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Iain Duncan Smith blames rise of food banks on ‘evangelism’ – pot, kettle, black?

10 Tuesday Jun 2014

Posted by Mike Sivier in Benefits, Conservative Party, Food Banks, People, Politics

≈ 33 Comments

Tags

allowance, benefit, Church Action on Poverty, claimant, death, Department, disability, disabled, DWP, Easterhouse, employment, epiphany, ESA, evangelism, food bank, Gallowgates, Glasgow, government, health, Iain Duncan Smith, IB, Incapacity, Laurie Penny, Mike Sivier, mikesivier, Neil Couling, New Statesman, Oxfam, Pensions, people, Political Scrapbook, politics, road to damascus, sick, social security, support, Trussell Trust, unemployment, Vox Political, welfare, work, work capability assessment


Crocodile tears: Everybody thought Iain Duncan Smith had a change of heart at Easterhouse and intended to help people. Instead, under his direction, the Department for Work and Pensions has caused the deaths of thousands upon thousands of innocent people.

Crocodile tears: Everybody thought Iain Duncan Smith had a change of heart at Easterhouse and intended to help people. Instead, under his direction, the Department for Work and Pensions has caused the deaths of thousands upon thousands of innocent people.

The Department for Work and Pensions reckons that the rise of food banks has more to do with Christian evangelism than with helping people who can’t afford food because of Conservative government policies.

According to Political Scrapbook, DWP director Neil Couling said: “For the Trussell Trust, food banks started as an evangelical device to get religious groups in touch with their local communities.”

How interesting.

Has Mr Couling forgotten Iain Duncan Smith’s ‘Road to Damascus’ moment on the housing estates of Easterhouse and Gallowgates in Glasgow in 2002?

Struck by the run-down housing, visible signs of drug abuse and general lack of hope, Roman Catholic Duncan Smith set out – with evangelical zeal – to do something about it.

He now sits in a government that kicks people out of their run-down houses and turns the lack of hope into abject despair by cutting off the benefits they need to survive (his government has pushed wages even further below the amount necessary for people to be able to live without government assistance than ever before).

As New Statesman columnist Laurie Penny puts it, Duncan Smith pretends to be “on a quasireligious, reforming crusade”, approaching his work with “particular fervour and self-righteous indignation”.

So, really, who do you think is misusing the plight of the very poor as an “evangelical device” for his own “quasireligious” ends?

Couling’s attitude defies belief. He refers to a report from Oxfam – one of Britain’s most highly-respected anti-poverty charities – together with Church Action on Poverty and the Trussell Trust, as “unverified figures from disparate sources”.

Okay, then. How about the DWP supplying us with all the figures it collects, and we’ll do the working-out?

We can start with the deaths of people receiving incapacity benefits.

Follow me on Twitter: @MidWalesMike

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The Coalition is creating serious problems and distracting you with phantoms

24 Friday Jan 2014

Posted by Mike Sivier in Benefits, Employment, Immigration, unemployment

≈ 20 Comments

Tags

Annual Survey, ASHE, Bank of England, BBC News, beauty, bedroom tax, benefit, benefit cap, BoE, breasts, bribe, Bulgaria, business, business rate, catastrophe, Child Benefit, claimant, Coalition, Conservative, council, council tax, CPI, Croatia, cure, cut, David Cameron, debt, defence, Democrat, deodorise, earning, earnings, economic, economy, false, falsify, fiddle, figure, fiscal, flood, frack, fund, George Eaton, George Osborne, government, Heathrow, hours, household, housing bubble, IFS, immigrant, Income Tax, individual, industry, inflation, Institute, interest rate, invent, Jill Filipovic, job, jobseeker, Jonathan Portes, Jonathan Wilson, Keith Vaz, Lib Dem, Liberal, low-paid, Matthew Hancock, Mike Sivier, mikesivier, National Institute, national insurance, New Statesman, NIESR, pay, Personal Allowance, politics, pretend, problem, reassessment, retail, rise, Romania, RPI, salary, sanction, self-employed, shale gas, Social Research, storm, Studies, swoob, tax credit, The Guardian, Tories, Tory, unemployment, uprating, upturn, Vox Political, wage, weather, Workfare


140124earnings

According to the beauty industry, women must now start deodorising under their breasts.

I kid you not – it was in The Guardian.

Columnist Jill Filipovic hit the nail on the head when she wrote: “I can already hear your objections: ‘But the area under my boobs doesn’t stink!’ or ‘What kind of marketing genius not only came up with the term “swoob,” but actually thought half the world’s population might be dumb enough to buy into it?’ or simply, ‘This is a dumb product aimed at inventing an insecurity and then claiming to cure it.’

“You would be correct on all three points.

“In fact, inventing problems with women’s bodies and then offering a cure – if you pay up – is the primary purpose of the multi-billion dollar beauty industry.”

The simple fact is that you don’t really need to worry about smells down there – a good old soapy flannel will cure any such problems.

