John McDonnellOutlines Environmental Economics Policy

Shadow Chancellor John McDonnell has a lot to say about Labour’s public ownership agenda – in fact, he dubs it an “economic necessity”.
He has stated that nationalising services would cost “absolutely nothing” and that Labour’s plans to bring services into public ownership would therefore make some significant changes to the state of the economy.
John, in his efforts to explain his thoughts, outlined an agenda, one which would put the  public services “irreversibly in the hands of workers” so they could “never again be taken away”.
During this gathering in London John emphasised the fact that this is more than just a political decision, reinforcing his belief that this is a “necessity”.
So, why exactly would it benefit the wider community? John explained: “It would be cost-neutral because you would be bringing into public ownership an asset.
“In addition to that, you would not just have an asset, that asset would give you income. Instead of that income going to shareholders, it would come to the taxpayer.”
When questioned about the expense, John claimed public ownership would cost “absolutely nothing”.
John also outlines in his policy that the alternative models of ownership are the “right” way to proceed: “The next Labour government will put democratically owned and managed public services irreversibly in the hands of workers, and of those who rely on their work.
“We will do this not only because it’s right, not only because it’s the most efficient way of running them, but also because the most important protection of our public services for the long term is for everyone to have and feel ownership of them.
“We aren’t going to take back control of these industries in order to put them into the hands of a remote bureaucracy, but to put them into the hands of all of you – so that they can never again be taken away.”
In his proposal McDonnell announced the formation of a working group who would be created specifically to look at how cooperatives can grow, expand and access capital. Another point would be to decide which sectors should be considered a priority during the expansion of cooperative ownership.
John also criticised the Conservatives, commenting that they had failed the UK in this regard. “Under the Tories, Britain is now seriously out of step with our international partners, failing to keep up with them,” he commented.
“The Conservatives are intellectually bankrupt, caught between clinging on to the failing dogmas of the past and offering a pale imitation of the radical change which Jeremy Corbyn’s Labour party now offers.”
What John proposes, in essence, is a “new start in the relationship between Labour and the finance sector”. He has offered City bosses the opportunity to shape Labour’s economic policy and his pitch was one full of promise.
In his speech John informed financiers that financial services would have a “seat at the policy-making and policy delivery table” under a future Labour government.
He even took the time to joke that finance executives might expect to meet “a raving extremist who is about to nationalise their company and send them on a re-education course up north somewhere”.
He suggested that instead, they should “come with us” into government, alongside trade unions and manufacturers. He said a straightforward approach would work best, an in adopting an approach one could characterise as “what you see is what you get” would help matters.
John said the City had a role to play in the “transformative programme” he would seek to introduce if his party won the next election. Despite this, his guarantee of a “a radical, progressive, intervening government” would still be put into place, because, according to the socialist, a “hands-off” approach would not deliver the growth the country required.
“We made it clear that Labour in government will intervene to shape the economy, and that willingness to intervene naturally includes the financial sector,” McDonnell said.
His plan is also to tax the City more heavily through a “small” levy on financial transactions, which although won’t be welcomed by many, will apparently increase stability and deliver much-needed revenue.
“Prevailing economic orthodoxy had led to stagnant wages and slow productivity, which were key drivers behind the Brexit vote,” John continued.
“I don’t expect some people to be overjoyed at having to pay a bit more in income tax or corporation tax or at the introduction of a financial transaction tax.
“But most people recognise with us the need for large-scale investment in both our infrastructure and new technology and also in human capital with investment to raise standards in our education system, training and research and development.
“What we are offering is a new start in the relationship between Labour and the finance sector. A relationship in which we recognise the potential of a transformed British financial system, at the leading edge of technology, fulfilling a clear, socially necessary role.”
In his speech it also came to light that Norwich South MP Clive Lewis had joined the Shadow Chancellor’s team in a bid to hone in more closely on “environmental economics”.
> Hannah Montgomery