The Co-operative Party, the political voice of the co-operative movement, is launching a debate for Co-operative Group members about their vital role in building a better economy and society.

The initiative, about the role and purpose of the Co-operative Group as well as its future as a business that works with its members, employees and customers, comes as the Group appoints Allan Leighton as its new Chair.

Today (Friday 20 February) the Co-operative Party will launch the ‘Keep it Co-op’ campaign, which explains the link between the Party and the Co-operative Group, and invites its owner-members to keep the Group co-operative.

The Party looks forward to an early meeting with Allan Leighton, who was announced as Group Board chair yesterday. The Party has called on the Group to maintain its long-standing commitment to co-operative values and principles in letters to CEO Richard Pennycook.

This is against the backdrop of concerns from members and across the co-operative movement that the Co-operative Group could break with the vision and campaigning that is the movement’s hallmark.  Co-operative businesses set up the Party almost 100 years ago to protect consumers and level the playing field for co-operatives.

The hub for the campaign’s activity is the ‘Keep it Co-op’ website, where Group owner-members can pledge their support for the mission of the co-operative movement and the Group’s commitment to political action.  Members will also have the opportunity to say they would vote to maintain the link between the Group and the Party at the Co-operative Group AGM in May.

 

Co-operative Party General Secretary Karin Christiansen said:

“By having an open and proud commitment to changing the world the Co-op Group has helped achieve many historic advances for consumers and society – and it can achieve so much more.

“Members support the Co-op Group’s vital role as a campaigning organisation and as a business that is fundamentally different. Ultimately, to be serious about a better society means engaging in politics and changing legislation.

“We want to start an exciting and constructive debate in which we will talk about everything the co-operative movement has achieved through direct political action and representation.

“Just as importantly, we want to look ahead to what co-ops can achieve in the future to change society and the economy, which is central to the original founding purpose of co-operative businesses.

“With the announcement today of Allan Leighton’s appointment as Board Chair of the Co-operative Group, there couldn’t be a better time to have the ‘Keep it Co-op’ campaign. The whole country is debating business responsibility and Co-op members know that the business and legislative framework could be much more supportive of our ideals and vision.

“We welcome Allan Leighton’s appointment and look forward to working with him. We know from Allan’s background that he understands the Co-op Group is different from any other retailer, with eight million members who care passionately about the Group’s mission and vision.

“We’re also pleased that the Co-op will be demonstrating it is different and that Members will have the opportunity to support Allan’s appointment in votes at the Group AGM in May.

“Looking ahead, we believe the Co-op should be supporting the radical reform of Britain’s economy so that more employees are able to share in the ownership, decision making and profits of Britain’s businesses. We detailed policies to achieve this in our Agenda for Britain published last week.

“We believe Britain needs an energy revolution, with the majority of its electricity provided through renewable sources and more than half of this supply generated by community energy groups. We believe Network Rail should be set up as a mutual, giving passengers and employees a real say in how the railway is run.

“Ambitions like this require political action and we are calling on the Co-op Group Board to work with us to get the most out of the relationship.

“The link is a fundamental part of the way the co-operative movement delivers and campaigns for change in society and for co-operative values and principles.

“The ‘Keep it Co-op’ campaign will make the case for sustaining the link between the Co-operative Group and a vision for changing society for the better. An effective Co-operative Party is an essential partner if the Co-operative Group wants to be at the centre of a co-operative resurgence over the coming decades.

“That is why we are running the ‘Keep it Co-op’ campaign. Our aim is to deepen and enhance the link, so that the Group and its Members benefit, as will society and our communities.  We can create a stronger, more sustainable future together.”

 

The ‘Keep it Co-op’ website – www.keepit.coop – is launched at 12 noon on Friday 20 February.

The campaign website and other communications will ask the Co-op Group’s owner-members to support a short statement of principle saying:

“The co-op movement is about changing businesses – and society – for the better.  That means working in communities and politics to make change happen.

“Let’s keep the Co-operative Group true to its values, so that more people can share in business decisions, ownership and profits.  Let’s keep it Co-op.”

The website offers information on successes achieved by the Co-op Party on behalf of co-operatives. It asks members to support the positive benefits of the Group’s political link, and  to vote to support it at the AGM or in any ballot in advance of the AGM.

The campaign will encourage owner-members to email and write to Board directors to urge them to keep the link.

‘Keep it Co-op’ is building a ‘coalition of support from other organisations including ethical business campaigns, co-operatives internationally and trade unions.

For further information please contact

Gez Sagar 07711 036723

Julianne Marriott 07976 821960

Karin Christiansen is available for interview.

The ‘Keep it Co-op’ logo and a portrait photo of Karin Christiansen are available.

History

The co-operative movement was founded over 150 years ago so that working people could defend themselves against the excesses of the market and acquire the power to collectively improve their lives.  In 1917, co-operative businesses voted at their Congress to establish the Co-op Party, because they recognised that the changes they wanted to see in society would not happen without political action. While the specific challenges we face today are different, the movement’s cause remains the same.

The Party’s first MP Alfred Waterson was elected for Kettering in 1918.  Four new Co-operative MPs were elected in 1922, all of whom took the Labour whip. Six were elected in 1923 and five in 1924.  In 1927 the Co-op Party agreed an electoral pact with the Labour which continues in updated form today.

Achievements

Consumer protection – The Co-operative Party was responsible for much of modern consumer protection law today, starting with landmark legislation in the 1960s. The Consumer Protection Act 1961, The Weights and Measures Act 1962, The Hire Purchase Act 1964, Abolition of resale price maintenance (1964), Licensing Act 1967, Trade Descriptions Act 1968 and the Creation of the Ministry of Consumer Affairs in 1974 (abolished by Mrs Thatcher in 1979).

Preventing nationalisation of the insurance industry – In 1949, the Labour Party prepared proposals to nationalise the industrial assurance industry, which would have affected a plethora of friendly societies and mutual insurers, but also the Co-operative Insurance Society which had been part of the movement since 1867.

Financial support for credit unions – From 2000, we secured almost £100 million in support for credit unions and CDFIs to offer affordable credit through the Growth Fund. By 2009, this support saved credit union members a total of £86 million per year. This led to the number of credit union members more than doubling between 2000 and 2009, from 325,000 to 750,000 and laid the building blocks for the movement to grow to a million members this year. Savings increased from £183 million in 2000 to £475 million, with loans increasing from  £175 million to £429 million.

Helped found the co-operative schools movement – The Co-operative Party were architects of the co-operative trust school policy. There are now 700 co-operative schools, and it is estimated that there will be more than 1,000 co-operative schools by September 2015.

Set up football Supporters’ Direct – Originally discussed in a Co-operative Party pamphlet entitled ‘New Mutualism – A Golden Goal?,’  Supporters’ Direct was set up to help fans to begin to collectively own their football clubs. Since then we have seen the establishment of 185 supporters’ trusts in the UK, with 355,000 members.

Crackdown on payday lenders – The Co-operative Party led the way in cracking down on doorstep and payday lenders, with Stella Creasy a central voice. As a result of Labour and Co-operative campaigning on this issue, the Government has been forced to cap the cost of credit.

Military Credit Union – As a result of the hard work of our Parliamentary Group and party staff, the Government has finally agreed to the establishment of a credit union for our Armed Forces.

Amendment to the Energy Act 2013 – The Co-operative Party managed to table an amendment to this Act to raise the threshold on community energy scheme from 5MW to 10MW, although this has still not been acted on by the Government.