That’s not the point, though. The aim is to get you thinking about it and devoting your energy to it, rather than to other matters.

Now let’s translate that to politics.

We already know that all the scaremongering about Romanian and Bulgarian immigrants storming the country from January 1 was a crock. That bastion of good statistics, The Now Show, told us last week that the total number of Bulgarian immigrants in the last couple of weeks was “around two dozen so far”, according to their ambassador. In the first three months after our borders were opened to Croatians, 174 turned up.

Yet the government wanted you to believe they would flood our immigration service in their millions, “taking benefits and yet simultaneously also taking all the jobs”.

My use of language such as “storming” and “flood” is not accidental. By far the more serious threat to the UK in the early days of 2014 was the weather – and, guess what, not only was the government unprepared for the ferocity of the storms that swept our islands, the Coalition was in fact in the process of cutting funding for flood defence.

This would have gone unnoticed if the weather had behaved itself, because we would all have been distracted by the single Romanian immigrant who was ensnared by Keith Vaz in a ring of TV cameras at Heathrow Airport.

Now the Tories are telling us that our take-home pay is finally on the rise for all but the top 10 per cent of earners, with the rest of us seeing our wages rise by at least 2.5 per cent.

The government made its claims (up) by taking into account only cuts to income tax and national insurance, using data leading up to April last year, according to the BBC News website.

This kind of nonsense is easily overcome – New Statesman published the above chart, showing the real effect of changes to weekly income for people in various income groups, and also provided the reason for the government’s mistake (if that’s what it was).

“The data used … takes no account of the large benefit cuts introduced by the coalition, such as the real-terms cut in child benefit, the uprating of benefits in line with CPI inflation rather than RPI, and the cuts to tax credits,” writes the Statesman‘s George Eaton.”

He also pointed out that other major cuts such as the bedroom tax, the benefit cap, and the 10 per cent cut in council tax support were introduced after April 2013 and were not included in the Coalition figures.

Once all tax and benefit changes are taken into account, the Institute for Fiscal Studies has shown that almost all families are worse off – and the Coalition also appears to have forgotten the five million low-paid workers who don’t earn enough to benefit from the increase in the personal allowance.

Skills and enterprise minister Matthew Hancock compounded the mistake in an exchange on Twitter with Jonathan Portes, director of the National Institute of Economic and Social Research (NIESR). Asked why his analysis “ignores more than four million people in work (the self-employed)”, Mr Hancock tweeted: “Analysis based on ONS ASHE survey of household earnings data”.

Wrong – as Mr Portes was quick to show: “Don’t you know the difference between household and individual earnings?”

Apparently not. ASHE (Annual Survey of Hours and Earnings) is a survey of employed individuals using their National Insurance numbers – not of households or the self-employed.

So the Coalition – and particularly the Tories – were trying to make us all feel good about the amount we earn.

That’s the distraction. What are we supposed to be ignoring?

Would it be David Cameron’s attempt to bribe councils into allowing shale gas companies to frack their land? Councils that back fracking will get to keep all the business rates collected from the schemes – rather than the usual 50 per cent.

He has also claimed that fracking can boost the economy and encourage businesses into the country, in a further bid to talk down dissent.

Or is it the growing threat of a rise in interest rates, which may be triggered when official unemployment figures – which have been fiddled by increased sanctions on jobseekers, rigged reassessments of benefit claimants, a new scheme to increase the number of people and time spent on Workfare, and the fake economic upturn created by George Osborne’s housing bubble – drop to seven per cent?

It seems possible that the government – especially the Tory part of it – would want to keep people from considering the implications of an interest rate rise that is based on false figures.

As Vox Political commenter Jonathan Wilson wrote yesterday: “If the BOE bases its decisions on incorrect manipulated data that presents a false ‘good news’ analysis then potentially it could do something based on it that would have catastrophic consequences.

“For example if its unemployment rate test is reached, and wages were going up by X per cent against a Y per cent inflation rate which predicted that an interest rate rise of Z per cent would have no general effect and not impact on house prices nor significantly increase repossessions (when X per cent is over-inflated by the top 1 per cent of earners, Y per cent is unrealistically low due to, say, the 50 quid green reduction and/or shops massively discounting to inflate purchases/turnover and not profit) and when it does, instead of tapping on the breaks lightly it slams the gears into reverse while still traveling forward… repossessions go up hugely, house prices suffer a major downward re-evaluation (due to tens of thousands of repossessions hitting the auction rooms) debt rates hit the roof, people stop buying white goods and make do with last year’s iPad/phone/tv/sofa, major retail goes tits up, Amazon goes to the wall, the delivery market and post collapses… etc etc.

“And all because the government fiddled the figures.”

Perhaps Mr Cameron doesn’t want us thinking about that when we could be deodorising our breasts instead.

