Showing posts with label Smith. Show all posts
Showing posts with label Smith. Show all posts

Tuesday, December 02, 2014

The Smith Commission Report – a deal among parties, ignoring the greater powers that polls show most people want

The dispute over the Smith Commission report turns on whether additional powers should be decided by negotiations between political parties on what powers they are willing to concede, or the views of the majority of the people of Scotland (1).

The “vow” didn’t refer to Home Rule, Devo Max or federalism, but Gordon Brown did, in widely reported comments in the last few weeks of the referendum. Opinion polls show majorities for devolving far more powers than Smith recommends.

A recent ICM poll found 63% want all welfare powers and  taxes devolved to the Scottish parliament. This would have to exclude Scotland’s share of Defence and Foreign Policy funding, but goes far beyond Smith’s recommendations of only devolving disability and carers’ benefits and the bedroom tax (2) – (3) .

A poll just after the referendum reported by STV found that80% …supported Scotland having control over welfare, with 62% saying it should be in charge of pensions. Almost three quarters (71%) of people back the devolution of income tax while 62% want to see Scotland get control of corporation tax and 61% say Holyrood should be in charge of VAT.’ (4).

Smith only recommends devolving income tax, air passenger duty, the Aggregates levy and the first 10% of VAT. The UK government retains all corporation tax, capital gains tax , national insurance, oil and gas revenues, vehicle excise duty and other revenues raised in Scotland (5).

The UK parties’ argument that the power to set corporation and VAT tax rates couldn’t be devolved as it could lead to different parts of the UK competing to have lower rates was understandable. However their willingness to devolve income tax, which could similarly lead to competitive tax cutting, suggests their motives there are party political.

No UK government has raised the basic rate of income tax in decades because it’s political suicide to do so. It seems likely that, with the SNP having a majority in the Scottish parliament, the UK parties want to force the Scottish government into either income tax rises or spending cuts to try to lose it votes.

And there’s no reason why most of the revenues from income and corporation taxes raised in Scotland couldn’t be assigned to the Scottish government and parliament to decide on how to spend them, while leaving the power to set the rates  of these taxes set by the UK government, and so uniform across the UK.

It would be wrong not to acknowledge that there are a few other positives in the Smith commission. The report recommends the devolution of the power to issue or refuse onshore oil and gas (paragraph 69), which would give the Scottish government the power to block fracking (assuming the Scottish public put enough pressure on it – so far Scottish ministers’ responses on fracking have been very evasive). The power to scrap the bedroom tax and provide benefits for carers and the disabled are important, but they are not close to control over all welfare powers and the budget for them.

The power to allow the public sector to bid for rail franchises (paragraphs 25 to 26, page 21) is positive too, but a long way from allowing renationalisation.

However it’s equally wrong to pretend that the Smith recommendations are anything approaching the “home rule” , “devo max” or federalism which Brown talked of. The usual definition of these is that most domestic policy and most of the budget for it is devolved. Nor do the powers Smith offers come close to the ones polls show most Scots want.

And equally some of the recommended devolved powers are so limited as to be almost non-existent – see those over Crown Estates in Scotland for instance, which allow sweeping exceptions by the UK government on extremely vague and general terms (paragraphs 32 – 34, page 16). Similarly for those over Energy Efficiency and Fuel Poverty measures (paragraph 68).

One telling line is Paragraph 24,  page 13 ; ‘the Scottish Parliament will have no powers over the regulation of political parties (including donations)’.

This indicates a deal in the interest of parties, not voters. The major UK political parties rely heavily on donations from banks, hedge funds, big firms and the super-rich – particularly the Conservative party.

It also ensures no requirement for more internal democracy within all political parties in Scotland. So Miliband can keep imposing his policies on the Scottish branch of his party.

One month was long enough for horse-trading between the main UK parties on what level of devolution they’d tolerate. It wasn’t long enough to receive or read submissions from thousands of members of the public. Nor should we be presented with a take-it-or-leave-it package decided only by parties. Opinion polls and consultations, and/or a second elected constitutional convention, could be used to draw up a list of possible additional powers, with a multi-question referendum allowing voters to vote for or against each.

Brown might want Scottish politics “reset” with constitutional issues labelled “dealt with”, but opinion polls suggest many voters disagree (6).

Opinion polls suggesting a massive rise in the SNP vote in the next General election, combined with those on additional powers, may force the next UK government into offering considerably more devolved powers than the Smith negotiations resulted in (7).

 

Sources

 

(1) = https://www.smith-commission.scot/ and https://www.smith-commission.scot/wp-content/uploads/2014/11/The_Smith_Commission_Report-1.pdf

(2) = STV 30 Nov 2014 ‘Poll finds majority want Holyrood to control all taxes and benefits’,
http://news.stv.tv/scotland-decides/301542-icm-poll-finds-majority-want-holyrood-to-control-all-taxes-and-benefits/

(3) = https://www.smith-commission.scot/ and https://www.smith-commission.scot/wp-content/uploads/2014/11/The_Smith_Commission_Report-1.pdf , paragraphs 42 – 54, pages 18 - 19

(4) = STV 21 Sep 2014 ‘SNP on course to win third Holyrood term, according to new poll’,  http://news.stv.tv/scotland/292917-snp-on-course-to-win-third-consecutive-holyrood-term-says-new-poll/

(5) = https://www.smith-commission.scot/ and https://www.smith-commission.scot/wp-content/uploads/2014/11/The_Smith_Commission_Report-1.pdf , paragraphs 75 - 92, pages 23 - 25

(6) = BBC News 29 Nov ‘Gordon Brown calls for Scottish politics 'reset'’, http://www.bbc.co.uk/news/uk-scotland-scotland-politics-30256101

(7) = Guardian 30 Oct 2014 ‘Labour faces massive losses to SNP at UK general election, poll shows’, http://www.theguardian.com/politics/2014/oct/30/scottish-labour-snp-general-election-poll

Thursday, October 30, 2014

The Scottish people must have their say on what additional devolved powers we choose from - not just to take or leave a package deal cut by big parties - Smith Commission on Additional Devolved Powers Submission

Thank You

First I’d like to thank you for giving the people of Scotland this opportunity to have a say on what additional devolved powers Scotland needs.

