What would YOU ask David Cameron in Public Prime Minister’s Questions?

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Mile-wide: Mr Miliband explained his idea to bridge the gulf between the public and the Prime Minister to Andrew Marr.

Ed Miliband engaged in a particularly compelling piece of kite-flying today (July 27) – he put out the idea that the public should have their own version of Prime Minister’s Questions.

Speaking to Andrew Marr, he said such an event would “bridge the ‘mile-wide’ gulf between what people want and what they get from Prime Minister’s Questions”, which has been vilified in recent years for uncivilised displays of tribal hostility between political parties and their leaders (David Cameron being the worst offender) and nicknamed ‘Wednesday Shouty Time’.

“I think what we need is a public question time where regularly the prime minister submits himself or herself to questioning from members of the public in the Palace of Westminster on Wednesdays,” said Mr Miliband.

“At the moment there are a few inches of glass that separates the public in the gallery from the House of Commons but there is a gulf a mile wide between the kind of politics people want and what Prime Minister’s Questions offers.”

What would you ask David Cameron?

Would you demand a straight answer to the question that has dogged the Department for Work and Pensions for almost three years, now – “How many people are your ‘welfare reform’ policies responsible for killing?”

Would you ask him why his government, which came into office claiming it would be the most “transparent” administration ever, has progressively denied more and more important information to the public?

Would you ask him whether he thinks it is right for a Prime Minister to knowingly attempt to mislead the public, as he himself has done repeatedly over the privatisation of the National Health Service, the benefit cap, the bedroom tax, food banks, fracking…? The list is as long as you want to make it.

What about his policies on austerity? Would you ask him why his government of millionaires insists on inflicting deprivation on the poor when the only economic policy that has worked involved investment in the system, rather than taking money away?

His government’s part-privatisation of the Royal Mail was a total cack-handed disaster that has cost the nation £1 billion and put our mail in the hands of hedge funds. Would you ask him why he is so doggedly determined to stick to privatisation policies that push up prices and diminish quality of service. Isn’t it time some of these private companies were re-nationalised – the energy firms being prime examples?

Would you want to know why his government has passed so many laws to restrict our freedoms – of speech, of association, of access to justice – and why it intends to pass more, ending the government’s acknowledgement that we have internationally-agreed human rights and restricting us to a ‘Bill of Rights’ dictated by his government, and tying us to restrictive lowest-common-denominator employment conditions laid down according to the Transatlantic Trade and Investment Partnership, a grubby little deal that the EU and USA were trying to sign in secret until the whistle was blown on it?

Would you ask him something else?

Or do you think this is a bad idea?

What do you think?

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Do YOU feel as prosperous as you were before the crisis?

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austerity, BBC, benefit, borrowing, bubble, David Cameron, dead, death, deficit, die, economy, Ed Balls, EU, Europe, exchange rate, expensive, export, food bank, G7, GDP, government, groceries, grocery, Gross Domestic Product, grow, Guardian, help to buy, housing, Huffington Post, Iain Duncan Smith, IMF, inflation, International Monetary Fund, Investment Partnership, John Mills, Keith Joseph, Lynton Crosby, Mandatory Work Activity, manufacture, manufacturing, Margaret Thatcher, national Statistics, neoliberal, Nicholas Ridley, office, ONS, peak, pre-crisis, prosper, purge, re-balance, sanction, shopping, Transatlantic Trade, TTIP, unemployment, union, Universal Credit, Workfare

[Image: David Symonds for The Guardian, in February this year.]

Britain has returned to prosperity, with the economy finally nudging beyond its pre-crisis peak, according to official figures.

Well, that’s a relief, isn’t it? Next time you’re in the supermarket looking for bargains or mark-downs because you can’t afford the kind of groceries you had in 2008, you can at least console yourself that we’re all doing better than we were back then.

The hundreds of thousands of poor souls who have to scrape by on handouts from food banks will, no doubt, be bolstered by the knowledge that Britain is back on its feet.

And the relatives of those who did not survive Iain Duncan Smith’s brutal purge of benefit claimants can be comforted by the thought that they did not die in vain.

Right?

NO! Of course not! Gross domestic product might be up 3.1 per cent on last year but it’s got nothing to do with most of the population! In real terms, you’re £1,600 per year worse-off!

The Conservatives who have been running the economy since 2010 have re-balanced it, just as they said they would – but they lied about the way it would be re-balanced and as a result the money is going to the people who least deserve it; the super-rich and the bankers who caused the crash in the first place.

You can be sure that the mainstream media won’t be telling you that, though.

Even some of the figures they are prepare to use are enough to cast doubt on the whole process. The UK economy is forecast to be the fastest-growing among the G7 developed nations according to the IMF (as reported by the BBC) – but our export growth since 2010 puts us below all but one of the other G7 nations, according to Ed Balls in The Guardian.

And it is exports that should be fuelling the economy, according to JML chairman John Mills in the Huffington Post. He reckons the government needs to invest in manufacturing and achieve competitive exchange rates in order to improve our export ability.

