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Where should Andy Burnham turn for inspiration? The Prime Minister has talked big – vowing to end “40 years of neoliberalism” – but he lacks obvious models or partners for his project.
Margaret Thatcher and Tony Blair drew ideological strength from Ronald Reagan and Bill Clinton; Burnham must tolerate Donald Trump for another two years. Nor is there any equivalent of the cadre of 1990s “Third Way” leaders. In France, afflicted by high debts and street revolts, Emmanuel Macron is likely to be succeeded by Marine Le Pen next year. In Germany, exposed by the end of cheap Russian energy and the rise of Chinese protectionism, the AfD leads the polls. Both countries are gleefully cited as proof that the European social model is bust.
Burnham’s early months in No 10 have been a political success: Labour now leads by an average of seven points. But, already, left and right cry that there is a yawning gap between his rhetoric and reality. The Budget was deemed the least consequential in recent history; the 10-year plan is now being framed as a “consultation”.
And Burnham faces a more fundamental problem. He knows that he cannot dismiss harsh fiscal realities but nor can he meekly accept what he regards as a broken status quo. How does he resolve this conundrum? How does he ensure he is more than just a “traditional tax and spend socialist” with “better TikTok videos”? For answers, he should look to Sweden.
Today, the country, which maintains high living standards and low income inequality, is lauded by left and right alike, praised by Bernie Sanders and the late Charlie Kirk. In this piece I’ll explain why this is a sign of policy success rather than incoherence and how Sweden combines the best of capitalism and socialism.