Labour Party PLC: New Labour as a Party of Business
by David Osler
Category: Business & Economics

British politics used to be a straight forward affair. The Tories were the bosses party, while Labour represented the working class. Not any more. In a few short years, Tony Blair has transformed the relationship between Labour and the private sector to the point where Labour now claims to be the natural party of business. This new friendship has been cemented through a series of hue donations to Labour, often running to millions of pounds, from top business people and leading companies. Such generosity has been reciprocated with a string of peerages for prominent benefactors. Corporate supporters - including multinationals with questionable track records on union recognition, human rights and the environment - have reaped the rewards of lucrative privatisation contracts. Labour's natural supporters are increasingly disaffected. Membership is in decline as lifelong members rip up their party cards. Trade Unionists are opening asking whether the party deserves their continued support, while younger activists are giving it a wide berth in favour of the anti-globalisation movements. Meanwhile, a huge swathe of the electorate can't see any real difference between the major parties and simply don't bother to vote. At any other time in Labour's history, such developments would have been unthinkable. How has this stunning turnaround been achieved? What are the consequences for the