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Tag Archives: cap

Public money is being thrown away on government-contracted scroungers

02 Wednesday Jul 2014

Posted by Mike Sivier in Bedroom Tax, Benefits, Business, Conservative Party, Corruption, Cost of living, council tax, Disability, Discrimination, Employment, Employment and Support Allowance, European Union, Food Banks, Housing, Immigration, Liberal Democrats, Media, People, Politics, Poverty, Privatisation, Tax, UK, unemployment, Zero hours contracts

≈ 26 Comments

Tags

A4E, accountancy, accountant, allowance, avoid, backbencher, bedroom tax, benefit, Big Four, business, cap, Coalition, company, Conservative, contract, council tax, Deloitte, Department, DWP, employment, Ernst & Young, ESA, EU, european union, feckless, firm, food bank, foreign, G4S, government, idle, immigrant, immigration, in-work, incentive, Ingeus, KPMG, lazy, lie, Maximus, Mike Sivier, mikesivier, minister, mislead, parasite, payout, Pensions, people, politics, PricewaterhouseCoopers, private, provider, reassessment, sanction, scrounger, skiver, social security, support, tax, taxpayer, Tories, Tory, Treasury, unemployment, unum, uprating cap, Vox Political, welfare, welfare to work, work, Work Programme, work-related activity, Workfare, Working Links, zero hours contract


workprogramme1

It turns out that some people really do get to lie around all day, doing nothing apart from watching the money rolling in.

Bloody scroungers.

I’m sorry to swear – and you know I’m not usually rude – but these Work Programme provider companies really get my goat.

The revelation that companies such as Ingeus, A4e and Working Links were getting undeserved ‘incentive’ money (see also the BBC’s article), rather than being paid by results as has been claimed loudly and repeatedly by Tory ministers and backbenchers, is nothing new to Vox Political – we first pointed out the problem in November 2012, more than 18 months ago.

You see, not only has this been going on ever since the Coalition government established welfare-to-work in its current form –

Not only have government ministers and backbenchers been lying to you about the payouts given to the profit-driven privately-owned provider companies –

Not only have these companies been sucking down on your hard-earned taxpayer cash as though they had done something to earn it –

But the people they were supposed to be helping – people who have been forced into ever-greater poverty by the benefit uprating cap, arbitrary and unfair benefit sanctions, the bedroom tax, the £26,000 cap on benefits for families, the imposition of council tax on even the poorest households (in England at least), the stress of continual reassessment (if they are ESA claimants in the work-related activity group), the humiliation of having to visit food banks and who knows what else…

The people who are desperate to get any kind of paying job, despite the fact that zero-hours contracts could make them worse-off than unemployment, due to the effect on in-work benefits, despite the fact that those in-work benefits are also being squeezed hard, and despite the fact that there are at least five jobseekers for every job that becomes available…

These are the people that government ministers, backbenchers and the right-wing press keep victimising with their endless attacks on “skivers”, “scroungers”, the “feckless”, the “idle” and the “lazy”!

If I was unemployed and my MP had been caught slagging me off while praising these good-for-nothing so-called work programme ‘providers’, I would make it my business to bring them before the public, lock them into some medieval stocks and pelt them with rotten vegetables. Public humiliation is the least they should get for this continual insult to common decency.

But wait! There’s more.

It turns out that, not only are these work programme providers a bunch of lazy good-for-nothing parasites, but many of them are also a bunch of foreigners who’ve come to the UK to take our jobs!

Ingeus is Australian. G4S is part-Danish. Maximus is American.

It seems that all the politically-fuelled and media-driven anger against immigration into the UK from the rest of the European Union and beyond may be designed to distract us all from the fact that foreign firms are immigrating here to take government jobs that should be yours, and to steal your tax money.

Nobody can say they’ve earned it, after all.

But let us not be unfair. It would be wrong to concentrate on welfare-to-work providers when all of government is riddled with foreign interlopers.

Look at the Treasury, where the ‘Big Four’ accountancy firms have been re-writing tax law to suit their tax-avoiding corporate clients for the last few years. They are Deloitte (American), PriceWaterhouseCoopers (part-American), Ernst & Young (part-American) and KPMG (Dutch).

And then there is the huge, criminal, foreign firm that has been advising the Department for Work and Pensions on ways to privatise the welfare state since the mid-1990s – a firm so controversial that there is currently a moratorium on the mention of its name in the national mainstream media. It is an American insurance giant called Unum.

The best that can be said of these five corporations is that – at least to the best of our knowledge – they do work for a living.

… In their own interest – not yours.

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Why is Labour always offering too little, too late?

01 Thursday May 2014

Posted by Mike Sivier in Benefits, Business, Children, Conservative Party, Cost of living, Disability, Economy, Employment, Employment and Support Allowance, European Union, Housing, Immigration, Labour Party, Liberal Democrats, People, Politics, Poverty, Tax, UK, Utility firms

≈ 18 Comments

Tags

abuse, advisor, allowance, Andrew Lansley, assessment, BBC, benefit, Britain, build, business rate, cap, childcare, Coalition, Conservative, David Axelrod, Democrat, Ed Miliband, election, electricity, employment, energy, ESA, gas, home, house, housing, Income Tax, job guarantee, Labour, Lib Dem, Liberal, living, make work pay, migrant, minimum, National Health Service, NHS, price freeze, prosper, rent, rent cap, support, Tories, Tory, toxic, transform, wage, work, zero hour contract


Announcement or admission: Labour's announcement, as it appeared on Facebook.

Announcement or admission: Labour’s announcement, as it appeared on Facebook.

A future Labour government would cap rent increases, the party has announced – around a year and a half late.

The Coalition government has chosen to keep Housing Benefit down by making it the first payment to be reduced as part of the benefit cap, and Labour’s announcement should rightly be seen as a response to this.

But the benefit cap was announced in the mists of history, back in 2012 or thereabouts, so why has Labour only just got around to telling us its counter-proposal? The rest of us were screaming it from the rooftops at the time.

Coming so late, it seems less that this policy has been announced, and more that it has been admitted.

Perhaps this is the influence of new election advisor David Axelrod, and maybe it signals the start of regular announcements in the run-up to the general election next year. If so, this would go some way towards saving Ed Miliband’s blushes.

Certainly today we were presented with a 10-step ‘cost of living’ contract, stuffed with promises Labour has made to help beleaguered consumers keep prices down – and these are (mostly) good steps.

First is the popular scheme to freeze gas and electricity bills while the energy market is reformed.

Then there’s Labour’s plan to have 200,000 new homes built every year by 2020, relieving the housing shortage and lowering the cost of a new home.

Next comes the rent cap, plus a pledge to help families that rent plan for the future with new, long-term, predictable tenancies.

There’s the pledge to cut income tax with a 10p starting tax rate. This may be seen as an admission that Labour’s decision to end the original 10p tax rate (even though I seem to recall it was intended to be temporary) was a mistake. But isn’t it better to admit our mistakes, put them right, and move on? The plan to restore the 50p top rate has been lambasted by posh Tories and business executives, who say it won’t achieve anything (they would, wouldn’t they?) but is a good symbolic gesture.

