The Liberal Democrats are the party of David Lloyd George, John Maynard Keynes and William Beveridge. We are the party that laid the foundations of the welfare state and pioneered support for Keynesian economics, which strived to create an economy of public investment in infrastructure, growth and full employment. Our party’s history is one which is staunchly against ‘slash and burn’ austerity.
Of course, during the Coalition Government, the party’s leadership supported the austerity programme of David Cameron and George Osborne. This continues to be used against us by supporters of other progressive parties, not least Labour, despite the fact that Labour also supported austerity. I hope no-one joined the Liberal Democrats to introduce the ‘bedroom tax’, support the benefits cap, cut legal aid, cut housing benefit to young people, introduce assessments for disability benefits or to support benefit sanctions. It is not a nice thought, but whether you think Coalition austerity was right or not, it has ruined people’s lives and led to thousands of preventable deaths.
Coalition austerity was not compatible with the liberalism of Lloyd George, Keynes or Beveridge and many Lib Dems opposed austerity during the Coalition Government. Since the Coalition, the party has clearly begun to move away from austerity. This began in 2015, when the Liberal Democrats opposed the Conservatives’ Welfare Bill, while Labour abstained. In the general election of 2017, our party was committed to reversing more welfare cuts than even Jeremy Corbyn’s Labour Party.
At our Autumn Conference last year, the ‘Demand Better’ policy motion committed the party to ‘a better society, in which everyone is supported in times of need, with an end to austerity’. Those three words, ‘end to austerity’, are absolutely essential if we are to win over more Remain voters, most of which vote for progressive parties. They are as important as the other two words for which our party is known for, ‘Stop Brexit’. Indeed, austerity has helped to fuel the rise of Brexit populism and therefore if we want to stop Brexit, we must end austerity.