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The land of do-as-you-please (if you’re a Tory minister)

28 Saturday Sep 2013

Posted by Mike Sivier in Bedroom Tax, Conservative Party, Corruption, Cost of living, Housing, Law, Media, People, Politics, Poverty, UK

≈ 18 Comments

Tags

adequate housing, Alan Moore, Ban Ki-moon, bedroom, bedroom tax, benefit, benefit tribunal, benefits, Coalition, code of conduct, Conservative, David Cameron, define, Department, Department for Work and Pensions, DWP, Enid Blyton, evidence, Fife, government, Grant Shapps, Guido Fawkes blog, Huffington Post, human rights council, Iain Duncan Smith, Land of do-as-you-please, Magic Faraway Tree, Manual of Operations, Member State, Michael Green, Mike Sivier, mikesivier, New Statesman, Office of the United Nations High Commissioner for Human Rights, OHCHR, Pensions, people, politics, press, Raquel Rolnik, retroactive, retrospective, returned to unit, right-wing, RTU, Rupert Colville, Scotland, Secretary-General, social security, special procedures, special rapporteur, standing invitation, tax, Tories, Tory, UK, un, United Kingdom, united nations, unworkable, urgent bulletin, V for Vendetta, Vox Political, welfare, Westminster, work


The Tory Faraway Tree: By the power of very bad image editing, David Cameron, Iain (RTU) Smith and Grant Shapps have replaced the protagonists. Careful, Mr Shapps - your panties are showing! How unusual that they aren't on fire!

The Tory Faraway Tree: By the power of very bad image editing, David Cameron, Iain (RTU) Smith and Grant Shapps have replaced the protagonists. Careful, Mr Shapps – your panties are showing! How unusual that they aren’t on fire!

Do any British readers remember what it was like to live in a country where the government respected the law, and accepted facts without making up silly little stories about them?

What an amazing place that must have been.

Sadly, we’re all trapped in Tory-Coalition purgatory for the next 19 months at least, and have to endure the relentless procession of nonsense associated with it.

Yesterday (Friday) we were provided with two glowing examples.

Firstly, the visit of the United Nations Special Rapporteur on adequate housing, Raquel Rolnik, was treated with extreme prejudice by the Tories and their poodles in the right-wing press, after she announced she would be filing an unfavourable report after investigating the effect of the bedroom tax on the British people.

Vox Political covered these events in some detail, so there’s no need to rehash them here.

Tory chairman and ‘Michael Green’ impersonator Grant Shapps then wrote to UN Secretary-General Ban Ki-moon to complain about the Special Rapporteur’s behaviour. A reply has now arrived and, rather than give it the due consideration it deserves, Shapps seems to have handed it straight to The Sun.

That newspaper reported that the UN had “slapped down” Ms Rolnik for her behaviour. Shapps himself told the paper: “People expect the UN to be neutral, yet on this occasion a former Workers Party politician came with a clear agenda” – a bizarre claim, when the letter itself creates a completely different view.

Guido Fawkes’ blog provides the text of the UN letter – along with a bit more right-wing spin which we’ll ignore as it is irrelevant.

It states: “Ms Raquel Rolnik is one of 72 independent experts appointed by the United nations Human Rights Council – the lead UN body responsible for human rights – on the basis of their expertise and independence, and following a competitive selection process. As in the case of all mandate holders, Ms Rolnik serves in an independent capacity and in accordance with a Code of Conduct adopted by the Council. She is not a staff member of the United Nations, is neither accountable to nor appointed by the Secretary-General, and does not receive any compensation beyond a daily allowance when engaged in mandated activities.

“Among other activities, Special Rapporteurs are mandated to undertake country visits to assess human rights enjoyment on the ground. The United Kingdom is one of 94 Member States which has extended a standing invitation to mandate holders thus indicating that it is open to the visit of any Special Rapporteur. Country visits are governed by rules and procedures set out in the Code of Conduct referred to above and the Manual of Operations adopted by Special Procedures. Ms Rolnik’s visit was planned and organised over many months in consultation with the Government in compliance with these rules and procedures.

“As in the case of all country visits, Ms Rolnik’s visit concluded with a press conference and a press statement, provided to the Government in advance, which indicate preliminary findings and recommendations. The final report on the visit will be submitted to the Council’s twenty-fifth session which will take place in March 2014 in Geneva.”

Reading between the lines, we can piece together the gist of Shapps’ correspondence – and it’s clear that he made a lot of mistaken assumptions. Firstly, it seems likely he wrote to Ban Ki-moon demanding that Ms Rolnik be fired from her position, in the belief that she is a hired hand and that the Secretary-General can hire and fire her as he pleases, the way Tories would like to run the UK. She’s just ‘the help’ in Shapps’s eyes. He must also have made a claim about her remuneration – possibly that she receives too much money from the UN or that, as a Socialist, she must be pulling pennies out of the public purse like there’s no tomorrow. Both claims get short shrift.

It seems Shapps then asserted that Ms Rolnik had not been invited to the UK and had no reason to be there. Wrong again, as the UN letter clarifies. A claim that she went beyond her remit is similarly batted away by reference to the governing rules which, we may conclude, were available to Mr Shapps before he wrote his letter. Oh yes, look, they’re available from the introduction page to the United Nations’ Office of the High Commissioner for Human Rights’ (OHCHR) website, here!