Fifth is a pledge to ban zero-hour contracts altogether. This may seem problematic, as the evidence shows that there are working people who benefit from these contracts’ flexibility. The trouble is that unscrupulous firms were using these contracts to exploit workers who deserved better from them. Labour’s attitude – that these firms will have to manage without them if they won’t use them properly – is a bit ‘nannyish’ but makes a strong point.

Then comes Labour’s pledge to “Make work pay”. Some may criticise the use of words that have been tainted by Conservative spin. The Tories want you to believe that they’ll “make work pay” by cutting out-of-work and in-work benefits, but we all know that this won’t make anybody better-off; quite the opposite. Labour’s idea is to boost the minimum wage and encourage firms that are able, to increase their pay rates to the Living Wage, cutting the benefit bill that way.

Seventh is a little-known plan to cut business rates and make banks lend to small businesses (at least, that’s the only interpretation of “reforming the banks” that makes any sense in this context).

There’s a pledge to give working parents 25 hours’ free childcare (presumably this is per week) for kids aged three and four, and one to tackle abuses of immigrant workers by banning recruitment agencies that only hire people from abroad and pushing Europe for stronger controls. This would present problems for the Conservative-run NHS, as the BBC News has just announced that it is recruiting heavily from Portugal!

Finally we have the weakest promise – the job guarantee for the young unemployed, coupled with more apprenticeships. This has been met with opposition from the very people who were expected to welcome it, as it seems nobody outside the Labour front bench believes it has the remotest chance of success.

Unmentioned is Labour’s plan to change the assessment system for sickness and disability benefit ESA, which earned instant toxicity because it sports only cosmetic differences from the current Conservative scheme that has been fatal for thousands. The plan was announced at around the same time as a Labour inquiry into these benefits called for preventative investment that the party leadership is unwilling to countenance, and a group of mostly-disabled people called Spartacus provided a far more enlightening overview of the problems with the benefit, and the steps needed to remedy them, that clashed with what Labour is saying.

More concerning still is the fact that all of these measures are responses to Coalition policies that have harmed people during the course of this Parliament – or situations that the Tories and Tory Democrats have allowed to continue because they support the overall plan.

Where is the inspiration to transform Britain and return prosperity to everybody, rather than limiting it to people who own smart suits and big houses? When can we expect a hint that this is coming?

Unless you are one of the aforementioned people with smart suits and big houses, the Conservatives sidled into government with a plan to diddle you out of as many of your Parliament-supported rights, privileges and benefits as they could possibly fit into a five-year term in office, all the while telling you it was for your own good.

As you can tell from today’s previous Vox Political article, that has gone astonishingly well for them.

Of course, the Tories didn’t announce this plan, because they knew it would turn the electorate away in their millions – the classic example of this in practice is the way Andrew Lansley was forbidden from mentioning his privatisation plan for the National Health Service, as this would be toxic to the Tory election campaign.

But times have changed. People are suffering. They need Labour to offer something more than a promise to rub ointment on their wounds.

They want to see Labour turn the tables on the Tories. And they want to know how that’s to be achieved.

Saying Labour will “transform Britain” won’t work as we’ve all heard about such miraculous transformations before, and they have always benefited the suit-and-house people.

So come on, Ed.

When can we have it?

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‘Social cleansing’ of London is well under way – BBC documentary

11 Friday Apr 2014

Posted by Mike Sivier in Benefits, Children, Conservative Party, Cost of living, council tax, Disability, Employment, Employment and Support Allowance, Housing, Law, Liberal Democrats, Media, People, Politics, Poverty, Public services, Race, tax credits, Television, UK, unemployment

≈ 48 Comments

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Cartoon by Martin Shovel.

Cartoon by Martin Shovel.

Leading Conservatives must be delighted with the success of their benefit cap in getting single mothers and people with large families out of London – as depicted in the BBC Panorama special, Don’t Cap My Benefits, yesterday evening. (Thursday)

The change means that nobody in the UK is allowed to receive more than £26,000 in benefits per year. The government has claimed this is the same as the average family income, but readers of Vox Political will know that this is a flimsy lie and average family income is in fact more than £5,000 per year higher, at £31K+. The reason benefits weren’t pegged at that level is that far fewer people would be affected by it. Make no mistake – this measure was enacted to shift people from the capital.

The film shows the effects of the change on a number of families in Brent, one of London’s worst-hit boroughs, during a period of just six months. Some of them were forced to move away from their lifelong homes to other cities, with one person being threatened with deportation to Manchester. Even people with jobs were forced to go, by council workers whose attitude bordered on the offensively hostile.

Partway through, Vox Political received this comment: “I am watching Panorama, about the benefit cap. It is heart-breaking, mothers are being split up from small children, a single mother who is volunteering at a children’s centre – a good tenant, according to her landlord – is evicted, she has gone from a house to a B&B and the council woman said, ”At least you’re not on the street”. What hope is there?”

Very little, it seems.

The strongest message the documentary gave was that the benefit cap targets minorities and drives them out of London to areas, most commonly in the Midlands or the North, where people are already suffering similar social deprivation. Perhaps the Tories who dreamed up this idea believe the axiom that ‘Misery loves company’.

Of the families or individuals featured in the film, only one was of British ethnic origin – and she was painted as a troublemaker by her landlord. Some were people who had immigrated into the UK (many years ago – so let’s not have any anti-immigration propaganda levelled at them); some were black. All had children – including some who had many more than the average (there were seven in one family). Some were single mothers. Some were in work, but were told that the amount they were earning could not keep them housed in London and they had to go. Some said they were in work but were doubted by housing officers who forced them out anyway (only to discover later that they were telling the truth, and move them back into Brent, possibly at great expense to the taxpayer).

Perhaps we were supposed to look down on these individuals. Were we supposed to believe they had brought these troubles on themselves because they had too many children without considering the cost, or because they had split up from the fathers of their children, or because their jobs paid too little or their rent was too high?

That’s not what this documentary showed at all.

It showed the intentionally vicious effects of a government policy specifically designed to inflict suffering, in order to remove these unwanted social dregs (as Cabinet ministers no doubt see them) and make London more available as a playground for the rich. It is a policy that goes back (as many do) to Thatcherism.

Thatcherism relied on a massive increase in unemployment, the lowering of wages and the increase of housing prices to undermine the self-confidence of working-class communities – and succeeded on a massive scale. But these were the economics of “planned misery”, in the phrase of Rodolfo Walsh, according to The Impact of Thatcherism on Health and Well-Being in Britain, a new report – strongly recommended.

The article states: “As the relative value of benefits fell, and as wage rates for increasingly insecure and feminised, unskilled work were held down, the poorest were becoming poorer and increasingly ‘socially excluded’, blamed, and stigmatised for policy outcomes that the government had in fact fully anticipated.”