 

Need for additional devolved powers decisions not to be just a deal between party leaders
that the Scottish people can only take or leave

While I was a Yes campaigner, I recognise that the Scottish Social Attitudes Survey 2014 showed the majority of people in Scotland wanted additional devolution or “devo max” as an option in the vote, and always thought this should have been an option people could have voted for (1).

As Lord Ashcroft’s post referendum poll found 25% of No voters said they had voted No primarily because Scotland would get additional devolved powers, and assuming the vast majority of Yes voters will back additional powers too, a majority of Scottish voters of somewhere around 58% want more devolved powers (25% of the 55% who voted No would be 13.75% of all voters. The 45% of voters who voted Yes plus 13.75% would be 58.75%) (2).

While the various Scottish and British political parties, pro and anti-independence,  each have their own positions on what the additional powers should be, and clearly have to have input into the final decision, the Scottish people must also get a major part in making this decision.

It should not be reduced to just being given a Yes or No vote on  a package the parties agree among themselves to offer us. It should include the wider public getting to decide which options the whole country will choose from. Additional devolved powers are a more complicated issue than independence and cannot be reduced to a Yes or No without taking much of the say from the public.

Another Scottish Constitutional Convention? Elected this time?

One month is a very short period for such a consultation. I’d argue that the next stage should be a longer consultation period to a new Scottish Constitutional Convention elected by Single Transferrable Vote (STV) , allowing for candidates from smaller parties, and representatives of Scottish society who don’t represent any party, to be involved in drawing up the options (3) – (4).

STV allows voters rather than party officials to rank candidates in order of preference, and ensures that no one’s vote is “wasted” by going to a candidate who is not elected. It allows voters to vote positively for the candidate or party they support most, rather than just negatively to try to keep the large party they dislike most out of power (5).

While an elected constitutional convention would take longer to put proposals for additional devolved powers together, due to the time required to elect it, those options would be more likely to reflect the views of the whole population rather than just a deal cut between the leaders of the largest political parties.

While the Electoral Reform Society and the British Labour Party propose a UK Constitutional Convention this would risk become bogged down in disputes that can’t be resolved like English Votes for English Laws; as well as whether further devolution in England should happen at all, and, for those who want it, whether it should be to an English parliament or regional ones (6) – (8).

There is no reason why additional devolved or federated powers for Scotland should not be decided separately to ensure they are not delayed indefinitely.

 

How the Scottish people , rather than just political parties, can be given a real say on further devolved powers even if there isn’t another Scottish constitutional convention

Even if another Scottish Constitutional Convention is not formed though, the Scottish people’s views can still be taken into account. First through public consultations like this one. Second by looking at opinion poll results on what powers people in Scotland think should be devolved (though bodies accepted as neutral by all parties would have to be given a remit to conduct polls, as what results polls come up with depend on what questions are asked and how they’re phrased).

Finally by making the final referendum on the proposed additional powers a multi-question one with voters able to approve or reject each major additional power or group of them, rather than just a single Yes or No question to approve or reject all of them.

Opinion polls since the referendum already show majority support for devolution of welfare policy and budget to the Scottish parliament and government, as well as pensions, corporation tax and VAT (9).

These polls show that the public want far more powers devolved than the main two UK parties plan. Other polls during the referendum campaign showed that two-thirds of voters did not know what additional powers these parties were offering in the event of a No vote (10).

If the actual powers delivered are a disappointment to the majority of people in Scotland another independence referendum is likely within 5 to 6 years (or sooner if the UK leaves the EU).

Labour politicians have raised reasonable concerns about this leading to competitive reductions in corporation tax across the UK, reducing tax revenues. While such competition does already take place between countries, it is arguably unhelpful (11).

There is no reason, though, why the UK government could not continue to set the rates for these taxes, while the  majority of revenues from them went directly to the Scottish government, assuming the majority of domestic governmental powers were devolved to the Scottish government.

 

Each devolved power must include full control of the budget for that policy area – and devolving the politically sensitive income tax alone would be merely party political manoeuvring and unacceptable

All devolved powers must include power over the budget for that power, or else the power has been devolved in name but not in reality.

It also has to be emphasised that the plans for limited additional devolution amounting to little more than powers over income tax plus a “proportionate” cut in the devolved Scottish budget by the Labour and Conservative party leaderships are dubious and may well be motivated by an attempt to gain party political advantage over the SNP (12) - (14).

Income tax is the tax most reported on by the media, most noticed by the electorate and so most politically sensitive. As a result UK governments have for decades avoided any rise in the basic rate of income tax. A devolved budget cut plus income tax powers would seem to be a trap set for the Scottish government, forcing it either to raise the most unpopular of taxes or cut services.

