Category: Economy

Navigating Change

Theres’s wisdom in having flexibility when making decisions. Being too high bound by ridged beliefs or a dogmatic creed isn’t a way of sustaining success. The saying, “When the facts change, I change my mind. What do you do, sir?” is attributed to John Maynard Keynes. It’s nice to have a quote like that to validate the wisdom of flexibility. Is it always true? Well, this is not a physical law like Force equals Mass times Acceleration. So, using the word “always” is not the least bit appropriate.

In the first months of 2025 the US seems to be going through a cycle of extreme plasticity. It goes like this; propose policy that’s drastic and disruptive and that shocks or puts everyone on edge. Let it ride for a day. Watch what happens. Then either double-down or reverse the whole move and start something else equally shocking. Meantime saying how great the achievement has been even if there’s no positive achievement.

Conventional wisdom isn’t wrong because it’s conventional. Reacting to conventional or traditional ways of working by deeming them automatically bad doesn’t add up. I know it’s conservative philosophy, but wisdom is acquired over time.

You could say, I’m burdened with being rational (or reading too much). That’s not wrong. What’s difficult is that a rational person must stretch the imagination a long way to see any good coming from a rapid cycle of change, often for the sake of change.

Setting the cat amongst the pigeons (or bull in a China shop) makes economies and financial systems quiver. Without a certain amount of understanding, or the perception of understanding, assessing risk becomes almost impossible. That’s the first months of 2025.

Where’s the vision? Maybe underlying the impulsiveness is a desire to get from here to there as quickly as possible.

75 years ago, after WWII, America entered a “golden age”. Baby boomers, technology and a sense of optimism drove the good times. The 1950’s ushered in a commercial exposition. Modern marketing and a proliferation of brands changed society, both in America and across the globe. Over the past decade, there’s not been that shiny newness or unbounded naivety that captured the imagination of the time.

If the overall vision is to get back to those times, then reality is going to bite. A sea change in circumstances could happen but it’s unlikely to be the one painted above.

Navigating Political Extremes

There’re arguments that can be made for stability. There’re arguments that can be made for disruption. I don’t think it matters if you are a socialist, centrist, conservative, liberal, oligarch or demigod. The virtue of one over the other is a temporary state of affairs. If this were not the case it would be unlikely that civilization, such as it is, would have ever got this far in its development.

Now, I have discounted the untenable. That is that stability becomes stasis. A moribund inability to do anything, totally regardless. It’s also the case for disruption so catastrophic that that we truly are in an end-of-the-world scenario.

“This too shall pass” has a long history. The temporary nature of everything is encapsulated in those four words. Or as Judas Priest put it “You’ve Got Another Thing Comin”. A thumping beat and screaming chords make great driving music. Put this on a Sony Walkman in the 1980s and the batteries would be flat in minutes.

Am I saying that Biden was stasis and Trump is catastrophic? Maybe. What is it in our minds that mean we flip from one extreme to another? These are question that erudite columnists are wrestling with as they chew over what’s happened with no idea of what’s to come.

In the British system of governance moderation wells up from centuries of tradition and custom and practice. As we are seeing it hardly matters who is in power, history runs so deep that it shapes every move. I never thought I’d have a good word to say for being a country that does NOT having a written constitution. Today, I’m rethinking how it can be advantageous to make things up as we go along.

Writing down sets of rules can be helpful in guiding decision making. Underlying this is the assumption that there’s some continuity and that those rules have a kind of universality. That’s mighty difficult to do given the passage of time.

The problem with writing down sets of rules is that they create something to be circumvented. Let’s use a river plunging over rapids as an analogy. If there is a forceful enough flow of water, it will go around or over any rocks in its way. Strident political forces, ranging from the crude to the cunning, have little difficulty in circumventing established custom and practice. What’s often called the “liberal media” may be horrified even as the river tumbles downhill with increasing speed. Predicting the future with a past perspective doesn’t work.

“This too shall pass” is a motif to hang onto. Just as the river eventually leaves the rapids so we might experience a steadier period ahead.