Next, Shapps is likely to have reasserted his claim that “It is completely wrong and an abuse of the process for somebody to come over, to fail to meet with government ministers, to fail to meet with the department responsible.” The UN response is the same as Ms Rolnik’s own statement in her preliminary report.

And the final paragraph seems to be a response to his further claim that it was out of line “to produce a press release two weeks after coming, even though the report is not due out until next spring.”

Taken at face value, then, this is a letter that entirely supports Ms Rolnik, both in her position within the United Nations and the way she carried out her role in the UK.

But that wasn’t enough for the United Nations, whose higher echelons clearly wanted to ensure there can be no doubt about the way this – let’s face it – international  incident is being viewed.

Rupert Colville, a spokesman for the Office of the United Nations High Commissioner for Human Rights, told the Huffington Post: “The Sun‘s take on it – that ‘The United Nations has slapped down’ Ms Rolnik – is pure spin. There was no such intention whatsoever.

“In the face of a blizzard of misinformation and personal abuse of Ms Rolnik, published in one or two other UK tabloids during and immediately after her visit, the letter to Mr Shapps simply corrects the factual errors that have been asserted about her status and her role as an independent UN expert, or ‘Special Rapporteur.’

“Ms Rolnik’s visit was planned and organized over many months in consultation with the UK Government in compliance with these rules and procedures.

“As in the case of all country visits, Ms Rolnik’s visit concluded with a press conference and a press statement, provided to the Government in advance, which indicate preliminary findings and recommendations.

“The final report on the visit will be submitted to the Human Rights Council’s session next March in Geneva.

“In short, there was nothing unusual or untoward about Ms Rolnik’s visit – apart from some of the reactions to it.”

No doubt Mr Colville will have drawn his own conclusions about the current UK administration from that Sun article – conclusions that, one hopes, will be included in that final report next March.

The New Statesman reckons the Tories have an “antipathy for evidence” and presents a theory regarding why this should be so: “If all the facts are against you, your best tactic is to make stuff up and hope you can shout the other person down (changing your mind obviously not being an option).”

Alternatively, we return to V for Vendetta territory. The graphic novel’s writer, Alan Moore, referenced Enid Blyton’s novel The Magic Faraway Tree several times. For an anarchist like the story’s protagonist, the Land of Do-as-you-please would be very attractive – but here in reality, it seems the Tories think they’ve taken the ladder to that land and can do and say whatever they want – and facts don’t matter.

For more evidence of this, let’s turn to our second example: The Department for Work and Pensions and its reaction to a benefit tribunal in Scotland, who ruled against Fife Council, saying that a room of less than 70 square feet should not be considered a bedroom for the purpose of the bedroom tax. This led the council to call the tax “unworkable” and demand its reversal. Since then, a disabled gentleman has won a ruling against Westminster Council, after he claimed that a room used to store equipment that helps him manage his disability was not, and never has been, a bedroom.

In his decision notice, the judge wrote: “The term ‘bedroom’ is nowhere defined [in the relevant regulations]. I apply the ordinary English meaning. The room in question cannot be so defined.”

In response to the first ruling, the DWP has issued an ‘Urgent Bulletin’ in which an attempt is made to retroactively define a bedroom, for the purposes of administering the tax.

Perhaps we are to assume Iain Returned-To-Unit Smith believes that, having achieved one retrospective law via the normal legislative route, he can now ordain such rulings willy-nilly. He’s wrong.

His Department’s demand that “when applying the size criteria and determining whether or not a property is under-occupied, the only consideration should be the composition of the household and the number of bedrooms as designated by the landlord, but not by measuring rooms” is worthless.

If he wanted that to be the case, he should have written it into his silly little Bedroom Tax Bill (or whatever it was called).

For the moment, Shapps and RTU can get away with their bizarre pronouncements – although they can’t expect to be believed – because the Conservatives are in office.

But they won’t be in office forever.

In the meantime, let’s all keep supporting the opposers, wherever they turn up. If you are being subjected to the Bedroom Tax – appeal. And write to the UN, supporting Ms Rolnik and her findings against the tax.

You have a chance to prove that the Land of Do-as-you-please is a very small place.

And, as in the book, the return to normality involves a very, very long descent.

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DWP denials: They would kill you and call it ‘help’

15 Thursday Aug 2013

Posted by Mike Sivier in Benefits, Business, Conservative Party, Corruption, Disability, People, Politics, UK

≈ 82 Comments

Tags

account, allowance, appeal, assessment, Atos, Atos Healthcare, benefit, benefits, Bro Taf, charge, charging, clinical, Coalition, compassionate conservatism, Conservative, corruption, court, cover-up, death, decision maker, denial, Department, Department for Work and Pensions, disability, disabled, doctor, DWP, dying, employment, Employment and Support Allowance, ESA, esther mcvey, evidence, government, GP, health, history, LMC, local medical committee, mark hoban, medical, mental health, Mike Sivier, mikesivier, mortality, Mrs S, New Statesman, opinion, Pensions, people, politics, PricewaterhouseCoopers, provider, refuse, regulation, sick, social security, suicide, supervision, support, Vox Political, WCA, welfare, work, work capability assessment, Work Programme


Employment Minister Mark Hoban: His attempt to cover up the failings of the ESA Work Capability Assessment, and his nepotistic use of a former employer to rubber-stamp the cosmetic changes, bring all politics and politicians into disrepute.