(I’d add that I’m not an SNP member and have stood (and lost my deposit repeatedly) as an independent candidate in more than one election).

 

Why many No voters will have expected full federalism based on Brown’s statements.
Why full federalism is practical for Scotland in the UK.

Gordon Brown MP, the former UK Chancellor and Prime Minister, greatly influenced the result of the referendum and the establishment of your own commission. However his opinions should not over-ride the views of the majority of the people of Scotland any more than any other politician’s. The terms he used are also likely to have given most people the impression that he and the UK party leaders were offering considerably more devolution than he or those party leaders actually plan to.

During the referendum campaign Mr Brown claimed that a No vote would result in “as close to a federal state as you can be in a country where one nation is 85 per cent of the population” and “nothing less than a modern form of Scottish Home Rule” (15) – (16).

While ‘devo max’ has never been clearly defined and ‘Home Rule’ similarly has no universally accepted definition, it’s likely that most people would see these phrases as meaning the same as federalism - the devolution of almost all domestic policy – full control of the budget and policy making for domestic policy – i.e everything except foreign and defence policy. While the degree of devolution of powers in existing federal systems like the US, Germany and Switzerland varies, it is high in every case.

As close to a federal state as you can be in a country where one nation has 85% of the population” would imply the maximum level of devolution as in Germany and Switzerland. While there are some grey areas on what is foreign policy and what is domestic policy (international trade policy etc) which would be matters for negotiation, the majority is easy to define.

Mr Brown has implied that as Scotland has less than 10% of the population of the UK this precludes full federalism as “majority rule” must be maintained.

Earlier this month he stated thatYou see, in the United Kingdom, England is about 84% of the United Kingdom. Scotland’s 8%, Wales is 5%, Northern Ireland’s 3%. And you’ve got to find a fair distribution of power that recognises the majority rule but also recognises the minorities and that they have special needs that have to be met.” (17).

This concern with maintaining “majority rule” is doubtful for two reasons. First existing federal systems include states with massively different populations, of far greater orders of magnitude than the differences between Scotland and England.

In 2010 Perlis, the smallest state in Indonesia, has a population of under 250,000 people, while Selangor, the largest, has a population of over 5 million – a ratio of about 20 to 1 between the largest and smallest states, double the roughly 10 to 1 between England and Scotland (This does not include the smaller federal territories which are not states) (18).

Bremen, the smallest state in Germany has a population of around 660,000 compared to over 17 million for North-Rhine Westphalia, a ratio of 25 to 1  (19).

Eight states of the U.S had an estimated population of under 1 million in 2013 and another two populations of only just over 1 million, while California has a population of 38 million, a ratio of over 38 to 1 between smallest and largest (20).

In any case it is likely that if the UK became a federal state England would be split into several regions with populations of a similar size to Scotland’s, as Gordon Brown himself has suggested, making the relative populations of the different nations in the UK irrelevant, as the devolution would probably not be only on the basis of nations, but regions of England (21).

 

Why “majority rule” does not exist in the UK,
Would not be particularly democratic if it did,
And is not a barrier to full federalism

Second “majority rule” is a doubtful definition of democracy in the UK . First, due to the unrepresentative First-Past-The-Post voting system for UK General Elections, most UK governments have not had a majority of the votes cast. Most have had large majorities of seats in the UK parliament, sometimes even over 60% of the seats, while getting only 39 to 48 per cent of the vote (22) – (26).

The current Coalition government is the only one in the last 66 years which was elected by a majority of voters, but it has also failed to represent the majority of voters in many ways (e.g by Nick Clegg MP breaking his main election pledge on tuition fees and in letting private companies run more NHS services despite public opposition – and by e.g the fact that many Lib Dem voters would have preferred them to form a coalition with Labour, or leave the Conservatives to run a minority government by not forming any coalition).

So majority rule is the exception rather than the rule in UK politics. It is usually largest minority rule, but with that minority behaving as if it had a huge majority of the votes cast for every policy it implements, when in fact it has the support only of the largest minority, and on some policies, which were not brought up in the party’s election campaign or its manifesto, not even that.

Second defining democracy as “majority rule” would lead to many undemocratic implications. In Northern Ireland “majority rule” under “Home Rule” led at one point to the Protestant, Unionist majority being given free reign implement policies that disadvantaged the Catholic minority.

Third “majority rule” is a dubious definition of democracy. Is it democratic if a small majority completely over-rule the wishes of a large minority, or even if, as more often happens in UK politics, the largest minority completely over-ride the wishes of the majority?

Surely real democracy involves everyone having an equal say, not winners and losers?

Finally defining “majority rule” as the defining democratic principle of the UK would mean that on every important matter the opinions, wishes and interests of the Scottish, Welsh and Northern Irish minorities would remain irrelevant. On every issue the majority in England would over-rule them. Scotland has just 59 MPs out of 650 in the UK parliament. Frequently a majority of Scottish MPs will vote the opposite way to the majority of English MPs on an issue. As the Reverend Stuart Campbell has shown on his ‘Wings Over Scotland’ blog, MPs elected in Scotland have only changed the results of UK elections four times since 1945, and in each case only marginally (27).

The House of Commons Library blog has largely confirmed Campbell’s analysis, finding that the overall result of all but four of the 18 UK General elections since 1945 would have been the same with or without MPs elected in Scotland (28).

 

Need for the power to regulate banks and other financial firms in Scotland

Scotland desperately needs the powers to regulate banks, hedge firms and other financial sector firms operating here in order to avoid another financial crisis and recession. We also need to stop banks foreclosing mortgages on the homes of taxpayers who bailed them out, and letting viable businesses collapse through refusal to even provide bridging loans.

