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UK government refuses to accept responsibility for crimes against humanity

09 Wednesday Apr 2014

Posted by Mike Sivier in Benefits, Conservative Party, Disability, Employment and Support Allowance, Health, Labour Party, Liberal Democrats, People, Politics, Poverty, Public services, UK

≈ 19 Comments

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Alan Reid, allowance, Angela Watkinson, Atos, BBC, Black Triangle, British Medical Association, Caroline Lucas, Citizens Advice, Coalition, Conservative, corporate manslaughter, crime, David Cameron, decision maker, Democrat, Department, disability news service, DWP, Eilidh Whiteford, employment, ESA, Freud, George Hollingbury, government, Guto Bebb, Harrington, humanity, IB, Incapacity Benefit, Inclusion Scotland, insurance, Jim Sheridan, John McDonnell, John Pring, Labour, Lib Dem, Liberal, Linda Nee, Litchfield, Margaret Thatcher, Mark Wood, Mental Health Welfare Commission, Mike Sivier, mikesivier, minister, Mo Stewart, Motability, national audit office, Panorama, Pensions, Personal Independence Payment, PIP, preventable harm, public accounts committee, Rachel Reeves, Royal College of Nurses, Scotland, support, The Guardian, Tories, Tory, UK, Unite, unum, Vox Political, welfare reform, Welfare Reform Act, work, work capability assessment, wow petition


131109doublespeak

A guest report by Mo Stewart ©Mo Stewart April 2014

Following the bogus Work Capability Assessment (WCA) conducted by Atos Healthcare, as contracted by the Department for Work and Pensions (DWP), the United Kingdom (UK) Government admitted that it was wrong to cut the disability benefits of Mark Wood, the vulnerable disabled man who starved to death following the removal of his benefits, in the 21st century UK, when weighing only 5st 8lbs.

Regardless of this tragedy, the UK Conservative led Coalition Government still refuses to accept any responsibility.

Despite the fact that the WCA was introduced by the Labour Government in 2008, it was originally designed by previous Conservative Governments, in consultation with the notorious American corporate giant now known as Unum Insurance, identified in 2008 by the American Association for Justice as the second most discredited insurance company in America.

Without a welfare state, sick and disabled people in America are required to use private healthcare insurance. The tyranny now imposed on the sick and disabled people in the UK, using the WCA, was designed in consultation with Unum Insurance to oblige the general public to purchase private income protection insurance policies once it was made very clear that chronically sick and disabled people could no longer rely on the British State for adequate financial support.

Americans often suffer when attempting to claim from the income protection insurance policies of Unum Insurance, who use an identical bogus disability ‘assessment’ model as that used by Atos Healthcare.

Due to the similarities of the negative and damaging experiences of claimants, American sick and disabled people are periodically informed about the struggle in the UK by the high calibre and relentless work of Linda Nee, who tries to encourage claimants to publicly protest as witnessed in the UK, which it seems disabled Americans still don’t dare to do – such is the intimidation of Unum Insurance & the American authorities (see here, here and here).

The new report by The Mental Health Welfare Commission for Scotland, regarding a woman’s suicide after being ‘stripped of disability benefits’, was reported by John Pring at the Disability News Service (DNS) and by many others. The Coalition Government knew this carnage would happen.

Three years ago a list of distinguished academics, together with politicians and disability support groups, identified the future in a letter as published in The Guardian newspaper: ‘Welfare reform bill will punish disabled people and the poor.’ Now, three years after this letter was published, questions are being asked as to why the appointed and totally unsuitable Lord Freud, in his capacity as the Minister for Welfare Reform – who was not elected by anyone in the usual democratic way – deemed it necessary for the DWP to stop collating the numbers of deaths recorded after the long-term sickness and disability benefit, Incapacity Benefit, now changed to the Employment Support Allowance (ESA), is removed from claimants. (My emphasis.MS)

Questions are also being asked as to why this unelected former City banker was ever afforded so much authority and power in the UK Government given his reputation, where one commentator described Freud as: ‘…one of the key players in several of the most embarrassing and badly managed deals in investment banking history.’ (See here and here)(My emphasis. MS)

The recent welfare Backbench Business debate in the House of Commons (HOC) was granted due to the 104,000 signatures on the WOW petition, as gathered by disabled people and their carers, who are demanding a cumulative impact assessment of all the welfare reforms. The debate was held on February 27, 2014 where, lamentably, most Coalition Government Members of Parliament (MPs) failed to attend this very important and historic debate. Of course, Coalition MPs still played the ‘blame game’, reminding the opposition that the previous Labour Government had introduced the Work Capability Assessment (WCA).

