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Food bank blow is new low for the Mail on Sunday

20 Sunday Apr 2014

Posted by Mike Sivier in Benefits, Conservative Party, Cost of living, Food Banks, People, Politics, Poverty, UK

≈ 36 Comments

Tags

abuse, Andrea Leadsom, assessor, asylum seeker, benefit, bureau, CAB, cash, Charlotte Leslie, check, Citizens Advice, Coalition, Conservative, criteria, details, Easter, financial, food, food bank, form, George Osborne, government, hardship, health, Iain Duncan Smith, inadequate, JCP, Job Centre Plus, Mail on Sunday, Maria Miller, Mike Sivier, mikesivier, money, people, Philip Hammond, politics, proof, reason, referral, rule, social security, Social Services, starvation, starve, starving, system, Tories, Tory, Trussell Trust, unemployed, voucher, Vox Political, welfare


Who do you bank with? This piece of public opinion was picked up from Twitter [Author: Unknown].

Who do you bank with? This piece of public opinion was picked up from Twitter [Author: Unknown].

Isn’t it a shame that on of our national Sunday newspapers has chosen to disrupt everybody’s enjoyment of our Easter eggs with a specious attempt to expose abuses of food banks and make operator the Trussell Trust look hypocritical?

Isn’t it also a shame that the Mail on Sunday didn’t make a few inquiries into the procedure for dealing with people who turn up at food banks without having been referred?

The paper’s reporters and editor could have, at least, opened a dictionary and looked up the meaning of the word “charity”.

Under the headline, ‘No ID, no checks… and vouchers for sob stories: The truth behind those shock food bank claims’, the paper today (April 20) published a story claiming that Trussell Trust food banks are breaking their own rules by allowing people to take food bank parcels without presenting a voucher from an approved referrer, and that they are allowing many times more than the maximum permissible number of repeat visits.

Unfortunately for reporters Simon Murphy and Sanchez Manning, both situations are – in fact – allowed, because food banks must be flexible in the way they deal with individual cases. They would have known that if they had done their homework – as yr obdt srvt (who’s writing this) did at several meetings on the organisation of food banks here in Powys.

The paper’s investigation claims that there were “inadequate checks on who claims the vouchers, after a reporter obtained three days’ worth of food simply by telling staff at a Citizens Advice Bureau – without any proof – that he was unemployed”.

It turned out that this person had to fill out a form providing his name, address, date of birth, phone number and the reason for his visit before an assessor asked him why he needed food bank vouchers. In contradiction of the introduction to the story, he explained – not simply that he was unemployed, but that he had been out of work for several months and the harsh winter had left him strapped for cash and food. He said his wife had left her job and was not earning and that they had two children. These lies were sufficient to win food bank vouchers.

What the report didn’t say was how the details given by reporter Ross Slater would have been used afterwards. The CAB would have booked him in for a further interview with a debt advisor, to which he would have had to bring documentary evidence of his situation. When he didn’t turn up, he would have been identified as a fraud. The food bank would also have taken his details, to be fed back into the referral system. Job Centre Plus would have picked up on the fact that he isn’t unemployed. From this point on, he would have been identified as a fraud and refused further service.

You see, it is true that food banks run on a voucher system, but that is only a part of the scheme. The questions asked of people who need vouchers are used to ensure that they get the help they need to avoid having to come back – that’s why they’re asked. They also weed out abusers like Mr Slater.

If the paper’s editor had looked in a dictionary, he might have seen charity defined as “voluntary provision of help to people in need, or the help provided” in the first instance. However, reading further, he would have seen “sympathy or tolerance in judging” listed as well. It seems the Mail on Sunday would have no such sympathy and would have deserving cases turned away to starve.

It is telling, also, that the paper had to go to Citizens Advice to get its evidence. Far more food bank vouchers are handed out in the Job Centre Plus, where all a citizen’s circumstances are available to advisors. But not one word is said about the fact that the vast majority of food bank referrals are for people in real need and not newspaper reporters.

The paper also stated: “Staff at one centre gave food parcels to a woman who had visited nine times in just four months, despite that particular centre’s own rules stipulating that individuals should claim no more than three parcels a year.”

It continued: “Individuals experiencing severe financial hardship are able to claim food vouchers but there are no clear criteria on who should be eligible. Once received, the vouchers can be exchanged for three days’ worth of food at an allotted centre.

“The Trussell Trust has a policy that an individual can claim no more than nine handouts in a year, but undercover reporters found this limit varied in different branches.”

No – it is far more likely that it varied according to the circumstances of the person who needed the help. Rigid rules, such as one that limits people to only three visits, mean those who need the most help would be cut off while they still needed assistance. People working in food banks would be aware of who these were, and would be more likely to be tolerant towards them.

Meanwhile, the other support services – Job Centre Plus, Citizens Advice, Social Services and so on – would be working to help them. With some people, it simply takes longer. It should be easy for anyone to think of reasons why this may be the case.

This may also explain the situation in which a worker at a Trussell Trust food bank said people “bounce around” locations to receive more vouchers. The assessment system is a way of monitoring these people and determining whether they need extra help.

It is not true that the criteria are not clear – the paper is misleading with this claim. Food banks, the charities running them, and referring organisations all have to agree on the circumstances in which they permit people to receive parcels. You really can’t just walk in the door and expect to get a free handout. That’s why the questions are asked and forms filled out – they will check up on everybody.

Another claim – that “volunteers revealed that increased awareness of food banks is driving a rise in their use” is unsubstantiated, and is clearly an attempt to support the government’s claim that this is the case. But it is silly. Of course starving people will go to a food bank after they have been told it exists; that doesn’t mean they aren’t starving.

And the paper wrongly said the Trussell Trust had claimed that more than 913,000 people received three days’ emergency food from its banks in 2013-14, compared with 347,000 in the previous financial year. This is a misreading of the way the charity records its work, as the Trussell Trust records visits, not visitors. It would be hard to work out exactly how many people attended because some will have visited just once, others twice, a few for the full three times, and some would have required extra help.

The claim that many visitors were asylum-seekers is silly because food banks were originally set up for foreign people who were seeking asylum in the UK and had no money or means of support.

