The Labour Party finds itself at a crucial moment in history, where it is clear that the trickle-down economic model is no longer working for our society. As multinational corporations make record profits, much of society, from those least fortunate to the aspirational middle classes, struggles to afford basic living. At the same time, Britain’s public services and infrastructure are falling apart, and our potential and strength feel limited and lacking. Therefore, Labour must present a plan that carries both an ambitious and buoyant message for a better future for all, while acknowledging the dire situation many face day-to-day.

One model that we should look to for inspiration is the Nordic model. This approach combines a dynamic market economy, underpinned by resilient public services and a comprehensive welfare state, and has achieved high levels of economic growth and social mobility in Nordic countries. Additionally, they have low levels of inequality and a high standard of living for their citizens. We can learn from examples such as Stockholm, which is the start-up capital of Europe and promotes imaginative and successful economic growth. The Nordic model shows that sensible, evidence-based government activity can promote a successful economy and dismisses the false trade-off between a comprehensive public sector and a spirited private sector.

However, adopting this model is not just about economic growth and social mobility. It is also about creating a fairer and more equal society where everyone has the tools to succeed and thrive. Rather than proposing a return to top-down government intervention, we believe in harnessing the creative dynamism of the free market while judiciously regulating it to ensure everyone has a fair and equal chance to succeed.

One policy that can achieve this is a unified income tax that unifies income tax with capital gains and national insurance contributions. This policy solidifies the belief that public services and welfare are the twin bedrocks of a flourishing society, providing a universal basic income that encourages investment, innovation, and social mobility while minimising heavy tax bureaucracy and simplifying the complex tax code.

In addition to promoting simpler, fairer taxes, we need policies that can reduce the tax burden on the poorest members of our society and eliminate regressive taxes that suffocate economic activity. A proportional land tax, achieved by merging council tax and business rates, is an effective way to create a more efficient and effective tax system that will reduce the burden on those who can least afford it. This policy will provide breathing space for small businesses and those struggling to survive by basing taxes on the ability to pay, and incentivise efficient use of land, which can help to address the housing crisis in the UK.

Moreover, as the party of working Britons, we should promote policies that empower workers and promote fair wages and working conditions. Collective bargaining and employee representation on company boards are effective ways to achieve this balance, allowing for the promotion of economic equality and prosperity while encouraging worker-board cooperation in achieving their respective aims.

These policies are not just good for society, but also for the economy. For Labour to stay in power, this consistent alternative vision must be able to deliver substantial and long-lasting results. By creating a more equal and inclusive society, we can unlock the full potential of our workforce and unleash a wave of innovation and entrepreneurship that will drive economic growth for years to come. Adopting the Nordic model can help create a fairer and stronger society that unites a broad and diverse coalition of voters.

As we move forward, we must continue to innovate and refine our policies to ensure they remain effective in meeting the challenges of our time. This is why we should look to organisations such as Centre Think Tank, which promotes evidence-based policy solutions that align with our values and goals. By working together, we can make the Nordic model a reality and create a prosperous future.