However, the Coalition routinely overlook the fact that they knowingly changed the WCA into the government-funded nightmare that it is today, whilst MPs such as George Hollingbury (Column 430) actually claimed that the Coalition “took it forward”… (Welfare Reform Act 2012) whilst disregarding the fact that a WCA face-to-face assessment with Atos Healthcare is taking over six months to arrange. (Column 433) (My emphasis.MS)

Hollingbury waxes lyrically about all the ‘expert’ opinion (Column 431) that totally failed to expose the dangerous and limited reality of the WCA, not least due to the restricted possible answers in the tick box WCA computer questionnaire, as conducted by Atos Healthcare, that fail to offer the choice of ‘none of the above’ as an additional possible answer when the WCA questions do not refer to a particular claimant’s situation.

Hollingbury quotes Dr Litchfield’s WCA review whilst overlooking the fact that Professor Harrington, who conducted the first three annual reviews into the WCA, when no longer responsible, appeared in a BBC Panorama documentary and confirmed that ‘…people will suffer.’ No government representative can answer the subsequent obvious simple question – why should chronically sick and disabled people ‘suffer’ in the UK, apart from at the whim of a tyrannical government? (My emphasis.MS)

During the historic WOW petition debate, Alan Reid (Column 434 & 435) claims to be proud of his record in government as a Liberal Democrat (Lib Dem), still claiming that Lib Dems in government have been responsible for ‘improving’ the WCA process, whilst totally disregarding the fact that it is irrelevant how much more ‘flexibility’ is given to the DWP ‘Decision Makers’ and overlooking the fact that the ‘Decision Makers’, by their own admission, are totally unqualified for the vast responsibility they have. (My emphasis.MS)

They are basic grade administrators, not medical administrators, and they are incapable of comprehending diagnosis, prognosis or the implications of long term drug use when using a combination of prescribed drugs. (See here and here) More and more DWP bureaucracy with more and more administration means more and more delays, increasing DWP errors and utter chaos with a system clearly in meltdown as more and more victims of this UK government suffer and die. (See here and here) (My emphasis.MS)

Guto Bebb (Column 442) demonstrated that he is very poorly briefed, and doesn’t appear to want to be better informed, claiming that the damning report by the National Audit Office was ‘disappointing’ but insisted that the policy aims were OK. Bebb still seems to think that any sick or disabled person not in paid employment is ‘unproductive’. This disabled researcher begs to differ and, if the MP reads the very detailed published reports (here and here) as accessed by academics at universities throughout the UK, he’d know how incorrect he is.

Dame Angela Watkinson (Column 445) also appears to be remarkably poorly informed, as were various other speakers in this poorly attended yet important debate, who continued to repeat government rhetoric whilst disregarding the detailed evidence that has exposed the realities behind the ‘reforms’ as paving the way for private insurance to replace the once-hallowed UK Welfare State.

Since being introduced by the Conservative Government in 1992, all UK Governments have used the second worst insurance company in America as “government advisers” on welfare reforms, and the dangerous and totally discredited WCA is the result. (See here and here)

Jim Sheridan’s comments (Columns 448,449) were especially welcome during the debate when making reference to the new Personal Independence Payment (PIP) that has replaced DLA: “Reference has already been made to the obsession with people receiving welfare benefits, but for those with money – the tax avoiders and evaders – life goes on as normal. If only a fraction of the resources used and the time spent on chasing down those on welfare benefits was diverted to tackle tax avoidance and evasion, some people might understand the rationale behind it.”… “When people finally hear about their assessments, there is not much hope. Only 15.4 per cent of new claims have received a decision, and only 12,654 of the 220,300 people who have made a new claim since April 2013 have been awarded some rate of PIP. A constituent of mine got in touch because her father had been diagnosed with lung cancer. Because there is a possibility that his treatment will work, giving him a life expectancy of up to five years, he has not been classed as terminally ill. He is not well enough to attend a medical assessment and so will have to wait longer for a home visit. It appears that letters from his GP, cancer doctor and cancer hospital are not enough to prove the seriousness of his illness.”… “Inclusion Scotland has highlighted the case of the father of an applicant who was told that they would have to wait at least 10 months for any kind of decision, and perhaps even for a first assessment. A constituent of mine who is undergoing cancer treatment has been told that the eight-week time frame given by DWP is an unrealistic amount of time in which to process an application and offer an assessment slot. When my staff called the MP’s hotline, they were told that they simply cannot process the number of applicants as there is not enough staff. They also say that most people who have applied for PIP will not be entitled to it, even before individual cases have been looked at. If that is the mindset of the staff processing the applications, it is hard to see how balanced decisions will be made.” (My emphasis. MS)