Of course it would be wrong to say that nobody is trying to abuse the system. There are good people and bad people all over the country, and bad people will try to cheat. Look at Maria Miller, Iain Duncan Smith (Betsygate), George Osborne (and his former paddock), Andrea Leadsom’s tax avoidance, Philip Hammond’s tax avoidance, Charlotte Leslie who took cash to ask Parliamentary questions – to name but a few.

The Trussell Trust has agreed to investigate the newspaper’s allegations – but it is important to remember that these were just a few instances of abuse, and only claimed – by a newspaper that is infamous for the poor quality of its reporting.

Nothing said in the article should be used to undermine the vital work of food banks in helping people to survive, after the Conservative-led Coalition government stole the safety net of social security away from them.

UPDATE: Already the Mail on Sunday is facing a public backlash against its ill-advised piece. A petition on the Change.org website is calling for the reporter who claimed food bank vouchers under false pretences in order to make a political point to be sacked. Vox Political has mixed feelings about this – it targets a person who was sent out to do a job by others who are more directly to blame for the piece, but then he did it of his own free will and this action brings all newspaper reporters into disrepute. Consider carefully.

Follow me on Twitter: @MidWalesMike

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Osborne promising full employment – is this an April Fool?

01 Tuesday Apr 2014

Posted by Mike Sivier in Benefits, Business, Conservative Party, Cost of living, Economy, Employment, People, Politics, Poverty, UK, unemployment

≈ 11 Comments

Tags

accommodation, April Fool, average, boss, cap, community work, Conservative, CV, divide, dunce, electricity, employment, encouragement, food, gas, George Osborne, harassment, heat, help, identity theft, job, light, living wage, mortgage, myth, national insurance, park, pay, proportion, rent, rule, safety net, sex, silly, social security, tax, Tories, Tory, underclass, Universal Credit, Universal Jobmatch, wage, water, welfare, working class


Bottom of the class: If you believe George Osborne's talk about jobs and benefits, you must have been educated at one of Michael Gove's 'free schools'. [Image: Gaianeconomics]

Bottom of the class: If you believe George Osborne’s talk about jobs and benefits, you must have been educated at one of Michael Gove’s ‘free schools’. [Image: Gaianeconomics]

The answer has to be in the affirmative. Conservatives can’t promise full employment because it simply isn’t part of their philosophy.

As this blog has stated many times, Tories need a discontented underclass fermenting away beneath the lowest-paid members of the working class, in order to create the level of fear necessary to keep wages down.

The argument is that a person will not ask for a pay rise if they know their boss will turn around and say, “There are hundreds out there who will work for less than you – pick up your cards on the way out!”

For a more easy-access disproval of Osborne’s claim, we only have to look a little further into his speech – from the part where he said: “For it’s no good creating jobs – if we’re also paying people to stay on welfare.”

Hang on! When did our great Social Security system change from being a safety net to help get people back into work to “paying people to stay on welfare”?

Oh yes, that’s right – when we had an unelected Conservative government foisted on us. Tories pay people to stay on welfare because they need that fermenting underclass. The aim is always not to pay enough (as you will see).

The next few lines contain unfounded claims and opinions. See for yourself:

“We inherited a welfare system that didn’t work.” According to whom?

“There was not enough help for those looking for a job – people were just parked on benefits.” But there isn’t enough help now. Come to that, there aren’t enough jobs. Where are all the jobs, George?

“Frankly, there was not enough pressure to get a job – some people could just sign on and get almost as much money staying at home as going out to work.” How many people, George? Five? Six? You make it seem as though more than a million jobseekers were sitting at home and drawing as much money in social security as at work. That would be a lie, George.

“That’s not fair to them – because they get trapped in poverty and their aspirations are squashed.” Whereas Conservative policy means what? Oh yes – they get trapped in poverty and their aspirations are squashed.

“It’s certainly not fair to taxpayers like you, who get up, go out to work, pay your taxes and pay for those benefits.” Tory divide-and-rule. You are different to them, because you have a job. If you are low-paid, it is because they are sucking down your tax money to pay for their extravagant lifestyles (I think we’ve all quite thoroughly killed that particular myth, haven’t we? It doesn’t exist outside the Tory political mind).

“Next Monday is when we do more to encourage people without jobs to find them… Benefits will only go up by 1 per cent – so they don’t go up faster than most people’s pay rises, as used to be the case.” This means people on benefits will start to become much worse-off than they are already. Jobseekers’ allowance used to be pegged at around one-sixth of average pay but will now drop to a far lower proportion, because the Tories lied to you when they said benefit rises were far greater than pay rises. One per cent of Jobseekers’ Allowance at a weekly rate of £71 is 70p; one per cent of the average weekly wage in April 2013, which was £517 per week, is £5.17. You see the difference? Oh, and one more thing: Where are all the jobs, George?

“When I took this job, some people were getting huge payouts – receiving £50,000, £60,000 even up to £100,000 in benefits. More than most people could get by working.” How many people, George? Five? Six? One, perhaps?

“So we’ve capped benefits, so that a family out of work can’t get more in benefits than the average working family.” I’m not actually opposed to ensuring that people on benefits can’t take home more than people in work. However, while accurate, this line is disingenuous. George has ensured that a family out of work takes home at least £5,000 less, per year, than an average working family because of the way he and his Tory friends rigged the system. He’s lying to you.

“And we are bringing in a new Universal Credit to make sure work always pays.” He means “pays more than benefits”. He doesn’t mean “pays a living wage”. Spot the difference?

Now here comes some more oppression, based on a really big lie.

“From this month we’re also making big changes to how people go about claiming benefits. We all understand that some people need more help than others to find work.” What work? Where are all the jobs, George?

“So starting this month we’ll make half of all people on unemployment benefits sign on every week – and people who stay on benefits for a long time will have to go to the job centre every day so they can get constant help and encouragement.” Help and encouragement, is it, George? Have you witnessed the kind of “help and encouragement” they get at the job centre? DWP employees should face harassment charges for the disgraceful way they treat their fellow citizens.

“We’re going to require people to look for work for a week first before they get their unemployment benefit. From now on the deal is this: look for work first; then claim the dole. Not the other way around.” Why? In order to drive people into grinding poverty as early as possible? Forcing people to wait until they claim means they could be without money for food, accommodation and utilities for up to a month, while the system processes them. This is not fair. It is cruel and demeaning – especially when Tory George knows there’s no work to be had.

