The Preston Model's Precarious Future as Reform Threatens Takeover
In the small hilltop city of Preston, Lancashire, a radical economic experiment known as the Preston model faces an existential threat with local elections looming. Council leader Matthew Brown has issued a stark warning: "I think very little of it would survive" if Reform UK captures control of the council. This innovative approach to local governance, which has redirected spending toward local businesses and promoted cooperative enterprises, could unravel completely under new leadership.
A Labour Council's Radical Experiment
For over a decade, Preston has served as a testing ground for leftwing economic policies that seek to keep wealth and power within the local area. The council's approach includes:
- Redirecting municipal spending toward local companies
- Persuading businesses to pay higher wages and promote diversity
- Collaborating closely with public sector institutions
- Encouraging cooperatives and collective enterprises
The model has transformed this former industrial city, with independent businesses flourishing and public spaces better maintained than in many comparable areas. A 2023 Lancet study found that after the council implemented its policies, antidepressant prescriptions and depression prevalence decreased in Preston, while residents experienced a 9% improvement in life satisfaction and 11% increase in median wages compared to expected trends in similar areas.
Political Vulnerability Despite Success
Despite these measurable successes, the Preston model remains politically vulnerable. Labour's national polling difficulties have created a precarious situation for even the most innovative local councils. In 2018, during Jeremy Corbyn's leadership, Labour held 35 of Preston's 57 council seats. Today, the party holds only 26 out of 48 seats, maintaining a slim majority of just four.
The upcoming May elections could see Labour lose seats to multiple parties including the Liberal Democrats, Reform, Conservatives, or Greens. The particular threat from Reform UK is significant, given that the party took Lancashire county council from Labour just last year.
Rush to Secure Legacy
Facing potential electoral defeat, the council has accelerated efforts to embed its policies before the elections. One key initiative is funding assistance for North West Mutual, a new ethical bank scheduled to launch in 2027. This institution plans to provide accounts and loans specifically to individuals and businesses in the region while maintaining a more equal pay structure than traditional banks.
This localist approach, influenced by Germany's regional banking model, represents a direct challenge to global capitalism's failures in places like Preston. As rightwing populism surges in areas with dying high streets and disappearing local pride, the Preston model offers an alternative path toward community revitalization.
National Labour's Ambivalent Relationship
The Preston experiment has received minimal attention from Labour nationally since the end of Corbyn's leadership. Under Keir Starmer, the party has shown little interest in promising policies from the left, despite their demonstrated success in Preston. This reflects a historical pattern within Labour, where the central hierarchy has often been suspicious of bold initiatives emerging from local government.
During the 1980s, when Margaret Thatcher dominated national politics, Labour remained cool toward the popular, radical Greater London Council. Interestingly, Valerie Wise, who chaired the GLC's feminist women's committee, now serves in Brown's administration in Preston. "I only came on board because it's radical," she explained.
Philosophical About Potential End
Council leader Matthew Brown maintains a philosophical perspective about the potential end of his administration's work. "I'm quite philosophical about this coming to an end," he acknowledged, noting that eight years leading a reforming council is both unusual and exhausting.
Yet Brown quickly returns to his characteristic optimism, emphasizing that much work remains and declaring, "We're fighting to win." With the electorate increasingly fragmented, surprising outcomes remain possible in May's elections. Even if Labour loses control, elements of the Preston model might persist through grassroots community organizations or influence future policies in unexpected ways.
The Preston experience demonstrates both the limitations and surprising possibilities of local government. As cities continue to evolve and resist conservative attempts to maintain the status quo, innovative approaches like the Preston model may prove more resilient than their political sponsors. The coming elections will determine whether this radical experiment continues under council leadership or transitions to new forms of community organization.