“Since most international trade is in goods and not in services, once the proportion of the economy devoted to producing internationally tradable goods drops below about 15 per cent, it becomes more and more difficult to combine a reasonable rate of growth and full employment with a sustainable balance of payments position,” he writes.

“In the UK, the proportion of GDP coming from manufacturing is now barely above 10 per cent. Hardly surprising then that we have not had a foreign trade surplus balance since 1982 – over thirty years ago – while our share of world trade which was 10.7 per cent in 1950 had fallen by 2012 to no more than 2.6 per cent.”

All of this seems to be good business sense. It also runs contrary to successive governments’ economic policies for the past 35 years, ever since the neoliberal government of Margaret Thatcher took over in 1979.

As this blog has explained, Thatcher and her buddies Nicholas Ridley and Keith Joseph were determined to undermine the confidence then enjoyed by the people who actually worked for a living, because it was harming the ability of the idle rich – shareholders, bosses… bankers – to increase their own undeserved profits; improvements in working-class living standards were holding back their greed.

In order to hammer the workers back into the Stone Age, they deliberately destroyed the UK’s manufacturing and exporting capability and blamed it on the unions.

That is why we have had a foreign trade deficit since 1982. That is why our share of world trade is less than one-third of what it was in 1950 (under a Labour government, notice). That is why unemployment has rocketed, even though the true level goes unrecognised as governments have rigged the figures to suit themselves.

(The current wheeze has the government failing to count as unemployed anyone on Universal Credit, anyone on Workfare/Mandatory Work Activity and anyone who whose benefit has been sanctioned – among many other groups – for example.)

You may wish to argue that the economy is fine – after all, that’s what everybody is saying, including the Office for National Statistics.

Not according to Mr Mills: “The current improvement in our economic performance, based on buttressing consumer confidence by boosting asset values fuelled by yet more borrowing, is all to unlikely to last.”

(He means the housing bubble created by George Osborne’s ‘Help to Buy’ scheme will burst soon, and then the economy will be right up the creek because the whole edifice is based on more borrowing at a time when Osborne has been claiming he is paying down the deficit.)

Ed Balls has got the right idea – at least, on the face of it. In his Guardian article he states: “We are not going to deliver a balanced, investment-led recovery that benefits all working people with the same old Tory economics,” and he’s right.

“Hoping tax cuts at the very top will trickle down, a race to the bottom on wages, Treasury opposition to a proper industrial strategy, and flirting with exit from the European Union cannot be the right prescription for Britain.” Right again – although our contract with Europe must be renegotiated and the Transatlantic Trade and Investment Partnership agreement would be a disaster for the UK if we signed it.

But none of that affects you, does it? It’s all too far away, controlled by people we’ve never met. That’s why Balls focuses on what a Labour government would do for ordinary people: “expanding free childcare, introducing a lower 10p starting rate of tax, raising the minimum wage and ending the exploitative use of zero-hours contracts. We need to create more good jobs and ensure young people have the skills they need to succeed.”

And how do the people respond to these workmanlike proposals?

“You intend to continue the Tories’ destructive ‘austerity’ policies.”

“The economy isn’t fixed but you broke it.”

There was one comment suggesting that all the main parties are the same now, which – it has been suggested – was what Lynton Crosby told David Cameron to spread if he wanted to win the next election.

Very few of the comments under the Guardian piece have anything to do with what Balls actually wrote; they harp on about New Labour’s record (erroneously), they conflate Labour’s vow not to increase borrowing with an imaginary plan to continue Tory austerity policies… in fact they do all they can to discredit him.

Not because his information is wrong but because they have heard rumours about him that have put them off.

It’s as if people don’t want their situation to improve.

Until we can address that problem – which is one of perception – we’ll keep going around in circles while the exploiters laugh.

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Labour’s spending plan could humiliate the Tories

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bond, borrow, Conservative, debt, deficit, economic, economy, growth, increase, interest rate, Labour, loan, mortgage, neoliberal, plan, public, spending, stimulate, taxation, Tories, Tory, Treasury

“There is an alternative” – and it doesn’t have to cost more than we’re spending now.

It seems some people are upset that Labour has announced it does not intend to increase public spending, if elected into office after next year’s general election.

This is a perfectly reasonable reaction, depending on the amount of information available to the person holding that opinion.

In other words, if you don’t know why Labour has made this decision, it is perfectly reasonable to assume that the former Party of The Left has turned Tory-lite.

That’s why we’re hearing that Labour will simply continue Tory policies; that the main three parties are “all in it together” (to overuse a hackneyed and devalued phrase).

But evidence is available to suggest that this is a big mistake.

To finance extra spending, Labour would have to borrow more money – but this would push up interest rates and create a potential disaster for people with mortgages and loans to pay off.

According to Modern Monetary Theory – an economic method that seems to have earned credence with all the main parties – government borrowing is not undertaken to finance its spending, but to maintain a target interest rate.

