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

27 Sunday Jul 2014

Posted by Mike Sivier in Austerity, Bedroom Tax, Benefits, Business, Cost of living, Democracy, Economy, Employment, European Union, Food Banks, Fracking, Health, Housing, Human rights, Justice, Law, Politics, Poverty, Privatisation, Trade Unions, UK, USA, Utility firms

≈ 41 Comments

Tags

Andrew Marr, association, austerity, BBC, bedroom tax, benefit, benefit cap, Coalition, companies, company, Conservative, David Cameron, dead, death, die, economy, Ed Miliband, employment, energy, firm, food banks, fracking, freedom, Freedom of Information, government, health, hedge fund, human right, Investment Partnership, Justice, kill, Labour, Mike Sivier, mikesivier, mislead, misled, National Health Service, NHS, people, pmq, politics, price, Prime Minister's Questions, privatisation, privatise, public, quality, Royal Mail, sick, social security, speech, Tories, Tory, trade union, Transatlantic Trade, transparent, TTIP, unemployment, Vox Political, Wednesday Shouty Time, welfare reform, work


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

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

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

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

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

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

What would you ask David Cameron?

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

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

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

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

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

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

Would you ask him something else?

Or do you think this is a bad idea?

What do you think?

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Labour’s rail plan – what we need, rather than what we want?

04 Friday Jul 2014

Posted by Mike Sivier in Business, Labour Party, Politics, Privatisation, Public services, Railways, UK

≈ 10 Comments

Tags

British Rail, company, East Coast main line, fare, firm, franchise, invest, Labour, Mike Sivier, mikesivier, operator, price, private, public, quality, rail, re nationalisation, reliability, reliable, service, taxpayer, union, Vox Political


De-railed: After years of reliance on taxpayers' money, it seems the ride may soon by over for some of the UK's rail privateers [Image: PA].

De-railed: After years of reliance on taxpayers’ money, it seems the ride may soon by over for some of the UK’s rail privateers [Image: PA].

The Labour Party seems to have a real problem with offering the public what the public has demanded.

Faced with demand for the railways to be renationalised, they seem set to announce a plan in which private firms compete with a public service for franchises.

The promise of privatisation had been that the new franchise-holders would keep prices down, and any investment should be made by the companies concerned.

In fact, fares and taxpayer investment have rocketed since the railways were privatised by the last full Conservative government in the early 1990s.

It seems that Labour’s plan, which may be announced next week (the party is being very cagey about it), will mean franchises are awarded based on “a pragmatic choice between the state and private sector based on price, reliability and quality of service” (according to a report in The Guardian).

This, we are told, “will provide a solution that allays commuter frustration, provides a fair deal for the taxpayer and does not amount to a return to British Rail”.

Such a decision will not only anger rail unions, Labour MPs who have been calling for renationalisation, and 70 per cent of the British public, but also the rail industry’s private operators, who say current bids for franchises must not be upset by allowing the state to join the process belatedly.

It has also been claimed that an extra risk would be imported onto the public sector balance sheet if a state-owned company won a franchise.

But this is narrow-minded thinking; the state currently spends much more on the railways than it did before they were privatised – we already have a large risk on the public balance sheet.

If these private firms had done their jobs properly, then the taxpayer would not be shouldering so many of their costs and – perhaps – the Labour Party would not be considering even the partial renationalisation that is on the table at the moment.

None of the UK’s current rail operators have kept their promises and after 20 years, it is far too late for them to bleat about the situation they have created.

It should also be noted that the public sector has been running the East Coast Main Line extremely successfully since the franchise run by National Express failed, making expansion of this management model highly attractive to Labour strategists who need to find ways of trimming the burden on the public purse.

As a group of prospective Labour MPs in marginal constituencies wrote in a letter to The Observer, it would mean “hundreds of millions currently lost in private profit would be available to fully fund a bold offer on rail fares”.

If so, it seems that this halfway-house plan may provide exactly what we need, even if it isn’t what anybody wants.

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The minimum income is 2.5 times what people get on benefits – but still they are labelled scroungers

30 Monday Jun 2014

Posted by Mike Sivier in Austerity, Benefits, Conservative Party, Cost of living, Liberal Democrats, People, Politics, Poverty, UK

≈ 17 Comments

Tags

adequate, benefit, benefits, Child Benefit, Conservative, Consumer Price Index, couple, CPI, debt, Democrat, earn, for hardworking people, government, increase, joseph rowntree foundation, JRF, Lib Dem, Liberal, living, loan, Mike Sivier, mikesivier, minimum income, out of work, pension, people, politics, price, rise, scrounger, social security, standard, tax allowance, tax credit, Tories, Tory, unemployment, Vox Political, wage, welfare, Wonga


140630minimumincome

The numbers speak for themselves: Under ‘Adequacy of safety-net benefits’, EVERY SINGLE INCOME GROUP has lost out. While others have suffered a great percentage drop, single working-age people remain the least able to make ends meet.

