Over the past couple of weeks, Britain,
many other European countries and the US have announced plans to nationalise
large chunks of the financial sector, thereby taking a good proportion of the
commanding heights of the economy into public ownership. The British government
has been forced to effectively part-nationalise three of the country’s biggest
banks, RBS, Lloyds TSB and HBOS. The plan, which includes putting treasury-appointees
on the boards of all three banks, will cost the taxpayer in the region of £37
billion. Many of the major European powers are unveiling similar plans, and
even the US, the ideological bastion of free-market capitalism, has been forced
to invest $250 billion into buying stakes in nine of its banks (though these
‘non-voting preference shares’ mean the US government will have no direct control
over the running of these banks).

New Labour is the bastard child of
Thatcherism. Blair, Brown and Mandelson inherited from the evil witch the
belief that the market (capitalism) was god and that the rich are the wealth
creators we must all bow down to.

As Marxists know, and as the present crisis
has shown, this is the opposite of the truth. But this has been the foundation
of all the policies carried out by New Labour over the past years.

For over a century Marxists have argued the need to take the banks and
other financial institutions into public ownership as part of the
socialist transformation of society. The founding document of
scientific socialism, the ‘Communist Manifesto’, in 1848 called for,
"Centralisation of credit in the hands of the state, by means of a
national bank with state capital and an exclusive monopoly."