Brexit and the Border (2018)

From the January 2018 issue of the Socialist Standard

The Irish Border question has reared its ugly head again.

The Border’s roots go back to a split in the 19th and early 20th century between two sections of the capitalist class in Ireland. In the South were fledgling capitalists who wanted protective tariffs behind which to develop. In the North were the industrial capitalists – the Titanic was built in Belfast – who didn’t want to be cut off behind tariff walls from free access to markets in the rest of Britain and its Empire.

At the founding convention of Sinn Fein in 1905 its leader, Arthur Griffith, put the case for the petty capitalists in the South:

‘If an Irish manufacturer cannot produce an article as cheaply as an English or other foreigner, only because his foreign competitor has larger resources at his disposal, then it is the first duty of the Irish nation to accord protection to that Irish manufacturer … Under the Sinn Fein policy … no possibility would be left … for a syndicate of unscrupulous English capitalists to crush out the home manufacturer and the home trader’ (Sinn Fein Policy, 1907 edition, p. 15 and p. 23).

The President of the Belfast Chamber of Commerce, J. Milner Balfour, put the point of view of the Northern capitalists in his evidence in July 1911 to the Committee on Irish Finance:

‘I think that any attempt to set up an independent Customs in such a way as to enable the Irish Parliament to create a Tariff between Ireland and the United Kingdom would be a very dangerous thing’(Minutes of Evidence, Committee on Irish Finance, cmnd 6799).

Dragging the workers into it

Both sides involved the working class in their dispute. The Irish Nationalists and Home Rulers, representing the petty capitalists of the South, relied on the Catholic majority on the island of Ireland. When Home Rule became an issue in the 1880s the Unionists, representing the big capitalists of the North, decided to play the ‘Orange card’, appealing to the Protestant majority in the North East, beating the Lambeg drum and declaring that ‘Home Rule is Rome Rule’. As a result the working class came to be divided on religious sectarian lines.

In the end the matter was settled by force of arms, in the Anglo-Irish war of 1919-21. The Treaty that ended this war set up an ‘Irish Free State’ in 26 of the 32 counties of Ireland, with the remaining six in the North East staying in the UK, but with their own parliament. Politically, the fears of both sides came about. ‘Home Rule’ did indeed turn out to be ‘Rome Rule’ while Northern Ireland became a Protestant statelet where the Catholic minority were victims of systematic discrimination.

At the beginning the Border did not have much economic significance despite its immense political significance as it had never been accepted by a section of the Nationalists and was vehemently insisted on by the Unionists. It assumed economic significance after 1932 when the anti-Treaty wing of the Nationalists under De Valera came to power and began to pursue the original Sinn Fein policy of economic nationalism. The result was a tariff war between the Twenty-Six Counties and the UK which went on until 1938 and which involved the erection of a ‘hard border’ with customs posts between the South and the North East of Ireland.

Anglo-Irish Free Trade

Successive Irish governments continued with the old Nationalist agenda of encouraging the development of Irish infant industries behind tariff walls. By the 1960s, however, both Ireland and Britain were keen to join what has now become the EU, but De Gaulle kept vetoing this. Instead, in 1965, Britain and Ireland signed an Anglo-Irish Free Trade Agreement which provided for Britain to abolish from 1 January 1966 all tariffs on Irish imports while Ireland would gradually reduce and eventually abolish tariffs on imports from the UK. From that point on, the economic significance of the border was considerably reduced. Even more so after Britain and Ireland both joined the EU in 1973 and its customs union (erecting a common external tariffs on imports from outside the EU). The border still existed but, following the 1998 Good Friday agreement had become less politically contentious.

It has become a bone of contention again because of Brexit or, rather, because of the British government’s political decision to interpret Brexit to mean withdrawing not just from the EU’s political institutions but also from the customs union and single market and its common standards.