In times of recession, businesses borrow more and households find it hard to save money for a rainy day (as the saying goes). We have spent most of the last decade either in recession or in the slowest recovery in British history and the private sector simply doesn’t have the spare cash to pay higher interest demanded on loans in the wake of higher government borrowing.

Labour wants to safeguard those businesses; Labour wants to safeguard your homes.

The alternative would cost any government much more in the long run.

It’s as simple as that.

So Labour has set a spending target that is the same as the Conservatives’, ensuring that interest rates can be kept under control.

This doesn’t mean it will continue with Conservative-led spending plans. That would be a betrayal of Labour’s core voters.

Instead, it seems more likely that Labour will seek to stimulate the economy by taking funding away from wasteful areas – this blog would certainly wish to see less public money given to private contractors who pocket half of it as profit – and investing it in economic growth.

With more money flowing through the system and coming back to the Treasury in taxation, it will then become easier to relax restrictions on interest rates, which will help the government with its debt issue (this has to do with the way governments borrow money, issuing bonds at fixed rates of interest, and is a story for another day).

If Labour’s plan works, it will mean humiliation for the Conservatives and the Liberal Democrats, as Labour will have spent exactly the same amount doing it as those other parties have been spending for the previous five years – to little effect.

Do not misunderstand; it is perfectly possible that Labour’s spending plans could be entirely wrong-headed! Labour spent most of the last 20 years experimenting disastrously with neoliberal thinking that, continued and concentrated by the Coalition government, has led us to the current pretty pass.

In this case, it seems the Devil really is in the detail.

But the overarching strategy is sound and Labour should not be criticised for it.

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History is made as Vox Political agrees with David Cameron

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avoid, Bernard Madoff, corporate, David Cameron, dodge, evade, evasion, Glaxo, haven, Jean-Claude Juncker, Luxembourg, Mike Sivier, mikesivier, Pearson, ponzi scheme, Private Eye, tax, Tesco, Vodafone, Vox Political

 

Jean-Claude Juncker, tax avoidance mastermind and now President of the European Commission.

Believe it or not, David Cameron was right to oppose the appointment of Jean-Claude Juncker as President of the European Commission.

If Private Eye is to be believed, Juncker has a record of wreaking fiscal havoc across the continent, thanks to his behaviour embracing corporate tax dodgers as finance minister and prime minister of Luxembourg.

Anti-EU readers will be interested to note that he was chair of the EU’s council of economic and financial affairs, in which role he played a key part in shaping the economic and monetary aspects of the 1992 Maastricht Treaty.

Eye 1368 (June 13-26) states that Luxembourg has turned itself into a tax haven, “but, crucially, one at the heart of Europe entitled to tax-free flows of money in and out of its borders in a way traditional sunny island havens… could only dream of.

“The Grand Duchy became the member of the economic club that pilfered from the club’s funds.”

Let’s look at examples: “An especially fruitful line has been multi-billion-pound corporate tax avoidance at its neighbours’ expense. In the most infamous case, Vodafone still routes more than £50bn worth of loans through Luxembourg for no purpose other than taking advantage of tax laws and administrative rulings carefully tailored by Juncker’s governments to facilitate large-scale tax avoidance… The company is sitting on a £17.4 billion “tax asset”, ie reduction in future tax bills around the world, courtesy of [Mr] Juncker.

“Hundreds of other multinationals, including the UK’s Glaxo, Tesco and Financial Times publisher Pearson, use Luxembourg in similar ways at enormous cost to Europe’s economies.”

And the buck doesn’t stop rolling with tax, either: “Juncker pursued an aggressive regime of financial deregulation, especially in the area of investment fund administration. So it was no surprise that when Bernard Madoff’s ponzi scheme collapsed in 2008, a large chunk of the money had come through loosely-regulated Luxembourg funds set up by Swiss banks.”

The man responsible for the above is now in charge of the European Union. David Cameron was right to oppose his appointment.

Be afraid.

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Why can’t Labour support working people AND be pro-business?

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Blairite, business, capitalism, co-operative, Ed Miliband, employee owner, EU, european union, John Lewis, Labour, living wage, Lord, Mandelson, Michael Meacher, Mike Sivier, mikesivier, militant tendency, minimum wage, Myners, Neil Kinnock, people, Peter, politics, predatory, pro, referendum, Vox Political, work

Know your enemy: If you want to know why Labour was so soft on business between 1997 and 2010, here’s your answer – Peter (now Lord) Mandelson was in charge of Trade, Industry, and Business at various times throughout those Parliaments.

Michael Meacher has missed a trick in his recent blog article about Lords Myners and Mandelson – who say they want Labour to be pro-business.

He correctly identifies these two peers – one of whom (Mandelson) is a Blairite Labour Party member and therefore might as well be a Tory, while the other (Myners) is not aligned to a political party and therefore might as well be a Tory – as being very rich and refers to them sarcastically as “those stalwart supporters of working people”, meaning the exact opposite.