“How much money do you need for an adequate standard of living?”

That is the question posed every year by the Joseph Rowntree Foundation – and every year the organisation calculates how much people have to earn – taking into account their family circumstances, the changing cost of these essentials and changes to the tax and benefit system – to reach this benchmark.

This year’s research finds:

A lone parent with one child now needs to earn more than £27,100 per year – up from £12,000 in 2008. A couple with two children need to earn more than £20,200 each, compared to £13,900 each in 2008. Single working-age people must now earn more than £16,200, up from £13,500 in 2008;

Despite social and economic change, the list of goods and services different families need to live to an adequate level is very similar to that of the original study in 2008 – but people’s ability to afford them has declined. Overall the cost of a basket of essential items has risen by a massive 28 per cent over six years – much higher than the 19 per cent rise claimed by the official Consumer Price Index – while average wages have increased by just nine per cent and the minimum wage 14 per cent;

Increased tax allowances have eased the pressure somewhat for some households, but the freeze to child benefit and ongoing cuts in tax credits have outweighed this for low-earning families with children.

Out-of-work benefits have fallen further and now provide just 39 per cent of what single, working-age people need to reach a Minimum Income Standard.

On the other hand, pensioner couples who claim all their allowances receive 95 per cent of the amount required.

The bottom line is that the Conservative-led government has been hammering the working poor and people on benefits, while claiming to be helping them. The minimum income necessary for an adequate living standard, according to JRF research, is no less than two-and-a-half-times what people on benefits receive. That is an appalling disparity in the sixth-richest country in the world.

It also creates a danger that more people will look to loan suppliers like the government’s favourite (Wonga) for short-term help – at the cost of going into disastrous long-term debt.

Slow earnings growth and price increases have made all households worse off on average, relative to the MIS, the report has found.

The conclusion is a disaster for the Coalition’s “hardworking” people: “In the past six years the more important determinants of whether low-income households can afford the minimum budget have been the increasing cost of living relative to earnings and benefit cuts for households in and out of work.

“For working families with children, if these cuts continue, the opportunity to reach an acceptable living standard may not improve, even as wages start rising again in real terms.”

And the Conservatives have the cheek to use the slogan “For hardworking people”.

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Now the Tories want to sell your tax details to private firms

19 Saturday Apr 2014

Posted by Mike Sivier in Conservative Party, Corruption, Politics, Tax, UK

≈ 21 Comments

Tags

advertiser, agencies, agency, autumn statement, BBC, benefit, Big Brother Watch, budget, Coalition, companies, company, complaint fatigue, confidential, Conservative, contract, credit rating, Customs, data, David Gauke, disabled, discrimination, Dun & Bradstreet, Emma Carr, Equifax, Experian, firm, government, hm, hmrc, identification, identify, medical record, Mike Sivier, mikesivier, multinational, NHS, out, outcry, politics, price, privacy, private, private sector, pseudonymise, public, retailer, Revenue, risk, sweetheard deal, tax, The Guardian, Tories, Tory, Treasury, Vox Political, work


[Image: The Guardian.]

[Image: The Guardian.]

Not happy with its attempt to sell your health details to private companies, the moneygrubbing Conservative-led Coalition wants to sell off your personal tax data to companies, researchers and public bodies.

The government is considering how much to charge for the information, and claims that all data accessed by third parties will be “confidential”.

But the public has already been stung once by the Coalition’s incompetent attempts to go commercial. The proposed initiative to share NHS medical records with the private sector had to be suspended after a public outcry over “pseudonymised” data – a process by which medical records were said to be anonymous but it was in fact possible to trace exactly whose they were.

The plans for HM Revenue and Customs to share its data are, apparently, being overseen by Treasury minister David Gauke, whose relaxed attitude towards private firms led him to sign off on the infamous “sweetheart deals” that allowed multinational companies to keep billions of pounds of tax that they owed to the Treasury but didn’t want to pay.

Worse still, it turns out the government has already allowed private firms access to our data.

The government has strict rules about what can be released outside HMRC, with a near total ban on data sharing unless it is beneficial for the organisation’s internal work. But according to The Guardian, despite the restrictions, HMRC has quietly launched a pilot programme that has released data about VAT registration for research purposes to three private credit ratings agencies: Experian, Equifax and Dun & Bradstreet.

