The problem with Neo-Liberalism is that eventually you run out of other people’s money

Wiki describe Neoliberalism as “a label for Economic liberalism, advocates of which support economic liberalization, free trade and open markets, privatization, deregulation, and decreasing the size of the public sector while increasing the role of the private sector in modern society.”

But what does that mean to the average man and woman on the street?

There are flaws with every economic theory and this is undoubtedly true for Neo-Liberalism.  Neoliberalism promotes the amalgamation of the state and big business. It calls for unregulated and unbridled capitalism. 

They believe that a nations assets (ie energy, water etc) should belong to private businesses and that citizens of that nation should pay those private business to be able to gain access to the assets of the county.   

By selling off essential (and profitable) public services to private firms it results in the state’s well-being being relied to the fortunes of the businesses concerned.

The Big Six Energy companies profit immensely from the hardship of the poor and vulnerable.

Neo-liberalists believe that the market knows best. They believe that there should be as little Government regulation as possible.  One of the main reasons for the credit crunch in 2007 was that the banks in the UK were deregulated. Due to the lack of regulation, they embarked on a spree of reckless borrowing, which ultimately, the taxpayers had to pay for via bank bail outs, quantitive easing and a drastically increased national debt.
This was Neo-Liberalism in action

“Neo-liberalism is a one size fits all version of uber-capitalism which rips apart hundreds of years of progression in the name of profit.”  

A prime example of the failings of neo-liberalism can be seen by the ‘austere’ policies of the Tory-led Government in Westminster.   The Government’s zeal for public sector cuts while reducing the rights of workers shows clearly than the needs and wants of the business community take precedence over the wants and needs of the electorate.

Public Sector Cuts are Neo-Liberalism in action.

Another good example of Neo-Liberalism in action is the proposed sell off of the Royal Mail. Neo-Liberal politics often ignores the strength of public feeling.  It will ride roughshod over democratic process.

We, the ‘owners’ of Royal Mail, have not been asked if it should be sold or not.  That un-mandated decision was made by the coalition Government. But we are not privatising all of Royal Mail.

Even the staunchly pro-Tory Daily Mail expressed shock and dismay at the sell off of Royal Mail

According to the BBC news website: ‘Royal Mail pension fund assets and liabilities are set to be transferred to the government next month, subject to EU approval, the BBC understands.”

By nationalising the Royal Mail pension fund, the government gets access to £28 billion of tangible financial assets. But the liabilities of the Royal Mail pension fund are almost £10 billion greater than the assets.

And it will be the taxpayer who will bear the brunt of the shortfall of £10 billion..

Again, this is Neo-Liberalisation in action.

It is my belief that the next decade will be a turbulent time for British politics. No longer is the argument left V right.  The left and right have a new and far more dangerous enemy: Neo-Liberalism.

Originally blogged: http://no2bedroomtax.co.uk/2013/07/the-problem-with-neo-liberalism-is-that-eventually-you-run-out-of-other-peoples-money/

Trade Unions: I was wrong.

Originally blogged here: http://no2bedroomtax.co.uk/2013/06/trade-unions-i-was-wrong/

When I first started speaking at public meetings I proudly stated that ‘I am not a trade unionist.’

It was the truth. My view of Trade Unions was tempered with a feeling of resentment, as I thought trade unions did not protect those out of work.

I felt that it was unfair that Trade Unions did not have a scheme to protect and represent those out of work, especially when the Government was overtly attacking those out of work

When I first heard Jack Ferguson, (the regional organiser for Unite Communities Scotland), speak about Unite Communities, I thought that it seemed like a good scheme but my cynicism led me to believe that it was nothing but another way for trade unions to gain members.

I was wrong.
I also thought that Trade Unions were a relic of the past. With no relevance in modern day political struggles.

I was wrong.
I thought Trade Unions would wish to take over grassroots campaigns and try to push their agenda to the fore.

I was wrong.

The STUC’s ‘Austerity Uncovered’ tour is one of many initiatives by Trade Unions that is designed to empower communities.

What I saw instead was Union branches and members working tirelessly for communities. I saw action rather than just words. I saw people being protected by free legal advice, I saw people getting advocacy and I saw a genuine effort to unite communities.

I see Trades Councils pro-actively working in their communities, empowering individuals and sections of society.

I see Trade Unionists on the front line fighting austerity.

Unite Community membership is aimed for those who are out of work

If you look back in history, Trade Unions have always been on the side of working class families.  Our battles have been their battles.  And if we want to beat Austerity then it is essential that those in work and those out of work unite together as organised mass movements of men and woman do bring about political change.

