In full: Andy Burnham speaks at Resolution Foundation event
By The Telegraph
Unsung Britain: A Conference Summary
Key Concepts:
- Sanctions & Conditionality: The current welfare system’s reliance on punitive measures and strict requirements for benefit access.
- Asset-Based Approach: Focusing on individuals’ strengths and capabilities rather than perceived deficits, particularly in employment support.
- Adult Social Care Funding Gap: The unresolved issue of sustainable funding for adult social care, exacerbated by demographic shifts and wealth disparities.
- Civic Universities: Universities actively engaged with their local communities, contributing to economic development and graduate retention.
- Living Standards Stagnation: The lack of income growth for lower-income families despite increased employment rates.
- Housing Crisis: The increasing unaffordability of housing, particularly for younger generations and those reliant on the private rental sector.
- Intergenerational Wealth Transfer: The growing disparity in wealth between generations, impacting access to social care and housing.
- Political Disconnect: The perceived gap between Westminster politics and the realities of everyday life for many Britons.
- Collective Approach: A return to post-war policies prioritizing social welfare and public services.
- Essential Service Public Control: Bringing essential services like buses and potentially water, energy, and rail under public ownership to lower costs and improve access.
I. Critique of the Current System & Welfare Approach
The conference opened with a critique of the existing welfare and employment support systems, characterized by a reliance on sanctions and conditionality. Speakers argued that this approach fosters a hostile environment for benefit claimants, contrasting it with a more supportive, asset-based approach that focuses on individuals’ strengths and potential. A key point was the disconnect between the stated intentions of these systems and the lived experiences of those using them, with individuals feeling questioned and distrusted rather than empowered. As one speaker stated, the system operates with “frankly cynicism.” The evidence clearly demonstrates the effectiveness of an asset-based approach, yet policy remains focused on “guard rails” and control.
II. The Adult Social Care Challenge
Discussion centered on the ongoing crisis in adult social care funding. A commission 15 years ago proposed solutions that were never implemented, and a new commission is currently reviewing the system. The core issue is the growing disparity in wealth between generations, with some able to fund care through housing wealth while others cannot. This intergenerational wealth transfer creates a significant challenge, as future generations are less likely to have the resources to cover care costs. The lack of a sustainable funding model is a “very hot potato” to handle, but a critical issue for the future.
III. The Role of Universities & Local Economic Strategy
The importance of civic universities in retaining graduates and contributing to local economic development was highlighted. Sheffield University, for example, has a civic agreement demonstrating commitment to the local area. However, effective graduate retention requires a clear economic strategy and improved infrastructure, such as reliable transportation. The example of Sheffield’s limited rail connections to nearby Leeds was cited as a barrier to economic integration. Strong engagement with student unions is also crucial for fostering a sense of belonging and civic engagement. Students should be seen as a core part of the civic fabric, not isolated within an “ivory tower.”
IV. Living Standards & Economic Trends (Resolution Foundation Report)
The Resolution Foundation’s research revealed a concerning trend: despite a rise in employment rates (an 11 percentage point increase over 30 years), the living standards of the 13 million working-age families with below-average incomes have stagnated. In the 40 years before 2005, incomes doubled; at the current rate, it would take over 130 years to achieve the same growth. This stagnation is primarily attributed to a lack of pay growth, linked to broader issues of economic productivity. The report emphasizes the need to boost the UK’s productivity performance as a central component of any strategy to improve living standards.
V. Key Factors Impacting Lower-Income Families
Two key factors were identified as particularly impacting lower-income families:
- Rising Ill Health & Disability: The increase in ill health and disability is having a profound effect, with aging only explaining 17% of the rise. The burden of caring for an aging population disproportionately falls on lower-income families. This necessitates a “revolution” in supporting people to combine work and care, mirroring the progress made in combining work and parenting.
- Housing Costs: The dream of homeownership is increasingly out of reach, with nearly three in ten families now living with parents. High rental costs in the private sector exacerbate the problem. The tax system compounds these costs through council tax, and benefit systems do not adequately compensate for them.
VI. Policy Interventions & Government Action
Speakers acknowledged that government policy can make a difference, citing the increases in the minimum wage and the removal of the two-child benefit limit as positive examples. However, a more fundamental shift in approach is needed. Andy Burnham, Mayor of Greater Manchester, advocated for a return to a collective approach reminiscent of the post-war era, focusing on repairing the basics and building a foundation for working-class prosperity. He criticized the individualistic, market-driven policies of the past four decades.
VII. The Case for Public Control of Essential Services
Burnham strongly advocated for bringing essential services – buses, water, energy, rail – under public control to lower costs and improve access. His experience in Greater Manchester, where he successfully re-regulated the bus system, demonstrated the benefits of public ownership. He argued that deregulation and privatization have transferred power away from “unsung Britain” and led to higher costs for essential services. He stated, “The time has come to call an end to this era in British politics when politicians got too close to wealth.”
VIII. Housing as a Priority & Proposed Solutions
Housing was identified as the most critical issue. Burnham proposed three specific measures:
- Build 500,000 council and social homes by the end of the decade.
- Compulsory purchase of non-decent private rented homes by local councils.
- Accelerate a retrofit program to improve energy efficiency and lower bills.
He championed the Finnish “housing first” philosophy, arguing that a secure home is fundamental to all other aspects of life.
IX. The Need for Political Reform
Burnham emphasized the need for a new political culture, characterized by collaboration, long-term thinking, and a focus on the needs of “unsung Britain.” He called for:
- Electoral reform.
- Reform of the whip system to empower MPs.
- Reform of the House of Lords.
He argued that the current system is too short-term, volatile, and susceptible to vested interests. He stated, “We need to create a new politics and I say that having spent 16 years in Westminster.”
Notable Quotes:
- “Their work is frankly built on sanctions, conditionality and frankly cynicism.” – Speaker on the welfare system.
- “It’s about recognizing the ability of somebody rather than their disability.” – Speaker on employment support.
- “The difference between pre and post 2005 is fully explained by a lack of pay growth.” – Resolution Foundation report findings.
- “Lower rents, lower water bills, lower energy bills, lower rail fares, lower bus fares.” – Andy Burnham’s vision for improving living standards.
- “You can’t have anything in life without a good secure home.” – Andy Burnham on the importance of housing.
- “The time has come to call an end to this era in British politics when politicians got too close to wealth.” – Andy Burnham on the need for political reform.
Conclusion:
The conference underscored a growing consensus that the current economic and political system is failing to adequately address the needs of lower-income families in Britain. A shift towards a more collective, interventionist approach, prioritizing public control of essential services, affordable housing, and a more equitable distribution of wealth, is deemed necessary. Crucially, this requires not only policy changes but also a fundamental reform of the political system to prioritize the needs of “unsung Britain” and foster a more collaborative and long-term vision for the future.
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