Look out for extremes. Milking my analogy as far as I can, changing everything, all at once, and relentlessly, is a proven route to disaster. Institutions, accepted norms and the fabric of society getting smashed up on the rapids, forever and a day is the definition of disaster.

The Revolutionary Role of Hydrogen

Hydrogen has a history with aviation. What could be better. A gas that is so light. So easily produced and with no need heat it up. With a lightweight gas-tight bag and a fair amount of rope, balloon construction took-off. Literally. The proof that hydrogen gas could lift a balloon goes back to the 1780s in France.

Sadly, the downside of this gaseous element is its propensity to combine with other elements. In fact, where would we be without liquid water. On this planet, that most basic and prolific combination of hydrogen and oxygen. Not so much sadly but more luckily.

Step forward about 250 years and we have a different vision for hydrogen in aviation. If it’s combined with the oxygen in the air that we breath, we get nothing more noxious than water. Since, the other forms of combustion, that populate our everyday lives, is distinctly noxious, surely hydrogen has a lot to offer. Talk about downsides. Burning fossil fuels is distinctly unsustainable. Polluting the atmosphere.

This week, I was looking out to sea. At the English Channel (No name changes there, I see). Standing on the pebble beach at Budleigh Salterton. They ought to have an award just for that name. It’s a small seaside town in Devon. The towns cliffs are part of a World Heritage Site, namely The Jurassic Coast[1]. 

Forget the 250 years of humans flying, cited above. About 185 million years of the Earth’s history is for all to see on the Devon and Dorset coast. When we say “fossil fuels” what we mean is that we are living off the back of Earth’s history. Society powers modern life on dinosaur juice. Well, not exactly but plant and animal life from hundreds of millions of years ago. How crazy is that?

Hydrogen, on the other hand, is one of the most abundant elements. It’s everywhere.

Modern day dinosaurs (politicians and pundits) insist that we continue to exploit dinosaur juice until it’s all gone. That’s putting aside any concerns about returning all that carbon to the Earth’s atmosphere. Carbon accumulated over millions of years.

Hydrogen can be a clean fuel. The problem is that saying that and then doing it are two different things. There are complexities that come with using Hydrogen as a fuel. It might be reasonably easy to produce, in multiple different ways, but it’s not so easy to transport.

Producing leak proof systems for transport and storage requires innovative thinking. We can’t just treat it with the familiarity of conventional fuels. Whole new regimes are going to be needed to get Hydrogen from where it’s produced to where it’s needed.

Producing leak proof systems for aircraft is a challenge. Given the odourless and invisible nature of this light gas, accurate and extensive detection systems are going to be needed. If the gas is to be consumed by fuel cells to produce electricity, then there’s going to be a constant struggle against complexity and significant expenditures.

What is reassuring is that none of the above is insolvable. At this time in history, we have the materials technology and control systems that make Hydrogen a viable clean fuel.

[1] https://jurassiccoast.org/

Understanding Aviation Safety

The recent dramatic events in Toronto brought to mind the equally dramatic event of Air France Flight 358 back at the latter half of 2005. Then a large aircraft was destroyed but the crew and passengers got away without fatalities. The combination of bad weather and poor decision-making led to a catastrophic runway excursion.

I remember that the year 2005 shook the aviation community. There was a whole succession of fatal aircraft accidents across the globe. In Europe, Helios Airways Flight 522 was particularly tragic. Errors led to the crew suffering hypoxia and as a result the aircraft and everyone onboard was lost. In Italy, lives were lost as an ATR72 aircraft ran out of fuel and plunged into the Mediterranean Sea near Palermo.

West Caribbean Airways Flight 708 fell from the sky killing all on-board. Kam Air Flight 904 hit a mountain killing all on-board. In Indonesian, Mandala Airlines Flight 091 crashed. A few passengers survived but many people were killed on the ground.

I sincerely hope that 2025 is not going to turn into another 2005. However, I do take the view that there is a cyclic element to the occurrence of fatal accidents. We are often proud to be able to say that the time (number of years) between one cluster of aviation accidents and another grows as overall safety improves but we are a long way from zero-accidents.