Withdrawal from the customs union means that the UK would no longer have to impose the same tariff on imports as the remaining members of the EU, including Ireland, have to on imports from outside the EU into their country. In fact, the EU would have to impose the common external tariff on all goods entering Ireland from the UK, including from Northern Ireland.

Ghosts from the past

In contrast to a hundred years ago, neither the capitalists of the North nor those of the South of Ireland want an economic border on the island of Ireland. Both parts of the island are now more or less the same economically. Both are eager to attract overseas investment. In this respect there is still a difference – the rate at which profits are taxed in the two parts of Ireland. In the South the rate is much lower.

The DUP have been campaigning for Northern Ireland to have the power to align corporation tax with that in the South rather than being tied to that in the rest of the UK. This shows that their public humiliation of Theresa May when she was first in Brussels at the beginning of December to sign a deal on the matter was politically motivated, a reflection of the sectarian backwoodsmen and women that they are. They no longer represent the interest of capitalists in Northern Ireland. On this issue they don’t even represent the views of those who voted in the referendum as a majority in Northern Ireland voted Remain, i.e., to keep the status quo with no change to the border.

The problem is that hatreds stirred up by rival sections of the capitalist class in the past cannot be turned off just like that. They have a tendency to continue beyond their usefulness to those sections and come to haunt their successors, causing political problems. In the case of Ireland the Theresa May government has found this out the hard way, especially as they chose to do a deal with the DUP to get a parliamentary majority. Sinn Fein, too, is a prisoner of dogmas inherited from the intra-capitalist disputes of yesteryear – if their 7 Westminster MPs took their seats they could counter the 10 DUP MPs, but they refuse to do so as they are not prepared to go through the empty formality of swearing allegiance to ‘the Crown’.

Trade and tariffs are not really an issue for the majority class of wage and salary workers. These – and the politics associated with them – are capitalist issues of concern only to the capitalist class which that class can be left to settle itself. The trouble is that, in such intra-capitalist disputes, the working class suffer collateral damage in the sense of being stirred up against each other. In Northern Ireland this impeded the development even of ordinary, reformist Labourite, let alone revolutionary socialist, politics. For years there was only one issue in every election, towards which parties had to situate themselves – the Border. It really would be a tragedy if the sectarian conflicts of the past were to be re-ignited by short-sighted political decisions, as happened in the 1960s.

Borders are borders separating one capitalist state from another and have always been a nuisance for workers, impeding their free movement. Creating new borders, or reviving old ones, only makes things worse. And, besides, is a step away from the socialist aim of a world without frontiers.

Adam Buick

Theresa - Strong And Stable (2017)

The Greasy Pole column from the July 2017 issue of the Socialist Standard

We were told that Theresa May decided, flushed with optimism, to hold a general election on June 8 when she was hiking with her husband through Dolgellau, a small market town lying at the base of the Cader Idris range in Snowdonia. Dolgellau was once a woollen town but it was taken over by the automatic looms. Now it relies on tourists, who walk and climb or stay at the hotels there. When May was a small toddler a group of Socialist Party members climbed to the summit of Cader Idris, where one of them who was pregnant stood deeply awestruck by the view. That evening in the hotel there was a lot to be discussed – such as capitalism’s abuse of the world’s beauties, like the political conceits of the system’s rulers to the misery of its people. For May it is rather different now from her relaxed stroll through Dolgellau.

Speaking Out

One who would have been particularly interested in that discussion was Ed Balls, whose book – Speaking Out – has recently been published. This is an account of his political experiences including a previous election when, according to Balls in an advisory mood: ‘What we badly need in Britain is a return to the sort of leadership exemplified by Margaret Thatcher as Prime Minister and Gordon Brown as a Chancellor…’ without speculating on how this proposed combustible partnership might have operated. Speaking Out is about Balls’ time as an Oxford undergraduate, then as an economist at Harvard followed by the Financial Times and a place at the Treasury until with the election of the Labour Government under Tony Blair and Gordon Brown a succession of ministerial posts preceded the defeat of that government and had him emerging as shadow Chancellor of the Exchequer.