It continues: “All of this generated – and was designed to generate – sharply increased inequalities of income and wealth across Britain and a dramatic increase in poverty… Thatcher’s governments wilfully engineered an economic catastrophe across large parts of Britain and sowed the seeds… of a subsequent collapse – which ironically has provided the highly spurious legitimation for a new generation of ‘uber-Thatcherites’ in the current Conservative-Liberal Democrat coalition government to go where Thatcher herself had hesitated to tread – a complete dismantling of the welfare state.”

In other words, this government’s answer to poverty is to remove the safety net – and that is what we saw in the Panorama film.

The answer to the problems it depicted isn’t to ship poor people off to the deprived North! The answer is a cap on rents, so they don’t become so high that people can’t pay them. It’s a living wage, to ensure that working people don’t need to claim state benefits – as someone else recently said, how can any industry consider itself ‘private’ if its employees need funding from the state to survive?

Otherwise, as a commenter on the BBC’s Question Time said, a little later in the evening, there will be nobody left in London to provide services such as education, for all the rich kids the Tories and Tory Democrats are no doubt already inviting in.

Right?

What do you think?

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Osborne promising full employment – is this an April Fool?

01 Tuesday Apr 2014

Posted by Mike Sivier in Benefits, Business, Conservative Party, Cost of living, Economy, Employment, People, Politics, Poverty, UK, unemployment

≈ 11 Comments

Tags

accommodation, April Fool, average, boss, cap, community work, Conservative, CV, divide, dunce, electricity, employment, encouragement, food, gas, George Osborne, harassment, heat, help, identity theft, job, light, living wage, mortgage, myth, national insurance, park, pay, proportion, rent, rule, safety net, sex, silly, social security, tax, Tories, Tory, underclass, Universal Credit, Universal Jobmatch, wage, water, welfare, working class


Bottom of the class: If you believe George Osborne's talk about jobs and benefits, you must have been educated at one of Michael Gove's 'free schools'. [Image: Gaianeconomics]

Bottom of the class: If you believe George Osborne’s talk about jobs and benefits, you must have been educated at one of Michael Gove’s ‘free schools’. [Image: Gaianeconomics]

The answer has to be in the affirmative. Conservatives can’t promise full employment because it simply isn’t part of their philosophy.

As this blog has stated many times, Tories need a discontented underclass fermenting away beneath the lowest-paid members of the working class, in order to create the level of fear necessary to keep wages down.

The argument is that a person will not ask for a pay rise if they know their boss will turn around and say, “There are hundreds out there who will work for less than you – pick up your cards on the way out!”

For a more easy-access disproval of Osborne’s claim, we only have to look a little further into his speech – from the part where he said: “For it’s no good creating jobs – if we’re also paying people to stay on welfare.”

Hang on! When did our great Social Security system change from being a safety net to help get people back into work to “paying people to stay on welfare”?

Oh yes, that’s right – when we had an unelected Conservative government foisted on us. Tories pay people to stay on welfare because they need that fermenting underclass. The aim is always not to pay enough (as you will see).

The next few lines contain unfounded claims and opinions. See for yourself:

“We inherited a welfare system that didn’t work.” According to whom?

“There was not enough help for those looking for a job – people were just parked on benefits.” But there isn’t enough help now. Come to that, there aren’t enough jobs. Where are all the jobs, George?

“Frankly, there was not enough pressure to get a job – some people could just sign on and get almost as much money staying at home as going out to work.” How many people, George? Five? Six? You make it seem as though more than a million jobseekers were sitting at home and drawing as much money in social security as at work. That would be a lie, George.

“That’s not fair to them – because they get trapped in poverty and their aspirations are squashed.” Whereas Conservative policy means what? Oh yes – they get trapped in poverty and their aspirations are squashed.

“It’s certainly not fair to taxpayers like you, who get up, go out to work, pay your taxes and pay for those benefits.” Tory divide-and-rule. You are different to them, because you have a job. If you are low-paid, it is because they are sucking down your tax money to pay for their extravagant lifestyles (I think we’ve all quite thoroughly killed that particular myth, haven’t we? It doesn’t exist outside the Tory political mind).

“Next Monday is when we do more to encourage people without jobs to find them… Benefits will only go up by 1 per cent – so they don’t go up faster than most people’s pay rises, as used to be the case.” This means people on benefits will start to become much worse-off than they are already. Jobseekers’ allowance used to be pegged at around one-sixth of average pay but will now drop to a far lower proportion, because the Tories lied to you when they said benefit rises were far greater than pay rises. One per cent of Jobseekers’ Allowance at a weekly rate of £71 is 70p; one per cent of the average weekly wage in April 2013, which was £517 per week, is £5.17. You see the difference? Oh, and one more thing: Where are all the jobs, George?

“When I took this job, some people were getting huge payouts – receiving £50,000, £60,000 even up to £100,000 in benefits. More than most people could get by working.” How many people, George? Five? Six? One, perhaps?

“So we’ve capped benefits, so that a family out of work can’t get more in benefits than the average working family.” I’m not actually opposed to ensuring that people on benefits can’t take home more than people in work. However, while accurate, this line is disingenuous. George has ensured that a family out of work takes home at least £5,000 less, per year, than an average working family because of the way he and his Tory friends rigged the system. He’s lying to you.

“And we are bringing in a new Universal Credit to make sure work always pays.” He means “pays more than benefits”. He doesn’t mean “pays a living wage”. Spot the difference?

Now here comes some more oppression, based on a really big lie.

“From this month we’re also making big changes to how people go about claiming benefits. We all understand that some people need more help than others to find work.” What work? Where are all the jobs, George?

“So starting this month we’ll make half of all people on unemployment benefits sign on every week – and people who stay on benefits for a long time will have to go to the job centre every day so they can get constant help and encouragement.” Help and encouragement, is it, George? Have you witnessed the kind of “help and encouragement” they get at the job centre? DWP employees should face harassment charges for the disgraceful way they treat their fellow citizens.

“We’re going to require people to look for work for a week first before they get their unemployment benefit. From now on the deal is this: look for work first; then claim the dole. Not the other way around.” Why? In order to drive people into grinding poverty as early as possible? Forcing people to wait until they claim means they could be without money for food, accommodation and utilities for up to a month, while the system processes them. This is not fair. It is cruel and demeaning – especially when Tory George knows there’s no work to be had.

“When people turn up at the job centre they’ll be expected to have a CV ready and to have started looking on our new jobs website.” This is the Universal Jobmatch website that is habitually used by criminals for identity theft, or to offer jobs in the sex industry. It’s so bad that the government itself is planning to ditch it when the contract with its provider runs out in two years’ time. Why would anybody in their right mind use that?

And now here’s the clincher:

“We will ask many of the long term unemployed to do community work in return for their benefits – whether it is making meals for the elderly, clearing up litter, or working for a local charity.”

In other words, they will ensure that fewer jobs are available by making jobseekers do the work for nothing. Brilliant idea, George – you are wrecking our economy.

