Showing posts with label austerity. Show all posts
Showing posts with label austerity. Show all posts

Thursday, 6 August 2015

Greek debt crisis: A mockery of European policies

In one of her recent speeches, the youngest MP in Britain Mhairi Black referred the Labour Legend Tony Benn, who once said that in politics there are always weathercocks and signposts. Weathercocks spin incessantly, no matter what direction the wind in blowing. On the contrary, signposts are always pointing to the right direction they are meant to represent. We all talk about politics is a game of charades and in our time this has become a fait accompli. During my postgraduate year there was a lecture on the session for organisational behaviour and how one should never deviate from their true north, which are the core ethos for their very existence – their raison d'être. During recent times, no worse event demonstrated the bigotry of the political powers in today's world, than the debacle of the Greek austerity drama and the Grexit paradigm. 

To the rest of the world, Europe appears to be the shining beacon of socialism, equality, culture, diversity — the land of prosperity and fairness. It was difficult to conceive that any European economy would be on the brink of disaster. I was first aware of the problem with the Greek economy in around 2000 when IOC expressed serious concerns of the ability of the Greek government to host the 2004 Athens summer Olympics. They finally did put on a great show but it was beyond possible to mask the fact that the country was struggling financially. In recent time, the state of disrepair and dilapidation of the Olympics sites around Athens are shown as evidence of Greece on the verge of bankruptcy — the state the world is much indebted to as the forerunner of modern philosophy, science and governance. The juggernaut of time has brought a state that ruled the entire known world to a penniless desperation. Beyond Greece's penury, this begs an even more pertinent question to the rest if the world — this is happening in Europe, within the Eurozone, and how did this ever allowed to happen? 

The aim of this essay is not a quantitative analysis of the Greek economy and its decline, nor of the Eurozone, but an assessment of the situation from a wider subjective angle, asking more basic questions of economics and the underlying political dogma. This will also view EU in a different light, where the benevolent champion of humanism and societal excellence will appear as the autocratic Tsarist state threatening any doubters or dissidents to subjugation. To great believers in the EU and Eurozone project, including myself, this is an affair ringing a wake-up call on whether the EU has become a Frankenstein of our time, as has in recent past the likes of Al-Qaeda or ISIL. 

In simpleton terms, it perhaps all began in late twentieth century, when Greece joined the Eurozone and changed their currency to Euro from Drachma. This cannot be assumed that everything was impeccable before joining EU, and at the early stage this must have helped the Greek economy massively due to the reduced borrowing risk as well as exporting merchandise outside the Eurozone. The fissures started to show after introducing the Euro to Greek economy, whereby the labour costs suddenly soared making the Greek businesses less lucrative to the outside world as well as the profit margin decreased, and hence the shrinkage of the GDP. It can be imagined that in 2008, when big European economic powerhouses like Germany and France were trying to put their house in order, all excessive funding Greece have been receiving must have dried out. At this crucial juncture, Greece faced the hardest time for its economy as the jobs were lost, unemployment risen the a record high and all European finance aid stopped. As a result the government failed to pay the loan payment to the likes of IMF. It turned out that failing to pay the loan is partly Greek government's fault as they continuously published lower trade and budget deficits than actual. The other issue was tax evasion, where the economy was badly affected. One colleague would tell me an anecdote how people leave the steel rebars out of the roof of the buildings showing it as incomplete, so they pay less tax on properties. It was at this desolate time when the Greek government had failed a number of repayments, the moral of the citizen at the rock bottom that the people of Greece chose the communist party Syriza, to take a different line of approach on governance, corruption and the European big brother dominance. At the helm of the party — a young leader Alexis Tsipras and in charge of getting the economy back on track was an economic professor at the university of Athens, Yannis Varoufakis. 

Syriza's ascension to power came at a time when Greece was going to be hit by more stringent austerity measures, while it was already teetering on the edge. Syriza promised a massive shuffle up in the governance as well as reject any austerity measures that put Greek people in further misery. They tried to do as they stated, and thwart back to the lenders and the EU superpowers like Germany, and instantly became the bad boys of the EU, the cowboys playing with the harmonious European existence with their cavalier economic theory and political polarisation. Since then, the Syriza party leadership has been through enormous threats and arm-twisting, which Yannis Varoufakis quite aptly put "closed door mental waterboarding". The Grexit as we know it, was a possible outcome of this period of contest between Syriza and the European lenders, more commonly known as troika. The Greek economy went into a state of frenzy as people withdrew money in fear of a possible exit from EU, banks ran out of money and the troika refused to issue any more money to allow liquidity in Greek economy.  Syriza, to show that they are not a conglomeration of quixotic Cowboys, and that they actually express the opinion of the Greek populace, have conducted a referendum where the Greek people said a resounding No to accepting the austerity measures proposed by the troika. The outcome only exasperated the EU leaders and they threatened Greece and Syriza with an ultimatum to accept the conditions put forth by the ECB, IMF and the European banks. This resulted in the resignation of Yannis Varoufakis and the marathon meeting by Alexis Tsipras with EU leaders, at the end of which Greece capitulated to the conditions and even sturdier austerity measures in order to stay in the EU. The dream that Syriza painted to the Greek people were nipped in the bud by the harsh reality of belonging to the European brotherhood. 