Dr Eilidh Whiteford’s comments during the debate were also very welcome (Columns 450 & 451) and highlighted the vital work of the disability support groups such as the Black Triangle Campaign: “The Government are looking at this through the wrong end of the telescope. Raising the bar on eligibility will not make anyone any less sick or any less disabled; it will just make it more difficult for them to function in society and place more pressure on those on whom they rely for their care and support”…. “One of the most profoundly disheartening experiences for me as an MP since being elected in 2010 has been the relentless way in which disabled and sick people have been vilified and stigmatised in the public discourse about welfare reform. Those who had very little responsibility for the financial collapse and subsequent economic problems have nevertheless had to carry the can. The attempt to discredit disabled people in order to justify harsh and punitive cuts in their already fairly paltry incomes is quite shameful. It appals me that the most disadvantaged have been asked to pick up the tab disproportionately for the profligacy of others. As we look to the future, we see further cuts of £12 billion, at least, promised in the years ahead. For disabled people in Scotland, the choice between two very different futures is opening up before them: one with decisions on welfare made in Scotland or one where further cuts slash their incomes even more. That choice must seem very stark indeed.” (My emphasis. MS)

The very experienced Labour MP, John McDonnell, who requested this Backbench Business debate, actually confirmed the involvement of Unum Insurance with the entirely bogus WCA (Column 426): “The work capability assessment was flawed from the start. It stemmed from the work of the American insurance company Unum, and the so-called biopsychosocial model of disability assessment. That was exposed as an invention by the insurance companies simply to avoid paying out for claims.” … “The staff employed in order to achieve that often had minimal medical or professional qualifications, and their expertise or experience was often totally unrelated to the condition or disability of the people they assessed.”… “Assessments largely disregarded people’s previous diagnosis, prognosis or even life expectancy. The recent Panorama programme Disabled or Faking It? exposed the scandal of seriously ill patients—people diagnosed with life-threatening conditions such as heart failure or endstage emphysema—being found fit for work. The so-called descriptors, or criteria, on which assessments are based bear no relation to the potential employment available, take little account of fluctuating conditions and are particularly unresponsive to appreciating someone’s mental health issues.” John also identified the utter absurdity of this Government, introducing yet another bogus assessment as the Personal Independence Payment (PIP) that will ‘replace’ DLA although it is likely to remove this additional support from the vast majority of the 3.5 million people in receipt of DLA.

Shockingly, the provision of a Motability long leased vehicle, as funded by the mobility component of the DLA, will now be removed from the majority of chronically disabled people who do work; thus actually preventing them from going to their place of work since they are physically unable to use public transport, which will dramatically and knowingly increase the numbers of disabled people not in paid employment. (Column 428) (My emphasis.MS)

No matter how many unnecessary tragedies are reported, or how many people die in utter despair and destitution, Conservative MPs like George Hollingbury will dismiss them all as ‘questionable’ results….and Alan Reid, for the Lib Dems, still actually claims to have had some positive function in a Government that helped sick and disabled people, whilst disregarding the horrors, the deaths, the suicides and the overwhelming evidence; including distinguished academic papers from UK universities, together with detailed reports by both the British Medical Association and the Royal College of Nurses. Reid accepts no responsibility for the nightmare he helped to create, blaming anyone except the Government he belongs to. He needs to read the detailed, referenced research to help him learn what the disability movement already know. As he talks nonsense, people die.

Reid complains about Atos whilst ignoring the fact that the DWP is complicit. Totally unqualified DWP ‘Decision Makers’, under any UK Government, are dangerous as they aren’t qualified; they can’t comprehend diagnosis or prognosis and hence they are a liability and constantly make incorrect decisions. Their decisions to remove benefits from genuine claimants are killing the innocent victims of this UK State tyranny. Their countless wrong decisions mean that people die, encouraged by this enthusiastic and very dangerous UK Government, who sit back and watch as the majority of people blame Atos Healthcare who are simply following the DWP contract by using the bogus Lima computer assessment to conduct the WCA, as required by the DWP. (My emphasis.MS)

Atos Healthcare doesn’t remove anyone’s benefits – a constant incorrect claim by many – as they don’t have the authority. All Atos staff can do is to decide if someone is ‘fit for work’ based on the results of a bogus imported computer assessment. Any other company in the same position would result in the same conclusions as that is how the computer software in designed, which is why the Lima software should be banished and this particular WCA cancelled. (My emphasis.MS)

By definition, DWP ‘Decision Makers’ actually make the decisions about welfare benefits. These totally unqualified administrators are required to consider all additional evidence provided by the claimant; including detailed letters from Consultants and GPs who know their patients very well. It is the incompetence of the unqualified DWP Decision Makers, who fail to comprehend the details of medical information and choose to accept any decision following the WCA, as conducted by Atos Healthcare, that makes these DWP staff so very dangerous to the most vulnerable people in the UK. Mandatory reconsiderations won’t help if the Decision Makers remain unqualified for the job. What better way is there to remove as many people as possible from welfare benefits than to employ totally unqualified staff to make these vital decisions? (My emphasis.MS)