To comply with the law, the private ratings agencies, which determine credit scores for millions of people and businesses, have been contracted to act on behalf of HMRC and are “therefore treated as part of the department” – giving them access to tax data about businesses that would otherwise be confidential.

The government’s plans to change the law to allow the sale of anonymised individual tax data and release of the VAT register were buried in documents as part of the autumn statement and recent budget.

An HMRC spokesman told the BBC: “HMRC would only share data where this would generate clear public benefits, and where there are robust safeguards in place.

“Last year’s consultation made it very clear that there would be a rigorous accreditation process for anyone wanting access to the data and that any access would take place in a secure environment.

“Those accessing data would be subject to the same confidentiality provisions as HMRC staff, including a criminal sanction for unlawful disclosure of taxpayer information.”

So there. Do you feel better now?

Emma Carr, deputy director of civil rights campaign group, Big Brother Watch, doesn’t. She said: “The ongoing claims about anonymous data overlook the serious risks to privacy of individual level data being vulnerable to re-identification.

“Given the huge uproar about similar plans for medical records, you would have hoped HMRC would have learned that trying to sneak plans like this under the radar is not the way to build trust or develop good policy.”

Ross Anderson, a professor of security engineering at Cambridge University, told The Guardian the information could be highly useful to credit rating agencies, advertisers, and retailers wanting to practise price discrimination.

“This is going to be a big battleground,” he said. “If they were to make HMRC information more available, there’s an awful lot of people who would like to get their hands on it. Anonymisation is something about which they lied to us over medical data … If the same thing is about to be done by HMRC, there should be a much greater public debate about this.”

It seems the Conservatives in the Coalition are determined to sell information that doesn’t belong to them, and intend to grind us down with a relentless bombardment of initiatives and plans until they succeed.

They seem to by relying on the possibility that we will get ‘complaint fatigue’ and give up any protests. This is how they have beaten disabled people into submission to the draconian system for withdrawing state benefits from them; the system for appealing is drawn-out and convoluted, and many people with illnesses are too tired or weak to go through the process.

Also, this is another way of contracting-out government work to private firms, as evidenced by the VAT “research” that has been handed over to credit ratings agencies.

You can be sure of two things: Your data is not safe in their hands, and they won’t stop trying to sell it until they have been pushed out of government.

What are you going to do?

UPDATE: Campaigner Patrick Olszowski has responded to my challenge by launching a petition on the Change.org website. Please visit and sign!

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Who’s conning who?

27 Thursday Mar 2014

Posted by Mike Sivier in Conservative Party, Cost of living, Labour Party, Politics, UK, Utility firms

≈ 10 Comments

Tags

Alistair Phillips-Davies, Atlantic Electric and Gas, BBC, bill, Conservative, Ed Miliband, energy, freeze, Labour, price, Scottish Hydro Electric, Southern Electric, SSE, SWALEC, Tories, Tory


How bizarre.

It seems both the Conservative-led Coalition and the Labour Party have claimed credit for a price freeze announced by energy supplier SSE.

I know what you’re thinking. You’re asking: Why is this bizarre when politicians claim credit for good news all the time?

Simply because SSE chief executive Alistair Phillips-Davies went on the record to say the decision had been swung by Ed Miliband – as you can hear on the video (above)!

The company is the second largest supplier of electricity and natural gas in the UK, incorporating SWALEC, Southern Electric, Scottish Hydro Electric and Atlantic Electric and Gas.

Its prices will be frozen at their current levels until 2016, which is good news for 9.5 million customers – and a good reason for them to consider giving Labour their vote.

The downside is that 500 jobs will be cut to minimise loss of profits. Four planned offshore wind farms will also be shelved, but many may be glad to see the back of the controversial wind energy projects.

Most interesting of all is the way the BBC has avoided reporting any suggestion that this could be a major coup for the Labour Party.