In short, this could explain what went on in the long standing drama that unfurled in 2015. Perhaps this allows us to look back in the past and analyse what has driven this fracas and the aftermath to Europe and Greek people. The beginning of this problem happened many years back, at the time of introducing a common currency across all European countries. In the world of economics, a struggling economy can overcome the recession by either fiscal expansion or monetary adjustments. Monetary policy measures include quantitative easing, which basically means printing more money to introduce more liquidity in the system. In order to retain the value of the Euro, ECB retains the sole right to issue more cash to any country. Had this not be the case, struggling Greek economy could have adopted the quantitative easing and infused more cash in the system. Not having this ability made ECB hold Greece random to their demands of the austerity measures. Many economists including Paul Krugman suggested that Greece would be better off exiting the EU and switch back to Drachmas, and sort the economy out. This was prevented by the complicit and protectionist nature of the European leaders, who threatened implicitly or explicitly that exiting EU, Greece will shut the door to having trade relationship with any of the member states. Some likened the Syriza going to negotiations with EU without any back up plan to playing pokers but this postulate would not stand against the fact that the leadership has tried to prevent accepting the austerity measures and had to succumb the extreme duress put on by the troika. 

Although the IMF and ECB have been most vociferous and unyielding to the remedial measures put together by Alexis Tsipras and Yannis Varoufakis, the real impediment came from the counterparts of these two men — the leaders and finance ministers/chancellors of various member states. This perspective on the Grexit brings to front another crisis the Europe is facing at the moment, which is lack of credible leadership across the continent. Angela Merkel and François Hollande are the most drab and dispassionate leaders one came come across. They belong to the designer suit clad-extremely vacuous-circumlocutory-monotonous army of people, who do not have any charisma or passion for doing their job, and hide behind tenuous, long-winded speeches for their lack of appreciation of any economic matters. It is astounding to realise that these leaders who had no concept of economic policies and ideas were at the forefront of the talks on economic reforms of a country! The worst example was Wolfgang Schauble, who perhaps was more concerned about what the Greek leaders wore to the meeting than the content of their negotiation offerings. Both Angela Merkel and Hollande are losing credibility to their population, let alone be respected everywhere else in Europe. Then there were the minnows David Cameron and his sidekick George Osborne, who still believes Britain has any say in how EU decisions are made, and delivered pompous speeches how they are very concerned about the Greek situation and won't give any British taxpayers' money to bail Greece out. Surprisingly enough, during the last stages of the negotiations, it was the smaller peripheral states that were more scathing in criticising Greek premiere and Syriza. In a way, it appeared that all European leaders weighed in unison against the Greek contingent because they chose to be different, in their appearance and in their negotiations. The mass loathing will have a component of the common notion that Greek people are lazy and want a free lunch at the expense of other EU countries sharing the burden, but the main  thorn on the leaders' flesh was one person — Yannis Varoufakis. 

Since the demise of the Soviet Union, Communist economists are hard to come by, and finding one who is not corrupt or deluded, and has a strategy to practically implement them is a rarity. Yannis Varoufakis belongs to this rare category of economists and it is a rarity itself having an economist as the finance minister of a country, which is usually fulfilled by ex-bankers and finance directors and other fat cats. Varoufakis went to the negotiations from the time Syriza gained power in Athens with one argument — austerity does not work. Critics may point otherwise as the statistics shows Greece has cut down the deficit immensely during first years of austerity, but the human price paid for the same was enormous. Squeezing the people even further when the country is on the brink of disaster could only have meant one thing — the powers-to-be in Brussels did not want to know about wellbeing of Greek people, all their interest was money. Being an economist, Varoufakis could pick holes in the argument for the austerity. This has riled the cast of European leaders as they stood in the meeting red faced having their notion of Eurozone shred into pieces by a Greek economist, and he did it in his casual manner, in simple words and not hiding behind jargons. His whole persona and lifestyle of riding a bike to the parliament, arriving to negotiations in leather jackets set him stand out amongst a bunch of automatons, and they were quick to attack him about his lifestyle, his approach to negotiations as they were left clueless when he defeated them in their own game, and laid bare the ineptitude of their proposal from the charade of verbosity that these leaders often resort to. As a result, Yannis Varoufakis failed to make friends with Brussels as he was seen as a pariah, who could put the European brethren to jeopardy by not being like one of them. When the referendum results were declared, Varoufakis had to go as the European leaders won't deal with him anymore, and within 48 hours, Syriza was forced to sign on to the austerity. It's true that part of Syriza was not in favour of Varoufakis' reform measures as they seemed too reactionary, but the fact cannot be denied that he stole the sleep of the European leaders during his tenure as the finance minister of the Greek government. 