The global aviation industry is an incredibly safe industry when considering how many passengers are carried every year. However, zero-accidents remain an illusion however it might be touted as the ultimate goal.

As safety practitioners try to be ever more pro-active in our safety regimes there’s inevitably a reactive element to aviation safety. The aftermath of the 2005 experiences led to ICAO holding its first high-level safety conference in 2010 in Montréal. There have been two more such conferences since. One in 2015 and one in 2011.

The results have been to push the aviation industry towards a more pro-active management of safety. It’s not just the industry. In cases, the regulatory weaknesses that exist in individual States has needed to be given attention.

Add all this up over the last 20-years and you would expect everyone to be pro-actively managing aviation safety. Sadly, that’s not the case as some States and organisations are still managing the transition to a more pro-active approach. Some are so resource constrained that they are more inclined to talk about aviation safety than to act upon it.

Regulatory weaknesses exist in some unlikely places. Additionally, with the fashion of the time being to cut “red tape” at every opportunity, more troubles might be just over the horizon.

I’d like to see a break between the association of what is regulatory and what is considered bureaucracy. The two are not necessarily the same. Regulation and standards are synonymous. And what we know is that there is no successful complex industry without standards.

Please let’s not wait for the next accident report to tell us what to do.

The Evolution of Air Traffic Control

Until civil air traffic started to grow the need for its control wasn’t the number one consideration. The pilot was the master of the skies. A basic “see and avoid” approach was taken. See another aircraft and avoid it at all costs. Note, I am talking about the early 1920s.

If you want a nice exploration of how it all started keep an eye on the site of the Croydon Airport Visitor Centre[1]. The first London airport was not Heathrow or Gatwick. No, there’s a stretch of grass, a hotel, industrial units and out of town shopping standing on the site in Croydon of the first London airport. 

Firstly, we can thank Marconi for the first radiotelephony. Providing a means for pilots to speak to airports enabled the development of Air Traffic Control (ATC)[2]. It got going out of necessity because there was limited space on the ground and many aircraft wanted to take-off and land.

Aerial navigation took off in the 1920s. A hundred years ago. WWII drove advancement in every aspect of technology. After WWII, the basic having been established, an international body was established to set standards for international flying. That’s where today’s ICAO originated.

Radar and VHF radio transmissions were the cutting-edge technology that enabled air traffic to grow. Radio navigation aids developed as did automatic landing systems. So, by the time the jet-age started there was a whole selection of technology available to manage air traffic. Not only that but the standards required for these systems to interoperate around the globe were put down on paper.

That legacy has served aviation remarkably well. Incremental changes have been made as new capabilities have been developed. Most notable of that evolution is to return elements of control to the cockpit. A traffic alert and collision avoidance system (TCAS) does just that. It provides a safety net.

What we have available to manage dense airspace and busy airports is a complex, highly interconnected, interdependent set of systems of systems and procedures that is not easy to unravel. Each part, in each phase of flight, plays its role in assuring safe operations.

News and rumours are that quick fixes are being demanded in the US. Responding to recent accidents and a perception that all the above in antiquated, a well know tech guru has been thrown at the “problem”. I shouldn’t be a cynic, as having a fresh pair of eyes looking at the next steps in the development of air traffic management should be good – shouldn’t it?

It’s my observation, as an engineer who knows a thing or two about these things, is that any simple solution means that the parties have not thought long enough about the problem. In this case there are no quick fixes. However, there’s likely to be incremental improvements and they will not come cheap. 

[1] https://www.historiccroydonairport.org.uk/opening-hours/

[2] https://www.historiccroydonairport.org.uk/interesting-topics/air-traffic-control/

Legacy, A Cautionary Tale

English is full of pithy phrases that echo through the pages of history. One of the greatest contributors to this phenomenon was Shakespeare. Lots of quips and quotes and snippets of wisdom come from his numerous plays (and other literary imitations).