Identified claimant suffering includes dramatic increases in the onset of mental health problems. The General Practice (GP) service is close to collapse due to overwhelming numbers of patients needing support with DWP paperwork, that limits GP time spent with other patients who are ill and the British Medical Association (BMA) and the Royal College of Nurses (RCN) have both exposed the WCA as causing ‘preventable harm’ (as we have already seen). Yet this dangerous UK Government, with a Cabinet full of millionaires who fail to comprehend need, dismisses all other evidence regardless of source. They disregard the obvious fact that the ‘reforms’ are falling disproportionately onto chronically disabled people, and those who are very ill and in need of guaranteed long-term welfare benefits, as the Government sells the UK and transforms a once-great nation into UK plc. (My emphasis.MS)

In a now-infamous 2008 interview, Lord Freud claimed that he ‘couldn’t believe’ that anyone had been awarded a benefit ‘for life’, demonstrating the immense danger of permitting a former investment banker to have control of welfare spending when he fails to comprehend that many health conditions are permanent and do indeed last a lifetime. Meanwhile, the Public Accounts Committee’s report of February 2013 regarding the DWP’s contract management of medical services was unlimited in its criticisms of the DWP: ‘Poor decision-making causes claimants considerable distress, and the position appears to be getting worse, with Citizens Advice reporting an 83 per cent increase in the number of people asking for support on appeals in the last year alone. We found the Department to be unduly complacent about the number of decisions upheld by the tribunal and believe that the Department should ensure that its processes are delivering accurate decision-making and minimizing distress to claimants.‘ (My emphasis. MS)

There were many powerful speeches in the historic WOW petition debate and it isn’t possible to highlight them all. However, one name in particular should be highlighted for the courage to expose the fact that, if a link could be proven, “…there would be a case for corporate manslaughter.” (Column 460) (My emphasis.MS)

I salute Caroline Lucas MP of the Green Party for her courage and, in particular, for her condemnation of the official opposition for their total failure to offer detailed, significant support to this nation’s chronically sick and disabled people, with the new Shadow Secretary for Work and Pensions, Rachel Reeves MP, using her first interview to announce that she ‘…would be tougher on people on benefits’. (My emphasis.MS)

What a catastrophic announcement from the Shadow Secretary for Work and Pensions that, effectively, offers this nation’s most vulnerable people no hope if the Labour Party were to win the next General Election in 2015.

Given the recent announcement by the largest trade union UNITE, who have threatened to withdraw financial support for the Labour Party due to their abject failure to identify with the working people of this country, there seems little chance of a Labour Government in the UK any time soon. Any future Conservative or Coalition Government will continue to kill many more innocent victims in this state-sanctioned slaughter, which remains the ultimate Thatcher Legacy as interpreted by her devoted disciple – David Cameron.

Follow me on Twitter: @MidWalesMike

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‘Liars!’ MPs use DNS investigation to accuse Atos over PIP contract

22 Saturday Mar 2014

Posted by Mike Sivier in Benefits, Business, Corruption, Disability, Media, Politics, Public services, UK

≈ 6 Comments

Tags

Atos, benefit, benefits, capita, Commons, Department, disability news service, DWP, government, health, Lisa Coleman, Mike Sivier, mikesivier, Pensions, people, Personal Independence Payment, PIP, politics, public accounts committee, Richard Butchins, sick, social media, social security, Vox Political, welfare, work


130921nomoreatos

Here’s an example of the rise of the social media at work; our influence is building and people of influence are starting to rely on us. Congratulations to the Disability News Service for this coup:

MPs have used evidence provided by Disability News Service (DNS) to accuse the outsourcing giant Atos of lying in the document it used to win a £184 million disability assessment contract.

Members of the Commons public accounts committee were quizzing senior civil servants in the Department for Work and Pensions and top executives from Atos and Capita about the implementation of personal independence payment (PIP).

But it was Lisa Coleman, an Atos senior vice president, who bore the brunt of the committee’s anger, thanks to concerns DNS had passed to the committee about the way the company won the contract to assess PIP claimants across London and the south of England.

The concerns have been raised over the last 18 months in a joint investigation by DNS and the disabled journalist Richard Butchins.

You can find the rest of the article here.

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Lansley feels the heat over ‘bullying’ claims – why not Mr… Smith?

