Jeremy Corbyn won a decisive victory over Owen Smith in a second Labour Party leadership contest on Saturday. With it Corbyn not only strengthened his authority but also the right to lead his party. This election was interesting on many counts, not least because it opens questions about where political power and legitimacy reside. The emergence of Corbyn in Labour politics has been politically and ideologically divisive from the outset, confirming a chasm between what is considered the Labour establishment, and ‘the people’ who have rallied to Corbyn’s support, including unions and local activists. Corbyn has revealed his intention to give more prominence to ‘the people’, to ‘do things differently’, and to ‘build a more just and decent society’. These promises put a spin on the Labour Party, reclaiming its role within the global resistance to neoliberalism.
Take Argentina, for example. From 2001 to 2015, the challenge to neoliberalism came from electorates that refused to accept parties committed to free markets. Furthermore, Kirchnerismo, the movement associated with the legacy of the 12 years administration of and her late husband , led on the promise of moving beyond neoliberalism, ‘’. And it did so in the context of a global political economy where rising commodity prices and strong commercial and financial links with China gave the Kirchners resources to focus efforts on Argentina’s poor. The nation made significant progress on reducing poverty, introduced universal child benefit plan as well as higher pensions, and the expansion of civil rights, including same sex marriage. But this political project undoubtedly proved to be very For some, it represented a real commitment to prosperity and the expansion of citizenship rights. For others, it represented a quasi-authoritarian, state-led interventionist system, leading to mistaken exchange rate policies, ruinous energy subsidies and . With the economy slowing and inflation worsening, this polarisation explains Kirchnerism’s defeat in November 2015, and a swing to political and economic conservatism with the election of Mauricio Macri.
As for Corbyn, he won the mandate to do something different and he will thus have to provide an alternative to the unravelling of neoliberalism in the UK, where Labour has so far failed to refashion a social contract of ‘capitalism with a human face’ while Conservatives, caught off-guard by the Brexit vote, double-down on their endorsement to an economic model based on rising inequalities.