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America
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6 min read

The significance of legacy and what it can really stir

Concluding an American journey in the footsteps of his hero, Ian Hamlin ponders how legacy arises.

Ian Hamlin has been the minister of a Baptist church since 1994. He previously worked in financial services.

Martin Luther King reaches from the pulpit of a church while he preaches.
MLK preaching at Riverside Church, New York.
The Gotham Center for New York History.

Travelling around recently, considering the impact of the US Civil Rights Movement as part of my sabbatical trip across four States, I’ve been struck by the immediacy of it.  It really doesn’t seem very far away, or long ago.  Part of that, of course, is its ongoing resonance, but there are also some personal factors. Martin Luther King was just four days younger than my mother, who’s still alive, and I was born in the week leading up to ‘Bloody Sunday’, and the Selma – Montgomery march.  Although not strictly true, this feels like a history of my own time.   

That sense has, I think, been amplified by some other recent significant dates.  Earlier this summer was the sixtieth anniversary of the ‘I Have a Dream’ speech in Washington, the subway in Atlanta is still awash with anniversary posters.  Beyond that, of course, just days later, we remembered a similar six decades since the Klu Klux Klan’s bombing of the 16th Street Baptist Church in Birmingham, Alabama, which killed; Addie Mae Collins, Denise McNair, Carole Robertson and Cynthia Wesley, three 14-year-olds, and one 11-year-old girl.  A commemorative service was held in the church, just weeks ago.   

History had changed, its arc had indeed bent towards justice.  Yet such gestures, profound though they may be, rarely tell the whole story. 

Less dramatically, yet still poignantly, 2nd November saw the 40th anniversary of Ronald Reagan signing the bill into law, which created Martin Luther King Day as a national holiday in America, on the 3rd Monday of January each year.  

Now very much part of the fabric of national life, the holiday represents, as much as anything, the formal adoption of Dr King as a fully-fledged American hero, part of the great story of the Republic, and the ultimate acceptance of this black man by his country.  

Symbols like that matter, such a legacy is significant indeed.  It was on Martin Luther King Day 2013, that Barak Obama was inaugurated as President of the United States, for the second time, a black man, who spoke, that day, of a dream fulfilled, as he made his oath of office on King’s bible.  History had changed, its arc had indeed bent towards justice.  Yet such gestures, profound though they may be, rarely tell the whole story. 

Should we be satisfied with the unity that comes from an altogether flatter story, even if it tends towards ‘Disneyfication’, or ought we insist upon messy truth... ?

The holiday wasn’t celebrated until January 1986, Reagan himself wasn’t particularly keen on it, it passed only after something of a battle in Congress where, famously, Senator Jesse Helms led a 16-day filibuster, where he claimed King was a subversive radical, dangerous traitor and communist agitator, And, it wasn’t until 2000 that it was acknowledged in all 50 states.  

Such details, if known and remembered, serve to confuse the notion of legacy, to muddy the waters and call into question its real heart. Because the easiest histories are the most straightforward, travelling in a straight line from A to B, from problem to solution, tragedy to victory, despair to hope. They mould into the very fabric of the Nation that the key idea, that the good guys won in the end, like they always do, and the Republic sails inexorably on towards even brighter lights to come.   

The question of legacy, when it comes to Dr King, as with many others, is vital for sure, but far more complex than that, and contested too.  Should we be satisfied with the unity that comes from an altogether flatter story, even if it tends towards ‘Disneyfication’, or ought we insist upon messy truth, with its inherent conflict and challenge, recalled back then, and still present now?   

Martin Luther King was far from a hero at the time of his death, quite the contrary, he was well on his way to becoming a pariah. No longer welcome in the Whitehouse, he had fallen foul of Lyndon Johnson over Vietnam, and his consistent enemies in the FBI now seemed to hold sway there.  His relative ‘successes’ with the civil rights act of 1964 and the voting rights act of 1965, genuine and monumental as they were, had only served to demonstrate that a lot of the true causes of segregation, north and south, were less amenable to easy legislative removal, and were actually rooted in economics.  As he turned his eye increasingly towards housing in particular and poverty in general, as well as what he called ‘the war question’, he largely lost his platform.        