He correctly states that they are wrong to claim that Ed Miliband’s attack on “predatory capitalism” is harmful to Labour’s election prospects, pointing to poll results showing that the next election winner needs to be tough on big business.

And he correctly – yes, Ukippers, correctly – points out that businesspeople know an in-out referendum on membership of the European Union could cause huge harm to their firms if the vote goes in favour of leaving.

These are all good points, but Mr Meacher could have gone much further.

Labour should be pushing its policies as better for business than anything the Conservatives have to offer – because they are.

The party wants more firms and public sector organisations to pay the living wage. As this blog has stated time and time again, this can only help British industry as it would show employees that their contribution is valued, encouraging them to improve the quality of their work and build up their employer’s profitability and prospects of expansion.

That’s not all that Labour can do. The party should be much bolder in its aims. For example:

The party should be promoting employee-ownership to more and more firms – the advantages of becoming co-operatives. Look at the success of John Lewis, whose employees receive a bonus equal to around four months’ extra pay – every year – because of the way that company is set up. John Lewis is going from strength to strength and so is its workforce. There is no valid argument against it.

Yes, there are some within the Labour Party who continue to push timid concepts about “strengthening” the minimum wage, but like Lords Myners and Mandelson, they might as well be Tories and it is time they were purged from the party. Neil Kinnock got rid of the Militant Tendency left-wingers; why shouldn’t Ed Miliband similarly divest himself of the right-wing fifth-columnist parasites who have held Labour back for his entire term as leader (including, of course, his idiot advisors)?

The Conservative Party’s idea of helping business has failed completely. It could never have done otherwise; starving the economy of money during a downturn makes it next-to-impossible for any but the largest firms to turn a profit.

Labour must present a vibrant alternative.

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TTIP on the rocks as UK faces up to threat of industrial litigation

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business, company, Conservative, corporation, David Cameron, EU, european union, firm, government, Investment Partnership, Investor State Dispute Settlement, ISDS, Michael Meacher, Mike Sivier, mikesivier, NAFTA, North American Free Trade Agreement, people, politics, Tories, Tory, Transatlantic Trade, transnational, TTIP, USA, Vox Political

“If Britain joined up to the Investor-State Dispute Settlement [system] in the current secret Transatlantic Trade and Investment Partnership (TTIP) negotiations, the UK would be exposed to an even greater number of disputes and costs than Canada suffered under the NAFTA [North American Free Trade Agreement], while being “highly unlikely” to bring in any additional investment.” – Michael Meacher MP.

Mr Meacher’s article on TTIP provides many examples of such litigation, that have taken place under already-agreed free trade deals. Why, he asks, would the UK want to sign an agreement that will immediately place it under threat of legal action, while gaining nothing in return?

You’d have to be crazy to put the economy in the hands of the lunatic who suggested it, wouldn’t you?

The lunatic, in this case, would be David Cameron, leader of the political party most people in Britain seem to think is best at running the economy! Do you want to rethink that, Britain?

“The Cameron government as usual is the stooge that follows the US lead,” writes Mr Meacher, after pointing out that TTIP is an agreement designed to benefit US and EU transnationals seeking to expand their market access and to engineer the removal of regulations that restrict their profits. It is also “widely seen as an attempt to sideline emerging economies such as China, Brazil and India that are now challenging the hegemony of the core capitalist powers”.

But public resistance is growing (where people know what is going on, that is), and Mr Meacher writes: “The increasingly strident call from civil society is to stop TTIP altogether and replace it with an alternative trade mandate that puts people and the planet before corporate profit.”

Hear, hear.

Will there be a motion in Parliament any time soon?

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The ugly face of New Labour rears up again: Chris Leslie and Nita Clarke

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austerity, Blair, Blairite, Chris Leslie, Coalition, Conservative, crisis, Customs, cut, economic, economy, George Osborne, hm, hmrc, Huffington Post, Labour, Margaret Thatcher, National Health Service, neoliberal, New, NHS, Nita Clarke, pension, privatisation, Progress, recession, Revenue, right-wing, thinktank, welfare state

 

It seems the neoliberal Blairites of New Labour are coming out of the woodwork in an effort to ensure that nobody in their right mind supports the modern Labour Party next year.

According to the Huffington Post, shadow chief secretary to the Treasury Chris Leslie reckons that a future Labour government will not undo the Coalition’s hugely unpopular cuts but will continue to impose the austerity that has kept our economy in crisis for the last four years.

In that case, why bother voting for Labour? We’ve already got one lot of Conservatives in power; there’s no need for any more.

Just to recap what we all know already, austerity is no way out of a recession. Economies grow when an increased money supply travels through the system, making profits for businesses and creating the fiscal multiplier effect. This means more tax comes to the government and it is able to pay down its debts. Austerity cuts off that money supply, making it much more difficult for money to circulated, profit to be made and tax to be taken. Evidence shows that the only people who profit from it are those who were rich already.

