The Political Economy of ‘Radical’ Policy: An Analysis of the Scottish Daily News Worker Co-operative

Within six months of taking office in February 1974 Labour had funded three worker co-operatives: Meriden, Kirkby Manufacturing and the Scottish Daily News (SDN). All three ventures were the subject of considerable economic and political controversy. The Conservatives attacked them as ‘wasteful projects’ which would only encourage ‘creeping militancy’; the Daily Telegraph referred to them as a ‘diet of sub-Trotskyism’. Michael Heseltine, Conservative spokesman for Industry, attacked Labour's support for the three co-operatives, suggesting that they encouraged ‘others to follow these illegal precedents, commit national resources to wasteful projects, and create a growing sense of injustice among the overwhelming majority of hardworking, law-abiding citizens who totally fail to understand why creeping militancy should attract government support at their expense’. There was criticism too from less obviously partisan sources: the Sixth Report of the Committee on Public Expenditure, for example, concluded that worker co-operatives were non-viable and thus a waste of public money.