“All of this is bringing back the principles that our welfare state was originally based on – something for something, not something for nothing.” A lie, couched in truth. The Welfare State is based on the principle that people on hard times were able to take advantage of benefits because, when in work, they paid into the system via taxes and National Insurance. That’s the “something for something”. It is not based on the idea that jobseekers have to take jobs off the market by doing them for free. That’s just plain silly.

In fact, George, you are just plain silly.

So, returning to the question in our headline, it’s clear to see the answer.

If anyone here is an April Fool, it’s George Osborne.

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Labour must turn and fight now – or give up its electoral hopes altogether

24 Monday Mar 2014

Posted by Mike Sivier in Labour Party, Politics, UK

≈ 25 Comments

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Struggling to make an impact: Ed Miliband must reject the Tory Party's narrative about the need for austerity and bring forward a vision for the future that really does make us 'One Nation' again, rather than hanging on David Cameron's neoliberal coat-tails, as many former Labour voters believe.

Struggling to make an impact: Ed Miliband must reject the Tory Party’s narrative about the need for austerity and bring forward a vision for the future that really does make us ‘One Nation’ again, rather than hanging on David Cameron’s neoliberal coat-tails, as many former Labour voters believe.

The political debate is all about the Labour Party again today – as it has been since the Budget.

The newspapers and websites are full of advice for the party, which is now clearly seen to be struggling to gain any kind of a foothold with electors who have become disillusioned at what might best be called the Party of Very Little Opposition.

Labour “must adopt new principles” according to an alliance of thinktanks and party intellectuals who have written to The Guardian; Ed Miliband has been told “don’t play safe” with the party’s manifesto according to an article on the same paper’s site.

The BBC News site has words from left-wing MP John Mann, calling on his party leader to stop trying to be “too clever” and be “much clearer” in setting out his policies.

We can probably discount the Telegraph article by Dan Hodges, claiming that Labour is “closed for business”. It plays to right-wing readers’ prejudices just a little too much.

Will Ed pay any attention to these pleas? Evidence suggests he will not.

I should clarify from the outset that, as a Labour member, I want the Party to win in 2015 (and also to gain the lion’s share of the vote in May’s European elections).

But Miliband seems to be living in a world of his own, insulated from the rest of the Labour Party – not to mention supporters of Labour ideals who are not members – by a small group of (not-so-special) advisers who, it’s claimed, intercept any decent ideas before they get to the party leader and spin them until they turn to drivel. Whether this is true or not seems immaterial as this is the perception of the general public.

And perception is everything.

As I write this article I have just received a comment stating that “Miliband’s strategy for the next election seems to be a) to accept the Tory frame of reference for any given argument and b) to then concede the field of battle on that issue, whatever it is, without a shot being fired.” This is a common complaint, and Labour has no answer to it.

Why do Miliband, Balls, Tristram Hunt (notably), Rachel Reeves (lamentably) and all the other Labour frontbenchers blithely accept the Coalition’s terms of reference on any issue, against the wishes of their own backbenchers, their party as a whole and the public at large?

Are they really just a gang of greedy moneygrubbers, determined to screw the country for whatever they can get? That in itself would be a betrayal of Labour Party ideals and their constituency parties should deselect them if members believed that to be the case for one moment.

Are they a gang of neoliberals, their political philosophy so close to that of the Conservatives that you can’t get a credit card between them? This rings threateningly true in the cases of Oxford PPE graduats Ed Balls and Yvette Cooper, ex-Bank of England employee Rachel Reeves and Tristram Hunt. But Ed Miliband is (famously) the son of a Marxist. He, above all, should know better.

The trouble is, David Miliband is the son of the same Marxist and he was as much a part of the neoliberal New Labour Red Tory deception as Tony Blair and Gordon Brown.

Oh look – another comment has just arrived. “More people don’t bother to vote because they feel that we as a people have moved on and all we really want is people who will represent us honestly, by majority and with no hidden agendas, backhanders or lobbyists pulling the strings. I don’t see any evidence that the present government or the Labour Party are capable or willing to do just that… They should have the courage to change and become the voice of the people.”

Become the voice of the people. The meaning is clear – Labour is not currently representing anybody at all.

Is this true? Let’s look at some of the other comments on my (left-leaning, let’s not forget) blog. These are from people who are generally sympathetic to Socialism and who should, therefore, see Labour as the natural home of their vote. What do they say?

“[Is it] any wonder [that] 1. People don’t vote because they are seen as “all the bloody same”? and 2. The perceived differences have become so minuscule?”

“Until Labour wakes up and realises it is the welfare cuts that are a major concern to most of us and to anyone who has a conscience, they will lose the next election due to apathy.”

“Labour have to do something different to what they have up to now but they don’t seem to want to. Are they scared of being in government over a country in the state it is?”

“Labour have had four years to do something – anything – to fight against the welfare cuts, and to help the people they are supposed to be the party for! They’ve really done nothing when all is said and done.”

If Ed Miliband was reading this, I would be asking if he was getting the message yet (are you, Ed?) and what he proposes to do about it. You think not? Let’s have some more comments from people who should be supporting Labour – I’ve got plenty of them!

“There has been absolutely no fight in this opposition and I am ashamed of them.”

“People need a reason to apply their votes to Labour and Miliband-Balls are not providing them with one. They are sleepwalking into another hung Parliament and a very real risk of the Tories teaming up with UKIP. Then we’ll really see Nazism grip this country.”

“The would-be voters demand change and need bold new policies to blunt the Tory cutters. If the Labour Party cannot come up with policies which are radical then they don’t deserve to be in power at the next election, or ever.”

“Ed Balls worries me because he seems intent on copycatting Osborne. For example Osborne says he will run a surplus by the end of the next Parliament and Balls promises the same. Osborne say he will be introducing a Benefit Cap on social security spending on working age benefits (which could have devastating effects and lead to real terms cuts in benefits for years on end) and Balls says that Labour will vote with the Coalition to introduce it.”

“Surely we need some clear red water between Labour and the Tories? Surely Labour needs to differentiate itself more from the policies of the Coalition?”

“I sent an email to the Labour Party asking for its policy on TTIP (the rightly-feared Transatlantic Trade and Investment Partnership that will force employment standards down to third-world levels, or below), amongst other things. They were decidedly equivocal and I felt no reassurance at all. I think it’s about we faced facts, Labour aren’t being coy in a pre-election year to avoid frightening the horses, they really are just another pack of neoliberals.”

This is how left-wing voters (and the squeezed-middle waverers to whom Ed Miliband keeps trying to pander) see the modern Labour Party: Carbon-copy Tories with no fresh ideas who aren’t worth the effort of voting.

If any of Ed’s shadow cabinet is okay with that description, he needs to sack them and bring in someone with a clue. And he needed to do it last year.

If the Conservatives win in 2015, it seems clear that responsibility will lie as much with Labour’s failure to provide any clearly-visible alternative.