“When people turn up at the job centre they’ll be expected to have a CV ready and to have started looking on our new jobs website.” This is the Universal Jobmatch website that is habitually used by criminals for identity theft, or to offer jobs in the sex industry. It’s so bad that the government itself is planning to ditch it when the contract with its provider runs out in two years’ time. Why would anybody in their right mind use that?

And now here’s the clincher:

“We will ask many of the long term unemployed to do community work in return for their benefits – whether it is making meals for the elderly, clearing up litter, or working for a local charity.”

In other words, they will ensure that fewer jobs are available by making jobseekers do the work for nothing. Brilliant idea, George – you are wrecking our economy.

“All of this is bringing back the principles that our welfare state was originally based on – something for something, not something for nothing.” A lie, couched in truth. The Welfare State is based on the principle that people on hard times were able to take advantage of benefits because, when in work, they paid into the system via taxes and National Insurance. That’s the “something for something”. It is not based on the idea that jobseekers have to take jobs off the market by doing them for free. That’s just plain silly.

In fact, George, you are just plain silly.

So, returning to the question in our headline, it’s clear to see the answer.

If anyone here is an April Fool, it’s George Osborne.

Follow me on Twitter: @MidWalesMike

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Coalition to impose sanctions on housing benefit

27 Thursday Feb 2014

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

≈ 20 Comments

Tags

allowance, benefit, benefit cap, betray, Department, DWP, employ, employment, ESA, fair, full-time, hardworking, housing benefit, Inside Housing, job, Jobseeker's Allowance, JSA, landlord, minimum wage, part-time, Pensions, rule, sanction, support, tenant, Universal Credit, uprating, work


130905universalcredit

Part-time workers who are judged to be doing too little to find full-time work could have their Housing Benefit sanctioned by the government when Universal Credit comes into full force, according to Inside Housing.

The revelation is the latest in a long line of benefit betrayals to be inflicted on the poor by the Coalition government. The new development also means landlords stand to lose out.

The Department for Work and Pensions has confirmed to Inside Housing that under Universal Credit, where a tenant is working less than 35 hours per week at minimum wage and is not eligible for JSA or ESA, then the housing element can be sanctioned instead.

It seems clear that the government is determined that it should be able to take income away from everyone who is not being properly paid by their employer. Does this seem fair to you?

Under the present system, Housing Benefit is paid direct to landlords, meaning sanctions against tenants can only be applied to out-of-work benefits like Jobseekers’ Allowance or Employment and Support Allowance. The aim is to use Universal Credit to spread the threat of sanctions so that it covers people in low-paid work as well. Would you consider any government that did this to be standing up “for hardworking people”?

The article quotes a DWP spokesperson who said: “It is only right that people claiming benefits should be aware that not sticking to the rules can have a consequence.”

This, of course, assumes that a person is breaking the rules if their employer refuses to improve their working conditions… but we know that the government has altered working conditions to ensure that employers are under no pressure to do so; the benefit cap, and the one per cent limit on the annual uprating of benefits have ensured that people without jobs will become continually worse-off, so those who are in work cannot demand pay increases for fear of being handed their P45s and told that someone else will do their job for less.

Are these the actions of a government that believes we are “all in it together”?

If anybody thinks they can find justification for this behaviour, please get in touch.

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Osborne’s bid to end democracy by the back door

15 Wednesday Jan 2014

Posted by Mike Sivier in Business, Conservative Party, Corruption, Democracy, Economy, Employment, European Union, Law, Media, People, Politics, Public services, UK, USA, Utility firms, Water

≈ 59 Comments

Tags

America, cheap labour, Coalition, commercial, Conservative, control, corporation, democracy, Democrat, deregulate, deregulating, dispute, electricity, energy, environment, Europe, European Parliament, financial services, food, free trade, gas, george orwell, George Osborne, global, government, harmonisation, health, health and safety, Health and Social Care Act, investor, labour rights, labour standards, Lib Dem, Liberal, Mike Sivier, mikesivier, National Health Service, NHS, no amendment, non-elected, Parliament, people, politics, priority, privacy, profit, protest, public procurement, ratify, regulatory, Regulatory Co-operation Council, rights, Royal Mail, rule, settlement, slave, speech, state, Tories, Tory, Trade Commission, Transatlantic Trade and Investment Partnership, transnational, TTIP, undemocratic, undermine, United States, USA, Vox Political, water, work, working conditions, World Trade Organisation


140115TTIP

The Coalition government has finally put its cards on the table, calling for the completion of a ‘free trade’ agreement with the United States of America that will end democracy as we know it today.

Do you think this statement is needlessly hyperbolic? In fact, it probably does not make the point strongly enough!

You will lose the ability to affect government policy – particularly on the National Health Service; after the Health and Social Care Act, the trade agreement would put every decision relating to its work on a commercial footing. The rights of transnational corporations would become the priority, health would become primarily a trade issue and your personal well-being would be of no consequence whatsoever.

Profit will rule.

Also threatened would be any other public service that has been privatised by this and previous governments, along with any that are privatised in the future; all would fall under the proposed agreement. So the debate over energy bills would be lost because gas and electricity provision would come under the agreement, along with water and the Royal Mail, among others.

Speaking today (Wednesday), Osborne announced: “We should set ourselves the urgent task of completing the transatlantic trade and investment partnership – the EU-US Free Trade agreement.

“This would be the world’s biggest ever trade deal – together our economies would account for half of global output.

“The Commission estimate it would boost the European economy by 120 billion euros a year – that’s over 500 euros for every family in the EU. It would bring £10 billion pounds a year to the UK alone.

“Some in the European Parliament talk about stalling this Trans-Atlantic Partnership to pursue other agendas.

“But when a quarter of young people looking for work in Europe are unemployed, this would be a complete betrayal.

“We need to create jobs, increase trade, support business growth – we’ve got the European tools to help with the job, let’s get on and use them.”

Did you notice that, for him, it’s all about the money? Yes – he mentions job creation. But these jobs would be provided under terms dictated by the hugely powerful global corporations. Their bosses would take the profits and ground-level employees would be treated like – well, like Orwell’s metaphor for the future: a giant boot, stamping on your face, forever.

You may have heard very little about this – and for a good reason. The architects of the planned agreement want the deal done before anybody realises what is going on and organises robust protest against it.