If the British government was willing to effectively regulate the financial sector this would not be a problem, but UK governments of all parties have failed to even institute any law banning high street savings banks from also being involved in dubious “investment” banking (often effectively high risk bets like the trading in futures). Even the US had such a law, the Glass Steagall Act, gradually repealed in the 1980s and 1990s, with disastrous results more recently (29).

The Conservative party gets more than half its funding from banks and hedge funds. Predictably Chancellor George Osborne has not instituted a full legal separation on the types of banking, instead referring to ‘Chinese walls’,  ‘firewalls’ and ‘ring fences’ between the two arms of the same bank, which amount to the lack of a legal ban that would prevent another crisis (30) – (32).

 

Need for power to establish a nationalised national bank for Scotland
and local ones for local authorities

For similar reasons Scotland needs the power to set up a nationalised bank to provide secure savings for savers and low interest loans and grants to small and medium sized businesses, as well as the power for local councils to set up local government banks similar to the regional and local ones in Germany. The UK Labour party has said that it intends to establish something similar, but is not guaranteed to get a majority in the UK parliament for this after the next election.

 

Going beyond devolution to the Scottish parliament – the principle of subsidiarity

Some have pointed to the sizeable minority vote for the Conservatives in the 2010 General election (16% of the vote) and the election of a UKIP MEP in Scotland in the last European Parliament elections as signs that unionism and conservatism are stronger in Scotland than has been assumed.

This may be true, but they remain a minority. The Eurosceptics and pro-Europeans share one principle though – the idea of subsidiarity, that decisions should be taken at the lowest level possible for that kind of decision (33).

This would imply that if they wish to have more decisions taken by the UK government rather than the EU, they would have to approve the maximum devolution of powers from the UK government to the Scottish government, from it to local councils, and from local councils to community councils, too, based on the same principle (34).

If they want to do the first but none of the rest then they are clearly basing their decision not on democracy or subsidiarity, but blind nationalism, merely blind British nationalism rather than blind Scottish nationalism – and that is not a principle worth upholding, it’s not a principle at all.

The SNP’s tendency to want to centralise all the powers devolved to Scotland in the Scottish parliament equally needs to be challenged by the principle of subsidiarity, with both more powers transferred from the UK parliament to the Scottish parliament, from it to local councils and from them to community councils. This should include budgets and revenue raising powers.

 

Power to decide electoral system for the Scottish parliament – need to avoid changes made purely to maintain position of dominant parties

While the principle of devolving the power to decide the electoral system for the Scottish parliament to the Scottish parliament is a good one, care has to be taken that it does not give the two largest parties in Scotland – Labour and the SNP – the power to change it to a purely First-Past-The-Post system that would benefit them but be as poor in terms of democracy as the Westminster voting system. Several Labour MSPs have suggested in the past that the Holyrood voting system be changed to the supposedly “fairer” FPTP and referred to SNP list MSPs as having been “defeated” and as “sneaking into the Scottish parliament through the back door”. There has to be some suspicion that the Labour party proposals to devolve this power might be about party political advantage.

While the SNP has not made similar suggestions on changing the voting system to FPTP for Scottish parliament elections so far, it’s possible that, if they win most seats in Scotland in the 2015 General Election under FPTP, as polls suggest they could, they might be tempted to do so.

The current voting system , designed by Labour to prevent the SNP ever getting a majority, failed to do so. So it will not prevent Labour or the SNP from pushing through changes to the voting system made purely for party political advantage either.

One way to reduce this risk would to require a 66% majority in the Scottish parliament, followed by a referendum, to make any change in the voting system. The referendum could be held on the same day as the subsequent Scottish parliament elections to avoid voter fatigue or low turnout, and to reduce costs. Any resulting change in the voting system would not be made until the Scottish parliament elections after those.

On the other hand some senior Scottish Labour and Lib Dem figures have in the past suggested changing the voting system to Single Transferrable Vote, which could be a step forward from the current Additional Member System, so a balance has to be struck between making electoral reform possible, and blocking backwards steps taken for party political advantage (35) – (36).

However when the Single Transferable Vote was used for council elections in Scotland in 2012 and Labour lost seats to the SNP, some Labour MSPs, and the largely pro-Labour Daily Record, began to criticise the voting system as “too complicated” and claiming that the “over complicated” voting system had resulted in a reduced voter turnout, despite the turnout actually having been higher than in the previous council elections, and higher than in the 2012 council elections in England (37) – (38).

 This underlines the risk of big parties given the power to change the electoral system using it to change it to their advantage even if this reduces choice for voters.

 

Need for written constitution and constitutional court to define the division of powers between the Scottish and British governments – but section relating to Scotland does not need to wait on other nations and/or regions

Almost every federal system in the world has a written constitution defining what powers are held by the different levels of government, and a constitutional court to adjudicate disputed and grey areas.

This would be beneficial for a Scotland with devolved federal powers, but the complications and earlier stages of devolution to the rest of the UK do not need to delay Scotland getting additional powers.

The section of a written constitution relating to Scotland could be written separately and before those relating to other nations and/or regions of the UK.

Federalism rather than Devolution?