On 4th April 1967, at Riverside Church, New York, he gave what many consider to be his greatest and most eloquent speech ever, but few recall it.  Distilling his Christian calling, his civil rights history and sense of present-day necessity, ‘the fierce urgency of now’ as he described it, he began by noting, “surely this is the first time in our nation's history that a significant number of its religious leaders have chosen to move beyond the prophesying of smooth patriotism to the high grounds of a firm dissent …” He went on, after giving a detailed dissection of American history and policy in Asia, to declare that “The war in Vietnam is but a symptom of a far deeper malady within the American spirit.”  Before continuing to list out what he called ‘a true revolution of values.’  None of this was designed to win him an appreciative audience in an increasingly materialistic America, and it didn’t. King’s approval ratings, according to polls, were firmly in the negative, and falling. The idea then, that someday soon, the whole nation would come together annually to honour him, was laughable.   

Just occasionally though, even in the killing, something is stirred that brings out a legacy more powerful than could ever have been imagined, even more so than national commemorative days.   

Of course, death changes things, particularly, premature, violent death. It shocks and inevitably provokes both sympathy, and reassessment. It has us wonder, whether we should’ve listened more carefully, when we had the chance.  On this site a few days ago, speaking of the current situation in the Middle East, Graham Tomlin longed for leaders of old who were prepared to break the cycle of violence in the name of peace.  My mind turned, inevitably, to Martin Luther King, saying that ‘We will meet your physical force with soul force’.  Adding, ‘Do what you will, threaten our children, and we will still love you …we will wear you down by our capacity to suffer, in winning the victory we will not only win our freedom, we will so appeal to your heart and your conscience, that we will win you in the process.”   

Such talk rarely, gets you national holidays, named in your honour. It more often gets you killed.  Just occasionally though, even in the killing, something is stirred that brings out a legacy more powerful than could ever have been imagined, even more so than national commemorative days.   

Legacy speaks of the power of passing on, in the words of Jay Z, turned into a popular pin badge, ‘Rosa sat, so Martin could walk, so Barak could run, so we might fly …’  These cascading consequences of commitment, truthfully sketched out here, and which could’ve gone back further, at least to Maisie Till’s courage in sharing the death of her son, which was said to have inspired Rosa Parks. And, certainly they could also be projected forward. To a multitude of actions, large and small, destined to add to that ongoing legacy of justice. These are, in many instances', the continually ‘rolling waters’ of prophetic imagination that King loved to picture.  

In his mind, there is no doubt they find their ultimate source and inspiration in a day set aside to remember, not his though, but Easter Day, when resurrection hope forever shook the world. If, on the 3rd Monday of January each year, some thought might be given to that truth, he could be forgiven a quiet, knowing smile.  

Explainer
Comment
Economics
6 min read

How to tax ethically to avoid a two-tier society

From income tax to property and inheritance taxes, which is fairer?
a pile of coins.
Sarah Agnew on Unsplash.

Few doubt that Chancellor Rachel Reeves will be putting up taxes when she presents her first Budget on October 30th.  

The political narrative of recent months has very much been of an alleged fiscal “black hole” of £22bn - or is it £40bn? - that somehow needs to be filled. 

While the size of the shortfall and the identity of those responsible are both hotly disputed, and despite a lack of detail from the Treasury about what it actually consists of, the questions now being asked are not whether taxes will rise but which ones and by how much.  

Months of speculation have focused on employer National Insurance, capital gains tax and freezing income tax thresholds as areas that Reeves could look to for the additional revenue. 

But beyond the immediate issue of raising enough revenue to make good any shortfall, lies a deeper, trickier question about the way in which taxes should be levied for the good of society. If a government is to force people and companies to hand over their money, then what is the most ethical way to do this? Who should pay and who shouldn’t? How can tax be used to reduce inequality and build a better society? 

Answering such questions is, of course, far from straightforward, because there are plenty of other factors in play. 

For instance, some taxes are surely levied because they are simpler to collect. Take income tax - an unpopular measure introduced in 1799, then abolished before being reintroduced as a supposed temporary measure. It could certainly be argued that taxing people’s income - their attempt to get on in life and improve their lot in life - is less “fair” than taxing wealth that has been accumulated by someone’s ancestors years ago. Working hard and earning income is often surely a way of breaking down class divisions. But income tax - contributing 28 per cent of UK government tax take in 2023-24, according to The Institute for Fiscal Studies - has the advantage that it is relatively difficult for the average worker at a UK company to avoid it. Ease of levying it is surely a driver.  