So let’s give you some of the facts:

140115TTIP2

The US/EU Trade and Investment partnership (TTIP), called Transatlantic Free Trade Agreement (TAFTA) in the US, is a bilateral trade agreement between the US and the EU. It goes much further than any previous EU trade agreement in deregulating, in establishing the rights of transnational corporations and in undermining the ability of governments to control corporations.

It is set to completely change our society, and is already in process, as with the NHS.

‘Trade’ and ‘international trade agreements’ are different. While most people would consider trade to be good thing, international trade agreements give rights to transnational corporations while reducing states’ rights to regulate them, thus reducing democracy.

All free trade agreements include goods, services and intellectual property rights – but the additional elements of the TTIP that are the main part of the agreement are much more far-reaching. These are regulatory harmonisation, investor state dispute settlement and the intention to establish global rules via these trade agreements.

‘Regulatory harmonisation’ means ‘harmonising’ regulation between the EU and US, downwards to the most lax form, across all areas, to suit transnational corporations. This will mean the degrading of regulation on health and safety, food, environment, labour standards, privacy and much more, including financial services regulation. The NHS is now already ‘harmonised’ with the US corporate-access public health model – and this was always the Conservative Party’s plan.

TTIP will also include ‘Investor State Dispute Settlement’ (ISDS), allowing transnational corporations to sue governments directly for the loss of any future profits resulting from any government action, at any level, such as new legislation. Where ISDS is already included in ‘trade’ deals, it is shown to lead either to big payouts from governments to transnational corporations or to deter governments from legislating – the ‘chill’ effect.

In theory, this means that if a national government had banned a product – a toy, perhaps – on the grounds that it was harmful to health because it contained lead – for example – the manufacturer could then sue that government for infringement of the TTIP. The national government would lose, and our children would come down with lead poisoning.

In practice, we can see a classic example in the current lawsuit taken out by Philip Morris, the antipodean tobacco giant, against the Australian government over the law that enforces plain packaging on all tobacco products there. The law was enacted to discourage people from smoking – an act with proven health risks – but it seems likely that Philip Morris will win because Australia’s government has restricted its ability to make massive profits.

TTIP and the TPP are intended to set global ‘trade’ rules which will eventually become the norms for the multilateral World Trade Organisation, but formulated outside of a structure that allows other countries to jointly resist the corporate-dominated agenda.

As with all bilateral ‘trade’ agreements, TTIP negotiations and agreement texts are secret until the negotiations are completed – ensuring that the public cannot protest against them until it is too late.

Trade agreements are effectively permanent.

Although international ‘trade’ agreements are negotiated government-to-government (by the Trade Commission for EU member states), they are promoted and driven by transnational corporations, which benefit from states being bound by international trade law – these are the the same transnational financial service corporations that caused the global financial crisis.

As part of the TTIP, a framework for the ongoing ‘harmonisation’ of all future regulation is being put in place with the setting up of a Regulatory Co-operation Council. This non-elected Council will be able to override national and EU legislation.

‘Public procurement’ – government spending – is a major target in the international trade agenda.

The TTIP is being rushed through, with the aim of completion by the end of this year (2014).

TTIP will include provision for the movement of temporary workers across borders. This will inevitably mean cheap labour, and the undermining of working conditions and labour rights, especially in a context of degraded regulation. These are the jobs George Osborne wants for you!

The Trade Commission has set up a communications ‘spin’ unit to manage public opinion on the TTIP.

Once TTIP negotiations are completed, the European Parliament will only have the right to say yes or no, to the deal, with no amendment allowed. It will then, as with all EU ‘trade’ agreements, be provisionally implemented before it comes to member state parliaments for ratification.

In the US, the government is seeking ‘Fast Track’ provision or Trade Promotion Authority (TPA) from the Congress. If granted, US representatives will similarly only be allowed to pass the agreement or not, without amendment.

140115TTIP3

You may wish to examine the following documents for further evidence:

EU Commission’s (leaked) mandate from EU Council to negotiate TTIP
http://www.s2bnetwork.org/fileadmin/dateien/downloads/EU-TTIP-Mandate-from-bfmtv-June17-2013.pdf

EU Commission’s (leaked) PR strategy “Communicating on TTIP” http://corporateeurope.org/trade/2013/11/leaked-european-commission-pr-strategy-communicating-ttip

EU Commission’s (leaked) concept paper on regulatory coherence
http://corporateeurope.org/sites/default/files/ttip-regulatory-coherence-2-12-2013.pdf

Corporate Europe Observatory’s analysis of the regulatory coherence document http://corporateeurope.org/publications/regulation-none-our-business 

George Monbiot’s articles on TTIP:
http://www.theguardian.com/commentisfree/2013/nov/04/us-trade-deal-full-frontal-assault-on-democracy

http://www.theguardian.com/commentisfree/2013/nov/04/us-trade-deal-full-frontal-assault-on-democracy

Big business control of UK policy-making,including the UK government White Paper on Trade:
http://www.theguardian.com/commentisfree/2013/nov/04/us-trade-deal-full-frontal-assault-on-democracy

These blog articles on TTIP:
http://davidaslindsay.blogspot.co.uk/2013/12/seeing-red.html

http://davidaslindsay.blogspot.co.uk/2013/12/seeing-red.html

http://kittysjones.wordpress.com/2013/12/06/the-coming-corporatocracy-and-the-death-of-democracy/

This Facebook page:
https://www.facebook.com/waatt.org

Action against TTIP is already taking place. Petitions are available to be signed:

https://secure.avaaz.org/en/petition/Stop_the_EUUS_free_trade_agreement/?aTAVNbb

http://www.avaaz.org/en/no_champagne_for_monsanto_loc/?bJcgccb&v=32207

http://action.sumofus.org/a/tpp-lawsuits/?akid=3025.1529716.rGZEQN&rd=1&sub=fwd&t=1

But more must be done.

You – that’s right, YOU – need to contact your MP and your MEP and make sure they oppose this evil plan to stamp on your rights.

Then you – that’s right, STILL YOU – need to get involved in setting up and building local and national groups to fight it, while you still can.

DON’T expect someone else to do it for you or you’ll end up a corporate slave.

… which is exactly what George Osborne wants.