22 Friday Nov 2013

Posted by Mike Sivier in Benefits, Conservative Party, Corruption, Politics, UK, Universal Credit

≈ 21 Comments

Tags

Andrew Lansley, Atos, BBC, benefit, benefit cap, benefits, bully, Coalition, Conservative, contempt, death, Department, Department for Work and Pensions, DWP, government, Iain Duncan Smith, inappropriate talking, Labour, Margaret Hodge, Mike Sivier, mikesivier, Parliament, Pensions, people, permanent secretary, politics, public accounts committee, Robert Devereux, sanction, social security, Tories, Tory, Universal Credit, Vox Political, welfare, work, work and pensions committee, Workfare


Insincerity man: Would YOU believe Iain Duncan Smith if he told you he wasn't a bully?

Insincerity man: Would YOU believe Iain Duncan Smith if he told you he wasn’t a bully?

Claims that Iain Duncan Smith bullied members of the Public Accounts Committee into blaming his permanent secretary for the failings of Universal Credit are gaining traction after the Daily Telegraph reported that committee chair Margaret Hodge said that “senior figures had sought to influence her report”.

The Telegraph report states: “In comments to students on November 11 – four days after the publication of he committee’s report – Mrs Hodge said: ‘I can’t tell you how much inappropriate talking there was to me and other members of the committee, by both ministers and civil servants, either to get me to blame the permanent secretary in the DWP and therefore transfer blame away from Iain Duncan Smith or to put the blame on Mr Devereux [Robert Devereux, the permanent secretary] and to ensure ministers escaped blame.'”

As reported here on November 7, Iain Duncan Smith “has denied claims he tried to ‘lean on’ members of the committee to place the blame on Mr Devereaux, but Labour sources on the committee told BBC News there was a ‘concerted’ effort by Tory members to shift the blame, with extra meetings and discussions over amendments ‘pointing the finger’ at the permanent secretary”.

Bizarrely, it is Andrew Lansley, the Leader of the House of Commons, who has come under attack after the revelation – because he told the Commons (on the same day) that there was “no truth” to the claims.

While it is true that knowingly telling a falsehood to other MPs constitutes contempt of Parliament, for which the penalty used to be expulsion – as we know from the record of Iain Duncan Smith – it seems strange that the focus is on Lansley, who merely repeated what he had been told to say, and not Smith himself, the alleged perpetrator of the wrongdoing.

Spokespeople for the DWP and Lansley have denied any wrongdoing – well they would, wouldn’t they?

But Iain Duncan Smith is due to go before the Commons Work and Pensions Committee to account for the many offences he has committed in the last few months, and it seems right that this bullying allegation should be included alongside the financial irregularities now associated with Universal Credit (more than £160 million wasted on duff computer systems), his refusal to provide up-to-date figures on the number of deaths now associated with his social (in)security policies, the illegality of his attempts to deprive sanctioned victims of his workfare schemes of the back-benefit the government now owes them, and his own contempt of Parliament offence, in which he made false claims about the benefit cap.

That meeting is set to take place on December 9 (postponed from an original date in July). Do you think the lying coward will turn up?

 

*If you have enjoyed this article, you may wish to consider picking up the book, Vox Political: Strong Words and Hard Times. The site is not professional and receipts from the book are its only means of support. Its 350 pages contain a great deal of information that should be just as useful as this article, and it may be bought here, here, here, here and here – depending on the format in which you wish to receive it.

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Frustration as MPs say calls to government departments are ‘too expensive’

11 Monday Nov 2013

Posted by Mike Sivier in Business, People, Politics, Poverty, Public services, UK

≈ 29 Comments

Tags

BBC, benefit, benefits, call, Coalition, company, complaint, Conservative, customer service, Democrat, Department, Department for Work and Pensions, DWP, expensive, freephone, government, higher rate, HM Revenue and Customs, hmrc, Liberal, Liberal Democrat, local rate, Margaret Hodge, Mike Sivier, mikesivier, operator, Pensions, people, politics, private, public accounts committee, Royal Mail, tax, telephone, This Is Money, Tories, Tory, victim support, Vox Political, waiting time, Which?, Whitehall, work


[Picture: This Is Money]

[Picture: This Is Money]

That’s frustration for the Coalition government, not the public (for a change).

If you’ve ever had to telephone a government department, you probably know that it is about as hard as the private company operating the service can make it. This is to enable that company to screw as much money as possible out of you before you have said a single word to a government employee.

The system is set so that there is only a small number of rings before a machine picks up – this is when they start charging you – and a recorded voice lists a series of options, from which you may choose. Then you wait.

And wait.

They provide music for you to… enjoy, but this is interrupted at 20- or 30-second intervals by another recorded voice telling you that all operators are busy but your call is important.

After a non-specific length of time, a human being comes on the line and tells you that they can’t deal with your problem but will put you through to someone who can. Then its back to the music, interrupted by the recorded voice.

I have no idea what happens after that. I do not have the disposable cash to pay through the nose for the privilege of listening to ‘The Four Seasons’ being ruined. If I want to hear classical music, I’ll get Spotify or – Luddite that I am – spin a CD.