We have already seen carnage inflicted on the poor, the sick and disabled, and a Conservative-only government (or in collaboration withUKIP) would increase that bloodshed tenfold (senior citizens take note: the bribe you were given last week was a trick and if you vote Conservative, many of you will not live to rectify your error at another election).

Unless Ed Miliband sorts out his party – pronto – that blood will be on his hands as well, and the people will not forgive him.

Note that I did not say they won’t forgive Labour. I said they won’t forgive Ed Miliband.

Words cannot describe the way people feel at what has been done to them by the Coalition. If Labour reveals even the slightest element of complicity, I wouldn’t give a farthing for Miliband’s safety.

That goes for the rest of the shadow cabinet too.

Follow me on Twitter: @MidWalesMike

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Is this the DWP’s latest statistics fix?

06 Thursday Feb 2014

Posted by Mike Sivier in Benefits, Employment, People, Politics, tax credits, UK, Workfare

≈ 22 Comments

Tags

5 Live, BBC, benefit, benefits, cap, Department, DWP, employ, employment, fix, fraud, Freud, government, interview, investigation, job, Jobseeker's Allowance, Lord, Mike Sivier, mikesivier, Pensions, people, politics, seeker, self, social security, statistics, tax credit, unemployment, Vox Political, welfare, work, Work Programme


Detective work: Let's uncover the facts hidden in the DWP's latest attempt to dazzle us all with statistics.

Detective work: Let’s uncover the facts hidden in the DWP’s latest attempt to dazzle us all with statistics.

According to the DWP, and dutifully repeated by the BBC, more than 3,000 people who were subjected to the government’s benefit cap have now found work.

But have they?

This statistic – and the basis on which it is worked out – seems very suspicious to us here at Vox Political. That is why this site is appealing for anyone whose benefit cap has been removed because of it to contact us with their story.

Here’s what the DWP is saying: “Over 8,000 households who had their benefits capped have since found jobs, reduced their benefit claim, or had another change of circumstance – with 40 per cent of these finding work.”

Lord Fraud – sorry, Freud… although it seems likely that he is living up to his nickname in this case – said: “It is encouraging to see that people who have been subject to the cap are moving into work, so soon after national implementation was complete.

“Our reforms are creating an alternative to life on benefits and already we are seeing an increasing number of people changing their circumstances so they are no longer subject to the cap.”

Changing their circumstances, are they? An alternative to life on benefits – or just an alternative life on benefits?

Does anybody else recall another situation in which people were advised to change their circumstances to avoid the effect of a government benefit change?

Here’s a clue: “Jobseekers on the Work Programme are being encouraged to declare that they are self-employed – when they aren’t – in order to get more money in tax credits than they would on Jobseekers’ Allowance.”

That’s right – this site reported, almost exactly a year ago (February 4, 2013), a BBC 5 Live investigation that interviewed people who “admitted they had been told to claim tax credits as self-employed people, even when they had no feasible job ideas or could not possibly turn a profit. They said they thought it was fraud.”

Let’s look at today’s figures on the Benefit Cap. The report suggests that 3,250 households were no longer subject to the cap – the magic 40 per cent who found work – because they had “an open tax credit claim”.

It would be wrong to suggest that every single one of these households had been urged to pretend self-employment, in order to avoid the cap – and thereby make it seem that the government was getting people into work, just as with the jobseekers last year. Some of them may have started their own business and some may have started working for other people.

But did they really all manage this feat, when there are five jobseekers for every available job?

It isn’t logical, is it?

That’s why Vox Political wants to hear from you if you were told to say you were self-employed, even though you didn’t have a job, in order to evade the Benefit Cap. You won’t be identified in any future article; the aim is to establish what is really going on.

It seems likely that the DWP is committing more benefit fraud than the rest of the country combined.

Vox Political deplores benefit fraud –
especially if it is committed by the government!
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The State of Osborne: a visitor’s guide

07 Saturday Dec 2013

Posted by Mike Sivier in Economy, Employment

≈ 23 Comments

Tags

allowance, Anthony Nicholas, austerity, autumn statement, avoid, bedroom tax, benefit cap, book, breathtaking complacency, budget, building, cap, Coalition, Conservative, debt, deficit, Democrat, Department, double-dip, DWP, economy, education, election, employer, employment, error, evade, evasion, fraud, Free, fuel duty, full-time, Funding For Lending, George Osborne, Gideon, help to buy, holiday, house, Huffington Post, ill, Joanne Wood, jobs tax, Jobseeker's Allowance, JSA, keynes, KPMG, Labour, Lib Dem, Liberal, living standards, loan, Mark Ferguson, married, marry, mental, Michael Gove, Mike Sivier, mikesivier, national insurance, OBR, office, Owen Jones, part-time, pay, pensioner, Pensions, recession, responsibility, Robin Stacey, sanction, school meal, self-employed, sell, sick, spending, stagnate, stagnation, student, surplus, tax, The Guardian, Tom Clark, Tories, Tory, Twitter, under occupation charge, VAT, Vox Political, wage, welfare, Will Moriarty, work, zero hours


A moment of crisis for David Cameron as he realises it is unlikely that George Osborne has the faintest idea what the Autumn Statement means.

A moment of crisis for David Cameron as he realises it is unlikely that George Osborne has the faintest idea what the Autumn Statement means.

If anybody else had prattled on for 50 minutes while hardly uttering a single sensible word, they would have been consigned to a mental hospital forthwith.

But this is Coalition Britain, and the speaker was George Osborne, the man who likes to tell us all that he is in charge of the nation’s finances. Thanks to his government’s Department for Work and Pensions, nobody is allowed to have mental illnesses anymore; after this speech, it seems likely we all have an idea about the reason for that.

A 50-minute speech is a lot of verbiage, and it is certain that worthier journalists across Britain – if not the world – have already analysed it to exhaustion. Allow me to let you into a secret:

They’re probably trying too hard.

Most of the speech was about putting Labour down. The Opposition has made all the headway over the past few weeks, and we all knew Osborne was under orders to change the mood music of the nation in time for Christmas.

Did he manage it? Not really. His speeches always come across as strained events, where he’s making an effort to be clever without ever achieving it. As a result, the message gets lost. We can therefore discount the Labour-bashing.

That leaves us with what he actually said. Even here, his meaning was at times opaque. What follows is an attempt to provide a handy guide to George-speak, for anyone unfortunate enough to have heard him yesterday.

Osborne: “We have held our nerve while those who predicted there would be no growth until we turned the spending taps back on have been proved comprehensively wrong.”/Meaning: “I am lying. Austerity failed miserably and the economy flatlined. A few months ago I realised that we would have nothing to show at election time so I turned the spending taps back on, with Help To Buy and Funding For Lending. I know that these are exactly the sort of Keynesian economic levers that I preached against for three years but I’m hoping that nobody noticed.”

The hard work of the British people is paying off, and we will not squander their efforts./Osborne appears to be celebrating his three years of stagnation. He inherited growth and decided to trash it. (MagsNews on Twitter)

There was no double-dip recession./“Phew! Lucky escape there!”