The folly of the Eurozone became more apparent in the unified vilification of Greece especially by the smaller states. During the crisis this was more than clear that Eurozone is nothing but a German project, and the small peripheral states are just 'tagging along' in fear of losing the favour and hence the funding from the ECB. Speaking to a friend from Slovakia, they felt it was unfair that their country has to pay for bailing out Greece so their pensioners get €160 pensions whilst Slovakia's pensioners only get €140. This is a fair argument, but it makes it clear that, despite sharing a common currency, the standard of life is not the same amongst the member states and this itself is the biggest fault of the EU. It is expected that by introducing monetary controls, all the countries should have same value for the Euro and the standard of living will not be a stark dissimilarity amongst the countries. With time, this means that the Eurozone will also have limited mobility within the working population for economic benefits only. However, the purchasing power of a Euro is still different by a large extent in the core members and the smaller nations who joined the currency union later on. Due to this imbalance, there is still a large amount of migrant population within EU member states only, raising concerns over radical nationalism and right wing politics. 

One factor greatly contributed implicitly to the ostracism of Greek government in the corridors of Brussels, but it was hardly ever brought into the fray by the media— its the elephant in the room, Syriza is a Communist outfit. Some friends suggested that this did not contribute to the Greek austerity, it cannot be denied that there is a massive animosity towards the communist parties. The history of Europe's past will prove that more lives were lost by the expansive imperialist movements than by Communism. People often wrongly associate communism as synonymous to Stalin/Trotsky/ Khrushchev/Mao/Castro. Syriza therefore started the negotiations in the back foot, already being tarnished with the same brush. Modern day Europe, although a melting pot of breakthrough ideas, innovations, thoughts and philosophy, in certain instances like this, is still blinkered, Machiavellian. Also, it cannot be denied that troika is influenced by large multinational conglomerates, whose main ideal is to maximise wealth by punishing the working poor. Marx's theory of class divide has never been diminished, instead the gap has got wider in recent times. The wage for the working class has increased but never at par with the inflation and media is so focussed on bottom 20% that they never reported what the top 1% doing and how their growing wealth is going unnoticed. These conglomerates, for their own interest, did not want a communist party in power and dictate terms with them. Marxist views are branded anti-trade by these big corporates and their media, and hence the egalitarian socialist aspect is lost forever. Had Syriza been a party purported to express any other political ethos, the outcome of the negotiations might well have been, if not significantly enough, different than the more austere measures Greece was subjected to. The main aim of the corporate run EU was to maintain the hard stand against Greece so Tsipras has no choice but to capitulate, and then as an aftermath, that might break Syriza into factions based in political views of the party members. 

As of now, the Greek debt crisis situation is finished, or that's how the media tends to present to the general public. The liquidity is reinstated, although there is a daily withdraw limit, people have cash in hand, no more sensationalist picture of dejected pensioners sitting by the pavement — that picture is replaced by migrants breaking though the fence at Eurotunnel. However, the problem is far from over. Greece will pay off the first tranche of the loans owed to IMF, but the picture is not so rose-tinted for future payments. Will there be another layer of austerity burdened on Greek people? The ramifications of the aftermath of this debt crisis are many, but this is the most important lesson to be taken away from this experience by the world. 

The biggest effect this will have on Greek economy is the likelihood of another payment failure and further austerity measures. This brings back the spectre of the housing bubble in 2007-08, where people were allowed to borrow much more than what they can afford to repay. If Greece has failed to pay the loans, burdening them with further loans and more austerity will not provide enough economic rent to the people to be motivated to work. What Greece needed is a debt write-off, exactly what Greece supported for the Post-WWII Germany to adopt. Also, as seen after the 2008 recession, it's hard to gain people's confidence in the economy, hence all the extra Euros injected in the market will be drawn out by people who had their savings in the banks and had to wait for weeks to draw money out and they certainly would not put the money back to the back and would rather save it inside tin boxes on kitchen cupboards. To them, if Greece ever goes out of the EU, the Drachmas will be worth next to nothing, whereas Euros will retain the same high value. The Liquidity will still ensue but not immediately as expected. As for Syriza, they might suffer a slow annihilation as the more belligerent faction of the party will cause a revolt against Alexis Tsipras blaming no resilience against the European politicians. This austerity also sends a strong message to all other struggling states such as Italy, Spain, Portugal that any ideas on exiting the Eurozone will be severely castigated, and as Greece is set as an example, a bad one, there will be no recourse to any funding. Rather than helping the struggling countries and their industry, the banks will be set out to pilfer the wealth from the poorer countries to benefit the more powerful members such as Germany. 

The other possible consequence of the Greece debacle is far worse than all the above effects together. In recent times, Greece has already seen the rise of far right-wing politics in the form of Golden dawn. The entire Europe has seen a surge in right-wing politics and advent of newer fascist groups. Oddly enough, these parties and factions do have a lot of public backing as well, who mainly hail from the working class. Failure of Syriza to resolve the debt crisis to a more humane solution will mean further austerity and as people tend to get worse off, in order to apportion blame, they tend to pick up an enemy, and that's how nationalist radical parties thrive. Also, if Syriza loses its credibility, there will be no mouthpiece for the left-liberal parties in Greek political environment, which is a frightening possibility. On a wider scale, by discriminating against communist parties and ideologies, the banks and other transnational organisations as well as the powerful capitalist economies are trying to create a world full of their automatons, devoid of any humanity. This will pave the path for far right parties to reach out and influence people, and gain popularity as they did in the form of Jobbik in Hungary, Marine le Pen in France, EDL and UKIP in UK, PEGIDA in Germany. It is surprising how the rise of fascist right-wing has not been met with such vehement criticism from Europe's leaders as did Syriza. These outfits spreading hatred will gradually push the harmonious equilibrium that was achieved over years of conflicts and negotiations since WWII into a complete disarray. And that, will bring a definitive end to the EU thanks to the cataclysmic policies adopted by its leaders since the introduction of Euro. 

