Cumulative effect of welfare reform revealed – deprived areas hit much harder than the rich

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Deprived parts of Glasgow were worst-affected by ‘welfare reform’ according to The Courier [Image: thecourier.co.uk].

The headline should not come as a surprise – of course changes that cut benefits for the poor are going to harm them more than rich people.

But do you remember David Cameron’s claim that his government would be the most transparent ever?

Isn’t it interesting, then, that the independent Equalities and Human Rights Commission (EHRC) has found a way to compile information on the effects of tax, social security and other spending changes on disabled people, after the government repeatedly claimed it could not be done?

It seems Mr Cameron has something to hide, after all.

We already have a taste of what we can expect, courtesy of our friends in Scotland, who commissioned the Centre for Regional Economic and Social Research at Sheffield Hallam University to study the relationship between deprivation and financial loss caused by “welfare reform”.

The study shows that more than £1.6 billion a year will be removed from the Scottish economy, with the biggest losses based in changes to incapacity benefits. The Scottish average loss, per adult of working age, is £460 per year (compared with a British average of £470) but the hardest hit area was impoverished Glasgow Carlton, where adults lost an average of £880 per year.

In affluent St Andrews, the average hit was just £180 per year.

Of course, the cumulative effect will hit the poorest communities much harder – with an average of £460 being taken out of these communities it is not only households that will struggle to make ends meet; as families make cutbacks, local shops and businesses will lose revenue and viability. If they close, then residents will have to travel further for groceries and to find work, meaning extra travel costs will remove even more much-needed cash from their budget.

For a nationwide picture, the EHRC commissioned the National Institute of Economic and Social Research (NIESR) and the consultancy Landman Economics to develop a way of assessing the cumulative impact of “welfare reform”.

The report will be published in the summer, but Landman Economics has already told Disability News Service that the work was “not actually that difficult”.

Why, then have Mark Hoban, Esther McVey and Mike Penning, the current minister for the disabled, all claimed that a cumulative assessment is impossible?

Some might say they have a vested interest in keeping the public ignorant of the true devastation being wreaked on Britain’s most vulnerable people by Coalition austerity policies that will ultimately harm everybody except the very rich.

Some might say this is why the BBC – under the influence of a Conservative chairman – failed to report a mass demonstration against austerity by at least 50,000 people that started on its very doorstep.

Misguided conspiracy theorists, all!

Or are they?

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At last the crisis of British democracy is addressed by a party leader: ED MILIBAND

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communities, community, crisis, democracy, disenchantment, Ed Miliband, Facebook, fair, future, government, hard work, inequality, job, Labour, Mike Sivier, mikesivier, people, politics, Queen's speech, reward, share, UKIP, Vox Political, wealth

Champion of democracy: Ed Miliband told the country he wants Parliament to provide what the people want, signalling that Labour plans to return to the principles of democratic government that have been abandoned by the Conservatives and Liberal Democrats.

Hopefully the naysayers among Vox Political‘s readership will have a little more respect for Mr Miliband after today.

He is the first – and so far, the only – leader of a mainstream British political party to have correctly identified the biggest problem facing our democracy at this time:

The fact that people aren’t bothering to vote.

Here’s what he said, in his response to the Queen’s Speech:

“The custom of these debates is to address our opponents across the despatch box in this House, but today on its own that would be inadequate to the challenge we face.

“There is an even bigger opponent to address in this Queen’s Speech debate – the belief among many members of the public that this House cannot achieve anything at all. Any party in it.

“About 10 per cent of people entitled to vote, voted for UKIP in the recent elections. But – as significant – over 60 per cent did not vote at all.

“And whatever side we sit on, we will all have heard it on the doorstep: ‘You’re all the same, you’re in it for yourself, it doesn’t matter who I vote for.’

“Of course, that’s not new, but there is a depth and a scale of disenchantment which we ignore at our peril – disenchantment that goes beyond one party, beyond one government.

“There is no bigger issue for our country and our democracy.

“So, the test for this legislative programme, the last before the general election, is to show that it responds – to the scale of the discontent and the need for answers.

“In this election, we heard concerns about the way the EU works and the need for reform. We heard deep-rooted concerns about immigration and the need to make changes. But I believe there is an even deeper reason for this discontent.

“Fundamentally, too many people in our country feel Britain doesn’t work for them and hasn’t done so for a long time:

“In the jobs they do and whether their hard work is rewarded.

“In the prospects for their children and whether they will lead a better life than their parents, including whether they will be able to afford a home of their own.

“And in the pressures communities face.

“Above all, whether the work and effort people put in is reflected in them sharing fairly in the wealth of this country.

“The Governor of the Bank of England gave a remarkable speech last week saying inequality was now one of the biggest challenges in our country. We should all be judged on how we respond to this question, right as well as left.

“There are measures we support in this Queen’s Speech including tackling modern slavery, an Ombudsman for our Armed Forces and recall.

“But the big question for this Queen’s Speech is whether it just offers more of the same or whether it offers a new direction, so we can genuinely say it works for all and not just a few at the top.”

Yes – exactly. Yes!

Within the last couple of days, I was saying on the Vox Facebook page that Labour needs to recognise the threat posed by UKIP in the context of disenchantment with democracy: With so few people voting, the door is thrown open to loony extremist right-wing parties.

The only solution is for the mainstream parties to ensure they know exactly what the people will support and offer the electorate what we want, rather than what they want to push on us.

With this speech, Mr Miliband has made it clear that he gets it, and that he is listening.

As the only leader who does – and is – this should put him well ahead by next May.

All he has to do is deliver what he has promised.

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