Market Values and the Citizen-State Relationship

By Chen, Selina | Renewal, Spring 2010 | Go to article overview
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Market Values and the Citizen-State Relationship


Chen, Selina, Renewal


The past two years or so has seen a growing sense of public disaffection and disillusionment with political, social and economic institutions in British society. The general erosion of trust and values in society has been highlighted by various crises in recent times, with the most spectacular of these being the public's loss of confidence in the banks as a result of the financial and economic crisis. The issue of bankers' bonuses has been the lightning rod for the expression of public anger; but the underlying causes are broader than that. The complacent assumption of the last two decades, that Britain would enjoy uninterrupted rising affluence, has been spectacularly debunked, and given rise to a deep uncertainty about Britain's economic future.

In a similar but potentially just as serious crisis is the institution regarded as the complement and counterweight to the market, namely the state. Despite cheers on the left heralding the return of the state when the government stepped into bail out the banks, it has not escaped public attention that the government's failure over time to do anything about the juggernaut of global finance was a major contributing factor to the recession. The parliamentary expenses scandal served merely to further entrench public distrust with politicians and to provide a concrete focus for a more diffuse sense of public disaffection with government and British democracy.

To complete the triadic tale of woe, there is a pervasive sense that society itself has experienced a moral decline. Even before the economic crisis there was a general sense that, despite the years of unprecedented affluence, much touted increases in public spending, and full employment, something has gone awry. A 2007 poll showed that 60 per cent of those polled thought Britain as a place to live was in decline, up 20 per cent from 1998. A year later that figure had gone up to 71 per cent (Page, 2009). It is now well established that people in Britain are less happy than they were fifty years ago, despite becoming three times richer as nation (BBC News, 2005).

It is no surprise that David Cameron's adroit use of the phrase 'Broken Britain' has struck a chord, and that it provides the emotional and political appeal for the 'Red Toryism' approach with which he is attempting to re-define the Conservatives. But the sense that something has gone badly wrong with Britain is not confined to the right. While some measures show that Labour's investment in public services has led to improvements, other indicators that go to the heart of New Labour's project make for grim reading.

Joseph Rowntree Foundation studies show that, despite active welfare policies, poverty has increased over the last five years. For pensioners, the working poor as well as the unemployed, things have worsened (Joseph Rowntree Foundation, 2009). Anti-social behaviour and crime continues to be a major preoccupation of the public, despite the massive increase in spending dedicated to tackling it. The gap between the rich and the poor has widened, not just in monetary but also in social and geographical terms (Dorling et al, 2007). More people are going on to university, but the proportion from low income groups is still disproportionately low (HEFCE, 2009). Already among the lowest among Western industrial societies, rates of social mobility in Britain are declining at a faster rate than the US, despite being the object of New Labour's progressive crusade (Machin and Bladen, 2007).

New Labour's failure to bring about a different kind of society from Thatcher's is now raising deep questions about the role of the state and its relationship to citizens and their lives. The failure to achieve its policy outcomes on the economic front needs to be seen as related to the phenomenon of values, moral decay and the wider aspects of well-being that have recently come to dominate the public agenda. The importance of public institutions and how they relate to citizen well-being needs to be brought to the fore.

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