Perhaps, to draw a conclusion to this debate, the last area to be looked at is what needs to happen to avoid this downward spiral of austerity. The first requirement is an unequivocally simple solution of writing off part of the debts Greece owed. This will let the governments treat the situation as turning a fresh page and start from scratch building the country. ECB could devolve its powers so in situations like this, member states will have the ability to print money in order to maintain the liquidity. It could be argued the benefit of this, but Euro in EU has failed to bring a balance to the purchasing parity anyway. What Syriza should do is use the popularity it presently has and bring mechanisms to leave a long term legacy such as tighter taxation regulations, pay more wage at par with Western Europe. When it comes to paying next tranche of the debt, Greece should stay firm about further austerity unless that squeezes the top 1% rather than the working poor. Also, rather than being browbeaten by the European superpowers, Greece should make a back up plan to leave Eurozone. There will be heavy opposition, but after the initial setback the situation will improve. 

In terms of future of Europe where the member states are not in a perfectly synergistic situation, there is an audacious proposal, which can reinstate the balance and purchase power parity. Rather than struggling economies like Greece, Spain, Portugal, Ireland leaving the EU failing to accept austerity terms, it should be the economic powerhouses that will need to move out of the EU. Germany exiting alone will have made significant changes. Eurozone will be struggling without Germany but they will recuperate faster as the economies will have a degree of autonomy rather than being dragged along to the German utopia. On the other hand, leaving EU will not affect Germany as much as it would have to Greece or Spain. 

To conclude, the Greek debt crisis is an eye opener to the European policy makers that forcing countries to accept further stringent terms and condition will only increase the rift amongst the member states. This time will be remembered as the time when Europe failed its member states. EU is a brilliant project and it has produced excellent synergies so far, but instance such as Greek crisis will stick out like a sore finger and a constant reminder that there is a dark side of the European integration which need to be curbed at all times in order to keep the Eurozone a successful programme to bring harmony to the lives of millions of people. 

Wednesday, 13 May 2015

A 'Bolshie' review of UK general election 2015

On the eve of the UK general elections 2015, I hoped a much awaited Labour led coalition government after five years' dismal rule by the Conservatives. Eight hours later, that hope was shattered by a Tory majority. All the myths, predictions, analyses were proved wrong, including a number of hypotheses I had drawn in the past on British politics and its future. Being a dress down day at work, I wore a t-shirt with a bold statement, which showed the flag of the UK with a skull at the background. In my opinion, nothing better summarised the outcomes of the general election than that t-shirt, the coming five years will be tarnished with disaster, despair, poverty, death. This is an attempt to analyse the build-up to the election and its aftermath with a historical and social context.

• Campaign and fallacies in 2010 elections 

Although the Conservative agenda always circles around championing the individual excellence, which is the cornerstone of the capitalist world-view, in practice, this meant further inequality in an already fragmented Britain. In 2010, the coalition came in power due to the follies of Blair government in Iraq war, as well as widespread mass hysteria regarding migrant workers from EEA taking over jobs from British working class. During 2010 elections, the Conservatives and Liberal Democrats also blamed the previous Labour government of excessive spending, resulting to an increased national debt, as well as of a slow recovery from the recession of 2008. Also, the fiscal policy adopted by the then labour government to recover from the recession was in direct contrast with the capitalist ethos of monetary corrections, and it was apparent to common British voters that Labour spent a lot of money, and in the way, lost its credibility to run the country to the road of recovery. 

It was only after the election was won that the devious and untrue nature of the Tory campaign, backed by the Rupert Murdoch funded British media were becoming clear. The economic recovery in the entire western world has been sluggish, and Britain was no exception. The recuperation of the German economy was cited many times during the election campaigns, but the recovery came through the fiscal reforms, by making people spend their way out of the recession, not by introducing cuts. Labour tried the same method as well, but was only let down by the British public due to risk-averseness and not taking the incentives offered by the government. Also, the national debt that was proved to be another downfall for Labour, it was proved that the national debt inherited by Labour government at the end of John Major government was already high, but the media represented the figures as though the debt was incurred only during the Labour regime.