At the time of the Budget in March, the Office of Budget Responsibility forecast that growth this year would be 0.6 per cent. Today, it more than doubles that forecast and the estimate for growth will be 1.4 per cent./“Please God don’t let anybody remember that three years ago, the forecast for this year was 2.9 per cent.”

Today in Britain, employment is at an all-time high… We have the lowest proportion of workless households for 17 years./These jobs have increased the numbers of the working poor. Too few are full-time; too many are part-time, zero-hours or self-employed, serving up no National Insurance contributions from employers, no holiday or sick pay, or making contractors work long hours for less than the minimum wage.

The number of people claiming unemployment benefit has fallen by more than 200,000 in the past six months—the largest such fall for 16 years./“And we have imposed sanctions on more people on Jobseekers’ Allowance than ever before, in order to produce that figure.”

By 2018-19, on this measure, the OBR does not expect a deficit at all. Instead, it expects Britain to run a small surplus. These numbers mean that the Government will meet their fiscal mandate to bring the structural current budget into balance and meet it one year early./Although of course the books were initially supposed to be balanced by 2015. (Huffington Post live blog)

This year, we will borrow £111 billion, which is £9 billion less than was feared in March./…and £41 billion more than forecast in 2010.

We will cap overall welfare spending./But this will not include the state pension (half the social security budget) or the most cyclical jobseeker benefits./”A living wage would mean less dosh on in-work benefits; letting councils build would mean less subsidies for private landlords.” (Owen Jones on Twitter)

Pensioners will be more than £800 better off every year./But as usual he’s ignoring the VAT elephant in the room. (Mark Ferguson on Twitter)

We think that a fair principle is that, as now, people should expect to spend up to a third of their adult lives in retirement. Based on the latest life expectancy figures, applying that principle would mean an increase in the state pension age to 68 in the mid-2030s and to 69 in the late 2040s./But life expectancy depends on where you live and how much money you have, meaning the poor continue to pay more towards the pensions of the rich./”Current pensioners better off – future pensioners paying for it. What was that about “making our kids pay for current spending” George?” (Mark Ferguson of LabourList on Twitter)

Most wealthy people pay their taxes and make a huge contribution to funding our public services; the latest figures show that 30 per cent of all income tax is paid by just one per cent of taxpayers./Estimates of the amount of tax that is not collected range between £25-£120 billion per year and it is not the poor who aren’t paying up.

This year the rich pay a greater share of the nation’s income taxes than was the case in any year under the last Labour Government./Because they now have more income. Simple really. (Tom Clark of The Guardian, on Twitter)

Today we set out in detail the largest package of measures to tackle tax avoidance, tax evasion, fraud and error so far this Parliament. Together it will raise over £9 billion over the next five years./Including capital gains tax for foreign investors on sales of UK property, which has nothing to do with tax avoidance/evasion, fraud or error.

We must confront this simple truth: if we want more people to own a home, we have to build more homes… The latest survey data showed residential construction growing at its fastest rate for a decade./The rate of house building is at its lowest peacetime level since the 1920s

This autumn statement has found the financial resources to fund the expansion of free school meals to all school children in reception, year 1 and year 2, announced by the Deputy Prime Minister and supported by me./On Wednesday, the Lib Dems and Michael Gove’s education department argued over who had to pay for it.

Extra funding will be provided to science, technology, and engineering courses [in universities]. The new loans will be financed by selling the old student loan book, allowing thousands more to achieve their potential./And pushing thousands into the hands of debt collectors.

The best way to help business is by lowering the burden of tax. KPMG’s report last week confirmed for the second year running that Britain has the most competitive business tax system in the world./KPMG would know – it writes the tax system and also runs some of the larger tax avoidance schemes.

From April 2015 we will introduce a new transferable tax allowance for married couples… Four million families will benefit, many of them among the poorest working families in our country./Osborne says the Tories are backing British Families – but only ones who are married it seems. (Mark Ferguson on Twitter)/While the new tax arrangements bribe families to marry, the benefit cap will bribe big families to split up. (Tom Clark on Twitter)

We are all in this together./The biggest lie of this Parliament.

We are also helping families with their energy bills./Commence the cutting of the “green crap”. This from the “Greenest government ever”. (Mark Ferguson on Twitter)

Next year’s fuel duty rise will be cancelled./This is a cut in a tax that was never imposed in the first place.

We are going to abolish the jobs tax on young people under the age of 21. Employer national insurance contributions will be removed altogether on a million and a half jobs for young people./Young people will therefore have less chance to get contribution-based benefit. National Insurance assures people their pension contributions – except when it isn’t paid. So they will have no contributions to show for any years they worked before 21 and will have to work until their late 60s.

The cost for a business of employing a young person on a salary of £12,000 will fall by over £500./This is a bonus for businesses, not employees.

“Jobs tax” – it’s ludicrous, isn’t it? National Insurance has been a respected part of British life for more than 100 years but Osborne, living as he does in a mythical Victorian-era golden age that never actually existed, thinks it is a “jobs tax”. Either that or he’s still bruised by the fact that Labour’s labelling of the under-occupation charge as a Bedroom Tax caught on with the public.

Shadow Chancellor Ed Balls got on his feet and immediately attacked Osborne’s “breathtaking complacency” for denying the drop in living standards faced by everyone in the country, with families already £1,600 per year worse off. Osborne laughed. He thought that was funny.

The Shadow Chancellor pointed out that we are enduring the slowest recovery in a century, and that average real wages will have dropped by 5.8 per cent by the end of the Parliament (except for fatcat business bosses).

He was having a hard time getting his points across, however, because Tory MPs were heckling him very loudly. Owen Jones tweeted, appositely, “Do the Tories think that a bunch of braying MPs dripping with privilege, while ordinary people’s living standards crash, is good TV?”

Maybe they did. Maybe they thought they had the public on their side.

Let’s have a look at a few comments from the public – courtesy of the Huffington Post:

“Planning to kill more people, George?” (Robin Stacey)

“Spend more you wet lipped monkey.” (Will Moriarty)

“No one has an ounce of faith in anything you say, you parasitic pool of curdled warthog’s puke.” (Anthony Nicholas)

And finally: “Hope you end the speech with your resignation x” (Joanne Wood – and yes, she did mean to end with a kiss).

What a shame Osborne did not follow her advice.

 

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Public and private debt reach record levels under ConDem Coalition

30 Saturday Nov 2013

Posted by Mike Sivier in Benefits, Conservative Party, Cost of living, Economy, Employment, Housing, Liberal Democrats, People, Politics, Poverty, Public services, UK

≈ 7 Comments

Tags

bank, bankrupt, BBC, benefit, benefits, borrow, breadline, building, cap, claim, Coalition, ConDem, Conservative, Dawn Capital, debt, Democrat, economy, George, George Osborne, Gideon, government, household, insolvent, job, landlord, Lib Dem, Liberal, loan, Mike Sivier, mikesivier, mortgage, off, order, Osborne, people, politics, possession, private, public, rate, repossess, social security, societies, society, tax, tax haven, taxation, The Money Charity, Tories, Tory, unemploy, unemployment, welfare, Wonga, work, write, wrote


inflation

Household debt in the UK has reached a record £1.43 trillion, according to the BBC. What a marvellous achievement for Gideon George Osborne to put next to his already-record public net debt of £1.212 trillion (excluding interventions) or £2.184 trillion (including them).