Devolution in the UK has involved asymmetric division of powers in which some policy areas are Reserved, with only the UK government able to legislate or make decisions on them, while others are Devolved to the Scottish, Welsh, Northern Irish and London parliaments or Assemblies. The UK government however retains the power to legislate or make decisions even on devolved matters, with the limit that it only do so with the consent of the devolved parliaments being a “convention” rather than an absolute restriction. So far the UK government has not broken this convention, but most people in the devolved areas do not realise that it retains the power to do so (39).

In a Federal system the central government would not retain this power, with the division between regional/national and central government powers being absolute and symmetrical (i.e neither could encroach into the other’s specified policy area), other than for a few grey areas of joint responsibility.

I would argue that Scotland’s devolved powers should become policy areas in which the UK government cannot act or legislate without a majority vote in the Scottish parliament permitting them to do so on a specific issue, and similarly for devolved or federally divided powers in other regional/national parliaments and assemblies.

 

Sources

(1) = Scotsman 18 Feb 2014 ‘Scottish independence: Most Scots back ‘devo max’’, http://www.scotsman.com/news/politics/top-stories/scottish-independence-most-scots-back-devo-max-1-3310342

(2) = theguardian.com 20 Sep 2014 ‘Scottish independence: poll reveals who voted, how and why’, http://www.theguardian.com/politics/2014/sep/20/scottish-independence-lord-ashcroft-poll?CMP=fb_gu

(3) = Wikipedia - Constitutional convention (political meeting) , http://en.wikipedia.org/wiki/Constitutional_convention_%28political_meeting%29

(4) = Wikipedia – Single Transferable Vote, http://en.wikipedia.org/wiki/Single_transferable_vote

(5) = Electoral Reform Society – Single Transferable Vote,
http://www.electoral-reform.org.uk/single-transferable-vote/

(6) = Electoral Reform Society Briefing 19 Sep 2014 ‘Time for a Constitutional Convention’, http://www.electoral-reform.org.uk/images/dynamicImages/file/Briefing%20on%20a%20Constitutional%20Convention,%2019th%20Sep.pdf

(7) = Guardian 19/20 Sep (website/print edition)  ‘Labour proposes devolution settlement to 'shape own futures'’, http://www.theguardian.com/politics/2014/sep/19/labour-ed-miliband-constitutional-convention

(8) = BBC 14 Oct 2014 ‘Hague and Brown clash over 'English votes for English laws'’, http://www.bbc.co.uk/news/uk-politics-29606220

(9) = STV 21 Sep 2014 ‘SNP on course to win third Holyrood term, according to new poll’, http://news.stv.tv/scotland/292917-snp-on-course-to-win-third-consecutive-holyrood-term-says-new-poll/ , (see 2nd last paragraph ‘A total of 80% of people questioned supported Scotland having control over welfare, with 62% saying it should be in charge of pensions. Almost three quarters (71%) of people back the devolution of income tax while 62% want to see Scotland get control of corporation tax and 61% say Holyrood should be in charge of VAT.’)

(10) = Sky News 17 Sep 2014 ‘Sky Poll: Scots Unclear Over No Vote Powers’,
http://news.sky.com/story/1337107/sky-poll-scots-unclear-over-no-vote-powers

(11) = Scottish Labour Devolution Commission March 2014 ,  all of it, but especially page 6, http://b.3cdn.net/scotlab/26e0eb4bdf4c775d14_ram6b81bk.pdf

(12) = See (11) above

(13) = Scottish Labour’s Devolution Commission Final Report March 2014 ‘Powers for a Purpose :

Strengthening Accountability and Empowering People’, http://b.3cdn.net/scotlab/277fe5eb9b114b9a3c_1pm6iir9r.pdf


(14) = BBC News 9 Sep 2014 ‘Scottish independence: What new powers might Scotland get?’,
http://www.bbc.co.uk/news/uk-scotland-scotland-politics-25626977

(15) = Scotsman 15 Aug 2014 ‘Gordon Brown backs federalism in event of No vote’,
http://www.scotsman.com/news/politics/top-stories/gordon-brown-backs-federalism-in-event-of-no-vote-1-3511291

(16) = Telegraph 08 Sep 2014 ‘Gordon Brown unveils cross-party deal on Scottish powers’,
http://www.telegraph.co.uk/news/uknews/scottish-independence/11082930/Gordon-Brown-unveils-cross-party-deal-on-Scottish-powers.html

(17) = Guardian 12 / 13 October ‘David Cameron ‘playing fast and loose’ with constitution, says Gordon Brown’, http://www.theguardian.com/politics/2014/oct/12/david-cameron-fast-and-loose-constitution-gordon-brown

(18) = Wikipedia - States and federal territories of Malaysia, http://en.wikipedia.org/wiki/States_and_federal_territories_of_Malaysia#The_states_and_federal_territories , (Wikipedia states source as "Laporan Kiraan Permulaan 2010". Jabatan Perangkaan Malaysia. p. iv. Retrieved 24 January 2011.)