• Synopsis on Tory rule 2010-2015

Although the Lib-Dems were part of the government, and they attempted to implement a number of policies they have pledged for prior to the 2010 election, it was clear from the outset that the Conservatives will start the austerity and cuts to social services straight away. It was evident when within a year in the government, the highest earners' income tax was lowered to 45% from 50% that previous Labour government introduced. If this was not a clear indication of which sector of the population the government is protecting, nothing ever would. Not only benefiting the higher earners — be it through tax reductions or offering tax havens to non-domiciles, it did not stop there. The working class has been squeezed through reduction of the child relief thresholds or proposing to increase the working age. NHS saw further privatisation whilst the practices were to be controlled by a trust, redundancies for nurses and stretching the already stressed system to its breaking point. During previous Labour regime, a maximum time limit was set for the consultants to offer treatment to their patients within three months from the first appointment. Under the Tory rule, these time limits were disbanded, hence achieving a saving in the  running cost, but at the expense of patients' health and recovery. Then came the damned bedroom tax rule. Admittedly benefits were there, but no exceptions were allowed, hence leaving people with disability needing carers paying for the extra rooms or move to a house where there would be no room for carers to stay. In educational sector, struggling schools were bullied into becoming Academies, managing their own budget or be threatened to stop all funding. Between 2010 and 2015, the employment sector has improved, but this was more attributable to the recovery of the global economy rather than positive contribution from the government. Thus time will be remembered for the much maligned Back to work scheme where people without work have been encouraged to go and work for employers without any form of payment, hence, effectively working for free. 

The ultimate evidence of Tory connivance and their cronies and the extent of corruption in media, governance and juridical system during the Conservative regime was brought into daylight in the News of the world controversy. Andy Coulson, who worked closely with David Cameron was the prime suspect of the phone hacking scandal and was jailed, but News of the World being a Tory mouthpiece, the involvement of the phone hacking during the previous general election was exposed. The same goes for the acquittal of Rebekah Brooks, who was a close friend of David Cameron as well. News of the world went out of publication, but the full extent of Tory involvement in the phone hacking is yet to be known. 

From these and numerous other similar examples, a general observation was evident; the Tory regime had paved the path for big businesses and staunch Tory benefactors to increase their wealth, whilst punishing the rest of the 99% of the population. The number of food banks opened have been quadrupled, poor people got poorer, heading towards a precipice. 

The only unambiguously praiseworthy action taken by the previous Conservative government was legalisation of gay marriage amidst scathing criticism from Tory backbenchers through insistence from David Cameron. 

• Nationalism and Britain 

With the financial interest of the 1% top earners ring-fenced, the Tories have then managed, not only to distract the downtrodden 99% from their woes, but they did it so discretely that it left the nation divided into many fragments. On one side, there was the vilification of the poor working class, often referred as "feckless", and on the other side they have created a red herring in the form of EEA migrant workers and the concept of all minimum wage roles going to the foreign workers. This second ploy led to thriving a number of right wing nationalist parties, mainly UKIP. In 2014, Britain was swept by a spate of nationalism, first, during the Scottish referendum, and then later in the celebration of the centenary of the First World War. Scottish referendum not only affected Scotland, the dichotomy also resulted in strong nationalist sentiments at the south side of Hadrian's wall as well. The Scots were divided in opinion almost equally between Yes and No for an independent Scotland, and finally managed to stay within the UK by a whisker, as the uncertainty of being outside the aegis of UK and EU outweighed the hopes to break free of the shackles from the controls of Westminster. However, this instigated a strong feeling of Scottish nationalism as a large number of people, who voted No only did so to think of their immediate financial situation, despite the urge of breaking were felt strongly. On the other hand, the big brother England felt a different sense of nationalism, the English nationalism, whereby the public saw Scotland as an appendage to the English state, a partisan and not contributing to the government by an equal proportion. The view of the intelligentsia may have weighed up or down the benefits of gaining independence from the situation, the public opinion hovered around seceding from the Scottish union, and "let then grovel back to us for funds in six months". This was a situation reasonably reaped by the nationalist right wing parties and the popularity soared for then and UKIP became a major threat in realising Labour's aspiration of forming a government. Although the UKIP policies  would have sent the nation teetering back, the white working class that saw Labour as their saviour from Tory atrocities so far, saw a change of heart as UKIP offered them more tangible benefits — no foreigners taking jobs, cheap beer, no EU. 