Indeed, the current economic miracle (if you believe George Osborne) was engineered by government investment – rather than austerity – in a housing price bubble. It’s almost a return to Keynesian economics, but done in a cack-handed, amateurish way that will cause more problems in the long run.

Austerity is, therefore, a Conservative policy and one that should be abandoned if Labour ever comes to power. The fact that this Leslie person is promoting it shows his true-Blue colours. Perhaps someone should start a petition to have him ejected from the party.

Retaining austerity was described by the HuffPost as part of “Labour’s ‘radical’ policy plans”, but this is ridiculous. How can retaining a policy that is already causing uncounted harm be, in any way, radical? It’s just more of the same neoliberal Conservatism.

“George Osborne has had his five years to eradicate the deficit. I am determined that we finish that task on which he has failed,” said Leslie in the article. How does he propose to achieve that aim, if his methods are the same? The man just isn’t making sense.

Meanwhile, a former Blair aide named Nita Clarke has defended another pillar of neoliberalism – privatisation – by making the absurd claim that Labour should not criticise private firms when they fail to deliver public services.

Speaking at a conference by the right-wing thinktank Progress, she said: “We have to be really careful that we’re not always seen as attacking the private sector and celebrating their failures. How do you think that makes the staff who work there feel?”

How does Nita Clarke think British citizens feel about being let down on a regular basis by these profit-guzzling clowns, ever since Margaret Thatcher’s Conservatives first started letting them into places where they did not belong?

How does Nita Clarke think British citizens felt when neoliberal New Labour refused to push back the tide of privatisation?

How does Nita Clarke think British citizens should feel about the fact that privatisation is now threatening the welfare state, the National Health Service and even state pensions?

Only today, Vox Political reblogged an article warning that HM Revenue and Customs may be undergoing preparations for privatisation.

Like austerity, privatisation is a fundamental pillar of the current neoliberal agenda. It has no place in the Labour Party, if the Labour Party is serious about opposing the Conservatives at the next election.

There should be no place in Labour for Chris Leslie, Nita Clarke, or anybody who supports their views, either.

It’s a view that might be unpopular with the Blue suits that make up the current Labour leadership.

But it’s the only way Labour will ever come up with a really ‘radical’ – and workable – plan.

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Labour has lost its ideals – now the Party of the People needs to find them again

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Conservative, Daily Mail, economy, Ed Balls, Ed Miliband, Facebook, fairness, focus group, Guardian, hard work, housing, ideal, insecurity, Keith Joseph, Labour, living standard, Margaret Thatcher, Mike Sivier, mikesivier, neoliberal, Nicholas Ridley, opportunity, Owen Jones, people, policies, policy, politics, poverty, promise, reactionary, right-wing, social, special adviser, Tory Lite, Tristram Hunt, UKIP, union, value, Vox Political, work, yvette cooper

Isn’t it desperately disappointing that, after the British people showed Ed Miliband in no uncertain terms that Labour is still going in the wrong direction, his first response was an appeal for us all to rally in support of his values, whatever they are.

No, Ed, no. It’s time the Labour Party gave up trying to force us to accept something we don’t want. It’s time you gave up being Tory Lite. It’s time – for crying out loud, this isn’t rocket science! – it’s time you gave us all a chance to believe you share our values!

Can you do that – you and your pseudo-socialist friends Ed Balls, and Yvette Cooper, and Tristram Hunt (and the rest)? If not, you need to make way for people who can – before it is too late.

The people’s response to Labour’s offer was written very clearly across ballot papers all over the country on Thursday: Too similar to the Conservatives! We won’t have either! In fact, we’ll support a party that is even more madly right-wing than either of you, just to show that we don’t want you.

And that’s just the response of those who voted. Those who didn’t were making an even plainer message: Why bother, when there isn’t a cigarette paper that can slide between any of you?

Look at this response from Terry Cook on the Vox Political Facebook page: “It [Labour] needs to prove it doesn’t share UKIP or Tory values; simple.”

Now look at the graph at the top of this article, showing that the public has lost faith in Labour every time it has supported reactionary, right-wing, Conservative, neoliberal policies – while announcements of policies that actually help people have restored support to the party.

The people don’t believe Labour should be having anything to do with anti-Socialist schemes. Here’s Alan Weir: “Labour lost my vote. They are no longer a socialist party and do not represent my views.”

He’s one of millions of potential Labour supporters, Ed! Why are you slinging them out wholesale in order to gain a handful of Daily Mail readers (a forlorn hope anyway)?

The evidence suggests increasing numbers of people are rebelling against Conservative control – but the lack of any credible alternative from Labour has left them with nowhere to go. In that sense, Labour may be said to be driving people away from democracy and into slavery in a complete U-turn – away from the principles on which the party was created.

Martin Williams: “He is totally ignoring the electorate because these people only do democracy when it suits them!”