The phrase or maximum that I have in mind is: “Beware of an old man in a hurry.” It’s not the only one on the same basic theme. My dad used to say that there’s “No fool like an old fool”. Honestly, as a child I had no idea what he was getting at. I guess it was to sum-up an observation of someone’s behaviour. It’s not a complementary saying.

There’re several ways of interpreting the “old man in a hurry” saying.

For one, and I’m just about to clock 65 years, the way the world seems is conditioned by the fact that one’s final moments are a lot closer than they were as an ambitious young man.

Another interpretation is that we might expect an older person, with more experience, will be guided to make better life decisions. However, in reality, the reverse is so often true.

I could go as far as to say that the “beware” part is to beware of imbedded prejudices and reduced peripheral vison that can come with age.

Doing a quick bit of research the source of this short English saying is not ancient wisdom from a Greek scholar or scribbling Roman sage. Not even a contemplative Medieval monk.

No, it’s a young British Conservative politician talking about an old Liberal. In fact, probably the most successful old Liberal that has ever graced Parliament. The one who left this county with the world’s biggest Empire. When he passed at 88 years, Britain was the most developed, most prosperous nation and biggest manufacturer the world had ever known. If we were ever to call to Make Britain Great Again, we’d call for an old Liberal. MBGA doesn’t exactly flow of the tongue. Anyway, GB (Great Britain) endures as a name.

The young British Conservative politician was Churchill’s father, Randolph, and the old Liberal was an energetic, fired-up Gladstone.

Can I now use “Beware of an old man in a hurry” as I reflect on the week’s News? Does President Trump see the world as a racing clock? Knowing that mortality looms. Knowing that any marks that are to be made need to be made – now. The “long-game” is for others to play.

When time is almost up the tendency to rashness can be understood. A lot depends on whether the subject of legacy looms large in the thinking of a leader. Through the millennia legacy has mattered a great deal to leaders.

Gladstone’s success was marred by the eventual destruction of the Party he led. He did transform government from a boys-club of privilege, at least in part, but the future of Ireland became his achillea heel. As a Liberal, he found building a powerful country didn’t mean granting privilege for politician’s and friends’ private businesses but ensuring that the working class were represented.

Trump’s haste, and lack of longer-sighted goals, appears real. Constitutions, democracy and the public good will endure. Mean-time hang on to your hats.

Pragmatism in British Politics

Pragmatism has long been a part of British life. Idealism too but to a lesser extent. That said, the shelves of literary works probably tip in the balance of idealism. There’s always an “insightful” quote to pull of the shelf and plonk into a speech or scribblings like this.

There’s a comfort in putting important decisions down to known facts and up-to-date realities. This way of working tends to favour short-term action based on weighing-up the here and now. What’s best for us where we stand at this moment? How much money have we got?

If you are an ardent socialist or committed liberal or dyed-in-the-wool right-winger, then pragmatism can make your flesh crawl. It leads to the question – what do you really believe in? Intellectual prowess is challenged by a call to make it up as we go along.

Pragmatism encourages hypocrisy. Now, that might be phrased as an uncomfortable negative. The truth is that no successful organisation has ever escaped a great deal of honest hypocrisy. Positions on even the most hard-fought issues do change. That’s not a negative. Just a couple of minutes surveying the history of the last half century, more than proves the case.

So, when I hear the UK Prime Minister (PM) talk of “ruthless pragmatism” I do wince a bit. It’s not that pragmatism per-se is an evil. No way. Mere survival in any political landscape and someone must react to the here and now in a way that doesn’t sink the ship.

PM Keir Starmer talking on Europe[1] is like listening to a rich Victorian woman having on extremely tight underwear. There’s no way she can loosen it in public. Her peers would disown her. When no one is looking an immense sense of relief can be gained in shedding the constraining garments. Behind closed doors the ridiculous restraints are shed.

Frankly, UK opposition to joining youth mobility schemes[2] in Europe is a stupid as stupid can get. I mean stupid times a billion. Now, some madcap idealists might be scared that British youth might, if taught early, be influenced in ways that would last throughout their lives. Such would be their indoctrination that eventual the push on the UK to join to European Union (EU) would be overwhelming.