• The Labour opposition 

The Lib-dems were almost out of the fray the day they joined the coalition government as the long standing supporters felt compromised from their anti-Conservative position. Hence, it was only down to the Labour to oust the coalition led government, unlike in 2010, when Lib-dems proved to be a potent adversary to the incumbent. Labour's ascent since the failure in 2010 was not smooth, within months from the election, the leadership vote became a fierce encounter between Miliband brothers, Ed Balls, Andy Burnham and others. Then a Labour member, I voted Ed over David expecting his trade union background would prove more belligerence in character than the suave Blairite David. On Ed's election saw the Miliband brotherhood broken, and it took a long time for Ed to gain credibility amongst Labour's most loyal supporters, let alone winning over the Conservative voters. Personally, with my left wing visions, I saw Labour gradually becoming a quasi-Tory entity, especially during London mayoral elections — the policy offerings were not different enough to sway the voters, and I gradually became disillusioned during the mid-term of the Tory government. Then came 2013, as Ed Miliband delivered his most fiery speech since the ascension to leadership, and the Labour proposed the most ground-breaking proposals  — the bring back taxing the highest earners at higher rate, increase inheritance tax, or the free rein of energy companies and create a new bank from British Investments — offering the most radical changes to the British economy and governance. A clear lurch towards left, and the everybody was anxious — the capitalist market, the investors, Tory British media, and the government. Some argue that that's what the Conservatives always wanted, a left wing Labour so they can oppose it with the old communist line of attack. Ed Miliband was immediately branded Red Ed, and it was not a contest between Conservatives versus Labour any more; all other stakeholders to be affected from the Labour government weighed in. Labour's popularity soared as they won council elections by a large margin, but the English nationalism element in the British psyche saw a number of votes poached by the UKIP. People were swayed, but the stigma of immigration and Eastern European workers still haunted Labour, as did their propensity to support minorities, with the horrid details of Lee Rigby's murder or the recent rise of ISIS still alive in people's memories, they didn't trust Islam, nor Labour as the mouthpiece for minorities and equality. With UK fragmented from various counts, it was absolutely important to launch an election campaign that offers some dividends to all such segments, for a re-unified country and government. Treading on eggshells, Labour had to offer a proposal alluring all segment of voters, and what interest one faction would drive another away from them, keeping a knife-edge balance on its election campaign. 

• Election campaigns 2015

The election campaign started with the usual hype in the media and the Middle-class and the casual indifference from the working class. 2015 was going to be the year of the women, with Nicola Sturgeon of SNP, Nicola Bennett of Green Party and Leanne Wood of Plaid Cymru took the centre stage. There was only one clear winner emerging from the first debate, and it was Nicola Sturgeon. With a clear Scotland-centric agenda and a number of policies veered away from the safe grounds of central left or central right, SNP already offered something for the Scottish people that would have been a part of Labour's agenda. This should have raised alarms on Labour policy makers, as it wood have, when Nick Clegg stole the show during 2010 debates; and last minute alterations were needed to offer equally bold policies to steer the Scottish nationalist votes back towards Labour. Instead, seeing the election results of the previous year, Labour leadership trod on the side of caution and published a manifesto that, without the Labour logo, is hard to guess which party they were from due to its lack of USP. All the hard work over two years, all the hopes it kindled in the minds of the followers were all undone in a moment of hesitation and panic. The legitimacy of the Labour election campaign was hard to make credit due to the leadership issues, but the poor manifesto possibly alienated the voters willing to change their view. Labour's stand on immigration, austerity, debt, spends on defence especially trident, sustainability, employment and social security failed to convince the British working class that they can offer a star government capable of resolving all the hardships the families face by the Tory regime. In issues like environment, SNP in Scotland and Green Party across UK took much more firm position than Labour and it perhaps disillusioned the environmentalist lobby, which makes a large proportion when the election results will show that Green emerges as the fourth largest party in the UK. Similarly in governance, SNP proposed reforms that was expected fro Labour, and even they were identical in areas, a Labour vote meant devolving power to Westminster whilst an SNP vote would see the poets and policies staying at Holyrood and being implemented in Scotland. In fact if it were not for the female trio, ration debate would have been a lacklustre event as none of the other parties manages to set themselves apart, excluding the conflagrating opinions by Nigel Farage. From that respect, David Cameron has been the most consistent and credible contender, backed by the continuous vilification of Ed Miliband in the Tory biased media and the Conservative election campaign, arguably funded by the wealthy Tory donors, with a possible return of favours following the election triumph. The Conservatives have even featured themselves as working people's party, but the basis for such incredulous claims were not established, as was the fact with no details on funding cuts but showing additional investments based on these funding cuts.

• Poll result Analyses

At 10 PM on the election day, the exit poll figures on BBC were surprising, and with the benefit of hindsight, analysts with political astuteness should have guessed such an outcome if the trends were followed in recent months and their reason were not clouded by feelings. The exit poll results were pretty devastating for all parties except Tories but people kept their heads high. By the following morning, it was all over, the Conservatives even improved the exit poll predictions, even though not by large amount, but significant enough to provide absolute majority to form a government without coalition. Geographical division of seats were even more interesting and thought provoking. Whilst in 2010, all Scotland was painted red, Labour lost almost all the seats in Scotland. Wales was still a Labour majority but looking at England, the picture was catastrophic. Barring some spots of red in North of England, and London and Birmingham, Labour was obliterated everywhere. The reds have lost their appeal to Scottish people as they did to English population. Lib-dems were decimated, the much hype about UKIP was proven to be non-existent, but a trend was clear — the sweep of nationalism on both sides of the Scottish Border. The SNP emerged as strongest party to lead and defend Scottish interest whereas for England, fear and greed has swung the election in the favour of Conservatives.