Employment Minister Mark Hoban: His attempt to cover up the failings of the ESA Work Capability Assessment, and his nepotistic use of a former employer to rubber-stamp the cosmetic changes, bring all politics and politicians into disrepute.

Who do you believe about the Work Capability Assessment?

Not the government, obviously.

You may have missed this – because it hasn’t been reported widely in the mass media – but a quiet row has been running for several months, concerning the collection and use of medical evidence to support applications for Employment and Support Allowance, the benefit people taking the WCA have applied to receive.

The government – whose spokesman appears to be Employment Minister Mark Hoban rather than Esther McVey, the Minister who is actually responsible for Disabled People – insists that decisions are made after consideration of all medical evidence supplied by claimants, and that they can provide further evidence during the reconsideration process or appeals.

But there is a mountain of evidence that this is a load of bunkum.

Back in 2010, an ex-military claimant, ‘Mrs S’ wrote a damning report on the service at the time. It stated: “This dangerous DWP contract offers the medical opinion of the Atos Healthcare Disability Analyst as a PRIORITY, which the DWP Decision Makers accept verbatim, so all additional specialist medical opinion of consultants, offered by the patient/claimant, is totally overlooked. Consequently, desperately ill people are now being declared fit for work because they are physically capable of collecting a pen from the floor. Patients, welfare advisors and MPs all presume that specialist medical opinion by a consultant will be accepted because they are unfamiliar with the details of the contract.

“The contract requires specialist medical opinion for several conditions… This is routinely ignored by Atos Healthcare with devastating consequences, whilst the UK government offer total support for this private company.

“Atos Healthcare doctors do not have access to a patient’s detailed medical history at the interview with the patient, as confirmed by Atos Healthcare, so one needs to question why so much detailed medical evidence is requested, which will be totally ignored?

“Atos Healthcare is totally unaccountable for all medical examinations. All usual patient safety networks in place for NHS and private healthcare do not apply and, according to the GMC and the Healthcare Commission, Atos Healthcare, as a company, ‘…have total immunity from all medical regulation.’

“There is no clinical supervision whatsoever.”

Get the picture? This situation has not changed in three years, despite the claims of Mr Hoban that he is “committed to ensuring that the Work Capability Assessment is as fair and accurate as possible”.

On Tuesday (August 13), New Statesman published details of several Atos claimants with mental health problems who – surprise, surprise – have been let down by the system.

One of these, who had previously attempted suicide, was driven to a further attempt to take her own life after receiving a string of 18 letters from a Work Programme Provider, all sent after it was advised to leave her alone for the good of her health.

“The DWP said it would not investigate the matter because [the Work Programme Provider] has its own internal complaints procedure,” the article stated, before going on to report on how that worked.

The company refuted the allegation and went on to say that it “takes its responsibilities to its customers and staff seriously. We have robust policies on safeguarding and data protection in place to ensure their privacy and safety is always maintained. With this in mind, it would be inappropriate for [us] to comment on individual any cases”.

It is clear that there is a culture of unaccountability running right through this system; the only people who bear the consequences of Work Capability assessors’ actions are the claimants themselves.

Perhaps that is why so many are dying that the DWP is now afraid to publish mortality figures for people going through the process. The suicidal person mentioned in the Statesman article would have been one more to add to the multitude, if they had succeeded in taking their own life.

This is what your votes support – a state-sponsored drive for sick or disabled people to kill themselves, rather than continue to be a burden on a Conservative-led government. Compassionate Conservatism – and this is at its most compassionate.

Let’s add in a few details. We know that the government recently lost a court battle in which it claimed that the current process was fair to people with mental health conditions. The Upper Tribunal disagreed and now the DWP is appealing against that decision – because ministers don’t want their underlings to have to consider medical information on anyone that hasn’t been gathered in the biased way ensured by the Atos Healthcare training system.

“We already request claimants supply any evidence they feel will be relevant to the assessment in the ESA50 questionnaire,” the department said in an email quoted by the Statesman.

But we already know from ‘Mrs S’ that this information is “totally overlooked”. It was in 2010 and we have no reason to believe the current situation is any different, judging from the treatment of claimants.

Now it seems claimants are finding it harder to get the expert medical evidence they need, because GPs are either refusing to hand it over, or are charging more money for it than claimants receive for their personal survival.