It’s possible that this could provide another reason to vote Labour in 2015…

ToryBBC

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Food bank debate shows yet again the government’s argument has no substance

20 Friday Dec 2013

Posted by Mike Sivier in Bedroom Tax, Benefits, Children, Cost of living, Disability, Employment, Employment and Support Allowance, Health, People, Politics, Poverty, Powys, Tax, UK, unemployment, Universal Credit

≈ 39 Comments

Tags

bedroom tax, benefit, Brecon and Radnorshire, child, Conservative, corporatist, cost of living, cut, David Cameron, debate, delay, Democrat, disappear, esther mcvey, exponential, finances, food bank, fuel, Gerald Kaufman, government, Iain Duncan Smith, increase, Jamie Reed, joseph rowntree foundation, Labour, laugh, left, Lib Dem, Liberal, Lord Freud, manage, Michael Gove, Mike Sivier, mikesivier, minister, New Life Church, Opposition, Paul Murphy, poor, poverty, price, ran, rise, Roger Williams, run, shadow, slash, social security, stagnant, stagnate, stagnating, Tories, Tory, turn tail, Universal Credit, Vox Political, wages, walk out, welfare, work


131219foodbanks

By now, we should all know how these Opposition Day debates go – but Wednesday’s discussion of food banks was one of the best examples I’ve heard.

The form goes like this: The relevant Labour shadow minister launches the debate, quoting the facts that support the argument (in this case, that the rise of food banks is a national disgrace and the Conservative-Liberal Democrat government’s policies have caused it), the government denies the charge – always with the same feeble excuses, backbenchers queue up to tell their own damning stories of what has happened to their constituents… and then the government wins the vote because its members have been whipped to vote against the motion, rather than because they believe it is wrong.

The food bank debate was textbook. Not only did it carry all these features, but:

  • The Secretary of State responsible, Iain Duncan Smith, declined to speak at all, but turned tail and ran after listening to only a small number of speakers.
  • Minister of State Esther McVey, who spoke in his place, delivered what Labour veteran Gerald Kaufman described as “one of the nastiest frontbench speeches I’ve heard in more than 43 years”.
  • As one story of government-created hardship followed another, Conservative MPs laughed. Clearly they are enjoying the suffering they are causing across the UK.

Each of these is a damning indictment of the depths to which the Coalition has driven British politics. But the debate is only half of this matter. Now it is our duty to publicise what happened. Many people may not know about this, or may not understand its significance.

They need to understand that food bank use has risen exponentially under David Cameron’s Conservative-led government, from 41,000 people in 2010 to half a million by April this year, one-third of whom were children. People are resorting to them because the cost of living is rising while wages have stagnated and social security benefit payments have been delayed or slashed. The government promised to publish a study on food banks in the summer of this year, but has delayed publication with no stated reason. The government department responsible – DEFRA – did not even put up a minister to speak in the debate.

Probably the most damning indictment was the vote. The Coalition government defeated a motion to bring forward measures that would reduce dependency on food banks. The obvious conclusion is that this government is happy to be pushing ordinary working and jobless people into crushing poverty – and intends to continue putting more and more people in the same situation for just as long as it possibly can.

We heard that:

  • People in Slough are fighting each other over discount fruit and vegetables in the local Tesco.
  • Food banks are visited by skilled workers who are unable to get jobs because of Coalition government policies.
  • Serious failures including administrative error in the benefit system mean one-fifth of the people visiting food banks are there because the Department for Work and Pensions has been unable to do its job properly.
  • The Bedroom Tax has hugely increased the number of people using food banks.
  • “The working poor are emerging as the Prime Minister’s legacy, as millions of people live in quiet crisis.” (Labour’s Jamie Reed).

In response, the Tories trotted out the old, old arguments, trying yet again to sell us the long-disproved claim that Labour forced the country into poverty by mismanaging the national finances. We heard, again, the turncoat Lord Freud’s claim that people were visiting food banks because the items there were free (ignoring the fact that everyone who visits a food bank is referred by a qualified organisation, and verified as being in crisis). We heard, again, the suggestion from our ignorant Education Secretary Michael Gove, that people are turning to food banks because they cannot manage their own finances (good management makes no difference if costs outweigh income; but then he clearly hasn’t been educated well enough to understand that).

Esther McVey’s speech showed clearly why she should have remained on breakfast television, where comparatively few people had to put up with her. She accused the previous Labour government of a “whirl of living beyond our means” that “had to come to a stop” without ever pausing to admit that it was Tory-voting bankers who had been living beyond their means, who caused the crash, and who are still living beyond their means today, because her corporatist (thank you, Zac Goldsmith) Conservative government has protected them.

She accused Labour of trying to keep food banks as “its little secret”, forcing Labour’s Jim Cunningham to remind us all that food banks were set up by churches to help refugees who were waiting for their asylum status to be confirmed – not as a support system for British citizens, as they have become under the Coalition’s failed regime.

She said the Coalition government was brought in to “solve the mess that Labour got us in”, which is not true – it was born from a backroom deal between two of the most unscrupulous party leaders of recent times, in order to ensure they and their friends could get their noses into the money trough (oh yes, there’s plenty of money around – but this government is keeping it away from you).