In my opinion, there are no better weapons for winning the election than hunger and fear. With the number is homeless destitute persons on the rise, and all the austerity measures in place, it was a simple deduction that the people would want to see the tides change, they want this desperate time to be over. But there were two factors that prevented the full effect of hunger factor to be reflected in the results. Due to Lib-dem interjections, the Tory austerity measures were not as severe as if would have been had they won the absolute majority in 2010. Also, the average voters hovering around 70% mark, perhaps the worst affected part of the population was not interested in taking part of the election when the food for the next day has to be thought of — change in government wouldn't change that fact overnight. And then there was the fear factor. Evolution of mythology is a proof that we want to know what we are afraid of; and this gave rise to millions of various depiction of monsters, ghosts, demons. In this election, a fear was instilled in the voters' psyche, a fear without a shape or form, presented with the back up of data. From the fateful day in 2013 at Labour Party conference, the capitalist biased media has been trying to infuse fear in the minds of English population — be it direct demonising on the tabloids or subtle connotations in The Telegraph — media made it a private vendetta against Labour and its leadership. They feared. They feared of a liberal centre-left government would spell doom for the Conservatives, give voice to the Tory backbenchers already questioning the leadership of Cameron, a regrouped Conservative party will have long roads of reform. Amongst the people feared were the big businesses and Tory donors, whose tax evasion and preferential treatment would have come to a halt as well. The media turned this fear into a fear that the working class could relate to, hence the reasons were changed to immigration, jobs, economic reform, whereby keeping the facts clouded under vague predictions did help Tories turning the public against Labour's ethos. Britain's ageing population also meant that there is a huge Conservative royalist support base, who would see the large changes as a threat to the state, an anarchy in the development. Looking at election result, this fear of unknown and unseen regime that is purported to stop all businesses working, open doors to all EU workers, harbour radical Islamists under the name of ethical treatment, let EU interfere in all interim governance matters — threats of a communist state, has driven the voters especially in England, where people chose to opt for the incumbent. Looking at the possible results with a proportional representation system makes the situation grimmer with UKIP winning 82 seats based on its number of votes polled. This is a failure of the mainstream political parties when popularity of right wing parties like UKIP soars up, which is a real threat to unbalance the British society, its rich multiculturalism and liberal values. Too much was and will be said about Labour policy ignoring English voters as well as the middle class, but if Conservative approach to tackle challenges faced by the middle class is more acceptable by the society than Labour's, this must be a major concern on society's view on politics, ethics and governance. It's not that Labour failed to rise up to the expectations of the British public, it was rather the public became risk-averse on the prospect of a radical reform to the political system, which is essential to avoid the society heading towards a state of static inertia. At the beginning I mentioned that the results proved some of my views on the electorate wrong. I assumed that since 2010, a trend was created that all future governments will be coalition and no party will be able to meet demands of every different combination of factions. The results showed I was wrong. However, the Conservatives seem to take no risk in terms of targeting its agenda biased towards its biggest support base — English middle class. And this is where Labour failed, as they put more focus on UK as a collective identity than to be populist. This is where my second hypothesis went wrong. I expected the British electorate to be progressive, embracing the new values and changes, but it turned out that the public were anything but that entity. This is a protectionist, risk-averse, myopic state that people would rather want to be a part of. 

On the other side, Labour's failure and rise of SNP in Scotland was shocking but imminent, the leadership must have felt the change in the tide. Referendum on Scotland left the Scots divided on opinion but unified them under the same Scottish flag, realise the potential of a political party fighting for the priorities for Scotland and its people. A very regional approach, contrary to a one UK concept, but limiting the target audience helped SNP secure the record number of seats, leaving all other mainstream parties almost obliterated in Scotland. 

• Aftermath of the election results

As an immediate aftermath of dismal performance by all major parties but Conservatives, there was a public outrage amongst party backbenchers to remove the leadership. First to step down was Nick Clegg, who, with the decision to join coalition in 2010 had already done a political hara-kiri to the reputation and trust for Liberal Democrats, yet managed five years of reflected glory being in the shadows of David Cameron. Ed Miliband followed suite during the midday when he took the full responsibility for Labour's calamitous results. It was a gracious speech, delivered in his typical automaton fashion, eyes hardly lifting off his notes. But his eyes said it all — looking beyond the vacant stare, there stood ask struggling to control his emotions, perhaps hundreds of questions were going through his mind but without any answers. And finally, in a very dramatical manner Nigel Farage cast his resignation as promised, but gave a hint that until August when he might even be re-elected because without him, UKIP had no identity. With all three leaders of main opposition parties resigned, UK is a dangerous situation, as nothing is stopping Tories spearheading with their harsh cuts and other measures of austerity before even the oppositions have regrouped and chosen their leaders. It's not only the leadership that pushed the parties on the back foot, but also the party stalwarts, who would have led the opposition during parliament question hours, have fallen as well in their bid to win a seat at the House of Commons. A first Tory majority government in 18 years, brings bitter memories from Thatcher era. The government is hardly going to be working people's party as it preached to be, and the austerities will be brought about straight away. This will be an advantage being incumbent, as Cameron once claimed business as usual from first day. The Conservatives have also got Boris  Johnson elected as an MP from a safe seat; doldrums in the other parties will give Boris to settle down fast and pave his way to possibly become the next Tory party leader after 2020. The 2010-15 reign might not be classed as the worst the Conservatives could be, that period has definitely paved the way for a more stricter, hardline Tory rule, breaking up the British society into further class divisions. This will also give them time to achieve an agreement with Bruxelles on the issue of EU referendum. The situation on the other side of the fence is getting worse. Labour leadership elections have always been fraught with fierce rivalry amongst candidates, exposing the internal fissures in the party. The MPs already declaring their willingness to stand up for the leadership position is similar to, as someone aptly put, taking jewellery off the dying relatives. The ex leaders have been too prompt to criticise Miliband as leader, but failed to acknowledge the fact that Labour lost the election due to their Thatcherist compromises in the party command. Adding further woes, Allan Sugar resigned from Labour membership. I am not personally as much concerned with this at one level, because in the end he is a businessman, trying to make a profit, which Labour policy curbed. His defection however is crucial for the party as the election is now won outside the leaders' debate and speech, or the candidates knocking on the doors of the voters, it is a battleground for business houses, media, and to fight fire with fire Labour do need funding, and they have lost a valuable donor. I still hope they don't grovel back to him once the new leader is elected, trying to compromise policies for funding. However, all in not bleak and gloomy in this crucial juncture of British politics. Green Party has evolved substantially and nearly annexed Lib-dems in proportional representation analyses, showing a growing trend for the future general voters to choose more radical liberal and social reforms orientated parties. This is also a period with highest number of female MPs. And the most unifying news in the end, BNP which has been in the surge during last general election is obliterated from the arena of British politics, proving a point that people don't tolerate the right wing politics, and the fate of UKIP will follow the same trend, it's just a matter of when. 