There’s another word beginning with “p”. Take pragmatism and replace it with paranoia. The later seems to be fashionable just now. Forget the idealist approach where at least views tend to be based on a plausible creed. Paranoia is such that no previous experience is necessary. It’s all-over social media and more and more conventional media. Pragmatism is met with disbelief. So, is it wise for Keir Starmer to make that word a number one headliner?

A philosophical political pragmatism has been long practiced in the UK. I don’t see that stopping anytime soon. But what’s to be gained by headlining it? Not a lot I’d say. In fact, it gives ammunition to the light blue swivel-eyed loons[3].

[1] https://www.independent.co.uk/voices/editorials/keir-starmer-brexit-reset-europe-b2692118.html

[2] https://lordslibrary.parliament.uk/youth-mobility-schemes/

[3] https://www.independent.co.uk/news/uk/politics/swivelgate-david-cameron-goes-to-war-with-the-press-over-swiveleyed-loons-slur-8622277.html

Financial Pressures and Local Government Restructuring

It was a long time ago, but I remember the travails of local government reorganisation. A massive amount of councillor and officer time was consumed. Endless discussions going backwards and forwards. Loads of heat but little light.

I had my one term as a Surrey County Councillor between 1993 and 1997. Now, that is 30-years back. A lot of water has passed under the bridge since. That said, the issues are still hanging in the air. The outcome of that Conservative attempt at local government reorganisation was no change for the one million people in Surrey. That meant one large County Council and eleven smaller Boroughs and Districts. Not forgetting several Town and Parish Councils.

Having moved, my concern is now local government reorganisation in Berkshire. The situation here is that the two-tier structure of local government has already been swept away. We pay our council tax to one unitary local authority.

Here we are in a different time and place. Labour’s first six months in government behind us. A new era. All smiles to begin. Sadly, the write-ups of the last six-months are less than flattering[1]. It would be reasonable to think that during a period of opposition in Parliament. Those 14-years. The prospective future government would have put in place policies and plans that would have been “oven ready,” to use a term an unsuccessful past Prime Minister would use.

Just as it was 30-years ago, English local government is facing huge financial pressures. Residents are struggling to access good services. Local issues, like potholes, planning, special educational needs and social care are as intractable as they always have been.

So, is this the time to bring out local government reorganisation again? Regardless of what I think, it’s clear that Jim McMahon MP, Minister of State (Minister for Local Government and English Devolution) has local government reorganisation on his agenda[2].

From what I hear, existing county Boroughs and Districts are going to become history. Small unitary authorities had better watch out too. Council leaders are being asked to find ways of building scale. That means no English local authority smaller than a population of half a million.

Will this turn around performance? Economies of scale may have some benefits. The problem that strikes me is the notion that “local”, meaning a natural community, is generally much less than 500,000 people. Especially in rural areas.

The Government White Paper that sets out these plans is called “English Devolution”. An interesting use of that nice word. In the circumstances that the new Minister imagines it could be that local government becomes more and more an implementing arm of central government. No more or less. To some extent this is already the cases, but localism and community are not completely extinguished. The tension continues to be one between governance being top-down or bottom-up driven.

The Labour government might imagine this “silver bullet” will harmonise, sanitise and make local services run like clockwork. I wonder if it will.

[1] https://inews.co.uk/news/messy-muddled-starmer-struggles-worse-rebellion-3444812

[2] https://www.instituteforgovernment.org.uk/event/government-2025-conference

Navigating AI

In my travels, I’ve seen derelict towns. The reason they were built has passed into history. A frantic fever swept through an area like an unstoppable storm. It might have been precious metals that excited the original residents. Gold rushes feed the desire to get rich quick. It doesn’t take the greatest minds in the world to figure out why gold fever will always have an appeal. The onrush of people joining the throng keeps going until opportunities have collapsed.

Breakthrough technologies, or their potential, can be just like a gold rush. There’s no doubt that 2025 will be a year of such phenomena. Top of the list is Artificial Intelligence AI[1]. If you want to be a dedicated follower of fashion[2], then AI is the way to go. Thank you, The Kinks. Your lyrics are as apt now as they were in the 1960s.

