Election 2017: Prim Headmistress v Cool Grandad

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General elections should be all about policy rather than personalities. But what about the non political vibes that may decide how you cast your vote? And why is Jeremy Corbyn rather than Theresa May such an unlikely icon for younger voters?

Theresa May

Prim Headmistress Pic credit:BBC

The impression I get of Theresa May is that she is a retro figure who would love to turn Britain back when she was born in the 1950s – the days when the Ford Popular was the car for the aspiring masses and yes, we had lots and lots of grammar schools.

Her demeanour is everything like the prim and prissy heads of old single sex grammar schools who ruled the roost, took no prisoners, and bullied the staff as well as the pupils.

They had a very narrow vision of Britain based on God, Queen and Country and thought girls should be well mannered ( no swearing), academically bright  and get a professional job.

It is no wonder then that she has made grammar schools the centrepiece of her 21st century education policy – they reflect her own image and values. They also co-opted a very small section of  academically bright working class fellows – just to make sure the great unwashed lost any aspiring leader who  would foment dissent and acquired the right middle class values.

As a head of  a girls grammar school she would have eschewed violence- caning was for men – but anybody who was naughty would be put  in detention  and made to write lines.

I imagine as PM she would love to punish the millions of Remainers in Britain by making them stay in their homes for an hour and write ” I love Brexit” 100 times until they were forced to agree.

Her views on immigration are also very 1950s. She is not racist but she is obviously missing the almost exclusively white grammar school classroom – with just the odd aspiring West Indian and Asian to add a bit of flavour and hopefully  imbibe middle class values. Which is why we get the tens of thousands mantra rather than free movement.

I wonder what she really thinks of the internet – which allows free rein to any expression – given she wants to control  what is said – something that even China finds difficult. It reminds me of what one angry director said about me criticising his product – you ‘re quite at liberty to moan about it in the pub but you shouldn’t put your views online for everyone to see because it damages my company.

None of the above is likely to appeal to the  majority of the young who like Britain being a tolerant, open, multicultural and diverse place and don’t want to be bossed about.

Jeremy Corbyn Pic Credit BBC

Cool Grandad Pic credit:BBC

Which then brings me to Grandad Jeremy. By rights he shouldn’t be an obvious icon. Every idea and political stance he had is supposed to be old hat – like renationalisation of the railways and saying trade unions are a good thing. The youth have been told for years by the Sun and the Mail  he is an extremist and  supports dangerous terrorists and has radical policies that will destroy Britain.

But I suspect they have been surprised by what they have seen. It does not marry with what they have been told. To them he must look more like a thoughtful grandad who has retained his youthful idealism. They may not agree with everything he says but they respect him for sticking to what he believes and not being phased by strong criticism or bossy interviewers.

Also young people – being young – are normally full of idealism themselves – they are not naturally bitter and twisted and don’t hate the present Britain they live in. They might like the fact that as a politician he doesn’t do personal abuse. And they might agree that indiscriminate bombing of civilians is not the way to ensure lasting peace.

The Establishment may laugh at him having an allotment or wearing home knitted jumpers but I suspect that cuts no ice with the young – whose grandads may also have allotments and have granmas who can knit.

It is this underlying contrast that I suspect has caused a bit of a sea change in the expected outcome of the election – which on day 1 looked a slam dunk for the Tories with a majority of 150 to 200. It may still not change the ultimate result but it is no longer clear cut and there are 11 days to run.

 

 

 

 

 

 

 

Fined £3.5m for professional misconduct: Grant Thornton approved dishonest accounts for London and Lincolnshire’s privatised fire engines

GrantThornton

Grant Thornton: A big fine for professional misconduct Pic credit: Wikipedia

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In 2011 this blog was involved with the Fire Brigades Union in investigating the handing over of London’s and Lincolnshire’s  fire engines to a private company called Assetco.

The company nearly went bust  in 2011 owing £140m. Shareholders and banks hoping to make money from privatising the emergency services lost millions and small shareholders were ruined.

The  City Hall Tories under Brian Coleman, then  the elected chair of London’s fire authority now nowhere in public life, saw the  flagship policy as a future blueprint for privatisation. Instead it was a disaster compounded by an Old Etonian baronet buying London’s fire engines for £2  from Assetco only to go bust himself leading to another company taking over.

Now six years later the grim and unsavoury truth has come out. A report from proceedings taken by the Financial Reporting Council against the auditors of the Assetco, big accountancy firm, Grant Thornton, and the accountant who audited the company Robert Napper,  has led to a £3.7m fine for  both of them for professional misconduct. Neither Grant Thornton nor Mr Napper made any financial gain out of the scandal.

The facts are staggering. Over two years Grant Thornton   were found to have committed no fewer than TWELVE  cases of professional misconduct which meant the accounts presented to the public were mainly fictitious. Robert Napper was found to have  ELEVEN cases of professional misconduct.

As the report says: “This misconduct adversely  affected or potentially adversely affected a significant number of people in the United kingdom.”

It points out shares were trading at £6 during this period and fell to £1 in 2011 when the real situation was known. The report adds: ” The share price in 2009 (£6) reflected financial statements that contained an inflated balance sheet and included some significant revenue that was fictitious.”

An accompanying report reveals the scale of the dishonesty and cover ups. They range from fictitious payments amounting to millions of pounds from City Hall to buying up a firm for a relative  with shareholders money and creating a rental firm that let property out to directors. So extensive was the deception that I intend to use further blogs to describe in detail what happened.