Follow me on Twitter: @MidWalesMike

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Divisions in Coalition as MPs demand independent inquiry on poverty

14 Tuesday Jan 2014

Posted by Mike Sivier in Bedroom Tax, Benefits, Children, Cost of living, Democracy, Economy, Employment, European Union, Food Banks, Health, Housing, People, Politics, Poverty, Public services, Tax, UK, Workfare

≈ 60 Comments

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130617childpoverty

Calls for a ‘commission of inquiry’ into the impact of the government’s changes to social security entitlements on poverty have won overwhelming support from Parliament.

The motion by Labour’s Michael Meacher was passed with a massive majority of 123 votes; only two people – David Nuttall and Jacob Rees-Mogg – voted against it.

The debate enjoyed cross-party support, having been secured by Mr Meacher with Sir Peter Bottomley (Conservative) and John Hemming (Liberal Democrat).

Introducing the motion, Mr Meacher said: “It is clear that something terrible is happening across the face of Britain. We are seeing the return of absolute poverty, which has not existed in this country since the Victorian age more than a century ago. Absolute poverty is when people do not have the money to pay for even their most basic needs.”

He said the evidence was all around:

  • There are at least 345 food banks and, according to the Trussell Trust, emergency food aid was given to 350,000 households for at least three days in the last year.
  • The Red Cross is setting up centres to help the destitute, just as it does in developing countries.
  • Even in prosperous areas like London, more than a quarter of the population is living in poverty.
  • According to the Joseph Rowntree Foundation, for the first time, the number of people in working families who are living in poverty, at 6.7 million, is greater than the number of people in workless and retired families who are living in poverty, at 6.3 million.
  • Child poverty will rise from 2.5 million to 3.2 million during this Parliament, around 24 per cent of children in the UK. By 2020, if the rise is not stopped, it will increase to four million – around 30 per cent of children in the UK.
  • The use of sanctions depriving people of all their benefits for several weeks at a time, had increased by 126 per cent since 2010 and 120 disabled people who had been receiving jobseeker’s allowance had been given a three-year fixed duration sanction in the previous year.
  • There are now more than 2,000 families who have been placed in emergency bed-and-breakfast accommodation after losing their homes.
  • The per cent rise in the overall homelessness figures last year included nearly 9,000 families with children, which is the equivalent of one family losing their home every 15 minutes.
  • A third of families spent less than £20 a week on food and that the average spend on food per person per day was precisely £2.10. That is a third less than those families were able to afford three months before that.
  • The proportion of households that had to make debt repayments of more than £40 a week had doubled and the average level of debt was £2,250.
  • A third of families had council tax debt.
  • 2.7 million people had lost out through the Government’s changes to council tax benefit – many of them disabled people, veterans and some of the most vulnerable in our communities.
  • Households were having to spend 16 per cent more on gas and electricity.
  • There are 2.5 million people who have been unemployed for the best part of two years, and there were 562,000 vacancies when the debate took place (Monday), so four out of five of those who are unemployed simply cannot get a job whatever they do.
  • Cuts to local authorities mean many home care visits are limited to 15 minutes.
  • The 10 per cent of local authorities that are the most deprived in the country face cuts six times higher than those faced by the 10 per cent that are the most affluent.
  • 60 per cent of benefit cuts fall on those who are in work.

Mr Meacher said the biggest cause of absolute poverty was the huge rise in sanctioning, often for trivial reasons such as turning up five minutes late for a job interview or the Work Programme:

  • A dyslexic person lost his Jobseekers Allowance because his condition meant that in one fortnightly period he applied for nine jobs, not 10. He was trying to pay his way and already had work, but it provided only an extremely low income.
  • The jobcentre didn’t record that a claimant had informed them that he was in hospital when he was due to attend an appointment and he was sanctioned.
  • A claimant went to a job interview instead of signing on at the jobcentre because the appointments clashed – and was sanctioned.
  • A claimant had to look after their mother who was severely disabled and very ill – and was sanctioned.
  • A Job Centre sent the letter informing a claimant of an interview to their previous address, despite having been told about the move. The claimant was sanctioned.
  • A claimant was refused a job because she was in a women’s refuge, fleeing domestic violence and in the process of relocating, but I was still sanctioned.

Mr Meacher also quoted what he called a classic: “I didn’t do enough to find work in between finding work and starting the job.”

The latest DWP figures suggest that more than one million people have been sanctioned in the past 15 months and deprived of all benefit and all income. “Given that the penalties are out of all proportion to the triviality of many of the infringements, and given that, as I have said, four out of five people cannot get a job whatever they do, the use of sanctioning on this scale, with the result of utter destitution, is — one struggles for words — brutalising and profoundly unjust,” said Mr Meacher.

Other reasons for the rise in absolute poverty included:

  • Delays in benefit payments.
  • The fact that it is impossible for many poor and vulnerable people to comply with new rules – for example a jobseeker who asked to downsize to a smaller flat who was told he must pay two weeks’ full rent upfront before getting housing benefit. He does not have the funds to do so and is stuck in a situation where his benefits will not cover his outgoings due to the Bedroom Tax.
  • The Bedroom Tax, which applies to around 667,000 households, and two-thirds of those affected are disabled. More than 90 per cent of those affected do not have smaller social housing to move into.
  • The Benefit Cap, imposed on a further 33,000 households.
  • Mistakes by the authorities; up to 40,000 working-age tenants in social housing may have been improperly subjected to the Bedroom Tax because of DWP error (although Iain Duncan Smith claims a maximum of 5,000).

Mr Meacher said: “The Chancellor’s policy of keeping 2.5 million people unemployed makes it impossible for them to find work, even if there were employers who would be willing to take them, and the 40 per cent success rate of appeals shows how unfair the whole process is.”

Responding to a comment from David TC Davies (Conservative) that those who are not looking for work must realise there will be consequences, particularly when a million people have been able to come to the UK from eastern Europe and find work, Mr Meacher said, “Those who come to this country are more likely to be employed and take out less in benefits than many of the indigenous population.”

He asked: “Is all this brutality towards the poor really necessary? Is there any justification in intensifying the misery, as the Chancellor clearly intends, by winding up the social fund and, particularly, by imposing another £25 billion of cuts in the next Parliament, half of that from working-age benefits?