If you’re surprised at that, don’t be – he needs to pretend that there isn’t any money so he can cut any services that are still left in the public domain after the fire sale of the last few years.

The Tory plan was always to increase private debt. Of course it was – if you cut public spending for people on the breadline, then they go into debt. Why do you think Wonga.com’s owner Dawn Capital is such a prolific contributor to Tory Party funds, with £537,000 in known donations this time last year?

The rich are shielded from debt problems in the same way they are shielded from taxation, thanks to the way our tax laws have been rewritten in their favour – all their money is safely tucked away in tax havens and can’t be touched.

On average, each adult in the UK owes £28,489. Some owe much more than that, though. Yr obdt srvt doesn’t owe a bean to anyone, despite being very poor, so that’s already £28,489 to be spread among everyone else. Mrs Mike isn’t in debt either.

The BBC report cautiously suggests that the record debt level “might increase concerns that the UK’s economic recovery [you know, the one they keep talking about on the news and in Parliament as if it actually exists] is based on increased borrowing, rather than growth sustained by rising incomes” – which of course is correct.

According to The Money Charity, total net lending by UK banks and building societies rose by £1.9 billion in September 2013 – that’s just in one month.

Over the four quarters to Q2 2013, they wrote off £3.67 billion of loans to individuals. In Q2 2013, the daily write-off was £7.61 million.

Based on the latest available data, every day in the UK 285 people are declared insolvent or bankrupt – that’s one every five minutes; 84 properties are repossessed; 1,447 people lost their jobs and eight people became unemployed for more than 12 months; 141 mortgage possession claims are issued and 113 mortgage possession orders are made; and 431 landlord possession claims are issued and 319 landlord possession orders are made.

The benefit system helps nobody. It has been redesigned specifically to push people further into debt – the cap on benefit rate increases to one per cent per year means people are two per cent worse-off for every year it continues, while inflation remains at current levels.

It is in this atmosphere that words written in this blog more than a year ago come back to haunt us all: “What do people do for money when the State fails them and they can’t get work? They fall into the debt trap.

“High-interest, doorstep lending to poor people is Britain’s latest – perhaps only – boom industry. In other words, the government’s sick benefits regime is forcing the poor into debt to organisations that will take away everything they have left, in order to make up payments on a loan whose interest rate they probably made up on the spot.

“And when they’ve taken everything, what do you do then?

“Do you really want your kids to starve?”

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Cameron’s speech: The false claims of a failing politician

02 Wednesday Oct 2013

Posted by Mike Sivier in Benefits, Business, Conservative Party, Cost of living, Crime, Democracy, Disability, Economy, Employment, Health, Housing, Immigration, Law, Liberal Democrats, People, Police, Politics, Poverty, Race, Tax, Terrorism, UK, unemployment, Workfare

≈ 23 Comments

Tags

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Don't you think he looks old?

Don’t you think he looks old?

Was that really it?

After the barrage of new policy plans from the Labour Party last week, David Cameron’s big revelation, at the end of the most disappointing Conservative conference since – well – the last one, is a hint that the Tories want to take benefits away from anyone under 25 who isn’t in work or education, if they win in 2015?

More repression, then. In a speech that we’re asked to believe is about making the UK a land of opportunity, of aspiration? A “land of hope and Tory”?

Land of hopeless Tories, more like!

Let’s look at those options. Put someone aged between 16 and 25 back into education and you put them into debt (unless they have very rich parents) – we have the Liberal Democrats to thank for that, after they betrayed their own manifesto promise and supported a massive increase in student fees.

Force them into work and its an employer’s market, isn’t it? They can hire or fire under any conditions they like – and the minimum wage will be no problem. You don’t like zero-hours contracts? Too bad – it’s a choice between being listed as employed but unlikely to get any paying work, or losing the pittance you live on anyway. Part-time wages putting you into debt? You’ll be homeless a lot faster without any benefits!

Whatever happens, of course, the benefit bill comes down and fewer people are classed as unemployed.

Just like George Osborne’s plan to put the long-term jobless on indefinite Workfare, this will falsify the employment figures to make it seem the Conservatives have improved the economy when in fact they are making matters worse.

The rest of it was a web of lies and waffle. It has been suggested that Cameron wanted to re-use his speech from last year, rewriting it minimally in the hope that nobody would notice, and that it would be worth finding out if this is true – but that would not get to the heart of the matter, which is that the Conservative Party has completely run out of momentum.

They’re at a dead stop and all they have to support them is falsehood.

Cameron’s speech started with a claim that the Tories are on the side of “hardworking” (it’s hard-working, David – learn some English) people. While he waffled, I had a look at some of the Tory slogans and tried to match some facts to the claims. So we have:

“A tax cut for 25m people” – but they put the cost of living up and wages down so “hardworking” people are worse-off.

“The deficit down by a third” – two years ago. It has been years since they made any notable progress.

“More private sector jobs” – that don’t pay “hardworking” people a bean because they’re part-time or zero-hours. They have also cut the public sector – and given those jobs to people on Workfare.

“Welfare capped” – so poor people are forced towards destitution or suicide

“Crime down” – because police are discouraged from recording crimes against “hardworking” people?

“Immigration down” – because the UK isn’t attractive to “hardworking” foreign people any more.

To these, Cameron added:

“Helping young people buy their own home” – by creating a debt bubble and asking the taxpayer to foot the bill.

“Getting the long-term unemployed back to work” – in order to falsify employment statistics.

“Freezing fuel duty” – and doing nothing about the huge, unjustified, price increases demanded by energy companies.

“Backing marriage” – with less than 20p a day for the poor.

“Creating wealth” – for whom?

“We are clearing up the mess that Labour left” – Labour didn’t leave a mess. Bankers left the mess. Why have the bankers not been cleaned up? Why has Mr Cameron thrown money at them instead?

He referred to the fact that Theresa May (finally managed to have Abu Qatada deported. She wants to get rid of the Human Rights Act, claiming it is necessary if the government is to be able to – among other things – deport suspected terrorists, right? So her action has proved that repealing an Act that protects the rights of British citizens isn’t necessary.

“Who protected spending on the NHS? Not Labour – us.” Wrong. At last count, spending on the NHS under the Conservative-led coalition was down. The plan was to spend £12.7 billion more by May 2015, but by December last year this meant the government needed to find more than £13 billion for this purpose.

