Labour Government Faces Criticism Over Quango Creation
Labour has found itself embroiled in controversy as it has established new quangos at an unprecedented rate since taking power. Sir Keir Starmer's government is accused of stifling the country with red tape following analysis showing the creation of one new quango each week since the election victory.
Since July, the Labour administration has added 25 new quangos, taskforces, and advisory councils, leading critics to question whether the government is genuinely driving necessary change or simply reshaping its administrative structure. Former Tory chairman Richard Holden remarked on the matter, asserting, "It’s a tale as old as time. Labour establishes a quango to duplicate work already underway in the public sector and the outcome is all-too predictable: more bureaucracy, more regulation and higher taxes for working Brits.”
Concerns are mounting about the potential for increased bureaucracy to hamper economic growth, which had already seen stagnation following Labour’s introduction of £40 billion worth of tax increases. The analysis of Labour's use of quangos coincides with reports of 67 reviews and consultations initiated within the first five months of their governance.
Jacob Rees-Mogg, former business secretary, stated, "We need a great cull of quangos. Instead, Labour seems bent on giving us government by the quango, for the quango... They want government done by their friends and they want it done away from prying eyes by organizations not accountable like elected ministers. It is not only anti-democratic but it also leads to worse government." This critique encapsulates the growing sentiment among political opponents, who argue for the necessity of returning decision-making to elected officials.
Among the new bodies is Great British Energy, introduced by Ed Miliband just after the election as part of his ambitious plan to decarbonize Britain's electricity system by 2030. Following this, Miliband announced the establishment of Mission Control, tasked with assisting the creation of the Government’s Clean Power 2030 Action Plan. Later, the government formed the National Energy System Operator and the Solar Taskforce, underscoring its commitment to renewable energy.
While these initiatives might reflect progressive energy goals, critics are quick to point out the redundancy of many of these new endeavors. For example, the new Border Security Command set forth by Home Secretary Yvette Cooper largely mirrors functions of the prior Small Boats Operational Command, raising questions about effectiveness and necessity.
John O’Connell, the chief executive of the TaxPayers’ Alliance, voiced concerns about governance and accountability within this growing framework of unelected bodies. He remarked, "Taxpayers will wonder who actually governs Britain... politicians who then recoil with horror when they realize they are completely powerless..." His statement echoes the apprehension surrounding the overwhelming bureaucracy spawned by the new quangos, contributing to public confusion about governmental authority.
On the defense, the Prime Minister has emphasized the need for thorough reviews and analysis as part of responsible governance, holding the stance, "Like any business organization, you’ve got to understand what you’re dealing with once you’re in a position to deal with it." Even so, this approach has evoked mixed responses within his own party, with Deputy Angela Rayner cautioning against the risk of becoming mired too deeply “in the weeds.”
With the rapid expansion of quangos, Labour stands at a crossroads. The party must address the growing concerns about accountability and effectiveness versus its ambitious policy goals; otherwise, it risks alienation from both the public and within its ranks. The emphasis on institutional growth rather than tangible societal change may lead to long-term effects on Labour’s political viability and its ability to spur genuine progress.