Trade Unions aren't perfect. They have been under attack since their inception and have been let down by politicians and political parties who have not done enough to strengthen the role that Unions can play in politics and in our society.  Their funding of the Labour Party in the last few years has perplexed many(including myself) considering the actions of the Labour Party in the last two decades.

But for me, the advantages well outweigh the disadvantages.  My family and I are now members of Unite Communities. Being part of a Trade Union provides my family support and defence against the Government’s attacks on my community.

So the next time I speak, I will proudly state: “I AM a Trade Unionist!”

No Benefit for under 25. What cockwomble thought of this?

A genuine Cockwomble in London

There has been an abundance of cockwombles gracing our tv screens with the Daily Mail going on a RAGE with anything that is even slightly left of centre and with the Tories Conference in Manchester.

The Daily Mail imploding in self hate is rather humorous. Never has karma been so enjoyable to watch.  What isn't funny is the Tory's headline-grabbing policy of removing all benefits for those who are unemployed and under 25.






When I first saw this headline on facebook I genuinely thought it was from a satirical site like the Poke or Daily Mash but no, this was from the Telegraph.

Not Satire...Tory Logic

The PM’s keynote speech had to be a good one…

The Tories were still reeling from Ed Miliband’s speech at the Labour party where Ed ‘brought socialism back’ to British politics by pledging to:

• Repeal the Bedroom Tax.
• Embarking on a nationwide housing building program.
• A two year energy price freeze.

The PM stood in front of the rabid blue rinse brigade and had the audacity to claim that young people in the UK should be forced to ‘earn or learn’ by barring them from applying for housing and unemployment benefit.

That’s right, the millionaire who, immediately after leaving Eton, started working with the Conservative Party had the gall to imply that our youths had it easy!!

This policy makes absolutely no sense whatsoever until you are reminded that under 25s are the group least likely to vote.  Like most of the Tories policies, this have no evidence, no costing; it is just a blatant ideologically driven attack on the welfare state. This is just another front in the Tory’s ‘Divide and exploit’ tactic which they have been deploying since 2010, picking off one section of our society at a time.  .

Removing housing and unemployment benefit away from under 25s is such a hare-brained idea that it could only come from a Tory with a silver spoon firmly stuck in his gob!

The PM actually said in his speech that young people ‘choose the dole’.  Firstly, this is a horrendous slur which generalises a helluva lot of people.  Secondly, in June of this year there were 900,000 under 25s who were no in Education, Work or training.  Yet are the same there were only 529,000 job vacancies in the whole of the UK!! Even a cockwomble such as the PM must realise that THERE ARE NOT ENOUGH JOBS!

The Daily Mail, the propaganda wing of the Tory Party, actually blamed young people’s ‘work ethic’ for the huge numbers of under 25s who are not in Education, work or training.

The propaganda wing of the Tory Party

We are in serious danger of having another ‘lost generation’ and removing benefits will make this worse.  A survey of those under 25 who were not in work, education or training showed:

40% felt that they were not part of society.
36% believed that they would never get a job.
33 Suffered depression.
37% never left their homes while on JSA.


The answer is relatively simple: We need to invest in our youths. We need to invest in jobs, invest I training and remove barriers from education.

So my message to the PM

“IT’S THE ECONOMY…STUPID!!”

My week...

A friend phoned me up today and apparently there is a rumour that the Renfrewshire Labour Group has offered me a safe seat in a forthcoming election. This is news to me, I have never discussed standing at any election with any political party. My only priority is ended the bedroom tax.

I stay in Paisley and it is Labour who run my local council.  I have lobbied them since the beginning of the 2013 and now know quite a few of the councillors. I'm actually quite proud of my councils actions against the bedroom tax.  After lobbying from locals they:

• Implemented a 'no eviction' policy
• Reclassified bedrooms
• Increase funding so that more people could be protected from the bedroom tax.

In my opinion, the whole council should be applauded for this stance as this can only be done with political consensus from all parties. But I can honestly say that I have never discussed standing at any election with any political party. My only priority is ended the bedroom tax.

Talking of rumours....an old one has resurfaced. Apparently I am 'working with housing associations that are evicting people'.   This is from the same old faces and is in reference to the BinTheBedroomTax coalition in which the West of Scotland Forum of Housing Associations are a member.  The STUC and Scottish Tenants Organisation are also members. Do we really think that these the STUC and the Scottish Tenants Organisation would work with housing associations that are evicting tenants?   At this stage of the campaign, I believe it is better to work with as many stakeholders as possible.  I truly believe that by working together that we can banish the bedroom tax.