He referred to the Mid Staffs hospital scandal as a Labour disaster – look to the Skwawkbox blog for the facts (hint: it’s not as clear-cut as Cameron pretended).

“When the world wanted rights, who wrote Magna Carta?” he said in all hypocrisy. Is he telling us the British people – who demanded those rights in the first place – are now demanding that he divest us of those same rights by repealing the Human Rights Act?

“When they looked for compassion, who led the abolition of slavery?” Fine words from a man whose lieutenant, Iain Duncan Smith, has been working hard to restore slavery for the unemployed, sick and disabled – even going to the lengths of pushing through a retrospective law, after his rules were found to be illegal.

“Whose example of tolerance – of people living together from every nation, every religion, young and old, straight and gay – whose example do they aspire to?” Perhaps someone should point him to his Home Secretary’s advertising vans, which preached intolerance of anyone who wasn’t demonstrably white and British by encourage people on the street to tell anyone else to “go home” in what Owen Jones called the language of knuckle-dragging racists.

His plea for Scotland to remain in the UK must have seemed particularly hypocritical, as the man who has passed more divisive policies than any other Prime Minister, possibly in British history, called for “Our Kingdom – United”.

There was more, much more – and if you have the stomach for it, you can find it here.

The underlying theme was that he wanted to appeal to British citizens to let the Conservatives back into office with a majority government in 2015, so they could “finish the job”.

If we let his party finish the job, we’ll be left with a ruined country, a wrecked system of government, and an elite ruling class laughing all the way to the offshore bank.

I made my opinion clear in a message to the BBC’s ‘live coverage’ page (which of course wasn’t used). I’ll repeat it here:

This speech is really distressing.

Cameron has learned nothing from the last three years, in which his policies have caused suffering to millions of hardworking people.

There is nothing in his words for hardworking people to support.

No growth, no hope, no health…

No future.

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Turncoat Tory’s blue-sky talk can’t hide the damning truth

27 Friday Sep 2013

Posted by Mike Sivier in Benefits, Conservative Party, Cost of living, Disability, Employment, People, Politics, Poverty, Tax, UK, unemployment

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A head up his own behind: David Freud doesn't want to make work pay - he just wants you to think he does.

A head up his own behind: David Freud doesn’t want to make work pay – he just wants you to think he does.

Here’s another Tory who should go boil his head: David Freud.

This former Labour advisor on social security – who had previously worked in the city, setting up company share flotations (and if that isn’t a deeply worrying connection, what is?) – crossed the floor to the Conservative Party when he realised Labour wasn’t going to keep power in 2010, and was rewarded with an utterly undeserved peerage.

It is possible that he has done at least as much harm to the unemployed as Unum and Atos, along with an equal amount of harm to those on low wages.

He has written a worthless screed in the Huffington Post, no doubt part of an attempt to soften us all up for a new assault on the workless. We’ll get to his words in a moment. First, let’s look at the current situation, as created by the David Cameron government that Freud serves.

Under the current government, real wages have fallen in 36 out of 37 months – the only month when they didn’t fall was April 2013, when millionaires had their tax cut and bank bonuses rocketed. You can be assured that ordinary wages continued to plummet.

This has been led, of course, by the social insecurity policies adopted by Freud. The plan has always been to make life extremely difficult for the unemployed, ensuring they will chase work wherever they can find it – no matter how poorly-paid. This is why zero-hours contracts have gained the prevalence they have, which would be unacceptable in a civilised society.

It also means that company bosses can push wages down, even if prices are rising and people are facing a cost of living crisis – because they can always say there are plenty of unemployed people willing to take a complaining worker’s place.

And prices are rising. Inflation has been above the current two per cent target throughout Cameron’s administration, meaning that, in 2011, 70 per cent of people saw their real wages fall as pay packets failed to keep up with inflation. Families were an average of £891 worse-off in the current financial year because of tax rises and cuts to tax credits and benefits introduced since 2010 – negating the much-touted £600 that was given back when the Coalition raised the threshold for tax payment.

The government has blamed high inflation on “rising global prices” but this is nonsense – inflation in other G7 countries has been lower than in the UK, disproving the claim.

Wages after inflation are forecast to be £1,520 lower in 2015 than in 2010, meaning that working people, on average, will have lost a total of £6,660 in real terms under the Coalition government of David Cameron.

It is against this background that David Freud has written, in the Huffington Post, about what he seems to think are his government’s successes in forcing unemployed people to chase your jobs, thereby keeping your wages low. They can’t go after other jobs, you see – this government hasn’t lifted a finger to create any!

“The benefit cap is now in place across the country,” he began. “This means that benefit claims are limited to a fair level, a maximum of the average working household earnings of £500 a week.” Instantly, he is distorting the truth. The income of an average household earning that much would be topped-up with benefits totalling a further £105 or thereabouts. The benefit cap is, therefore, intrinsically unfair.

“The taxpayer who funds the welfare state has the assurance that someone in receipt of benefits no longer has an income that’s beyond the reach of the average working family.” A flat-out lie. The average benefit recipient never received more than an average working family. As a rule, benefits totalled one-sixth of wages and the one per cent limit on benefit uprating over the next three years – no matter what inflation does – means a huge drop in real terms during that period.

“The benefit cap has removed the barrier some people faced getting into work.” Another lie. The barrier that was stopping people getting into work was a lack of jobs that paid enough for people to cover their costs. Freud and his government want you to compete for jobs that put you into debt at a s-l-I-g-h-t-l-y slower rate than if you were unemployed.

“I must be clear, the old system failed people. If benefits provide an income well above wages, sticking to receiving state support over going out to work is too easy a decision to make.” A false premise. Benefits never provided an income well above wages – except for people in extraordinary circumstances (and those people had stopped receiving such income before the benefit cap was imposed). It’s lie after lie with this man.

“Our reforms put getting into work at the top of the agenda.” No – they set working class people against each other, scrabbling for jobs that pay marginally more than benefits while employers compete in a race to the bottom, to see who can get away with paying the least.

“Universal Credit will make sure it pays to work and the benefit cap ensures a lifestyle on benefits is not a lifestyle beyond the reach of the average household.” Universal Credit is, as we all now know, a money pit into which Iain Duncan Smith has poured hundreds of millions of pounds and received nothing in return. The average household will soon endure a lifestyle – in work – that is almost indistinguishable from one on benefits, as wages continue to fall.

“That is why alongside putting the cap in place, we made sure that people who get a job and are eligible for working tax credits are exempt.” But hasn’t this government made working tax credits harder to claim?

“We have ensured that households who should be exempt, such as people claiming disability benefits as well as war widows and widowers, have not been affected.” What about sick and disabled people on Employment and Support Allowance, which is not classed as a disability benefit even though it is paid to people with disabilities? They have been dying in their thousands as a result of Freud’s policies.

Yes, this man’s ideas kill.

David Freud’s middle initial is ‘A’. Someone recently pointed out that initialising ‘David A Freud, Tory’ gives you the acronym ‘DAFT’.

You’d have to be daft to believe him.

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