“After £80 billion of public spending cuts, with about £23 billion of cuts in this Parliament so far, the deficit has been reduced only at a glacial pace, from £118 billion in 2011 to £115 billion in 2012 and £111 billion in 2013. Frankly, the Chancellor is like one of those first world war generals who urged his men forward, over the top, in order to recover 300 yards of bombed-out ground, but lost 20,000 men in the process. How can it be justified to carry on imposing abject and unnecessary destitution on such a huge scale when the benefits in terms of deficit reduction are so small as to be almost derisory?”

Suggested alternatives to the punitive austerity programme of cuts came thick and fast during the debate. Challenged to explain what Labour’s Front Bench meant by saying they would be tougher on welfare than the Tories, Mr Meacher said: “As the shadow Chancellor has made clear on many occasions, is that we need public investment. We need to get jobs and growth. That is the alternative way: public investment in jobs, industry, infrastructure and exports to grow the real economy, not the financial froth, because that would cut the deficit far faster than the Chancellor’s beloved austerity.”

He asked: “How about the ultra-rich — Britain’s 1,000 richest citizens — contributing just a bit? Their current remuneration — I am talking about a fraction of the top 1 per cent — is £86,000 a week, which is 185 times the average wage. They received a windfall of more than £2,000 a week from the five per cent cut in the higher rate of income tax, and their wealth was recently estimated by The Sunday Times at nearly half a trillion pounds. Let us remember that we are talking about 1,000 people. Their asset gains since the 2009 crash have been calculated by the same source at about £190 billion.

“These persons, loaded with the riches of Midas, might perhaps be prevailed upon to contribute a minute fraction of their wealth in an acute national emergency, when one-sixth of the workforce earns less than the living wage and when one million people who cannot get a job are being deprived of all income by sanctioning and thereby being left utterly destitute.

“Charging the ultra-rich’s asset gains since 2009 to capital gains tax would raise more than the £25 billion that the Chancellor purports to need. I submit that it would introduce some semblance of democracy and social justice in this country if the Chancellor paid attention to this debate and thought deeply about what he is doing to our country and its people.”

Ronnie Campbell (Blyth Valley, Lab) suggested that the Government might save a lot more if its members “showed the same energy and enthusiasm for getting those who evade their taxes and run to tax havens as they do for going after the poor, the sick and people on the dole”.

Against this, David TC Davies offered insults and distortions of the facts, quoting the Daily Mail as though it provided an accurate account of current events: “Members of the shadow Cabinet might need a boxing referee to sort out their disputes at the moment, as we read today in the Daily Mail.”

He said: “We took office with a deficit of £160 billion and a debt that was rising rapidly to £1 trillion. That was after years of overspending in good times, as well as in bad, by Labour, a cheap money supply and lax banking regulation under the former Government.” Labour’s spending, up until the financial crisis, was always less than that of the previous Conservative administration; Gordon Brown and Tony Blair both ran a lower deficit than John Major and Margaret Thatcher, and at one point actually achieved a surplus, which is something that the Conservatives had not managed in the previous 18 years. While Mr Davies here complained about the “lax banking regulation”, Conservatives supported it at the time and in fact demanded more DE-regulation, which would have made the financial crisis worse when it happened.

“We had disastrous economic decisions, such as that to sell gold at a fraction of its real rate,” said Mr Davies. Yes – the UK lost around £9 billion. But compare that with the disastrous economic decision by George Osborne to impose more than £80 billion worth of cuts to achieve a £7 billion cut in the national deficit. The UK has lost £73 billion there, over a three-year period.

And Mr Davies said: “Worst of all and most seriously, we had a welfare system that allowed people to get into a trap of welfare dependency, leaving them on the dole for many years, but at the same time filling the consequent gap in employment by allowing mass and uncontrolled immigration into this country, which completely undercut British workers.” The first assertion is simply untrue; the second is a legacy of previous Conservative administrations that agreed to the free movement of EU member citizens, meaning that, when the eastern European countries joined in 2004, citizens migrated to the UK in the hope of a better life. Labour has admitted it should have negotiated for a delay in free movement until the economies of those countries had improved, making such migration less likely, but the situation was created before Labour took office.

Challenged on the Coalition’s record, Mr Davies fell back on the Tories’ current trick question, which is to counter any criticism by asking: “Is he suggesting that we are not doing enough to pay down the national debt? Is he suggesting that we should cut further and faster? If so, and if we had the support of other Opposition Members, that is exactly what the Government could do and, indeed, possibly should do. I look forward to seeing that support for getting the deficit down.” This disingenuous nonsense was batted away by Labour’s Hugh Bayley, who said “investing in the economy, creating jobs and thereby getting people off welfare and into work” was the way forward.

Mr Davies’ Conservative colleague Jeremy Lefroy took a different view, agreeing that increasing numbers of people are finding it impossible to make ends meet, and that job creation and apprenticeships were a better way out of poverty than changing the social security system alone. He agreed that sanctions were applied to his constituents “in a rather arbitrary manner”. He spoke against George Osborne’s suggested plan to remove housing benefits from people aged under 25, saying this “would have a drastic impact on young people who need to live away from home and who have no support from their families”. He spoke in favour of councils increasing their housing stock. And he admitted that disabled people faced severe problems when unfairly transferred from ESA to JSA: “A lady in my constituency says, ‘I am simply not fit for work, but by signing on for JSA I have to say that I am available and fit for work.’ She does not want to tell a lie.”

Steve Rotheram (Liverpool Walton, Labour) spoke powerfully about the effect of being on benefits: “Lots of people in my city are on benefits for the very first time. Far from being in clover — it beggars belief what we read in the right-wing press — they are struggling to make ends meet, and the problem that thousands of Liverpudlians are facing is new to them. For many, the idea that they might miss a rent payment is totally alien. They have not done that in the past 20 years, but since May 2010, their individual household incomes have been on such a downward trajectory that they now find themselves in rent arrears, seeking advice on debt management and unable to afford the daily cost of travel, food and energy. Figures suggest that 40 per cent of the adult population in Liverpool are struggling with serious debt problems.”

And he said poverty had health implications, too: “David Taylor-Robinson of the University of Liverpool and his fellow academics have highlighted the doubling of malnutrition-related hospital admissions nationally since 2008.”

John Hemming (Birmingham Yardley, LD) raised concerns about “the interrelationship between the welfare cap and victims of domestic violence, and whether there are situations that need more attention. I believe that people can get discretionary housing payment to leave a violent home, but it is important that we ensure that there is a route out of domestic violence for women. I am worried about that issue, just as I am about some wrongful sanctioning that I have seen. That does not help at all, because it undermines the whole process.” He also called for “a substantial increase in the minimum wage, because as the economy is improving the Government should look at that, rather than maintain things as they are”.