(19) = Wikipedia - States of Germany,
http://en.wikipedia.org/wiki/States_of_Germany#States

(20) = Wikipedia - List of U.S. states and territories by population
http://en.wikipedia.org/wiki/List_of_U.S._states_and_territories_by_population#States_and_territories , based on US Census Bureau reports and statistics,
http://en.wikipedia.org/wiki/List_of_U.S._states_and_territories_by_population#References

(21) = Scotsman 15 Aug 2014 ‘Gordon Brown backs federalism in event of No vote’,
http://www.scotsman.com/news/politics/top-stories/gordon-brown-backs-federalism-in-event-of-no-vote-1-3511291

(22) = Electoral Reform Society – First Past the Post, http://www.electoral-reform.org.uk/first-past-the-post/

(23) = Political Science Resources – ‘British Governments and Elections since 1945’, http://www.politicsresources.net/area/uk/uktable.htm

(24) = House of Commons Briefing Paper SN/SG/2632 (2010) ‘General Election results 1979 - 2010’, http://www. parliament.uk/briefing-papers/SN02632.pdf

(25) = David Butler (1989) ‘British General Elections since 1945’ Blackwell, Institute of Contemporary British History, London, 1989 ; Appendix I Election Results 1945 – 1987, pages 121 to 123

(26) = David Butler and Dennis Kavanagh ‘The British General Election of 1997’ MacMillan Press, London , 1997,  Appendix I The Voting Statistics, pages 254 to 255 (includes 1992 and 1997 election results)

(27) = Wings Over Scotland 10 Jan 2012 ‘Why Labour doesn’t need Scotland’ by Rev Stuart Campbell,
http://wingsoverscotland.com/why-labour-doesnt-need-scotland/

(28) = Second Reading - House Of Commons Library Blog 19 Jan 2014 ‘General Elections without Scotland, Part 1: 1945-2010’, http://commonslibraryblog.com/2014/01/30/general-elections-without-scotland-part-1-1945-2010/

(29) = Wikipedia – Glass Steagall Legislation, http://en.wikipedia.org/wiki/Glass%E2%80%93Steagall_Legislation

(30) = Bureau of Investigative Journalism 08 Feb 2011 ‘Tory Party funding from City doubles under Cameron’, http://www.thebureauinvestigates.com/2011/02/08/city-financing-of-the-conservative-party-doubles-under-cameron/

(31) = BBC 15 Jun 2011 ‘Banks must ring-fence retail operations, Osborne to say’, http://www.bbc.co.uk/news/business-13770746

(32) = Telegraph 21 Nov 2012 ‘Big banks are good for society, says George Osborne’, http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/9694634/Big-banks-are-good-for-society-says-George-Osborne.html

(33) = Wikipedia – Subsidiarity, http://en.wikipedia.org/wiki/Subsidiarity

(34) = The Scottish Government – Community Councils, http://www.scotland.gov.uk/Topics/Government/PublicServiceReform/CommunityCouncils

(35) = BBC News 27 Aug 2003 ‘Voting system change mooted’, http://news.bbc.co.uk/1/hi/scotland/3183401.stm

(36) = Electoral Reform Society – Additional Member System, http://www.electoral-reform.org.uk/additional-member-system/

(37) = Daily Record 05 May 2012 ‘Local council elections 2012: Fears over turnout as numbers system puts off voters’, http://www.dailyrecord.co.uk/news/politics/local-council-elections-2012-fears-877195

(38) = Dr Alastair Clark, LSE Blog, 2012 ‘Scottish local elections in 2012 show that voters have understood the STV system and are not put-off by it’, http://blogs.lse.ac.uk/politicsandpolicy/stv-scottish-local-elections-2012-clark/

(39) = The Scottish Parliament - Devolved and Reserved Matters, http://www.scottish.parliament.uk/visitandlearn/Education/18642.aspx

Wednesday, February 20, 2013

Some people called Duncan Smith think they’re fit to be government ministers And that voters are all idiots who’ll believe any lie they tell ; Wrong on both counts ; And what you can do about it

Conservative Work and Pensions Minister Iain Duncan Smith has responded to a court ruling that it was illegal for his department to tell unemployed people it was compulsory for them to work unpaid for private companies or lose their unemployment benefit, when the law parliament passed only allowed for voluntary unpaid placements, by making dishonest personal attacks on one of the people who brought the case (1).

Smith says people who think they are “too good to stack shelves” are wrong and that their attitude is “unacceptable”. Cait Reilly never objected to stacking shelves though – she objected to doing it for no pay for a company that was profiting from her unpaid labour, especially as this would mean the firm would hire less paid staff (2).

She objected to the government helping big companies avoid paying the minimum wage (and in fact avoid paying one penny for the work done for “workfare” workers). (Department of Work and Pensisons guidelines for Workfare ‘Providers’ warn that offering a job at the end of a Workfare placement could breach the National Minimum Wage law. (3))

She objected to being told that if she didn’t complete the unpaid placement, she would lose her unemployment benefit.

A decent government minister wouldn’t lie to the unemployed and tell them that workfare placements were compulsory when the law passed by parliament only allowed voluntary placements. Nor would they force them to stop unpaid work they enjoyed for a museum, a public asset, for unpaid work for the profit of a company.

Duncan Smith also pretends there will be a paid job at the end of workfare. For most people there isn’t. Research on workfare in other countries commissioned by the Department of Work and Pensions in 2008 concluded that ‘There is little evidence that workfare increases the likelihood of finding work. It can even reduce employment chances by limiting the time available for job search and by failing to provide the skills and experience valued by employers.’ (4).

As the Boycott Workfare blog points out, the claim made by Duncan Smith and the Department of Work and Pensions that half of people who do workfare are no longer on benefits after 13 weeks, does not show half of them are getting jobs (5).

Smith’s choice of 13 weeks as the relevant time-frame is also interesting given that his department brought in a ‘sanction’ against unemployment benefit recipients for “non-compliance” (including even missing an appointment) of cutting off their benefits for 13 weeks (This is one of the most minor 'sanctions' - higher ones include no benefits for 3 years) (6).