PMQs

That was when he achieved a kind of notoriety appearing on the TV screens exchanging insults and indecipherable hand gestures with David Cameron during Prime Ministers Questions – which entailed the exposure of Cameron to lasting scorn among the fans by mistaking West Ham for Aston Villa. Those broadcast clashes earned Balls a reputation as a left-winger inspired by a passion to help establish a more equal society. Except that he denied this with his very own words: ‘But being Labour doesn’t mean that I can’t also believe in a market economy which creates wealth and good jobs . . .  you couldn’t build a stronger economy on a fairer society through opposing business; it had to be a partnership between the dynamism of business and the helping hand of government. And my arrival from the Financial Times, the pink-papered global business newspaper, to work for Labour in 1994 was one symbol of that change they were pursuing’.

Osborne

This was a preamble to Balls’ next, heavily publicised, ambitiously gratifying, personal appearance on TV when as the news came in late on polling day he picked over the tastier morsels with George Osborne. It was not comforting for Theresa May – but then how was Osborne to react when one of her first responses to becoming party leader was ruthlessly to eject him from being Chancellor of the Exchequer – even if he could then take his revenge as editor of the Evening Standard? And in any case May herself had never hesitated to make enemies. Apart from her infamously informing the Tories that they were better known as The Nasty Party there was the matter of her costly tastes in clothes, like a ‘Deliciously Soft Escada Cashmere Coat’ priced at £1950 and her revealing underwear such as headlined by the Express as ‘The Day Theresa May’s Boob-Busting Bra Sparked Twitter Meltdown’.

Paisley

Walking that day with her husband through Dolgellau Theresa May could feel easy about fixing the date of the election. She had cleared a number of rivals out of the Party, leaving her supreme to assure the voters that she alone would ensure Strong Stable Government. She would see off Jean-Claude Juncker along with those other tiresome European mediocrities. The Tories were a long way ahead with every opinion poll, leaving Jeremy Corbyn behind in what seemed a swamp of defeat. But as the campaign got under way another, profoundly unsettling, picture emerged. And when it came to that fateful day Jeremy Corbyn was returned in his constituency with 73 per cent of the vote and the Labour Party gained 30 seats. After all those confident boasts May’s party did not have enough MPs to set up a government. There was plenty of advice and predictions. In the end she turned up with yet another surprise by announcing that, along with her guilt and despair about the outcome of her campaign she would ensure that at least she could be at the head of a government, even if it entailed being in alliance with the Democratic Unionists – Ian Paisley’s original sprouting in Northern Ireland.

Crackpots

The DUP was formed in 1971 and has survived during various disciplines of militarism known as The Troubles. It is now the largest party in the Northern Ireland Assembly and its ten seats at Westminster make it the fifth largest in the Commons. But as it was typically known as ‘a coalition of crackpots’ it seemed unlikely that May would aggravate the chaos in her party by trying to survive as a government with their support. But that is what emerged from the chaos, with May as the titular leader of a minority government intended to operate on only ‘matters of mutual concern’, which left her enemies to speculate hopefully on exactly how it could fail. There is no lack of evidence that this will happen, if only in the recorded attitudes of the DUP leaders. One is in the Caleb Foundation opinion that the origins of the Earth – by god over six days – should be taught in schools. The party is hostile to LGBT groups and opposed to same sex marriage: ‘Peter will not marry Paul’. Northern Ireland is the only place in the UK where it is illegal to have an abortion, with a prison term of life for cases of drug-induced abortion. In December 2015 Arlene Foster became the party leader but in January 2017 she had to step down from the post of First Minister after presiding over a disastrous Renewable Heat Incentive Scheme costing the Budget some £400 million and ensuring that Theresa May’s effort to survive through an alliance with the DUP would look very unlikely. Which should divert us no more than on that long gone day on the Welsh mountain.

Ivan