Ros Jesson: “Some Labour people… on BBC’s coverage… their frustration with the leadership was almost palpable.”

Ed’s message highlighted his values of “hard work, fairness and opportunity”. What did people think of that?

“I am sick to death of ‘hard work’ being touted as a value, as if those desperate to find a job were of no value,” commented Pauline Vernon. “The Labour Party is still so determined to occupy the middle ground they are becoming indistinguishable from the Conservatives.”

Paula Wilcock: “Half hearted promises, no believable policies. I want to hear a realistic plan of what they are going to do to get voters like me… to go back to the Labour Party.”

Baz Poulton (who supplied the image), had this to say: “Why not actually stand up for Labour values and ideals instead of just subscribing to the same as the Tories? Labour’s support has been dwindling as they have become more and more right wing… Standing more in line with Labour’s original values sees an obvious climb in support, while their desperation to be more Tory than the Tories is seeing their support suffer.

“It’s obvious why that happens, and what they need to do to get the support of their traditional voters who are turning elsewhere now. Labour’s manifesto reads like the Tory one.”

The worst of it is that, looking at the historical context, this is what Labour wanted – from the New Labour days onward. Look at Owen Jones’ recent Guardian article: “For years the political elite has pursued policies that have left large swaths of Britain gripped by insecurity: five million people trapped on social housing waiting lists; middle-income skilled jobs stripped from the economy; the longest fall in living standards since the Victorian era, in a country where most people in poverty are also in work.”

That was exactly what Margaret Thatcher, Keith Joseph and Nicholas Ridley planned back in the 1970s, as revealed in The Impact of Thatcherism on Health and Well-Being in Britain: “Their view was that defeat of the movement that had forced Heath’s U-turn would require, not simply the disengagement of the state from industry, but the substantial destruction of Britain’s remaining industrial base. The full employment that had been sustained across most of the post-war period was seen, together with the broader security offered by the welfare state, to be at the root of an unprecedented self-confidence among working-class communities.

“Very large-scale unemployment would end the ‘cycle of rising expectations,’ [and] permit the historic defeat of the trade union movement.”

This is exactly what Owen Jones wrote about on Monday. Nicholas Ridley put these ideas forward in (for example) the Final Report of the Policy Group on the Nationalised Industries in – prepare to be shocked – 1977.

And Labour – in office – did nothing about it. This is part of the reason people don’t trust Labour now.

Let’s go back to Mr Jones: “For years Labour has pursued a strategy of professionalising its politicians: its upper ranks are dominated by privileged technocrats who have spent most of their lives in the Westminster bubble.

“The weakening of trade unions and local government has purged working-class voices from a party founded as the political wing of organised labour: just four per cent of all MPs come from a manual background.

“Special advisers are parachuted into constituencies they have never heard of.

“Policies are decided by focus groups; a language is spoken that is alien to the average punter, full of buzzwords and jargon such as ‘predistribution’ and ‘hard-working people better off’.”

All of these things are wrong. There’s no point in even going into the reasons; any right-thinking person will agree that an MP who has never had a proper job (working as a researcher for another MP doesn’t count) is infinitely less use than one who has had to work for a living.

What is Labour’s reaction to UKIP’s Euro win? “The likes of Ed Balls want to respond to the high tide of Farageism with a firmer immigration-bashing message.” In other words, following UKIP’s right-wing lead.

Owen is correct to say: “This is political suicide”. In fact, for Ed Balls, it should be a sacking offence. He’s got no business coming out with it and has embarrassed Labour and its supporters by doing so.

He is also right to say that Labour must be more strident about its policies. Not only that, these policies must address the problems that have been created by neoliberal Conservatism and reverse the trends. That doesn’t mean using the same tools, as New Labour tried – because when the electorate gets tired of Labour again, the Tories would be able to change everything back and hammer the poor like never before.

No – it means removing those tools altogether. A fresh approach to clean out the rot – and the vigilance required to ensure it does not return.

If Ed Miliband really wants to win next year’s election – and this is by no means certain at the moment – then Labour needs to rediscover the values of the British people.

And that means paying attention when we say what those values are.

Follow me on Twitter: @MidWalesMike

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Why is it fair for taxpayers to subsidise businesses but not the disabled?

Tags

business, Conservative, depress, disability, disabled, economy, employment, George Osborne, in-work, Labour, living wage, low-paid, Mike Sivier, mikesivier, minimum wage, pay, people, politics, salary, social security, subsidise, Sunday Times rich list, taxpayer, Tories, Tory, Treasury, UKIP, unemployed, Vox Political, wage, welfare

Swivel-eyed loon: This is the kind of many who thinks subsidising businesses to be lazy, while refusing to support disabled students (no matter how intelligent they are) is a clever idea. [Picture: Left Foot Forward]

George Osborne was today set to attack both the Labour Party and UKIP as being bad for business. Isn’t that a bit rich, coming from a man whose party uses taxpayers’ money to subsidise private firms?

