Poverty: The situation’s bleak, but the future looks worse!

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We all owe a debt of thanks to the Joseph Rowntree Foundation for its work to reveal the depth of poverty in British society today.

The Foundation’s latest report reveals that – even by standards that have slipped since the Coalition government came into office – in-work poverty has galloped ahead of that suffered by those in workless and retired families – proving once and for all that, under the Tories and Liberal Democrats, work doesn’t pay!

But the situation is actually worse than the figures suggest, because the poverty line is always 60 per cent of average (median) income – and incomes in the UK have been dropping. Some say the average is now seven per cent lower than in 2010; others say nearly 10 per cent.

This means that, if we add in the people in working families who would be below the poverty line if it had remained at, say, 2008 levels, another two million people would be considered to be in poverty. These people are no better-off than they were before the poverty level slipped; they can’t buy more than they could before – in fact, their money goes a lot less far because inflation, even at 2.7 per cent, has hugely outstripped pay increases.

Add in the number of workless and retired families who are also in poverty – 6.3 million – and we have 15 million people in poverty in the UK today. That’s a quarter of the population of the seventh largest economy in the world.

And George Osborne wants us to congratulate him for his achievements over the past three years. Well done, George. You have conclusively proved that you are the worst Chancellor in British history – heading up the worst government in British history.

Let’s look at some of his successes:

The fall in average incomes in the last two years alone has wiped out all the gains made by Labour in the previous decade – and George has another year and a half to put people in even more serious trouble.

Worse still, incomes for the poorest 10 per cent of the population have been falling since 2004/5, because the neoliberal New Labour government did not protect them. These are the people for whom the four ‘D’s – debt, destitution, desperation and despair – will hit hardest.

The proportion of low-paid jobs increased in 2012. Remember that, when the government tells you that more people are in work than ever before. They are not telling you that these jobs keep people in poverty. They are not telling you the fact that, under the Coalition, work most certainly does not pay.

Among those in work, the number paid less than the living wage rose from 4.6 million to five million in 2012. This means 400,000 more working people are having to claim benefits to make ends meet. Work does not pay. The five million figure is one-sixth of the total workforce and includes two million people who had never previously claimed.

Meanwhile, those in benefit are being pushed into very deep poverty by sanctions, the effect of overlapping changes to social security benefits – which the government has again and again refused to measure, and the falling value of benefits due to the Chancellor’s one per cent uprating cap.

More sanction referrals were made on the unemployed between 2010 and 2012 than there are people currently claiming Jobseekers’ Allowance (1.6 million, against 1.48 million claimants) – and 800,000 benefit stoppages or reductions were approved. This impacts on the government’s jobless figures, which do not include the number of jobseekers under sanction. Think about it – 800,000 is more than half the number that official figures show are out of work. Also, we know that Workfare is being stepped up, in order to fiddle the figures even more seriously.

The Bedroom Tax and council tax benefit cuts have hit 400,000 families, of whom around 267,000 families were already in poverty.

It is in this context that Iain Duncan Smith feebly attempted to distract attention away from the damning facts by telling the Telegraph that 50 families were each earning around £70,000 in benefits before his benefit cap (the £26,000-per-year, not the one per cent uprating limit) was brought in.

While this may be a shocking figure for some people, he did not provide the full details. How many people are we discussing, per family? Will the cap push them below the poverty line? Considering the facts laid out above, would a job relieve poverty for these families – or make it worse?

Smith – or ‘RTU’, as we call him here (it stands for ‘Returned To Unit’, a reference to his dismal Army career) – has yet again insisted that his diabolical changes are making the system “fair”. Anybody who repeats an assertion such as this, as often as he has, knows that nobody believes it.

Today, he is due to go before the Commons Work and Pensions Committee to account for his persistent interference with the statistics. Expect bluster and bravado but do not expect the facts.

For example, he will never admit how many people have died from the poverty caused by his assessment regime for Employment and Support Allowance.

That figure alone could bring down this government.

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The Queen’s Speech (translated) – brief words signifying so much harm

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A true pro: It is a testament to the Queen’s professionalism that she is able to get through her speech at the annual opening of Parliament without either laughing at the stupidities or choking in horror at the implied threats to her citizens.

Today the Queen made her speech at the official opening of Parliament. Her words were, as always, written by the government of the day, and therefore it seems appropriate to provide a translation, as follows:

“My government’s legislative programme will continue to focus on building a stronger economy so that the United Kingdom can compete and succeed in the world.” Focus on it, but do nothing about it.

“It will also work to promote a fairer society that rewards people who work hard.” If you haven’t got a job, you’re shafted.

“My government’s first priority is to strengthen Britain’s economic competitiveness. To this end, it will support the growth of the private sector and the creation of more jobs and opportunities.” There is no intention to take any action in this regard; the government will simply applaud actions taken by others.

“My ministers will continue to prioritise measures that reduce the deficit – ensuring interest rates are kept low for homeowners and businesses.” Interest rates are nothing to do with the government. It is easy to make promises when no action is required.

“My government is committed to building an economy where people who work hard are properly rewarded. It will therefore continue to reform the benefits system, helping people move from welfare to work.” My government is committed to building a low-wage economy where people have to work hard simply to keep what they’ve got. It will therefore continue to erode the benefits system, forcing people to move from welfare to destitution as a warning to those who’ve got jobs, that this will happen to them if they make a fuss.

