The day I felt like I was spying for the other side
I was at the Labour Party conference in Brighton on Sunday at what they call a “fringe” event called “Tomorrow’s City Economies: where will the new jobs come from?”
I’m always amazed at how our MPs want to spend our money, sometimes not even realising that what they are calling for already exists. For example: “We should have a new 3i.” Actually, that exists; it’s called Nesta, and is run very well by Jonathan Kestenbaum. Or: “We should have an innovations group for market failures.” Actually, that exists, it’s called the Technology Strategy Board, and they have £3bn of our money, and do a fantastic job deploying it.
After I spoke, I was called elitist and told I couldn’t be talking for the poor. I must hang out only with the well-to-do internet entrepreneurs.
Many of the entrepreneurs I’ve backed don’t have any formal education. The Fredericks Foundation, of which I’m a huge fan, is run by a leading entrepreneur, and backs those people at the bottom of society, and gives them micro-loans to get them back on track as micro-entrepreneurs, moving them from a cost to society to a taxable source of revenue.
The more we argue for our limitations, the more we are limited by them. If government were forced to downsize, the vacuum created would be filled by volunteers, community groups, private businesses, religious groups, student organisations, and individuals.
We have a choice: do we want to have the richest poor people in the world? Or do we want to encourage greatness in those poor people, and know that some people by dint of their natural smarts, hard work, mentors and good luck will overcome tremendous odds to make huge contributions and become successful.
I believe the economic growth we are starting to feel will be led by entrepreneurs. They are the engine of society, and they drive our collective revenue line. We must not burden them with so much tax and red tape to slow them down, or so much cost that regardless of how much revenue they create, there is always more cost than revenue, leaving us perpetually in the red.
The more we encourage people to believe the government will sort out their problems and all problems, the more feudal a society we become. We have a choice at the election: do we believe in our own abilities, and are we accountable for ourselves? Will we help others believe and accept accountability too? I know which side of history I want to be on.
Julie Meyer is CEO of Ariadne Capital.