She said the Coalition had got more people into work than ever before – without commenting on the fact that the jobs are part-time, zero-hours, self-employed contracts that benefit the employers but exploit the workers and in fact propel them towards poverty.

She lied to Parliament, claiming that children are three times more likely to be in poverty if they are in a workless household. In fact, according to the Joseph Rowntree Foundation, in-work poverty has now outstripped that suffered by those in workless and retired households; children are more likely to be in poverty if their parents have jobs.

She attacked Labour for allowing five million people to be on out-of-work benefits, with two million children in workless households – but under her government the number of households suffering in-work poverty has risen to eight million (by 2008 standards), while workless or retired households in poverty have risen to total 6.3 million.

She claimed that 60,000 people were likely to use a food bank this year – but Labour’s Paul Murphy pointed out that 60,000 people will use food banks this year in Wales alone. The actual figure for the whole of the UK is 500,000.

She said the government had brought in Universal Credit to ensure that three million people become better-off. There’s just one problem with that system – it doesn’t work.

She said the Coalition’s tax cuts had given people an extra £700 per year, without recognising that the real-terms drop in wages and rise in the cost of living means people will be £1,600 a year worse-off when the next general election takes place, tax cuts included. She said stopping fuel price increases meant families were £300 better-off, which is nonsense. Families cannot become better off because something has not happened; it’s like saying I’m better off because the roof of my house hasn’t fallen in and squashed me.

Then, on top of all that, she had the nerve to tell the country, “Rewriting history doesn’t work.” If that is the case, then hers was one of the most pointless speeches in the history of Parliament.

Labour’s Jamie Reed had the best comment on the debate. He said: “The final verdict on any Government is based on how they treat the poorest in society during the hardest of times,” after pointing out that “the laughter from some of those on the Government benches … says more than words ever could.”

On a personal note, my own MP, Roger Williams, spoke about the food bank situation in Brecon and Radnorshire. It is gratifying that he is proud of the food bank set up by New Life Church, here in Llandrindod Wells – I well remember the telephone conversation I had with the organisers, in which I encouraged them to set it up. I am glad they took up the baton – and that he has appreciated their work.

Rather more worrying is the suggestion that he considers a possible new food bank in Brecon to be only the second in our constituency. There are food banks in many other towns, including Knighton, Ystradgynlais and Hay-on-Wye – with satellite facilities in smaller towns and villages. It is disturbing that the MP does not seem to know this.

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Prepare to sift the substance from the sewage in the Chance(llo)r’s Autumn Statement

03 Tuesday Dec 2013

Posted by Mike Sivier in Benefits, Conservative Party, Economy, Liberal Democrats, People, Politics, Public services, Tax, UK, Utility firms

≈ 12 Comments

Tags

afford, austerity, autumn statement, benefit, benefits, borrow, bubble, business, Chancellor, cigarette, Coalition, Conservative, crap, cut, Daily Mirror, Daily Telegraph, debt, defence, deficit, Department, economic cycle, economy, energy, export, Ferrious, free school meal, George, George Osborne, Gideon, gold, government, green, headquarters, Home Office, HQ, Ikea, invest, Justice, keynes, Keynesian, Labour, lectern, levy, lobby, Lord Mayor's Banquet, Lynton Crosby, marriage, Michael Meacher, Mike Sivier, mikesivier, Osborne, overspend, Packaging, Panik, Pensions, people, petrol duty, plated, politics, price, productivity, profligate, redecorate, redecoration, Senator, social security, spatchcock, spending, tax, Thatcherism, The Guardian, Tories, Tory, Treasury, unfunded, Vox Political, wage, welfare, welfare state, Whitehall, Will Hutton, work


131203autumnstatement

[Picture: Vox Political reader Al Reading]

How long has it been since Labour was deemed the party with no policies and no direction? Now it seems the Conservatives have taken up this undesirable label and applied it to themselves (excuse the choice of words) liberally.

Labour’s stand on energy prices sent the Tories scurrying away to find an answer, after they finally realised that baldly claiming nothing could be done was not going to cut any ice.

When they finally came up with something, their answer was to “Cut the green crap” and reduce the environmental levy on energy firms – a u-turn within a u-turn for the party that once proclaimed to the nation, “Vote Blue – Go Green”.

This week they have also u-turned on cigarette packaging – for a second time within a matter of months. Before the summer, the Conservative vision was to safeguard children from smoking by removing packaging for cigarette packets. Then – after coincidentally hiring fag-company lobbyist Lynton Crosby to run their campaigns for them – they decided that the packaging could stay. Now – in the face of a possibly Lords rebellion – they are reversing their position yet again.