• Future of British Politics 

The next five years of Tory rule will be earmarked for its atrocities on the lowest strata of the population. The food banks will be on overdrive, more people will be homeless, further cuts will drive struggling families to fall apart or into desperation, cuts will continue to happen in all public services — stretching them further to the breaking point. The NHS, although promised to be ring fenced, will see longer working hours in the name of providing better service, yet without any extra resource. Zero hour contracts will be the only way one can secure s job, thus making it impossible to have a stable income when companies can exploit the system. The Labour will still have another bloody leadership battle, and the leader will either face the challenge of going back to neo-Labour coined by Tony Blair or continue the work Ed Miliband has started. A politically pragmatic move would be a more centrist Labour to win trust fro working class across UK, before going into more radical socialist reform, although that long-term goal should be set from the day the leader is elected, so the party works towards the same goal as they have in 2015, but with more caution keeping in mind that British population is still not mature enough to embrace the reforms Labour was proposing to bring about.

This brings to the conclusion, a look on the future of British politics. More crucial questions to be raised, that parties like Greens and SNP already started to ask, such as the future if the trident programme — why is this still being funded, which goes back to the question of fear again. A nuclear Armageddon is an American ploy used since cold-war era which they need as the biggest arms dealer in the world. Questions need to be raised on the relevance of House of Lords, with their pompous red ornate seats, and the hereditary peerage. Also the relevance of the Royal family and the monarchy. Free the Queen, rest of them will probably still live their life as celebrities, but what relevance is there of their role on British politics than just the term constitutional monarchy? What does the royal goodwill tours achieve that the businesses and politicians can't? It is reassuring to find that the Buckingham Palace has to run on its own budget, nevertheless this is a huge outlay when the government is trying to claw back every penny being wasted, what is more important 500 NHS nurses/policemen/public service operatives or a bunch of people leading a lavish lifestyle on public money without any contribution to the economy. We are too quick to use terms like feckless scroungers on poor people, but the family supposedly at the helm of this "constitutional monarchy" (sounds as mouthy and vain as balderdash and hobgoblin) are no different either. There is so a public outcry for stopping foreign aid and immigration. Contrary to popular belief, foreign aid merely constitutes a minimal percentage of the nation spending, and a country with a long and dark history of colonialism should rather start by looking at the past before blaming all developing/ undeveloped nations for the misery of the Britons. Apart from all these contentious questions, a close look is needed on the electoral system as well, firstly to encourage and as the next stage penalise people for not voting. The role of media in making the nation is also questionable. At present, there are the tabloids, crude and distasteful cheap tack, yet the working class have not rejected this type of populist reporting. On the other hand, the broadsheet newspapers retained their snobbish reporting only targeted at the business leaders, academicians, bureaucrats and similar higher echelons on the social strata. The extreme bias between the Labour and Tory orientated newspapers are nauseating, where one news would be reported in completely different tones. Media will have to be liberal, arguably it is the fourth estate, but rather than snide and vitriolic attacks on anyone with a different perspective, the space for constructive criticism needs to be created, and media's role during the election should be of a unbiased adjudicator, challenging ideas of all political parties and praising for changes for a better future. Also, the election mechanism starting from using electronic voting machines to dissolution of first past the post system — a lot needs changing and this will be a pithy challenge on any party running the government. Liberal parties will have to find the solution and convince the British public that the changes are essential to live in a synergistic compassionate world of tomorrow — expecting this from Tories would only result in frustration and desperation as they are only interested in culling foxes and the poorest of the poor into extinction.