In southeast Wales, Bro Taf Local Medical Committee has come under fire for ordering GPs to stop providing support information to disability benefit claimants who were appealing against WCA decisions. The LMC has said its problem is not with the provision of evidence itself, but with the “increasing number of appeals [which] has resulted in more GP appointments being taken up to deal with such requests”.

Hoban said last month that he was bringing in “additional providers” to carry out assessments from summer 2014 and had already directed Atos to improve the quality of its written reports following assessments.

This will do nothing to improve matters, if the contract and the training given to the new providers is the same as that given to Atos.

And he has engaged a company to “provide independent advice in relation to strengthening quality assurance processes”. This company is PricewaterhouseCoopers, Mr Hoban’s former employer. The connection with the Minister implies an inappropriate relationship from the get-go.

Put it all together and you have an attempt to carry out business as usual, under the veil of a ham-fisted cover-up involving friends of the Minister. Anyone bothering to check the facts will see it as further evidence of the corruption that is rotting the institutions of British government with staggering rapidity under the Conservative-Liberal Democrat administration.

But there is a worse effect, which has a bearing on all politicians: Even those who accept such announcements at face value will consider this to be a failure by government. “They can’t get anything right” will be the chorus from the Great Uninterested – and the continuing furore as mistakes – and deaths – continue to take place will only reinforce the view that we should not give any politicians the time of day.

They would kill us all and call it “help”.

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The benefit cap reveals the black centre of IDS’ mind

15 Monday Jul 2013

Posted by Mike Sivier in Benefits, Conservative Party, Economy, Media, People, Politics, Poverty, UK

≈ 25 Comments

Tags

Anne Begg, average, BBC, benefit, cap, Centre, child, committee, Conservative, crisis, Daily Mail, David Cameron, Department, Department for Work and Pensions, earning, family, government, homeless, housing, Iain Duncan Smith, income, Ipsos Mori, job, John Shield, Mike Sivier, mikesivier, New Statesman, Pensions, people, Plus, politics, poverty, social security, Tories, Tory, unemployment, Vox Political, work, workless, YouGov


130715benefitcap

The long-feared roll-out of the benefit cap happened today. There has been a great deal of shouting about it from all sides, but it is possible to get a balanced view – by linking news articles from opposing sources such as, say, New Statesman, the BBC and the Daily Mail.

Yes, the Daily Mail. I’m serious.

The benefit cap is one of the Coalition’s most popular policies – not the ONLY popular policy; believe it or not, a sizeable proportion of the population think Cameron and Co are doing a good job. New Statesman quotes a YouGov poll in which 79 per cent of people, including 71 per cent of Labour voters, support the cap – with just 12 per cent opposed. The Mail quotes Ipsos Mori, whose poll states 74 per cent support the cap.

We’ll start with the Statesman, which gives us the facts that Iain Duncan Smith – architect of the policy – won’t want people to know:

“1. An out-of-work family is never better off than an in-work family

“The claim on which the policy rests – that a non-working family can be better off than a working one – is a myth since it takes no account of the benefits that an in-work family can claim to increase their income. For instance, a couple with four children earning £26,000 after tax and with rent and council tax liabilities of £400 a week is entitled to around £15,000 a year in housing benefit and council tax support, £3,146 in child benefit and more than £4,000 in tax credits.

“Were the cap based on the average income (as opposed to average earnings) of a working family, it would be set at a significantly higher level of £31,500. The suggestion that the welfare system “rewards” worklessness isn’t true; families are already better off in employment. Thus, the two central arguments for the policy – that it will improve work incentives and end the “unfairness” of out-of-work families receiving more than their in-work equivalents – fall down.

“Contrary to ministers’ rhetoric, the cap will hit in-work as well as out-of-work families. A single person must be working at least 16 hours a week and a couple at least 24 hours a week (with one member working at least 16 hours) to avoid the cap.

“2. It will punish large families and increase child poverty

The cap applies regardless of family size, breaking the link between need and benefits. As a result, most out-of-work families with four children and all those with five or more will be pushed into poverty (defined as having an income below 60 per cent of the median income for families of a similar size). Duncan Smith has claimed that “at £26,000 a year it’s very difficult to believe that families will be plunged into poverty” but his own department’s figures show that the poverty threshold for a non-working family with four children, at least two of whom are over 14, is £26,566 – £566 above the cap. The government’s Impact Assessment found that 52 per cent of those families affected have four or more children.

“By applying the policy retrospectively, the government has chosen to penalise families for having children on the reasonable assumption that existing levels of support would be maintained. While a childless couple who have never worked will be able to claim benefits as before (provided they do not exceed the cap), a large family that falls on hard times will now suffer a dramatic loss of income. It was this that led the House of Lords to vote in favour of an amendment by Church of England bishops to exclude child benefit from the cap (which would halve the number of families affected) but the defeat was subsequently overturned by the government in the Commons.

“The DWP has released no official estimate of the likely increase in child poverty but a leaked government analysis suggested around 100,000 would fall below the threshold once the cap is introduced.