The vote gave huge endorsement to the call for an independent inquiry into poverty under the Coalition.

But with an election just 15 months away, how long will we have to wait for it to report?

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Defeated again over work schemes: Iain Duncan Smith loses his case in court

30 Wednesday Oct 2013

Posted by Mike Sivier in Benefits, Conservative Party, Employment, Justice, Law, People, Politics, Poverty, UK, unemployment, Workfare

≈ 48 Comments

Tags

abuse, appeal, Article 4 (2), benefit, benefits, Cait Reilly, Coalition, compensation, Conservative, Court of Appeal, death, Department, Department for Work and Pensions, die, DWP, european convention, government, health, human rights, Iain Duncan Smith, IDS, Jamieson Wilson, Jobseekers (Back to Work Schemes) Act 2013, judicial review, Mandatory Work Activity, mental, Mike Sivier, mikesivier, Mr Justice Foskett, Pensions, people, politics, Poundland, power, Public Interest Lawyers, repay, retrospective, returned to unit, RTU, rule, rule of law, ruling, sanction, social security, suicide, Supreme Court, taxpayer, Tories, Tory, undermine, unemployment, Vox Political, welfare, work, Work Programme, Workfare


Victory at last: The Supreme Court's ruling means vindication for Cait Reilly, who has spent nearly two years battling against a system that costs the taxpayer millions while failing to increase employment.

Victory at last: The Supreme Court’s ruling means vindication for Cait Reilly, who has spent nearly two years battling against a system that costs the taxpayer millions while failing to increase employment.

It’s a return to the drawing-board for the man we call ‘Returned To Unit’ after the Supreme Court ruled against Iain Duncan Smith’s Workfare appeal.

The five Supreme Court justices upheld a Court of Appeal decision, made against the government in February.

The case had been brought by Cait Reilly, a geology graduate who, while unemployed but volunteering at a local museum in order to gain experience towards getting a curator’s job, had been ordered by the Department for Work and Pensions to work for her benefits, stacking shelves at Poundland.

It should be remembered that Poundland is perfectly capable of employing its own workers on full wages. At the time, it ran 390 stores nationwide and made £21,500,000 profit in 2010 – enough to employ extra staff at all its branches and still make a good profit.

The amount it was saving by not paying Ms Reilly, coupled with the fiscal multiplier that adds around 60p to every pound she would have earned if she had been an employee, means Poundland could have made a £1,188.48 profit from the work she was doing for the firm at the taxpayers’ expense.

Total profit for all companies using benefit recipients on ‘Mandatory Work Activity’ between June 2011 and July 2012 (878,000 people): £894, 416, 090 – nearly £1 billion.

Loss to the taxpayer: £16,933,000 (not including payments to Work Provider companies).

Together with another claimant, Jamieson Wilson, Ms Reilly brought a judicial review against the scheme, claiming it was a violation of human rights under article 4 (2) of the European Convention on Human Rights: “No one shall be required to perform forced or compulsory labour” – and the government lost the case.

Mr Justice Foskett stated: “Her original complaint arose from what she was wrongly told was a compulsory placement on a scheme that (a) impeded her voluntary efforts to maintain and advance her primary career ambition and (b) having embarked upon it, from her perspective, did not offer any worthwhile experience on an alternative career path. It is not difficult to sympathise with her position from that point of view.”

At the time (August 2012), the right-wing media slanted their reports to make it seem that Ms Reilly and Mr Wilson had lost, but this was soon rectified because the government appealed against the ruling, which stated that, if Ms Reilly had been properly informed of the regulations, she would not have been led to believe she was being put into forced labour.

The problem for Mr… Smith was that Ms Reilly and Mr Wilson were not the only ones to have been misled in this way, and the ruling opened up the government to claims for compensation, from thousands of benefit claimants, for millions of pounds that had been taken away from them because they had refused to take part in the ‘work-for-benefits’ schemes. The illegality of the regulations meant the DWP, under Iain Duncan Smith’s supervision, had broken the law more than 228,000 times – RTU is a criminal more than a quarter of a million times over.

In any case, evidence quickly piled up, proving that Workfare doesn’t work. During its first 14 months, only 3.53 per cent of jobseekers who took part in the government’s mandatory work activity programme – of which Workfare is a part – actually found a job for six months or more. They would have had a better chance of finding a job if the work programme had not existed.

This did not prevent the Department for Work and Pensions from appealing against the ruling and, in February, the Court of Appeal responded – by upholding the claim that the scheme was unlawful.

This meant that anyone who was penalised for refusing to take part, or for leaving the scheme once they had started it and realised what it was, could claim back the Jobseekers’ Allowance that had been withdrawn from them for non-compliance. The payout could have been as high as £130 million.

Smith wasn’t going to have any of that! He launched emergency legislation to reverse the outcome of the decision and change the regulations retrospectively, making it impossible for benefit claimants to demand payouts of between £530 and £570 each for decisions made while the illegal rules were in force.

Lawyers and campaigners branded the DWP’s move as “repugnant” and “unbelievably disgusting”, saying it undermined the rule of law. This blog concurs with that assessment. It is an appalling abuse of governmental power.

But the government succeeded in undermining the rule of law after all but a few members of the Labour Party allowed it to pass, having negotiated a few “safeguards” that have proved to be useless in practice.

Fortunately, some people have a little more backbone and Ms Reilly and Mr Wilson took their case to the Supreme Court. It is from this body that today’s – final – judgement has come.

Now comes the nitty-gritty.

After the introduction of the emergency law, the solicitors Public Interest Lawyers (PIL), who represent Reilly and Wilson, lodged a judicial review accusing RTU of conspiring to undermine basic human rights by enacting the retroactive legislation. They say they will continue to pursue that judicial review after their success in the supreme court.

A spokesperson for PIL said: “Following today’s judgment, any… jobseekers can object to sanctions that have been imposed and seek the repayment of their benefits. It is truly staggering that Duncan Smith has found himself in this position even after fast-tracking emergency retrospective legislation through parliament. We intend to work with advice organisations to ensure that, following this ruling, affected individuals have the right information and assistance.”