Currently, whenever I receive correspondence saying I should telephone a government department, I respond with a letter. Now that Royal Mail is privatised, I suppose I shall have to find another alternative when prices start to rocket.

Fortunately, it seems Margaret Hodge and the Commons Public Accounts Committee have taken note of the problem and action is being proposed, after it was revealed that people have been paying around £56 million to speak to government departments on premium rate phone lines.

How did they find out? Was it brought to their attention because of the high volume of ‘abusive’ messages from clients who had been told their calls were being recorded, but who still ended up screaming that they had been waiting forever, the call had already cost them the national debt of a small developing country and their spouse and family had given up and left them – most probably for a telephone company executive?

Sadly, this isn’t even news. It was reported in December 2012 that calls to HM Revenue and Customs had left customers paying £33 million a year. Somebody calling from a mobile would have spend £1.92 if they waited the average length of time on hold – and that is before anyone dealt with their query.

According to the BBC, the committee found that one-third of Whitehall numbers used by the public were higher-rate – including those for benefit, victim support and tax inquiries.

This higher rate means calls can cost 10.5p per minute. With the average call costing 56p, this means calls from landlines can last around five minutes and 20 seconds and we can deduce from our own experiences that most people are unlikely to have actually spoken to anybody human at all.

It seems possible, therefore, that the government telephone system – certainly that used by the DWP – is designed, not as a service to “customers” (their word), but as a means of keeping them away. Not only that, but it also seems designed to fleece them of as much money as possible while doing so.

“Customers of government services should be able to contact those services easily and cheaply,” the BBC article quotes Mrs Hodge. “Charging customers higher rates… is not acceptable, especially when the customers are often vulnerable people.”

There was also criticism that calls took too long to answer.

In response, the Department for Work and Pensions has said it will offer a choice between 0845 and 0345 numbers, allowing callers to choose the cheapest line. I’m willing to bet it won’t tell callers which line that is. Also, it will be massively over-used, leading to longer queues, so people will end up paying just as much.

You’ll have noted that nothing was said about cutting down waiting times.

Consumer group Which? wants public bodies and companies to provide either freephone or local rate numbers for customer service and complaints lines, saying it is “ridiculous” to force a huge bill on people, especially when they have to wait on hold.

It isn’t ridiculous if the phone service has been contracted out to a private company, though – as seems to be the case with the DWP, at the very least.

In that circumstance, it’s a money-spinner – one that is about to peter out, if Mrs Hodge gets her way. That’s why this is frustrating for the government.

How many Conservative MPs have financial interests in the Telecoms industry?

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Mark Hoban: A message isn’t scaremongering if it’s true

09 Saturday Feb 2013

Posted by Mike Sivier in Benefits, Conservative Party, Disability, Labour Party, Liberal Democrats, Politics, UK

≈ 19 Comments

Tags

Atos, Atos Healthcare, benefit, benefits, biopsychosocial, Coalition, Conservative, court, Department for Work and Pensions, disability, Disability Living Allowance, disabled, DLA, DWP, Employment and Support Allowance, ESA, fibromyalgia, government, Group, health, Health and Social Care Act, IB, Incapacity Benefit, Labour, Liam Byrne, Liberal, Liberal Democrat, mark hoban, mental health, Mike Sivier, mikesivier, National Health Service, NHS, Parliament, people, Personal Independence Payment, PIP, politics, public accounts committee, sick, Tories, Tory, tribunal, Vox Political, WCA, welfare, work capability assessment, work-related activity, WRA, WRAG


Mark Hoban, sending even his colleagues to sleep in another Parliamentary debate.

Mark Hoban, sending even his colleagues to sleep in another Parliamentary debate.

Employment minister Mark Hoban has accused Parliament’s public accounts committee of “scaremongering” after it attacked the Department for Work and Pensions’ work capability assessment.

He said, according to the BBC: “Rather than scaremongering and driving down the reputation of the WCA, critics might like to acknowledge the fact that independent reviews have found no fundamental reforms are needed to the current process because of changes we’re making.”

That sounds a lot like self-justifying nonsense to me.

I wonder whether we may reasonably expect any better of him, when we know he edits comments on his own Facebook page to remove anything remotely critical. If you don’t believe me, just you go there and try it!

But okay, let’s give him the benefit of the doubt and try examining the committee’s criticisms at ground-level. We all know my partner, Mrs Mike, has been – and is continuing to go through – the assessment system. Let’s go through the committee’s conclusions with reference to her example.

The first conclusion was that “the decision-making process for new Employment Support Allowance applications and Incapacity Benefit reassessments all too often leads to the wrong decisions and is failing far too many people”. The decision after Mrs Mike’s assessment was that she should go into the work-related activity group for ESA. It was only after she had an interview with a WRA provider – six months after the assessment – that they told us the decision was wrong, she should be in the support group, and we should seek reassessment. So in our case, I find that the committee’s conclusion was ACCURATE.