“3. It will likely cost more than it saves

“For all the political attention devoted to it, the cap is expected to save just £110m a year, barely a rounding error in the £201bn benefits bill. But even these savings could be wiped out due to the cost to local authorities of homelessness and housing families in temporary accommodation. As a leaked letter from Eric Pickles’s office to David Cameron stated, the measure “does not take account of the additional costs to local authorities (through homelessness and temporary accommodation). In fact we think it is likely that the policy as it stands will generate a net cost. In addition Local Authorities will have to calculate and administer reduced Housing Benefit to keep within the cap and this will mean both demands on resource and difficult handling locally.”

“4. It will increase homelessness and do nothing to address the housing crisis

“Most of those who fall foul of the cap do so because of the amount they receive in housing benefit (or, more accurately, landlord subsidy) in order to pay their rent. At £23.8bn, the housing benefit bill, which now accounts for more than a tenth of the welfare budget, is far too high but rather than tackling the root of the problem by building more affordable housing, the government has chosen to punish families unable to afford reasonable accommodation without state support.

“The cap will increase homelessness by 40,000 and force councils to relocate families hundreds of miles away, disrupting their children’s education and reducing employment opportunities (by requiring them to live in an area where they have no history of working).

“5. It will encourage family break-up

“Duncan Smith talks passionately of his desire to reduce family breakdown but the cap will serve to encourage it. As Simon Hughes has pointed out, the measure creates “a financial incentive to be apart” since parents who live separately and divide the residency of their children between them will be able to claim up to £1,000 a week in benefits, while a couple living together will only be able to claim £500.”

The BBC opened with a much sunnier perspective that has caused Vox Political to send a query to the UK Statistics Authority.

According to the report, “More than 12,000 people have moved into work after being told about the benefits cap, the government says.” Oh, really?

“The Department of Work and Pensions (DWP) said that 12,000 claimants have found jobs over the last year, after being contacted by job centres,” the BBC report went on. “The job centres warned them they might have their benefits capped if they did not find employment.”

Didn’t Iain Duncan Smith get into trouble only a few months ago, for reporting that 8,000 people had moved into work after being told about the cap?

Only last week, his own officials told the Work and Pensions committee he had ignored small print in their reports, stating clearly that he could not use the figures to claim that any “behavioural change” had taken place.

Vox‘s article last week quoted Dame Anne Begg, who asked: “So no-one checking the written articles from the Secretary of State – from the statisticians’ point of view – actually said ‘Secretary of State – if you look at the little footnote… It says that you cannot interpret that these people have gone into work as a result of these statistics’. Nobody pointed that out?“

John Shield, Director of Communications at the DWP, responded: “In this instance it did involve the press office. I’m just trying to be clear that not everything that comes out of the department will go through us – particularly when there are political ends.”

In other words, the Secretary of State ignored his advisors to make a political point that had no basis in fact. He lied to the public.

How do we know he isn’t doing it again?

A letter to Mr Dilnot is in order, I think.

Finally, to the Daily Mail, where it was reported that “Cabinet minister Iain Duncan Smith today accused the BBC of launching a ‘politically-motivated’ attack on government plans to cap benefits at £26,000.

“The Work and Pensions Secretary accused the Corporation of using ‘lots of little cases’ to claim that limiting welfare payments would not get people back to work.”

Unfortunately for Mr… Smith, his story unravelled further down the piece, when it was revealed that he told the nation that HIS evidence is right because it’s from people working in Jobcentres: “This is advisers, they talk to me… I talk to people actually in the Jobcentres.”

That’s anecdotal, and may not be used to suggest a national trend. He is using lots of little cases to claim that his cap will work.

So we go from the cold, hard facts, to the comforting fantasy, to the shattering of the Secretary-in-a-State’s temper on national radio when the flaws in his scheme were exposed.

Mail readers, in that paper’s ‘comment’ column, seem to have supported his viewpoint – despite the facts.

Will their opinions change when the horror stories start appearing – or will they stick their fingers in their ears and scream, “La la la I’m not listeniiiiiing!” – as Mr… Smith did (figuratively speaking) on the Today programme?

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Tory ‘something-for-nothing’ culture: The real reason the economy has bombed

28 Thursday Mar 2013

Posted by Mike Sivier in Benefits, Conservative Party, Economy, People, Politics, UK, unemployment

≈ 15 Comments

Tags

Alex Andreou, benefit, benefits, Cait Reilly, Coalition, Conservative, Department for Work and Pensions, DWP, economy, fiscal multiplier, government, Iain Duncan Smith, Jobseeker's Allowance, Mandatory Work Activity, Mike Sivier, mikesivier, minimum wage, New Statesman, people, politics, Poundland, profit, social security, something-for-nothing, Tories, Tory, unemployment, Vox Political, welfare, Workfare


"Getting them off-benefit is what we're going to do," yelled Iain Duncan Smith on Question Time last year. But why bother, when they can be so profitable for companies taking part in Mandatory Work Activity schemes?

“Getting them off-benefit is what we’re going to do,” yelled Iain Duncan Smith on Question Time last year. But why bother, when they can be so profitable for companies taking part in Mandatory Work Activity schemes?