Across the UK, firms of all sizes – ranging from huge multinationals right down to the smallest traders – take advantage of the taxpayer-funded benefit system that supports people who earn less than the Living Wage (the minimum amount necessary for a working person to be able to pay their own way).

Osborne would have you believe this is good for Britain; more firms are employing more people – and that’s got to be good, right?

Wrong. More people may be employed, but on increasingly less money, meaning the burden on the taxpayer is increasing all the time.

But the taxpayer has increasingly less money to give to the Treasury, meaning that – instead of saving the economy – Osborne has put us into a vicious spiral of diminishing returns.

That’s what you get when you ask a towel-folder to do a real job!

It would be far better to demand that businesses pay the Living Wage. It isn’t an impossible dream – only a few decades ago, it was possible for one parent to earn enough to house and feed an entire family. Why doesn’t this happen anymore?

There is, in fact, no reason for it to have stopped.

The only conclusion we can reach is that the Tory government is using the system to leach money into the pockets of wealthy businesspeople. By pushing benefit payments so low that the unemployed and low-paid struggle to support themselves, they have made it possible for employers to pay less and pocket more.

That is why the names on the Sunday Times Roll Call of Shame (otherwise known as the Rich List) are so much richer this year than they were before the Tories weren’t elected.

The answer is simple: Compel businesses to pay the Living Wage.

Oh, but you think that will be bad for business too, do you?

Mr Osborne would tell you so, would he?

How odd – because this would be no different from a policy his government has been happily forcing on benefit claimants since 2010.

You see, as stated above, the policy has been to make living on benefits extremely difficult in order to force people to seek employment. This in turn allows firms to depress wages because they can tell the workforce there are plenty of other people waiting to take their places.

Only today, on this blog, we were discussing Tory David Willetts’ plan to cut Disabled Student Allowance. He wants us to believe that this will get students with disabilities to work harder, rather than expecting the taxpayer to lay everything at their feet; in fact, he is taking away their lifeline and leaving them to starve.

But the argument works just as well with employers. Any government with the guts to tell them that the crutch of in-work benefits is being removed and they will have to pay the difference is sending out the same message to employers as they did to benefit claimants: You’ve had it easy for too long. Now it’s time for you to earn your keep.

Some firms will go under. Unlike the disabled people being victimised by David Willetts (et al), we should shed no tears for them; they weren’t helping the economy.

More will pay up – finding new markets to fund the extra expenditure. These are the businesses that will build the real economic recovery.

Labour is one of only a few political organisations that support the Living Wage, and therefore the only mass-appeal political party that would have a genuinely beneficial effect on the economy.

Oh, but I forgot.

You were listening to George Osborne.

And he says Labour is bad for business.

But then – he’s no economist.

He’s a towel-folder.

Follow me on Twitter: @MidWalesMike

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Will you give British sovereignty to a foreign business?

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America, Britain, British, business, Conservative, corporation, Derek Vaughan, dispute, election, EU, Europe, Green Party, health, investment, investor, ISDS, Jill Evans, Kay Swinburne, Labour, member, national, NHS, Parliament, partnership, referendum, service, settlement, sovereign, state, Tories, Tory, trade, transatlantic, tribunal, TTIP, UK, union, United States, USA

[Image: The Guardian]

It is the eve of the European Parliamentary elections. How much do you really know about what your candidates would do – if elected?

Much of the debate so far has focused on personalities rather than policies – but does it really matter that Labour won’t commit to an in-out referendum on our EU membership (which is a UK Parliament issue in any case) if its MEPs do their job properly and defend the interests of the British people in the Brussels assembly?

Does it matter that the Conservatives are promising such a referendum, if they give away your right to a high-quality health service, along with your rights at work, to American companies?

These are the issues that really matter.

A few months ago, Vox Political was running articles on the highly controversial Transatlantic Trade and Investment Partnership, currently being negotiated between the European Union and the United States of America. Much of the groundwork has been carried out in secret, hidden from public scrutiny, but the information that has been made available has aroused serious concern that this agreement will weaken existing standards and regulations that protect workers and consumers in the EU.

In particular, the Investor-State Dispute Settlement (ISDS) would allow any foreign company operating in the UK to make a claim against the government for loss of future profits resulting from any regulatory action by the government, such as new legislation. Such claims would be considered by an unelected, unaccountable tribunal composed of three corporate lawyers whose decisions are likely to favour the corporations and would override national laws.

It is widely believed that the TTIP will be used by our Conservative-led government as a means of locking-in its detrimental changes to the National Health Service.

With this in mind, I wrote to three of the four current Welsh MEPs (the fourth is standing down), asking a few simple questions:

Do you want the health of your constituents to depend on a foreign company’s balance sheet?

Are you in favour of sales or the safety of your constituents?

Do you support attacks on workers’ rights?

Do you support the people who elected you – or are you a puppet of the corporations?