This is the context in which Boy Chancellor George Osborne will make his Autumn Statement – and he has already put himself on a sticky wicket before going in to bat.

Remember David Cameron’s massive error of judgement at the Lord Mayor’s banquet a few weeks ago, when he stood behind a gold-plated lectern that could easily be sold off or melted down to help pay of the interest on his government’s ever-increasing borrowing burden, and said austerity was here to stay?

It seems Gideon was eager to follow in his master’s footsteps, stumping up £10.2 MILLION (including VAT at the 20 per cent level that he imposed on us all in 2010) on new furnishings for his Whitehall HQ, from exclusive designers Panik, Ferrious and Senator. One Treasury insider, according to the Daily Mirror, wondered “why we couldn’t have just bought new furniture from Ikea”.

Good question! It is also one that is especially pertinent after it was revealed that Osborne has been calling for last-minute spending cuts from the Home Office and the departments of Justice, Defence, Business and Work and Pensions (yet again), because he will not be able to fund the £2 billion of giveaways announced during the conference season without them.

These include scrapping a rise in petrol duty of almost 2p per litre, free school meals for pupils aged five-to-seven and rewarding marriage in the tax system.

It seems clear that these measures were all unfunded when they were announced, putting the lie to Conservative claims that they have any kind of plan – and ruining their claim that Osborne’s schoolboy-economist austerity idiocy has done anything to improve the UK economy.

Like him or loathe him, Will Hutton in The Guardian had it right when he wrote: “The recovery is the result of the upward swing of the economic cycle finally asserting itself, aided by policies informed by the opposite of what Osborne purports to believe.”

Hutton went on to state that Osborne decided to “borrow from the Keynesian economic locker… never admitting the scale of the philosophic shift, and then claimed victory”. In other words, Osborne is the biggest hypocrite in Westminster (and that’s a huge achievement, considering the state of them all)!

Result: “The public is misinformed – told that austerity worked and, as importantly, the philosophy behind it works too… Thus the Conservative party can be protected from the awful truth that Thatcherism fails.”

Labour MP Michael Meacher is much more scathing (if such a thing is possible). In a Parliamentary debate, quoted in his blog, he told us: “We do have a recovery of sorts, but one that has been generated in exactly the wrong way. It has been generated by consumer borrowing and an incipient bubble, and it is not — I repeat, not — a real, sustainable recovery.”

In other words, the – as Hutton describes it – “eclectic and spatchcocked Keynesianism” employed by Osborne, while superficially useful in the short-term, will cause immense damage over a longer period because he doesn’t understand it and only used it in desperation.

Both Hutton and Meacher agree that a sustainable recovery can only come from what Meacher describes as “rising investment, increasing productivity, growing wages and healthy exports”, none of which are supported by Osborne’s current behaviour.

And yet, according to the Daily Telegraph, Osborne will fulfil another of this blog’s long-standing prophecies on Thursday by telling us all that “Britain can no longer afford the welfare state”.

From a member of the most profligate snout-in-trough overspenders ever to worm their way into public office and then inflict a harm-the-defenceless agenda on the nation, that will be the biggest lie of all.

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Another Cameron lie: Energy companies’ profits are unaffected by his changes – and we still pay

02 Monday Dec 2013

Posted by Mike Sivier in Business, Conservative Party, Cost of living, Economy, Liberal Democrats, People, Politics, Poverty, Television, UK, Utility firms

≈ 20 Comments

Tags

'Big Six', average, bill, boss, carbon, Caroline Flint, change, Coalition, Conservative, David Cameron, Democrat, eat, economy, energy, freeze, FTSE 100, fuel, general taxation, government, green levy, greenhouse gas, heat, household, income, IPPR, Labour, Lib Dem, Liberal, market, Mike Sivier, mikesivier, overcharge, overcharging, Parliament, pay, people, policy, politics, poverty, price, profit, re-order, subsidy, tax, thinktank, Tories, Tory, Vox Political


Cost shock: Even the Conservative-supporting Daily Telegraph has been complaining about high energy prices - as demonstrated by this cartoon from 2012.

Cost shock: Even the Conservative-supporting Daily Telegraph has been complaining about high energy prices – as demonstrated by this cartoon from 2012.

To borrow a favourite David Cameron phrase: Let us be clear on this – any savings on your fuel bills as a result of the Coalition government’s policy change will be added to general taxation in another way and you will still pay.

