservatives are often naturally opposed to widespread welfare programmes that inhibit the potential of the individual and allow for a greater role for government. However, at various points in British political history the Conservative Party has been forced to adapt and alter its ideological conceptions in response to public sentiment and political change. Indeed, the consensus politics in relation to welfare and political economy that dominated in Britain from the early 1950s until the 1970s bear this out (Pearce and Stewart; 2002).
Similarly, the radical and progressive change that the Conservatives enacted during the 1980s has left its mark on mainstream political sentiment. Once again, the primacy of market forces and limited government were reasserted in all areas of public policy; including welfare. Therefore, the position adopted by New Labour since 1997 has in many ways reflected this enormous political reassessment. Market forces have been allowed to prevail and although there are examples of welfare directed polices on the part of New Labour, these fail to carry the same radical ideological connotations that prevailed in the party’s thought before the early 1990s (Powell; 1999). As such, whereas the ideological assumptions of ‘Old Labour’ in relation to welfare policy was heavily based on New Liberal conceptions of increased government, it is certainly fair to conclude that much of New Labour’s legislative action since 1997 has redefined previous Conservative measures as opposed to providing a wholesale change. Thus, since 1997 the Labour Party has been forced to adapt to changing political atmospheres in the same fashion as their Conservative opponents in the 1950s. Naturally, New Liberal conceptions of protective welfare provision have remained an important part of the party’s outlook. However, there is little doubt that the manner in which such provision is organised as undergone significant change (Powell; 1999). Above all, New Labour has continued in a similar vein to that of previous Conservative administrations in allowing a much greater influence of market forces within the welfare state. Although such policy continuation has not resulted in the widespread privatisation of the welfare state, it is nonetheless the case that New Labour bears greater resemblance to Old Liberalism and Conservatism that it has ever done.
Furthermore, the idea that the welfare state is actually failing to meet its original requirements of social and economic progression is becoming more prominent in New Labour discourse. The growing emergence of a welfare dependent culture in many parts of Britain is viewed as carrying out the opposite progressive function which the welfare state was originally intended to do. Although this may represent a new problematic area for those concerned with welfare provision, there is little doubt that the ideological foundations of such sentiment are to be found in Conservative and Old Liberal discourse. As such, in some measure it may be fair to conclude that the theoretical and ideological outlook of New Labour will continue to be based on assumptions that were not hugely prevalent before the early 1990s.
Nonetheless, recent global economic issues have once again brought into question the ability of free market forces to effectively regulate themselves. The onset of financial and economic crisis has once again shown when urgent action is required; government is the only body capable of providing the required levels of organisation and resources. Therefore, Old Liberal and Conservative ideas of limited government are likely to be placed under sustained attack in the years to come. Moreover, history clearly shows that when market forces suffer ideological defeat in economic terms, this often transcends to envelop other areas of public and social policy (Powell, 1999). As such, it is certainly possible that in the years to come New Labour’s political outlook with regard to welfare provisions will undergo significant changes. Ultimately, the two main political parties will once again have to adapt and change their ideological outlooks in order to effectively respond to political, social and economic change.
In conclusion, the three ideological outlooks have been assessed in detail. What is clear is that throughout its history the Labour Party has been affected by Conservatism and also New and Old Liberalism. In relation to welfare policy we have seen how the New Liberal conceptions that dominated Labour’s political discourse in the decades after 1945 have undergone a fairly radical change since the mid 1990s. New Labour has adapted to the re-drawing of the ideological landscape and in the process has had to sacrifice certain ideological tenets previously deemed integral. However, as the final discussion above shows, the era of government intervention is far from over and indeed may well be about to undergo a resurgence.
Bibliography
Eccleshall, R (2003) ‘Liberalism’ in Finlayson et al, Political Ideologies: an introduction (3rd edition), London: Routledge, pp. 17-39.
Eccleshall, R (2003) ‘Conservatism’ in Finlayson et al, Political Ideologies: an introduction (3rd edition), London: Routledge, pp. 47-68.
Foote, G (1997) The Labour Party’s Political Thought: a history (3rd edition), London: Macmillan.
Freeden, M (1978) The New Liberalism: an ideology of social reform Oxford: Clarendon.
Pearce, M and Stewart, G (2002) British Political Thought, 1867-2001: democracy and decline (3rd edition), London: Routledge.
Powell, M (1999) New Labour, new welfare state? The third way in British social policy Bristol: Polity.