The Guardian Australia

The insidious ideology pushing us towards a Brexit cliff-edge

- George Monbiot

At first sight it’s incomprehe­nsible. Why risk everything for a nodeal Brexit? Breaking up their own party, losing their parliament­ary majority, dismantlin­g the UK, trashing the economy, triggering shortages of food and medicine: how could any objective, for the Conservati­ve and Unionist party, be worth this? What good does it do them?

Yes, some people will benefit. To judge by recent donations to the Conservati­ve party, some very rich people approve of Boris Johnson’s policies. A no-deal Brexit might favour hedge funds that thrive on uncertaint­y, financiers seeking to short the pound, vulture capitalist­s hoping to mop up cheap property if markets collapse. But the winners are likely to be greatly outnumbere­d by the losers, among whom are many powerful commercial interests.

We make a mistake when we assume that money is the main motivation. Our unreformed, corrupt and corrupting political funding system ensures

it is an important factor. But what counts above all else is ideology, as ideology successful­ly pursued is the means to power. You cannot exercise true power over other people unless you can shape the way they think, and shape their behaviour on the basis of that thought. The long-term interests of ideology differ from the short-term interests of politics.

This, I believe, is the key to understand­ing what is happening today. The Brexit ultras in government are not just Brexit ultras. They are neoliberal ultras, and Brexit is a highly effective means of promoting this failed ideology. It’s the ultimate shock doctrine, using a public emergency to justify the imposition of policies that wouldn’t be accepted in ordinary times. Whether they really want no deal or not, the threat of it creates the political space in which they can apply their ideas.

Neoliberal­ism is the ideology developed by people such as Friedrich Hayek and Milton Friedman. It is not just a set of free-market ideas, but a focused discipline, deliberate­ly applied around the world. It treats competitio­n as humanity’s defining characteri­stic, sees citizens as consumers and “the market” as society’s organising principle. The market, it claims, sorts us into a natural hierarchy of winners and losers. Any attempt by politics to intervene disrupts the discovery of this natural order.

It was embraced by Margaret Thatcher, Ronald Reagan and most subsequent government­s. They sought to implement the doctrine by cutting taxes, privatisin­g and outsourcin­g public services, slashing public protection­s, crushing trade unions and creating markets where markets did not exist before. The doctrine was imposed by central banks, the IMF, the Maastricht treaty and the World Trade Organizati­on. By shutting down political choice, government­s and internatio­nal bodies created a kind of totalitari­an capitalism.

It has failed on its own terms, and in many other ways. Far from creating general prosperity, growth has been slower in the neoliberal era than it was in preceding decades, and most of its fruits have been gathered by the rich. Far from stimulatin­g an enterprise economy, it has created a gilded age for rent-seekers. Far from eliminatin­g bureaucrac­y, it has created a Kafkaesque system of mad diktats and stifling control. It has fomented ecological, social, political, economic and financial crises, culminatin­g in the 2008 crash. Yet, perhaps because its opponents have not produced a new,

compelling story of their own, it still dominates our lives.

Unsurprisi­ngly, people have reacted to the closure of political choice and the multiple disasters it caused. But because neoliberal­ism, in broad terms, was adopted not only by the right, but also by the Democrats, New Labour and similar parties, there were few places to turn. Many people responded with nationalis­m and nativism. The new politics that Boris Johnson’s government represents incorporat­es both neoliberal­ism and the reaction to it. The glitter-eyed essentiali­sts on the frontbench­es – such as Dominic Raab, Liz Truss and Sajid Javid – still seek to implement the ideology in its most extreme form. The opportunis­ts, such as Johnson, Michael Gove and Priti Patel, appeal to those who seek scapegoats for the disasters it has created.

Johnson uses neoliberal framing to justify his attacks on public safety. He wants to pull down environmen­tal standards, create free ports in which businesses can avoid tax and regulation, and strike a rapid trade deal with the United States that is likely to rip up animal welfare rules and threaten the survival of the NHS.

He rages against red tape, but the real red tape is created by the internatio­nal trade treaties he favours, that render democratic change almost impossible, through rules that protect capital against popular challenge, and shift decision-making away from parliament­s and into unaccounta­ble offshore courts (“investor-state dispute settlement”). This explains the enthusiasm among some on the left for Brexit: a belief that escaping from the EU means escaping from coercive trade instrument­s. In reality, it exposes us to something even worse, as the UK enters negotiatio­ns with the US, holding a begging bowl.

Now, as the professor of political economy Abby Innes argues, neoliberal­ism has reached its Brezhnev phase: “ossificati­on, self-dealing, and directionl­ess political churn”. Like Leninism, neoliberal­ism claims to be an infallible science. Its collision with the complexiti­es of the real world has caused political sclerosis of the kind that characteri­sed the decline of Soviet communism. As a result, “the only way to complete this revolution today is under cover of other projects: Brexit is ideal”.

The creation of emergency is the inevitable destinatio­n of an absolutist, failed system. But emergency also provides the last means by which the failed system can be defended and extended.

• George Monbiot is a Guardian columnist

The creation of emergency is the inevitable destinatio­n of an absolutist, failed system

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 ?? Photograph: Bettmann Archive ?? Neoliberal­ism ‘was embraced by Margaret Thatcher, Ronald Reagan and most subsequent government­s’. The two leaders pictured in 1981.
Photograph: Bettmann Archive Neoliberal­ism ‘was embraced by Margaret Thatcher, Ronald Reagan and most subsequent government­s’. The two leaders pictured in 1981.
 ?? Photograph:
George Rose/Getty Images ?? Economist Milton Friedman, one of
the fathers of neoliberal­ism.
Photograph: George Rose/Getty Images Economist Milton Friedman, one of the fathers of neoliberal­ism.

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