 Finally had our petition submitted to the Scottish Parliament.  The petition can be found here
http://www.scottish.parliament.uk/GettingInvolved/Petitions/No2BedroomTax
 and the first draft of the report that goes along with the petition can be found here https://docs.google.com/file/d/0B7_tlLo-B2rXOF9DV2o0YVZlalk/edit?usp=sharing


To be honest I am not sure how successful this petition will be. I am just hoping that the Scottish democratic structure is responsive to our demands.  I will have to present my 'evidence' for the petition at the Scottish Parliament in November. Nae pressure eh?  Actually, there is no pressure on me because I am absolutely convinced that I am right but we all know what politics is like... So fingers crossed.

Economic Recovery: You are having a laugh!!

Listening to George Osborne, Nick Clegg and other Government ministers gush over the supposed ‘economic recovery’ over the last few days makes me sick. They may convince the gullible but to the average person on the street; there has been NO recovery.

An Eejit

The Government will point to ONS figures to prove that their economic plan is working, growth is up and unemployment is down. But this is not the truth, far from it.

Cost of Living rising faster than wages

From the 12 months up to April this year, the average wage rose by 0.4% while the cost of living (CPI) was 3.2%.  And if we compare household income, we will find that it is 5.5% lower than when the coalition came into power.

The cost of living rising faster that wages is having a disastrous effect on households up and down the county.  Hard working people are working the maximum hours available but are still struggling financially.

A prime example is the energy sector.  Due to lax regulation, the big energy companies now have a monopoly over the market, charging over-inflated prices, making extreme profits while people sit cold in their homes.

The rise in the cost of living while wages are being cut or frozen has left a huge section of our work force being now classed as the ‘working poor’.

The rise of the working poor can be shown by Housing Benefit data which shows that 90% of new housing benefits claims in the last two years came from those in work.  Around 1,000,000 housing benefit claimants are in work.


Employment

Another Eejit

Under-employment has been used as a strategy to hide the true nature of the UK’s labour market.

To show how the Government uses under-employment to hide the true state of the employment market, let’s say for simplicity reasons that the UK jobs market has 2 workers looking for full time work and 40 hrs a week employment available.

Normal Logic
1 person employed 40hrs per week
1 person would be unemployed.
Unemployment rate: 50%

Tory Logic
1 person employed at 20hrs per week.
1 person employed at 20hrs per week.
Unemployment rate: 0%

This sleight of hand by the Government has hard-hitting effects on people’s home life. Workers who need to have full time employment to look after their family are thrown into poverty by the Government’s spinning of data.

The TUC found that 10% of the UK’s workforce is under-employed in 2012 and latest data shows that there are 1.43 million workers in part time employment but are looking for full time employment.


If things are so bad, why do we have economic growth?

Rightfully or wrongfully, economic growth is the barometer that expert judge our economy.  According to the ONS the UK’s growth was revised up to 0.7%

So where is this growth coming from?  Quite simply, this is artificial growth is partly due to the £375 BILLION Quantitive easing that has been pumped though the banking system that was agreed by the BoE in July. 

Yes, that is right. While the poor, vulnerable and low paid are suffering, this Government is allowing BILLIONS of pound to be given to banks so that the Government can cover up the failing of Austerity.

Added to this it the beginnings of a housing bubble.  House prices going up increases the paper value of the UK.  

The Solution

We need serious root and branch reform.  We need to examine every aspect of our economic and democratic system and if they are found wanting, reform them.

We need to democratise out money supply.  We need to return that fiscal lever from the banks to its rightful owner, us, the people of the UK.

We need to learn from the success of the past.  We need a ‘New Deal’ which will:

1 Reform broken democratic and economic systems, to ensure that the mistakes in the run up to the credit crunch cannot happen again.

2. Retrain and invest in the country’s workforce so that they have the appropriate skills for a dynamic and modern economy.

3.  Build. We need the money that is being diverted into privately owned banks and invest it in capital projects that would transform our nation’s creaking infrastructure and regenerate it into a modern and green infrastructure that is fit for purpose for the 21st Century,

Example.

A Ratbag

An example of a ‘New Deal’ policy would be implementing a social home building program on a scale that has not been seen since the Atlee Government.  At the same time there would be reform of the housing system. For example, rent controls in the private sector which would lower the housing benefit bill while impacting on the over-inflated house prices.

Implementing this program would revitalise the construction and manufacturing sector. You would need workers to build the homes and manufacturing the goods that are required for building a home. Workers would need to be trained in their specialised field so that our workforce can cope with the increased demand for workers in the manufacturing and construction sector.


This would have beneficial effects for our economy on a local, regional and national level with solving our housing crisis. We could literally build our way out of this economic depression.

Sadly, no political party seems to have the appetite for these type of reforms.  They seem to not understand the difference between ‘spending’ and ‘investing’ and until they do, it will be us that will have to pay for the establishment’s narrow minded view on our economy.