Conclusion number two: “The Work Capability Assessment may unduly penalise people with specific health problems. The one-size-fits-all approach is not appropriate for particular groups, for example, people with mental health, rare or variable conditions. The process is too inflexible and makes it extremely difficult for individuals with particular conditions to demonstrate the impact of their conditions on their ability to work. Too often the process is so stressful for applicants that it can impact on their health.” Mrs Mike has fluctuating conditions – fibromyalgia, mental health problems, and a back condition that causes pain, although the level of that pain can vary from day to day. As I have demonstrated in my response to the first conclusion, she was put into the wrong group – in the opinion of a work-related activity provider employed by the Department for Work and Pensions. That’s pretty conclusive! I was present at the work capability assessment interview and can assure any doubters that it is an extremely stressful process – not just physically, because claimants have to prove the limits of their physical abilities, but also emotionally. It took her days to recover her composure after the assessment. There are continuing issues to do with mental health, as the current nature of the process – leaving people waiting for months at a time before a decision, or until they can move on to the next step, then the disappointment of being told there was a mistake and they have to go through the whole process again – seems engineered to create mental instability. Therefore I must find that in this case also, the committee’s conclusion was ACCURATE.

The next conclusion states: “The Department does not know the full cost to the taxpayer of the overall decision-making process for Work Capability Assessments. Whilst some costs are known, such as the £26.3 million paid to HM Courts and Tribunals Service for its work on appeals, there is little information on the cost and impact on the National Health Service or on some of the internal interactions within the Department.” Whilst it is true that Mrs Mike has been to see her doctors (physical and mental) since her assessment took place, and throughout the ensuing mess, I would not try to put a price on that extra process. Therefore I cannot say for sure whether this conclusion is accurate or not. However, we all know that a high proportion of appeals are won – more than 90 per cent of those in which the claimant has sought legal representation, in fact, so it is reasonable to believe that the government is paying a high price to the courts. On that basis alone, it is reasonable to question whether the government is getting value for money.

Conclusion four: “The Department has failed to develop a competitive market for medical services. The market for medical service providers is under-developed and Atos Healthcare is currently the sole supplier for all the Department’s medical assessments. It has also been awarded two of the three current contracts for the Personal Independence Payment. The Department is too relaxed about the risk to value for money resulting from a dependence on a monopoly supplier, and on the limitations this has on the Department’s capacity to remedy poor performance.” Personally, I am unhappy with the thought that a profit-centred marketplace should be created around people’s health. This is why I opposed the Health and Social Care Act that has caused so much harm to the NHS in England since it became law. However, the point that it is hard to remedy poor performance when a single company holds a monopoly on assessments is reasonable. Mrs Mike’s assessment was carried out by Atos. That assessment reached a wrong conclusion. Who will carry out her reassessment? Atos. You see the problem.

Worse than that, though, is the underlying issue – that Atos has been briefed to push as many people off-benefit as it can. This is why the work capability assessment is based on the “psycho” part of the biopsychosocial model, itself a discredited medical theory. The aim of the assessment process is to tell claimants that their illnesses or disabilities are all in their minds, and that in fact they are perfectly capable of work. Considering the Labour Party’s policy is reprehensibly shoulder-to-shoulder with that of the Coalition in this regard (Liam Byrne very recently said Labour would continue reforms of social security benefits along similar lines) there seems very little hope for people with disabilities in the future. I find the committee’s conclusion ACCURATE in the case of Mrs Mike, and note with trepidation that the future seems bleak, no matter what government we have in the future.

I do not intend to address the fifth and sixth conclusions as they seem to be operational matters within the Department for Work and Pensions. Before Mr Hoban claims any victories, I should add that all the reports I have seen tend to bear out the comments of the public accounts committee.

But the final conclusion states: “The Department must improve its internal processes to improve the quality of decision-making and contract management. The size of the Department and its impact on individuals and on the public purse requires us to have the utmost confidence in the capability of the Department to deliver. Robust systems are a crucial part of this. We are concerned that the Department is unduly complacent regarding the quality of the decision-making process, particularly given the hardship which can be caused to individuals when the decision is wrong.” Clearly, neither I nor Mrs Mike have any confidence in the DWP’s ability to deliver the right decision regarding a person’s ability to work. Therefore I find the committee’s comment about complacency ACCURATE. The hardship which can be caused to individuals is something my partner and I are being forced to face at the moment – as a possibility, should a reassessment decision go against her. We are all familiar with cases in which people have either died from the worsening of their health conditions (conditions denied by the DWP and Atos) or from suicide provoked by a worsening of their mental health due to the assessment process and fear for the future of themselves and their families. These are real issues.