Equally, some taxes that might seem “fairer” have deliberately not been levied because of the difficulty in collecting them, and/or because to try to do so could be counterproductive.  

A wealth tax, for instance, would be “economically damaging”, according to one of the UK’s highest profile tax experts Dan Neidle. 

Or take the politically contentious issue of non-doms, a colonial era tax break allowing rich foreigners to avoid UK tax on overseas income. It would be fairer, the argument goes, to tax them on the whole of their income. If they are going to be resident in the UK, then surely they should be taxed like a UK resident whose home is here? 

Former Chancellor Jeremy Hunt abolished this regime earlier this year but left a number of concessions that the incoming Labour government pledged to abolish. But non-doms are tax-sensitive and highly mobile, and a number of jurisdictions compete to attract them. Many are entrepreneurs and wealth creators that many countries need. Reports have suggested a clampdown could raise no money or even cost money and could drive people away. 

“Housing is being treated as a commodity. The problem is, it’s not; it’s not just an asset. It has utility value and a communal and quasi-spiritual value, enabling people to feel rooted.” 

Paul Williams

So, what can be done to use tax in an ethical way? Paul Williams, research professor of marketplace theology and leadership at Regent College, Vancouver and chief executive of the Bible Society, takes a Biblical perspective that he believes offers some solutions. 

He takes as his starting point a story from the gospel of Matthew, where Jesus is asked whether people should pay taxes to Caesar. The question is a trap - either Jesus gives his backing to taxation that is highly unpopular with the Jewish people, or he rejects the tax in an act of rebellion against the Romans. 

Jesus replies that they should “pay to the Emperor what belongs to the Emperor, and pay to God what belongs to God.” We are to pay our taxes to those in authority, but we are also to honour God. 

While Williams believes that too much emphasis is placed on the Budget and political parties’ promises to be able to fix everything, and that a more radical rethink of our economy is required, he also sees room for positive tweaks to the current system. 

One key area is the property market, the manifestation of so much inequality in society, with some people owning multiple houses while others cannot afford to buy one. 

Williams argues that the ready availability of debt finance has allowed those who already hold assets to easily acquire properties, turning real estate into an investable asset class to the detriment of many of the poorer in society. 

“The reason there’s so many homeless people and empty houses is due to debt finance. It makes it easy for a relatively small proportion of the population to acquire a large percentage of the assets. 

“The system has allowed a structure in which a small advantage in the beginning can lead to big, big differences over time.” 

Williams highlights parts of Devon and Cornwall that have been, he says, “completely ruined” by wealthy people from elsewhere buying second homes, leaving property “out of reach of anyone who lives and works there”. 

Nevertheless, he believes taxation can be used in this area to help level the playing field. 

He proposes a “pretty punitive” marginal rate of tax on ownership of more than one home. (Stamp duty only partly does the job and is a blunt instrument also affecting people moving homes, thereby makes mobility expensive). 

“You want to disincentivise the way the housing market is used for speculation,” he said. 

“Housing is being treated as a commodity. The problem is, it’s not; it’s not just an asset. It has utility value and a communal and quasi-spiritual value, enabling people to feel rooted.” 

Buy-to-lets, meanwhile, are better than having empty second or third homes, but “wouldn’t it be better if occupiers could buy that house?” he adds. 

Meanwhile, research by the Financial Times recently found a huge wealth gap between the average millennial and the top 10 per cent of millennials, who are benefiting from family wealth to accumulate substantial housing assets.  

So, would increasing the rate of inheritance tax - one of the most hated of taxes - and/or lowering the threshold also help reduce some of this inequality? After all, how is it fair that one child in the UK is born to inherit large property wealth while another is born to inherit little or nothing? Or, even worse, that second child will only ever be able to afford to be the tenant of the first, paying them rent for the rest of their lives? 

Williams is not a fan of inheritance tax per se, arguing that it is “not part of the package” in a Biblical image of a flourishing economy.  

But he adds an important caveat: “the playing field is not level. 

“There might be circumstances to impose a one-off tax on the very wealthy… if you want a transition to a more equitable society.” 

Such steps are not easy to take. It is, he admits, probably “career suicide” for a politician to adopt such views. But if we are to take steps towards a fairer way of life, and avoid a two-tier society in decades to come, then maybe the conversation needs to shift this way. Perhaps the Budget could be the time to start.