10 Aug 2010
David Cameron and Nick Clegg reminded their Ministers this week that reducing the Government's debt is the only game in town, but are they focusing on the wrong type of austerity?
Economies always move in bust and boom cycles, the best that politicians can ever do is alter the frequency and depth of the cycles. There is another austerity challenge which could have more profound social consequences, but over which politicians can have greater sway.
A growing world population, more robust growth in developing countries and increasingly unpredictable weather patterns are starting to place pressures on the availability of basic commodities such as food, fossil fuels and clean water. The recent drought in Russia has resulted in wheat prices growing by 75 per cent since the end of June. Food and energy price inflation adversely hit the most vulnerable in any society leading to greater poverty and social tensions.
Government should be starting to set out a coherent plan for dealing with these challenges by putting in place policies that will make the UK more resilient to resource pressures. These should include a national water management strategy, targets for decreasing our reliance on food from abroad and an energy security plan.
It is possible to pick out vague strands of some of these in the coalition's policies, but there is no clear articulation of an overall vision or any sense of urgency. Most worryingly there are strong rumours coming out of the Department for Education that Michael Gove doesn't feel that a sustainable school strategy is a priority and should be dropped. This is astonishing short-sightedness as a time when we need to help young people prepare for a very different looking future.
Lets’ drink to the Big Society
On Monday I headed to the quaint, time-warped Suffolk town of Southwold for a meeting with the CEO of Adnams (tough life). It was an inspiring day, learning about the company over a lovely meal and some great beer in one of their pubs.
Adnams has truly taken sustainability to the heart of its business. A pint of beer normally requires eight pints of water to make, but Adnams has been able to reduce this to three. Their aim is to get the ratio down to one to one. We were given a tour of their new brewery which is highly energy efficient and were told about the new anaerobic digester which is being made available to other local businesses enabling them to cut costs.
Adnams needs to do whatever it can to cut costs. Local village pubs are suffering hard times with more people staying at home drinking cheap supermarket alcohol. In many villages, the local pub is the only remaining social place where people can come together and if they close a vital part of community life disappears.
Our conversation with Adnams concentrated on how we can work with them to not only bring people back to the pubs but to make them vibrant hubs of a more sustainable and connected community – the Big Society in action.
The conversation soon made it apparent that the possibilities are endless and exciting. We left the meeting buzzing with thoughts which we will now turn into reality by creating a business plan and then seek funding.
End of the financial year
On Tuesday, I headed off to a London Borough as part of the pitch process for a piece of work designed to help the council and local businesses to improve their environmental performance and save money. It is an interesting piece of work and has clear and ambitious targets. We will find out next week whether we have been successful.
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