So how many of the people who aren’t on unemployment benefit after the 13 weeks have got a paid job Mr Smith? ; and how many had their benefits cut off even though they don’t have a job yet? ; and how many of those were for being late or missing unpaid work or an appointment with a DWP official on just one day?

Figures released by Tesco last year showed only 21% of those who were put on workfare placements with them got a paid job at the end of it (300 out of the first 1,400 (7) – (8).

You can judge the general level of honesty on this subject from the government from the fact that they are fiddling the unemployment statistics by counting people on unpaid workfare placements as “employed” in “new jobs” (9).

Smith, true to form, is being utterly dishonest. He’s also a hypocrite. When he was in opposition he toured the country in teary eyed meetings with the poor, the disabled and the unemployed and charities working with them, promising them that when he got into government he would help them rather than punish them.

After less than three years in government Smith as Welfare minister has approved not only a 21st century version of the 19th century workhouse through unpaid “workfare” placements like Cat Reilly’s; but also letting French IT company ATOS get commissions on the number of disabled people they take benefits from on the basis of the say of doctors ATOS is employing and who often refuse to even look at their medical records or their GP’s opinion (10).

(The leadership of the Labour party actually initiated this scheme and gave ATOS this contract in 2008 in a shameful betrayal of vulnerable people and their supposedly democratic socialist ideals, though the Conservatives have made it even harsher than it was under Labour by changing the terms of the contract (11) – (12))

Smith is also rumoured to be currently trying to scrap the appeal process against ATOS rulings, because 40% of people stripped of their benefits by ATOS have had them restored on appeal to tribunals (though ATOS keeps its commission payments for removing someone from disability benefit even if their ruling is found to be wrong on appeal) (13) – (14).

Smith has also approved caps on housing benefit, along with an insane “bedroom tax” which takes away the housing benefit of anyone living in a flat or other property with more than one room in it and the government thinks one of them could be converted into a bedroom (15).

But, warm-hearted, compassionate men that they are, he and Lib Dem Treasury minister Danny Alexander have now let it be known that they will oppose any further welfare cuts (16). That’s nice of them. How about reversing all the ones you’re making? Then there might be anyone who gave a flying fuck. Currently it’s a bit like Hitler pledging not to invade any more countries now he’s done France, Russia, Poland, Czechoslovakia, Yugoslavia, Austria and Greece.

I know whose behaviour I think is unacceptable – and it’s not Cat Reilly’s, it’s yours Mr Smith. You would not make an acceptable local councillor never mind an acceptable government minister.

What You Can Do

Go to the Boycott Workfare website to find ways you can help end Workfare in the UK
(there will also be a week of action against Workfare on 18th to 24th March)

Sign this petition to keep the Disability Living Allowance instead of the ATOS contract

If you’re in Scotland, sign this petition to the Scottish government to ban the bedroom tax

Wherever you are in the UK, sign this petition to scrap the bedroom tax

Join the Peoples’ Assembly Against Austerity – a non-party group to oppose austerity and welfare and public service cuts which members of any party and of no party can join

Sources

(1) = Independent 13 Feb 2013 ‘Poundland ruling: Back-to-work schemes in disarray as no-pay placements judged unlawful’, http://www.independent.co.uk/news/uk/home-news/poundland-ruling-backtowork-schemes-in-disarray-as-nopay-placements-judged-unlawful-8491398.html

(2) = Independent On Sunday 17 Feb 2013 ‘Nobody is 'too good' to work as a shelf-stacker, says Iain Duncan Smith’, http://www.independent.co.uk/news/uk/politics/nobody-is-too-good-to-work-as-a-shelfstacker-says-iain-duncan-smith-8498374.html

(3) = Department of Work and Pensions – Work Programme Provider Guidance - Chapter 3c – work experience on a voluntary basis and community benefit work placement,
http://www.dwp.gov.uk/docs/wp-pg-chapter-3c.pdf ; ‘Even if they are not paid by the employer, participants will qualify for the NMW (National Minimum Wage) if they are regarded as employees of the employer AND are participating in a trial period of work with that employer, in which the employer has agreed to offer a job to the participant if they successfully complete the trial, in cases where the trial is in excess of six weeks… “Employment” has a wide meaning, and participants are likely to be regarded as employees if they agree voluntarily to take up the placement with a particular employer.…The NMW is very unlikely to apply to participants mandated to participate in unpaid work experience or an unpaid community benefit work placement through the Work Programme, or to Participants who volunteer to take part in an unpaid placement of either type which is not a work trial exceeding 6 weeks.’

(4) = Department for Work and Pensions Research Report No 533 ‘A comparative review of workfare programmes in the United States, Canada and Australia’,
http://research.dwp.gov.uk/asd/asd5/rports2007-2008/rrep533.pdf (see page 5 , paragraph 7)

(5) = Telegraph 21 Feb 2012 ‘Iain Duncan Smith: it's better to be a shelf stacker than a 'job snob'’, http://www.telegraph.co.uk/news/politics/9095050/Iain-Duncan-Smith-its-better-to-be-a-shelf-stacker-than-a-job-snob.html ; 5th paragraph, 1st sentence, ‘The Government says half of those who join the scheme have either found work or stopped claiming benefits after 13 weeks.’

(6) = Telegraph 03 Jul 2012 ‘Lazy jobseekers to lose benefits for up to three years’, http://www.telegraph.co.uk/news/politics/9370402/George-Osbornes-plans-to-use-billions-of-pounds-from-British-pension-funds-cash-to-pay-for-roads-fail-to-get-going.html ; 4th sentence ‘The new sanctions regime, which come into force this Autumn. will see a claimant losing their benefit for 13 weeks for a first failure to comply with the rules.