It seems the firm believes the retrospective part of the Jobseekers (Back to Work Schemes) Act 2013 is no longer valid. That means all 228,000 Workfare victims who were penalised by the DWP will be able to claim their compensation and force the £130 million payout.

Not only that, but it seems reasonable that a legal penalty should be imposed on ‘RTU’ himself. Not only did he enforce the schemes under the illegal regulations, but he also imposed a lengthy and costly legal battle on those who stood up against it, even though it had been found to be wrong in law.

Who knows how much hardship this has caused to people who were already on the breadline before his brutal sanctions were imposed?

How much despair has he caused to people who had no other means of support?

Has anybody died because of this – through health problems, mental health issues leading to suicide, or for other reasons?

It is time for the people who have been most seriously affected by this to get together and start talking to lawyers – Public Interest Lawyers might be a good place to start – about getting restitution from the man who caused this mess.

The taxpayer may well have to foot the bill for the illegal benefit sanctions, and that is only right. They should never have been imposed in the first place and this will only set matters straight.

But the individual minister who caused this should not get away without paying a personal penalty.

Let’s have some accountability in government, Mr… Smith.

Follow me on Twitter: @MidWalesMike

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MP resigns as Tory over lobbying claim – it must be time to sign the anti-corruption e-petition

31 Friday May 2013

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

≈ 15 Comments

Tags

ban, BBC, Conservative, e-petition, financial, government, Interest, lobbying, Mike Sivier, mikesivier, MP, Panorama, Parliament, Parliamentary, Party, Patrick Mercer, politics, resign, rule, Tories, Tory, vote, voting, Vox Political


Out of the Party: But would Patrick Mercer have resigned if a major TV documentary wasn't about to reveal allegations against him?

Out of the Party: But would Patrick Mercer have resigned if a major TV documentary wasn’t about to reveal allegations against him?

Tory MP Patrick Mercer has resigned from the Parliamentary Conservative Party to “save … embarrassment” over a BBC Panorama programme alleging he had broken lobbying rules.

Mercer, MP for Newark, will remain as an Independent but will not stand for re-election in 2015.

The coalition government is committed to setting up a statutory register of lobbyists – companies who influence government policy, often by paying current and former MPs for advice and guidance. But, you know, it’s one of those matters that just doesn’t seem to make it onto the legislative programme – like proper bank regulation and measures to make tax avoidance impossible.

Many of you know that I have a strong opinion about this. That is why I started an e-petition to ban MPs from voting on matters in which they have a financial interest. Lobbying would definitely be affected by such a ban.

The text runs as follows:

We call on HM Government for new legislation to ensure that:

i. No member of Parliament may speak or vote in a debate on legislation which could financially benefit any commercial operation in which they have a financial interest; and

ii. No member of Parliament may speak or vote in a debate on legislation which could financially benefit any commercial operation which has made – or currently makes – donations to themselves personally or their political party.

We believe this is necessary to prevent corruption. It is also in accord with the spirit of political reform supported by the government.

I’m not saying Mr Mercer has been engaging in unacceptable behaviour; we’ll have to wait and see what happens.

But I am saying that, if the ban I propose had been in place, he would have known not to do it.

Please visit the e-petition’s page and sign, if you haven’t already done so – and, please, tell all your friends.

In fact, tell all your enemies as well – it’ll be in their best interests too!

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Enemy of the State: Chris Grayling

08 Friday Mar 2013

Posted by Mike Sivier in Conservative Party, Crime, Justice, Law, Politics, UK

≈ 23 Comments

Tags

access, benefit, benefits, car, Chris Grayling, civil, civil disturbance, clinical negligence, Coalition, Conservative, crime, criminal, defendant, Department for Work and Pensions, divorce, employment, family problems, government, housing problems, increase, Justice, law, legal aid, Mandatory Work Activity, Mike Sivier, mikesivier, Ministry of Justice, people, Philip Hammond, politics, price competition, restrict, rule, sell, social welfare debt, Tories, Tory, undermine, violence, violent, Vox Political, work placement provider


grayling

What do you call a Justice Secretary who wants to ensure that access to the justice system is restricted to the fewest people possible – only, in fact, those who can afford it?

What do you call a Justice Secretary who is overseeing plans to ensure that legal aid in civil cases is cut by £350 billion, meaning people who need qualified advice on social welfare debt, employment, family problems, clinical negligence, divorce and housing problems will not get it? Those people may have to pursue the cases on their own behalf, clogging up the civil justice system, perhaps for years to come.

What do you call a man who, as Employment Minister, presided over a scheme of ‘Mandatory Work Activity’ for the unemployed that was worse than useless at getting them into employment but made a great deal of money for the useless ‘Work Placement Provider’ companies to whom he funnelled government money like there was no tomorrow?

You call him Chris Grayling, that’s what.

This walking, talking blight on common sense is now talking about cutting legal aid in criminal cases, eyeing up £1 billion that is currently spent on it.

He wants to sell off guilty defendants’ cars to pay their legal costs. What does he think that’s going to do? Well, let’s put it in his own language. If cutting people’s benefits is likely to “encourage” them into work, taking away a thief’s car is likely to “encourage” him to steal another. His policies will increase crime.

And he wants to introduce price competition into criminal legal aid, ensuring that the cheapest lawyers – not the best – get the work.

He calls it “working to improve the efficiency of the criminal justice system as a whole, to move towards swifter resolution of cases before the courts”.

But Supreme Court President Lord Neuberger has said the cuts already going ahead are likely to restrict access to justice. That’s not efficiency.

And Lord Chief Justice, Lord Judge, has spoken of similar fears that cutting legal aid might undermine the rule of law, with people resorting to violence.

The bar council has warned that the introduction of price competition is “a blunt instrument” assuring “none of the safeguards and qualities which we must expect from our justice system”.

And, as Lord Bach has pointed out, there will be no savings in the end, as the state “will eventually have to pick up the pieces when things get much worse than they need to”.

Sadly, Mr Grayling – who has no legal grounding whatsoever – will ignore this sensible advice. One can only conclude that he wants to increase criminality.

This blog has already discussed the possibility that Defence Secretary Philip Hammond wants to use the armed forces to quell any civil disturbances in the UK. Is Grayling trying to engineer such disturbances deliberately?

You read it here first.

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