Predications range from the best thing since sliced bread to the end of humanity. Somewhere along that line is realism. Trouble is that no one really likes realism. It can be somewhat dull.

I’ve always viewed advancing technologies as a two-edged sword. On the one hand there are incredible benefits to be reaped. On the other, costs can be relatively unpredictable and devastating. I say “relatively unpredictable” as there’s always the advantage of knowledge with hindsight. Lots of commentators love to practice that one.

In desperation to gain the economic benefits of AI the current utterances of the UK Government may seem a little unwise[3]. Certainly, there’s nothing wrong with wishing to build a significant domestic capacity in this area of technology. What’s concerning is to always talk of legislation and regulation as a burden. Particularly when such language comes from lawmakers.

The compulsion to free-up opportunity for a western style gold rush like scenario has a downside. That is all too evident in the historic records. Ministers in this new Labour Government remind me of Mr. Gove’s past mantra – we’ve had enough of experts. Rational dialogue gets sidelined.

Even now we have seen generative search engines produce summaries of complex information sources that are riddled with holes. This experience reminds me of past work cleaning up aviation accident databases. Removing all those 2-engined Boeing 747s and airport IDs with one letter transposed. Data by its nature isn’t always correct. The old saying, to err is human, is always applicable.

The concerning aspect of AI output is its believability. If error rates are very low, then we stop questioning results. It gets taken for granted that an answer to a question will be good and true. There we have a potential problem. What next. AI to check AI? Machines to check machines? There lies a deep rabbit hole.

[1] https://www.technologyreview.com/2025/01/08/1109188/whats-next-for-ai-in-2025/

[2] https://youtu.be/stMf0S3xth0

[3] https://www.theguardian.com/technology/2025/jan/11/uk-can-be-ai-sweet-spot-starmers-tech-minister-on-regulation-musk-and-free-speech

Political Challenges: A 2025 Outlook

British Prime Minister Keir Starmer’s dive to an incredibly low level of popularity is notable. In fact, it’s a bit more than that. It’s record breaking.

A commonly held view seems to be that we elected the Labour Party government in July as the least bad choice. The Tory years had got so utterly terrible that even their devoted supporters bulked at giving them yet another term in office. Combine that with an inexplicable inability to frame a simple story about what Labour stands for and the problem is less surprising.

Keir Starmer is no fool. He’s an intelligent and experienced politician. He’s taken the hard knocks. He’s climbed the slippery pole. But, and there’s a but, something doesn’t jell.

I my humble opinion, the ingredients missing or in excess are categorised like so.

Charisma. It’s so much easier if leader has that indefinable quality. I remember this of Paddy Ashdown. One: you know when they are in the room. No question. People look. Two: they never lack inspiring ideas. Even if they could be off-the-wall. Three: what they say makes an impact.

Eloquence: That ability to coin words and phrases that resonate with lots of everyday people (not just supporters). To speak persuasively, in a way that says we are going on a great journey together. Scripted or not, fluency that appears natural and unforced. Lightness of touch.

Managerialism: Everyone expects confident, capable, competent governance (although we rarely get it). However, we don’t want to see it live on the mainstage, all the time. That phrase about political policy and making sausages is a good one. Lots of people like sausages but few like to know how they are made.

Now, the question I have is: are the “local difficulties” of present fixable?

2025 is going to be a roller coaster of a year. We have washed away any residual millennial mysticism that hit the world in 2000. A whole generation has slipped by. Babies born as London’s Millennium dome was both viewed both with amazement and distain, have jobs that didn’t exist as the fireworks went off.

The so called “smart” phone, and tablets have carved a way into our lives that’s deep and unmovable. Even if the next leap in technology will surely leave them as obsolete.

So, what’s the narrative for 2025 – 2050? Will we sink into the quicksand of nostalgia or herald a new era full of promise? I don’t know. I’ll just keep topping up my glass to ensure it’s half full.