(7) = Guardian 10 Feb 2012 ‘Unions call on UK high street giants to halt unpaid work schemes’, http://www.guardian.co.uk/business/2012/feb/10/unions-shops-unpaid-work-schemes ; ‘Tesco said that over the last four months around 1,400 people had worked for free for a month as part of work experience in its stores, and since the scheme began 300 jobseekers had gained a job with the company.

(8) = Daily Mirror Blogs 16 Feb 2012 ‘Outrage over Tesco's £1.50 per hour "job offer"’,
http://blogs.mirror.co.uk/investigations/2012/02/post-2.html (see ‘Tesco’s Statement’ at bottom of the page on that link)

(9) = Guardian 15 Jan 2013 ‘Statistics cast doubt on coalition's '500,000 new jobs' claim’, http://www.guardian.co.uk/uk/2013/jan/15/statistics-doubt-coalition-500000-jobs

(10) = guardian.co.uk 31 Jul 2012 ‘Sick and disabled people are being pushed off benefits at any cost’, http://www.guardian.co.uk/commentisfree/2012/jul/31/disabled-people-benefits-panorama

(11) = New Statesman 23 Jan 2013 ‘The Shadow State: The "dehumanising, degrading" treatment of disabled people’, http://www.newstatesman.com/politics/2013/01/shadow-state-dehumanising-degrading-treatment-disabled (see especially 2nd paragraph and 9th paragraph)

(12) = BBC News 17 Aug 2012 ‘Watchdog finds weaknesses in benefits system’,
http://www.bbc.co.uk/news/uk-19244639

(13) = New Statesman 23 Jan 2013 ‘The Shadow State: The "dehumanising, degrading" treatment of disabled people’, http://www.newstatesman.com/politics/2013/01/shadow-state-dehumanising-degrading-treatment-disabled ; 11th paragraph, 2nd to 3rd sentences ‘On average 40 per cent of challenged decisions are overturned at tribunal – one in ten of the total assessed. It has cost £60m thus far to assess the appeals. Some 1,300 people have died after being placed in the “work-related activity group” for those expected to start preparing for an eventual return - 2,200 died before the assessment process was completed.

(14) = Channel 4 News 08 Feb 2013 ‘Disability testing system causes ‘misery and hardship’’, http://www.channel4.com/news/disability-testing-system-causes-misery-and-hardship , ‘But the public accounts committee report though, lays much of the blame at the door ot the Department for Work and Pensions. It says the DWP relies too heavily on the decisions taken by Atos assessors. And how good are those decisions? Well , according to the committee, 38 per cent of the department's decisions were overturned in appeals...In the meantime Atos Healthcare were paid more than £112m to carry out 738,000 assessments between 2011 and 2012. The PAC report adding: "It (the department) has failed to withold payment for poor performance."

(15) = Independent on Sunday 17 Feb 2013 ‘'We won't put up with this': Residents facing brunt of 'bedroom tax' will refuse to pay’, http://www.independent.co.uk/news/uk/home-news/we-wont-put-up-with-this-residents-facing-brunt-of-bedroom-tax-will-refuse-to-pay-8498691.html

(16) = Guardian 15 Feb 2013 ‘Senior ministers to oppose more welfare cuts’, http://www.guardian.co.uk/politics/2013/feb/15/ministers-oppose-more-welfare-cuts

Additional Ranting

The Conservatives’ theory is that people don’t work because they’re lazy. The reality is that even on the government’s own (fiddled) figures there are 5 people unemployed for every job vacancy available. And the real ratio is much higher because of all the fiddling of the unemployment figures. For instance people on temporary, unpaid “workfare” placements are counted as employed and in “new jobs”.

The Conservatives’ theory is that most people on disability benefit could actually work easily and are being prevented from getting jobs and getting on in life by receiving benefits and believing they can’t work (with the unspoken assumption again that there would be enough jobs for all of them even if this was true). Look at the Paralympic athletes they say, that proves that it’s all in the mind – glass half empty or glass half full perspectives. Unfortunately this is all bollocks. Many people are genuinely disabled and simply cannot work – and what’s more many of those who have become disabled worked and paid taxes for decades before becoming disabled due to illnesses or ageing.

The Conservatives’ theory is that the welfare state is creating dependency and a drain on the economy. The reality is that it is vital to a civilised society which doesn’t want to leave many of it’s people to die of hunger, cold or treatable diseases and illnesses, which is why it was created, in infancy and weak form in the late 19th to early 20th centuries and in it’s full form since the end of World War Two. Charities cannot do what welfare states and national health services do – we know that because there were lots of charities before there was a welfare state and they never came close to reducing poverty for the majority.

The welfare state is not a drain on the economy either. For instance unemployment benefit during recessions helps to limit a downwards spiral of falling wages and more people made unemployed, followed by people spending less money on buying goods and services (because many of them now have less), followed by firms sacking more employees and cutting pay for the rest as they can’t sell as many goods or services.

The Conservatives are trying to bring us back to the 19th century and many of the Liberal Democrats are supporting them and basically agree with them. Worse still much of the leadership of the Labour party largely share their ideology and only differ in how quickly they want to dismantle the welfare state and privatise the NHS by the back door.

Much of the leadership of the Liberal Democrats and the Blairite wing of the Labour party seem to differ only in wanting to do this more gradually.