John Pugh's verdict on the coalition

Friday, 14 May 2010

ImageOn Tuesday, British politics changed in a way none of us could have imagined and which most of us have barely grasped. It was very clear to all of us during the election campaign that voters liked the idea of politicians working together and that they were tired of 'Punch and Judy' politics.

It was obvious that following the election results the only stable, lasting arrangement would be a coalition either between Labour and the Lib Dems OR the Conservatives and the Lib Dems.

It became obvious during Tuesday that there was considerable opposition to a Labour/Lib Dem coalition - partly from within the Labour Party but also not helped by the fact that Labour and the Lib Dems would not be a majority in the House of Commons. Major figures in the Labour party signalled their hostility to a Labour/Lib Dem coalition, undermining negotiations. Had success been achieved in forming a Labour/Lib Dem coalition though, the Scottish Nationalists, Conservatives and Unionists would have been able to out-vote such a government.

Given all that, Lib Dems and Conservatives negotiating teams therefore tried to conclude their attempt to get an agreement and did. Much as I find it both strange and difficult to imagine Lib Dems and Tories working together in a coalition, I also note that the coalition agreement published today includes huge chunks of the parts of Lib Dempolicy that appeal to most voters and drops parts of Tory policy that are unacceptable. I am frankly amazed at the concessions the Tories made.

It includes:
  • Tax reform making the first £10,000 of earning tax free (worth £700 to low and middle income earners). 
  • The restoration of the link between pensions and earning new funding to keep class sizes small (pupil premium). 
  • A raft of measures to encourage new sustainable, green industries. 
  • Major political reforms including a referendum on the voting system, an elected house of Lords, power to sack corrupt MPs and to control party funding. 

These were the major themes I and other Lib Dem MPs campaigned on in the General Election

The Lib Dems in turn accepted Conservative requests to investigate an immigration cap for non-EU citizens and to have no further transfer of powers to the EU over the course of the next Parliament

The Conservatives have agreed to park or drop their unpopular plans for inheritance tax breaks for the very rich and the Lib Dems' aspects of their immigration policy.

Both sides have also agreed to drop the third runway at Heathrow, scrap ID cards and Home Information Packs, progress high speed rail and increase NHS spending in each year of Parliament and introduce a levy on the banks.

There are clearly stated and acknowledged differences between the parties on Trident, Nuclear Power, and the treatment of the earnings of married couples where the parties can be expected to vote differently and the agreement allows for this.

The general impression is that both parties have reached a consensus where there is a genuine broad consensus amongst the public.

ImageCentral to everything is the economy and addressing the budget deficit and it is my intention to fight to see that efficient public services are PROTECTED and wasteful expenditure ELIMINATED. This balancing of the books in difficult circumstances, as I found during my years on Sefton Council, is the principal strain when working with other parties, and I worked with both parties on Sefton Council.

I am very keen that the Lib Dems pursue a distinctive path here within any coalition with the aim of ensuring that our region and vulnerable people do not lose out and  that will involve arguing our case forcibly, independently and rationally within and without.

We may be moving to an age when politics does become more rationaland less tribal, and having fought so many political battles against Conservatives, I too need time to wrap my mind round the new circumstances.