Davos all for frugality - if it's painless

To the untrained observer Davos man and Davos woman might look the same as ever: well-fitting clothes, mobile phone clamped to ear, iPad affixed to finger, a confident "master-of-the-universe" gleam in the eye.

But something has changed in the World Economic Forum delegates this year. A powerful sense of social responsibility has been kindled in their hearts. The message of the global Occupy protesters, and all those jibes about the wealth of the "1 per cent" have not, contrary to popular assumption, been unnoticed.

Capitalism is about successful adaptation, and these delegates have adapted to the new environment. Two themes have run through the first two days of this year's summit: frugality and philanthropy.

First the frugality. Happily, the British have been world leaders in this area. To bang the drum for the London Olympics, the Diamond Jubilee and the ailing UK economy, the British delegation held a tea party. The event was described by the mayor's office as "frugal and efficient". But it did have British model Lily Cole there to add some glamour.

And it's not just Governments that are attuned to the need to cut out the excess at a time when global unemployment is heaped as high as this year's record snowfall in Davos.

An Indian billionaire (one of the estimated 70 attending this year) said he hoped this year's meeting would not be "just about glamour and people having a big party". The after-conference soirees, so far, are said to be more sober than in previous years.

Philanthropy has been big, too. Ukrainian steel pipe billionaire Victor Pinchuk held his annual philanthropy round table this week, chaired by Chelsea Clinton. Sadly, Tony Blair apparently couldn't make it because of commitments in the Middle East. Irish telecoms magnate Denis O'Brien has tried to encourage investment in Haiti: "Corporations need to engage in giving a chunk of their profits to social issues."

Bill Gates led by example, announcing a $750 million contribution to a global fund to eradicate malaria.

Britain's International Development Secretary, Andrew Mitchell, asked if he thought the global rich were dipping their hands into their pockets deeply enough, said: "They're doing a lot, but I want them to do more. That's why I'm here."

But there can be contradictions when it comes to philanthropy. Daniel Och, founder of the New York hedge fund Och-Ziff, told me charitable giving was important to him and his family. But the hedge funds are reported to be playing hardball over the Greek debt write-down, something that, some say, is serving to extend the misery of the Greek population.

There are blind spots too. How about requiring the wealthy to pay more in tax, rather than simply urging them to make donations to worthy causes? "If you change the law we will pay the taxes," sniffed David Rubenstein, of private equity firm Carlyle Partners.

Self-interest has not been entirely extinguished then. And it is notable that, while there has been a good deal of talk about the dangers of growing inequality, there has been much less discussion about what to do about it.

And frugality? Well, it's all relative here in the Swiss Alps. CNN estimated the average cost per delegate is $40,000; registration $20,000, flights $6000, transfers $4000, food $2000, hotel $3000. And there's lots of conspicuous wealth on show.

The helicopter hiring stall was doing decent business. "How much to fly to Zurich airport?" I asked. "Between $5000 and $9000" replied the lady. "Why the difference?" "It depends whether you want a single or a double engine." Perhaps the Davos billionaires ought to charter a single and give the saving to charity. Frugality and philanthropy combined in perfect Davos-style.

- Independent