Energy firms’ profits, which have tripled since 2010, will be unaffected. Cameron’s plan is akin to shifting deckchairs on the Titanic (to borrow another well-known saying).

Why on Earth does he think anybody is going to be deceived by this silliness?

Even with the changes in place, prices will still rise by an average of around £70, at a time when people were already being forced to choose between (let’s have yet another now-tired phrase) heating and eating. Average household incomes have dropped by nine per cent since David Cameron made himself Prime Minister by the back door three years ago.

Average pay for bosses of FTSE-100 companies has risen by 20 times the rate of pay growth for most workers, just in the last year. And let’s not forget that they were getting much higher than average pay already!

It should surprise nobody that all of the ‘Big Six’ energy firms are part of the FTSE-100 – or were, before foreign takeovers.

This means average pay for these companies’ bosses should be around £2,321,700, while profits have risen to £2 billion – up 75 per cent on last year (according to the Independent reports).

None of this will be changed by David Cameron’s measures, which were hastily cobbled together in a bungled bid to regain the initiative from Labour, whose plan to freeze energy prices and re-order the energy market has captured the public imagination.

Instead Cameron – who once campaigned under the slogan ‘Vote Blue – Go Green’ – will postpone green policy targets to a later date, cutting the so-called ‘green levy’ on the energy firms accordingly. This means the UK will be forced to rely on greenhouse gas-producing carbon fuels for longer.

Subsidies for people in fuel poverty will be moved into general taxation, meaning we pay for them rather than the energy firms who should.

“Even after these changes to levies, energy bills are still rising and the average household will still be paying £70 more for their energy than last winter,” said Labour’s Shadow Energy and Climate Change Secretary, Caroline Flint. “Any help is better than none, but you can judge this Government by who they’re asking to pick up the tab – the taxpayer. The energy companies have got off scot-free.

“This shows why nothing less than a price freeze and action to reset the market to stop the energy companies overcharging again in the future will do.”

She was expected to tell the IPPR thinktank today: “If David Cameron and Nick Clegg think just doing what the energy companies ask of them is the answer to bills being too high, they are wrong.

“Energy bills have gone up by £120 this winter alone, so even with a £50 cut in levies, people’s bills will still be higher this winter than last year. The real reason bills are rising year on year without justification is because the energy market is broken.

“Instead of bailing out the energy companies, David Cameron should stand up to them and stop them overcharging people.”

But we all know that David Cameron never stands up to his corporate masters, don’t we?

(Vox Political‘s Mike Sivier will be talking about the energy scandal, along with the continuing cover-up of DWP-related deaths on Sonia Poulton Live today. You can see it by visiting www.thepeoplesvoice.tv, starting at 5pm.)

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Age UK predicts 200 pensioner deaths PER DAY this winter. Is Iain Duncan Smith happy now?

28 Monday Oct 2013

Posted by Mike Sivier in Benefits, Conservative Party, Cost of living, Health, pensions, People, Politics, Poverty, UK, Utility firms

≈ 11 Comments

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Age UK, allowance, benefit, benefits, bill, blood pressure, Coalition, companies, company, Conservative, cost, death, Department, Department for Work and Pensions, die, DWP, employment, energy, ESA, flu. chest infection, government, health, heart attack, heating, Iain Duncan Smith, Mike Sivier, mikesivier, pension, pensioner, Pensions, people, politics, price, problem, respiratory, sick, social Darwinist, social security, stroke, support, Tories, Tory, utility, Vox Political, welfare, winter, work


The Grimmer Reaper: If pensioners die in their thousands this winter, Iain Duncan Smith stands to profit from it.

The Grimmer Reaper: If pensioners die in their thousands this winter, Iain Duncan Smith stands to profit from it. [Picture: Daily Mirror]

It is hard not to imagine Iain Duncan Smith salivating at the thought that 200 pensioners a day might die of the cold this winter.

Pensions are the most expensive part of the State benefit bill, taking up more than half of his budget. With the state pension at £110.15, he stands to save £137,467,200 per year, without having to lift a finger. The energy companies will get the blame, with soaring bills making it impossible for senior citizens to heat their homes.

This is a much better deal, even than the one he engineered with Employment and Support Allowance, in which at least 73 people have been dying every week because of poverty-related health or mental health problems brought on by DWP decisions, ; people on ESA for longer than 13 weeks get £100.15 per week, meaning a saving of only £380,169.40 per year.

Make no mistake – any pensioners who die will be counted as a “positive benefit outcome” in Smith’s twisted DWP world. The man himself has been described as a social Darwinist, meaning he expects natural selection to decide who lives. Survival of the fittest, the ones who make the smart decisions and do what they must – and the Devil take the hindmost.

