The business of the Lib Dems…

At time of writing, MBC understands that the British Liberal Democrats (Lib Dems), have lost over 690 Councillors from the Local Authority elections held recently, and the loss of 9 major Councils, including Liverpool and Hull. Their share of the vote has fallen to 15%, a figure not seen since the days of the collapse of the SDP in the 1980’s.

By choosing the Conservatives as their ally in the UK Coalition Government, the Lib Dems chose political expediency, under the guise of moral purpose for the benefit of the country, over their own survival. In business, is not one of the core initial lessons – “live on to fight another day”? On this showing, a repeat of this performance at the UK General Election, could all but wipe out the party – undoing 30 years’ worth of deliberate and progressive electoral gain. The Lib Dems are, at the activist level, a centre left party. Their leadership, for a couple of years now, are from the “Orange” wing of centre-right near Conservatives. Again, in business, this would be to mis-understand your client base – are you in the right marketplace? They have been given a complete drubbing. With fundamental disagreement in the Lib Dem ranks about how to conduct the national finances, and how fast and far to exercise deficit reduction in UK national spending, they are very likely to find that their activist base will thin out significantly. Every party – or organisation – needs its grass roots, it’s “worker bees”. The Lib Dems had a more natural allegiance to the British Labour Party. The deficit reduction plans to be agreed between the two, would likely have more than satisfied the UK Bond markets; confidence in government would have remained.

Everything is always to play for: we are four years away from a General Election in the UK – yet the decision to join with the Conservatives could inadvertently have been the Hari kiri moment for the Lib Dems.


Author: Damian Merciar

Damian Merciar is Managing Director of Merciar Business Consulting,, a niche business economics consultancy founded in 1998. He has over twenty years experience in the areas of commercial Business Strategy. He is experienced in the transition environments of nationalized to private sector state utilities and the senior practice of commercial management, advisorial consultancy, and implementation. He has carried out policy advisory work for government ministries and been an adviser to institutional bodies proposing changes to government. He holds an MSc Economics from the University of Surrey’s leading Economics department and an MBA from the University of Kent. Also attending the leading University in the Middle East, studying International Relations and Language, for which he won a competitive international scholarship, and has a BA (Hons) in Economic History and Political Economy from the University of Portsmouth. He is currently based in London.

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