The response from Labour’s Derek Vaughan was characteristically short and to the point: “As you would expect, Labour MEPs oppose the ISDS in certainly anything which would allow the Tories/UKIP to argue for further privatisation of the NHS.

“You may also wish to take this matter up with those who really are the puppets of corporations.”

We’ll come to them shortly. Derek’s answer – though brief, tells you everything you need to know about Labour. They aren’t staying silent (as a recent Liberal Democrat letter asserted) and they aren’t pandering to corporate interests. Labour will defend British institutions against any European ruling or agreement that infringes on them. That’s a promise.

Jill Evans, for Plaid Cymru, had a little more to say: “I share your concerns regarding the TTIP as does the rest of my group in the European Parliament, the Greens/EFA group.

“We are 100 per cent against ISDS as we do not believe that extra-judicial powers should be given to foreign investors. We have been working hard to lobby the Commission to get them to make changes to the TTIP… The TTIP will include a strong focus on … co-operation but the regulatory cultures and social and environmental standards on both sides of the Atlantic are very different; conflicts over GMOs and Hormone Beef are just two examples.

“The TTIP is also controversial from an industrial policy point of view. The two blocs are not complementary, but in fierce competition for global markets and the setting of global industrial standards. Transatlantic cooperation could, however, pave the way for higher global ecological standards and for a faster conversion towards a sustainable green economy. Both the EU and the US need to find new avenues to create social wealth. The task we are set with is trying to find the right balance.”

So Plaid and the Greens are as strongly-opposed to the ISDS as Labour, but acknowledge there are advantages to be had – if this agreement is negotiated by the right representatives. This is why it is so important that you use your vote wisely. A vote for UKIP might seem like a worthwhile protest against the UK’s Conservative government, but what good will it do when the Kippers, who support corporate power, wave through measures to strip you of your rights?

And then we have Kay Swinburne, representing the Conservatives. Her response was the longest of the lot, perhaps suggesting that she knew her party’s stance was harder to justify.

“Transatlantic trade flows (goods and services trade plus earning and payments on investment) averaged $4 billion each day through the first three quarters of 2011. In 2008 EU/US combined economies accounted for nearly 60 per cent of global GDP,” she stated.

“However, for all its value and importance, the EU-US trading relationship still suffers from numerous obstacles, preventing it reaching its full potential to provide growth and jobs. It has been estimated that the deal could bring an extra £10bn to the UK annually, which would give a huge boost to jobs in our economy at a time when we are still suffering with the effects of the economic crisis.”

There is little evidence for this, and even that is poor. The European Commission’s own impact assessment admits that a 0.5 per cent increase in growth would be “optimistic”, and independent research suggests that a meagre 0.01 per cent increase in the growth rate over 10 years is more likely. The North American Free Trade Agreement between the US, Canada and Mexico led to a net LOSS of almost a million jobs in the US. You have to ask why this MEP is arguing against the facts.

“That is an extra £400 to every UK household and while some reports criticise the economic focus, I would argue that this is exactly the kind of stimulus package we should be focusing on,” she continued. Again, this is inaccurate. Every household will not gain an extra £400 because of business deals carried out between very few, very large, corporations. In fact, much larger amounts of money will go to the kind of people who have too much of it already.

“ISDS is a system that allows investors to initiate proceedings directly against a government should they believe that their property has been expropriated illegally, that is, not in conformance with the laws of that country itself,” she continued, skimming over the possibility that a legal challenge could be mounted against changes in a country’s laws – such as Labour’s planned repeal of the Health and Social Care Act that allowed the creeping privatisation of the NHS, if the Conservatives are defeated in the 2015 UK general election.

“The Conservatives in the European Parliament support the inclusion of an ISDS chapter in the agreement, because even with developed countries it ensures certainty for our investors, including SMEs.”

She does not explain what that certainty may be. Is it the certainty that they can run roughshod over their workers? That their profits will take precedence over our health? What about certainty for our citizens?

“Rest assured that this is not a mechanism that will allow for fundamental laws of the EU, such as the REACH legislation on chemicals or the Tobacco Products Directive, to be overturned by a foreign company.” That does not offer any consolation if the laws of the UK do not remain similarly inviolate.

“The EU and its Member States will and must remain able to adopt and enforce, in accordance with their own and EU laws, measures necessary to pursue legitimate public policy objectives in the fields of social and environmental standards, security, the stability of the financial system, and public health and safety.” This seems encouraging, but is overshadowed by what this Conservative MEP has already stated.

“The European Parliament, as well as the UK Government, will also have to give final approval to the deal.”

This is why we need a sceptical European Parliament, and a critical UK Parliament when the deal comes to Westminster for ratification.

That is the information provided by the Welsh MEPs. Labour and the Green Party will stand up for you, while the Conservative Party and UKIP will stand up for the few.

Put in that way, it isn’t a choice at all.

But is the electorate well-enough informed to make the appropriate decision?

Follow me on Twitter: @MidWalesMike

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