“Measures will be brought forward to introduce a new employment allowance to support jobs and help small businesses.” A bung for our friends.

“A bill will be introduced to reduce the burden of excessive regulation on businesses. A further bill will make it easier for businesses to protect their intellectual property.” Deregulation worked so well with the banks in 2007, we thought we’d give other businesses a chance to ruin the economy. And it’s not enough that Facebook now owns everybody’s photographs – corporations want everything else as well.

“A draft bill will be published establishing a simple set of consumer rights to promote competitive markets and growth.” The rights of the consumer will be restricted to what we say they’re allowed, to protect corporate freedoms.

“My government will introduce a bill that closes the Audit Commission.” We don’t want the public to know the facts about our spending and where it goes (into our pockets).

“My government will continue to invest in infrastructure to deliver jobs and growth for the economy.” But we’re not saying where the money will go (into our pockets).

“Legislation will be introduced to enable the building of the High Speed Two railway line, providing further opportunities for economic growth in many of Britain’s cities.” Future economic growth, of course – we won’t see the benefit for many, many years.

“My government will continue with legislation to update energy infrastructure and to improve the water industry.” At huge cost to everybody who has to pay the bills.

“My government is committed to a fairer society where aspiration and responsibility are rewarded.” This is meaningless.

“To make sure that every child has the best start in life, regardless of background, further measures will be taken to improve the quality of education for young people.” This is meaningless.

“Plans will be developed to help working parents with childcare, increasing its availability and helping with its cost.” Private childcare organisations, starting cheaply but costing more as they get a grip on parents.

“My government will also take forward plans for a new national curriculum, a world-class exam system and greater flexibility in pay for teachers.” We’re going to stamp on teachers hard. And the new national curriculum means nobody from state education will be able to compete with our children at Eton.

“My government will also take steps to ensure that it becomes typical for those leaving school to start a traineeship or an apprenticeship, or to go to university.” We’ll shoehorn the state-school mob into something under threat of destitution, and save university for people who can pay for it (like us).

“New arrangements will be put in place to help more people own their own home, with government support provided for mortgages and deposits.” More second homes for Tory voters, as set out in the Chancellor’s Budget speech in March.

“My government is committed to supporting people who have saved for retirement.” If they have savings, they won’t need the national pension and can give it back, like Iain Duncan Smith suggested.

“Legislation will be introduced to reform the way long-term care is paid for, to ensure the elderly do not have to sell their homes to meet their care bills.” They can die there instead.

“My government will bring forward legislation to create a simpler state pension system that encourages saving and provides more help to those who have spent years caring for children.” It’ll encourage saving because it won’t be enough; and carers can have the kids taken away from them.

“Legislation will be introduced to ensure sufferers of a certain asbestos-related cancer receive payments where no liable employer or insurer can be traced.” Otherwise we’ll get the blame for abandoning them.

“My government will bring forward a bill that further reforms Britain’s immigration system. The bill will ensure that this country attracts people who will contribute and deters those who will not.” We’re scared that UKIP is taking our voters away.

“My government will continue to reduce crime and protect national security.” We will privatise the police, MI5 and MI6.

“Legislation will be introduced to reform the way in which offenders are rehabilitated in England and Wales.” If you thought our prisons were schools for criminals before, we’re turning them into universities.

“Legislation will be brought forward to introduce new powers to tackle anti-social behaviour, cut crime and further reform the police.” We will privatise the police and introduce curfews.

“In relation to the problem of matching internet protocol addresses, my government will bring forward proposals to enable the protection of the public and the investigation of crime in cyberspace.” We want to know how it works so we can make money off the internet.

“Measures will be brought forward to improve the way this country procures defence equipment, as well as strengthening the reserve forces.” We’ll buy the cheapest equipment we can find and ask the reservists to do it for no pay.

“My ministers will continue to work in co-operation with the devolved administrations.” Wales, Scotland and Northern Ireland will get even less cash.

“A bill will be introduced to give effect to a number of institutional improvements in Northern Ireland.” It’s too peaceful over there and we need something to distract the plebs from the mess we’re making in the rest of the country.

“Draft legislation will be published concerning the electoral arrangements for the National Assembly for Wales.” If we give the sheep the vote, they might vote Tory.

“My government will continue to make the case for Scotland to remain part of the United Kingdom.” We want their money; we want their oil.

“Members of the House of Commons, estimates for the public services will be laid before you.” Prior to privatisation.

“My government will work to prevent conflict and reduce terrorism. It will support countries in transition in the Middle East and north Africa, and the opening of a peace process in Afghanistan.” We want their money; we want their oil.

“My government will work to prevent sexual violence in conflict worldwide.” We can’t even stop it here.

“My government will ensure the security, good governance and development of the overseas territories, including by protecting the Falkland Islanders’ and Gibraltarians’ right to determine their political futures.” They’re strategically important so we’ll rattle the sabre for them.

“In assuming the presidency of the G8, my government will promote economic growth, support free trade, tackle tax evasion, encourage greater transparency and accountability while continuing to make progress in tackling climate change.” We’ll blame the other nations when none of these things happen.

“Other measures will be laid before you.”

That’s not a promise; it’s a threat.