By suggesting such fears are “scaremongering”, Mr Hoban hugely weakens his own case.

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Let’s cut the link between politicians and tax avoidance firms

31 Thursday Jan 2013

Posted by Mike Sivier in Business, Conservative Party, Law, Politics, Tax, UK

≈ 3 Comments

Tags

38 degrees, capital controls, Coalition, Conservative, Customs, David Cameron, Deloitte, Ernst & Young, Exchequer, George Osborne, Gideon, government, hm, hmrc, KPMG, Margaret Thatcher, Mike Sivier, mikesivier, Parliament, politics, PricewaterhouseCoopers PwC, public accounts committee, Revenue, tax avoidance, Tories, Tory, Treasury, Vox Political


Laughing all the way to the bank: Thanks to these two grinning goons, UK tax law is now totally bent - in their favour.

Laughing all the way to the bank: Thanks to these two grinning goons, UK tax law is now totally bent – in their favour.

Why are the ‘Big 4’ accountancy firms – the companies at the heart of every major scheme for tax avoidance – being allowed to make the law on – guess what – tax avoidance?

Could it be because our comedy Prime Minister, David Cameron, and his part-time Chancellor, Gideon George Osborne, are both either tax avoiders themselves, or have strong connections with tax avoidance? I think it could.

Cameron’s family made their fortune by establishing a tax dodging empire after Margaret Thatcher abolished capital controls in 1979.

And there was a major campaign by 38 Degrees to get Gideon to pay his taxes after Channel 4 revealed he was paying accountants to help him dodge £1.6 million in tax payments every year.

The firms implicated – PricewaterhouseCoopers PwC, Ernst & Young, KPMG and Deloitte – received a damning verdict from Parliament’s Public Accounts Committee today. An internal HMRC study estimated that these four firms “were behind almost half of all known avoidance schemes”. But that doesn’t mean their government contracts will be terminated.

Look at Robert Edwards, senior manager in international corporate tax from KPMG, who was seconded to the Treasury for 20 months to help develop policy on Controlled Foreign Companies (CFC). His speciality was advising multinationals on tax-efficient cross-border financing and restructuring.

What is the UK’s new policy on CFCs? If a British company has subsidiaries overseas, and it transfers ownership of its brands to a tax haven country like Switzerland, its profits on those brands will no longer be subject to UK tax – meaning the new system encourages firms to switch their money into tax havens. Previously, their profits would have been taxed on the difference between what they pay in the tax haven and the UK rate – a disincentive to moving the money as the amount paid in tax would be much the same.

Only UK-generated income will be taxed in the UK, while the costs of funding overseas operations remain allowable against UK profits for UK tax – in other words, the costs of overseas operations will be subtracted from company profits by HM Revenue and Customs, when it considers how much tax to charge.

This is Osborne’s economics in action – big bonuses for big businesses, and all tax-free. Alongside the huge cuts in Corporation Tax (down by a quarter since the Coalition came into office) the loss to the Treasury is expected to be around £20 billion over the lifetime of this parliament, according to its own estimates.

There is no benefit to small- and medium-sized British companies.

Look at the predatory schemes set up by these companies. The Guardian has reported that in November 2012, a tax tribunal threw out an Ernst & Young inspired scheme that enabled Iliffe News and Media to create a new asset – newspaper mastheads. This asset was created for a nominal sum of £1. It was leased back to its subsidiaries who paid the parent company over £51 million in royalties and thus reported lower profits.

PricewaterhouseCoopers devised a scheme to avoid capital gains tax on profits involving a series of circular and self-cancelling transactions resulting in the creation of assets and disposals which somehow managed to cancel out the profit. This scheme was sold to 200 entrepreneurs and, if successful, would have enabled them to avoid capital gains tax on profits of around £1 billion.

KPMG cold-called an amusement arcade company with a scheme to avoid paying VAT on its operations, using Channel Islands entities.

And Deloitte devised a scheme to enable bankers – bankers! – to avoid income tax and national insurance contributions on £91 million of bonuses.

These are just schemes that have become public knowledge. Many more are sure to exist. The predatory practices of major accountancy firms include creating sham transactions, phoney losses and phantom assets to enable their clients to dodge taxes.

But no accountancy firm has ever been disciplined, the UK Treasury has never sought to recover legal costs from the promoters of the schemes and, instead, the big accountancy firms continue to receive taxpayer-funded contracts.

Bankers, accountants, politicians – right up to the Prime Minister. If the proposal in my e-petition – to prevent MPs speaking or voting on legislation likely to make money for them – became law, either Osborne would not be Chancellor of the Exchequer or UK tax receipts would be much healthier than they are today.

Feel free to think about that while you’re signing the petition.

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