“We’re going to end the ‘something-for-nothing’ culture.”

Sometimes a phrase stands out from everything else that’s said around it, launches itself at your face and forces you to confront the enormity of the lie it encapsulates. You knew this was going to end badly, the moment Iain Duncan Smith (Vox Political’s Monster of the Year, 2012, let’s not forget) opened his face and uttered the words.

He was trying to say that people on Jobseekers’ Allowance (JSA) should not expect to get the benefit without putting something back into society – totally bypassing the fact that they have either already paid towards it, via taxes paid while they were in a previous job, or they will in the future, when they manage to get a job (if such a thing is still achievable in a Tory-led UK).

This was to justify the many ‘Mandatory Work Activity’ schemes onto which jobseekers are currently being put by the thousands, and for which they are being paid only in JSA.

It was only a matter of time before someone identified the flaw in the logic, as Alex Andreou did in the New Statesman when he, rightly, wrote: “Such schemes do not end the “something for nothing culture”. They simply elevate it to the corporate level.”

How many weeks was Cait Reilly supposed to spend stacking shelves at Poundland – was it four? Let’s say four. So assuming 30 hours a week, if she had been employed on the minimum wage, she would have earned £742.80.

Instead, she would have received JSA at, what, £56.25 per week? That’s £225. From the taxpayer, not Poundland.

So Poundland, which runs more than 390 stores and whose annual profit in 2010 was £21,500,000, would have had the benefit of nearly £750 worth of work, for nothing. But the gravy train doesn’t even stop there!

Employees of all profit-making companies are taken on because they add to the firm’s profits in some way. Therefore we can assume that, as a result of a person stacking shelves at Poundland, a shopper will come along, see something the stacker has stacked, and buy it – creating a profit for the company.

How many times would this happen during a jobseeker’s four-week tenure on ‘Mandatory Work Activity’? There’s no way of knowing. Let’s apply a conservative estimate based on the standard levels of a fiscal multiplier, at the low end, and say that adds a further 60p to the value of every pound that Ms Reilly would have earned.

Total: 1,188.48 profit for Poundland.

Now multiply that by the number of people going through ‘Mandatory Work Activity’ and you’ll see how much these companies are making, courtesy of the taxpayer – because, don’t forget, working people are paying for jobseekers to make money for these firms. We know 878,000 people were put on these schemes between June 2011 and July 2012 – that comes out as 752,571 in a year, on average.

Total profit for companies using people on ‘Mandatory Work Activity’ should therefore be: £894,416,090. Nearly £1 billion.

Loss to the taxpayer: £16,933,000.*

If that isn’t enough to get you hot under the collar, consider this: The profits created for companies by ‘Mandatory Work Activity’ go to company bosses and shareholders, all of whom may be expected to be rich already. They won’t be putting that money back into the economy; they’ll be banking it. Possibly offshore.

If they had employed those jobseekers and paid them at minimum wage, that would have put £559,010,060, per year, back into the economy. These workers would have spent the money in their communities, on commodities that they needed, thus providing a valuable boost to shops and businesses that have been deprived of this support by Coalition government policies.

And the companies concerned would still have made £335,406,030. More than a third of a billion pounds – not to be sniffed at!

It’s mathematical proof of the Conservative Party’s economic incompetence. Making the rich richer and the poor poorer will ruin the country.

*This article does not include payments to Work Placement Provider companies because, not having gone through this system myself, I’m not sure whether it should be applied or not. My understanding is they would get £600 per referral, with higher figures if a jobseeker actually got a job afterwards. Can anyone confirm this is what would happen here?

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If you’re disabled you should read this; if you look down on the disabled, doubly so

14 Friday Dec 2012

Posted by Mike Sivier in Health

≈ 8 Comments

Tags

Coalition, Conservative, Department for Work and Pensions, disability, disabled, government, health, Iain Duncan Smith, Laurie Penny, letter, New Statesman, people, politics, reader, sick, suicide


http://www.newstatesman.com/laurie-penny/2012/12/you-are-not-scrounger-letter-disabled-reader

“To my mind, the most venal, wicked thing this Coalition government has done has been to rewrite the social script of this country so that some people feel that life isn’t worth living any more. They speak in their poisonous way about giving the unemployed and disabled people back a sense of dignity – but telling people that they’re worthless unless they hold down a job, telling people that they have no right to a decent standard of living unless they can find and keep work that lines the pockets of the super-rich, work that isn’t there anyway at the moment – that’s the opposite of arguing for dignity. That’s shame as a social manifesto.

“If you hurt yourself now, if you give up right now, I’m sorry to say that it won’t change the minds of those who are currently making decisions about whether sick and mentally people ill live or die in this country. These people don’t give a damn – or at very least, they do a good job of acting like they don’t give a damn. If any person’s unnecessary death were enough to sway this government’s mind, it would have been swayed before now.

“Even one death is too many. There are other, better ways to make a difference.”

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