The figures on pensioners come from a survey by Age UK that says more than three million older people are worried about winter heating, with nearly six million admitting fears about the rising price of energy.

“Cold temperatures can be very dangerous to older people’s health as they not only increase the likelihood and severity of flu, chest infections and other respiratory problems but they also raise blood pressure which puts people at greater risk of heart attacks and strokes,” the Age UK article states.

“This winter, 24,000 older people may not survive the cold weather – that’s 200 deaths a day that could be prevented. Contrary to public belief, about half (41 per cent) of all excess winter deaths are due to heart attack and strokes.

“Age UK’s new research reveals that whilst many older people are worried about staying warm at home, many are unaware of the severe health implications of being cold.

“Almost a quarter (22 per cent) of older people don’t realise that a number of serious health problems are made worse or brought on by the cold and this rose to 29 per cent amongst people aged 80 and over.”

Does Iain Duncan Smith know that?

“Less than one in 10 people aged 65 and over in the UK are aware that strokes can be brought on by the cold in winter, with only 14 per cent recognising that the cold can impact on heart attacks,” the article continues, so it is doubtful that he does. Iain Duncan Smith is 59.

Does he know that “living room temperatures should ideally be kept at 70F (21C) and above whereas bedroom temperatures should be kept at a minimum of 64F (18C)”? Probably not. He’s probably got someone to work these things out for him.

Besides urging older people and their friends and family to be prepared this winter, Age UK is also calling on MPs of all parties to support investment to boost the energy efficiency of older people’s homes and help them keep warm.

It would be welcome to see Iain Duncan Smith helping out here. It would also be a surprise.

That is why it is hard not to imagine Iain Duncan Smith salivating at the thought that 200 pensioners a day might die of the cold this winter.

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Who can afford to buy or rent property in Britain now?

18 Friday Oct 2013

Posted by Mike Sivier in Conservative Party, Cost of living, Housing, Politics, Poverty, UK

≈ 8 Comments

Tags

10 per cent, afford, authority, average, BBC, bed and breakfast, bedroom tax, Coalition, Conservative, council, crisis, cut, David Cameron, debt, developer, earn, economy, evict, government, help to buy, High, house, housing bubble, income, landlord, local, LSL Property Services, Mike Sivier, mikesivier, people, politics, price, private sector, property, record, rent, salary, supply, Tories, Tory, Vox Political, wage


This bubble will burst: The Coalition government has engineered a recovery based on the false inflation of house prices and rents.

This bubble will burst: The Coalition government has engineered a recovery based on the false inflation of house prices and rents. It is bound to burst; the only questions are when – and who will be harmed by the fallout? [Picture: Haynesonfire blog]

Today the BBC reported that average private sector housing rents have hit a record high of £757 per month – just three days after the Corporation told us house prices have also hit a record high (averaging £247,000).

If you are an “average” UK earner (whatever that is), then your income has been cut by almost 10 per cent in the three years and five months since David Cameron became Prime Minister. Who can afford to rent at these prices? Who can afford to buy?

And is this the private rented accommodation that people affected by the Bedroom Tax were supposed to rent instead?

Are these the houses on which the government is going to underwrite 15 per cent of the mortgage in its ‘Help to Buy’ scheme? Already a(nother) huge housing bubble is growing and the debt crisis when it bursts will be appalling.

Meanwhile, everything costs a fortune and you have no money.

But somebody is buying. And somebody is renting.

Somebody rich, obviously.

“Higher rents in almost every region show that, despite government schemes, buying a first home is still a difficult aspiration,” the article quotes David Newnes, director of LSL Property Services.

“This is not only down to low salary growth, but also a general shortage of supply – which is the underlying reason why homes are getting more expensive. The long-term trend to renting therefore looks unlikely to change significantly in the near future.”

So the lack of house-building – either to buy or to rent – has proved lucrative for property developers and landlords. They don’t need to build any more if the value of their current buildings keeps rising. And nobody else can afford to build.

In the meantime, people in social housing are feeling the bite of the Bedroom Tax, with 50,000 families in danger of eviction because of it – putting pressure on local authorities who have to pay through the nose to put them into bed and breakfast accommodation instead.

Was this the Tory plan? To make things – the important things like housing and land – so expensive that only they and their friends could afford them? To push you into dependency by proxy?

And we didn’t see it coming?

Gosh.

At least nobody reading this voted for them. Anyone who did that must feel like a real chump now.

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