As the report says: ” GT and Mr Napper were deliberately misled by AssetCo’s  management but the exercise of proper scepticism would have led to dishonesty being uncovered.”

Grant Thornton  was fined £3,500,000, reduced to £2,275,000 after  they co-operated with council and given a severe reprimand;

Mr Napper was fined  £200,000, reduced to £130,000 after  he co-operated  with the inquiry

Grant Thornton also had to pay £200,000 as a contribution to the Executive Counsel’s costs.

Mr Napper, an accountant with 23 years experience, was seen to have acted so badly that they have also recommended he be barred for three years from membership of his professional organisation ( the ICAEW –Institute of Chartered Accountants in England and Wales) for breaching  their code of ethics.

Mr Napper, from South Oxfordshire has since retired.  The Executive Counsel of the FRC said: ” The misconduct of Mr Napper , in its totality, is so damaging to the wider public and market confidence in the standards of members and in the accountancy profession and the quality of corporate reporting in the United Kingdom that removal of the member’s professional status is the appropriate outcome in order to protect the public or otherwise safeguard public interest”.

Further inquiries by me show Mr Napper in his Linked In page was publicly  endorsed by seven people including  Perry Burton, head of London audit, for Grant Thornton. and Natasha Pettiford-White, an executive assistant at Grant Thornton. Mr Burton’s recommendation would carry considerable weight as he is an auditor of 20 years experience.

Gareth Rees QC, Executive Counsel to the FRC, said:
“The Respondents have admitted widespread and significant failings in their audit work, and GT specifically has accepted there were serious failings in the execution of certain aspects of the firm’s quality control procedures. This misconduct is rightly reflected in the seriousness of the sanctions, such as the exclusion of Mr Napper from membership of the ICAEW ( the accountants professional organisation) and the fines on both Respondents.”

Matt Wrack, general secretary of the FBU, said :

“It is mystifying that central government did not spot this scandal, when the Fire Brigades Union and firefighters themselves were warning about it for years.  Leading politicians and fire service managers were responsible for allowing a gang of spivs to take over essential equipment and vehicles, the property of the people of London and Lincolnshire.  Both of the authorities for these regions need to investigate fully to ensure this never ever happens again. ”

Grant Thornton were approached and did not reply. I have written about this in Tribune magazine.

In my view this shows that one of our big accountancy firms was derelict in its duty in protecting the public from people who obviously wanted to fleece shareholders and took no care in auditing the books of people in charge of vital emergency  vehicles in London  and Lincolnshire. It also shows the real dangers of privatisation and we cannot  trust big accountancy firms to act in the public as opposed to their private commercial interests. You will see the scale of the scandal in future blogs.

 

 

 

 

 

Why the Tory plan to axe pensioners fuel benefits is as flawed as Labour’s Ed Balls up

Tory manifesto

Tory Manifesto: An Ed Balls Up on fuel payments for pensioners

 

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This  is the extract from the Tory manifesto relating to plans to axe the £200 a year payment to all pensioners and the £300 a year payment to those over 75 . The plan is stolen from the Labour manifesto of 2015 and was originally proposed by Ed Balls to “save £100m “.

we will target help where it is needed most.So we will look at Winter Fuel Payments, the largest benefit paid to pensioners, in this context. The benefit is paid regardless of need, giving money to wealthier pensioners when working people on lower incomes do not get similar support.

So we will means test Winter Fuel Payments, focusing assistance on the least well-off pensioners, who are most at risk of fuel poverty.

Fine words but very difficult to implement. Why?

Four years ago I investigated how Labour could implement the same policy – and found it unfair and unworkable. This is what I said:

“As a punter and pensioner who pays higher rate tax because my freelance earnings top up my pension I expected to be one of the people targeted by Ed Balls. In fact it will have zilch effect, a load of old Balls if you like.

Let me explain why. The fuel allowance is currently paid to individual pensioners with a cap of £200 per household. So for a start I only receive £100 of  fuel benefit. The other £100 goes to my wife, also a pensioner, who is a standard rate taxpayer. So his planned saving will be halved anyway in my case.

But it is actually worse than that. My wife became a pensioner before me and was entitled to the full household fuel allowance in her own right. So when I was on The Guardian, ( then on just over £80,000 a year) our household was receiving then  a £200 fuel subsidy for a short time. What will happen under the Balls changes is that my wife will get back the full benefit of £200 – so we will still continue to receive exactly the same subsidy.

I suspect I am not alone. I know of many people around me in the shires, where in traditional families of that generation the main earner is the male who will  pay high rates of tax. His spouse who brought up the children, and did part-time work instead, would be a  standard rate taxpayer. These wealthy households will continue to get the subsidy.

Ed Balls

Ed Balls in more serious mode

Now Ed Balls could get round this by imposing a household cap equivalent to the income level set by the higher rate of tax. But if he does this he will run into fresh problems.”

I chased this up with the Inland Revenue.

They confirmed four years ago that they do  not collate figures showing how many households have higher rate and standard rate taxpayers who are currently eligible for winter fuel payments. They do not need to collect the information as taxpayers are assessed individually. So they don’t know the breakdown. The only figures they have are the number of higher rate taxpayers who are pensioners. I doubt anything has changed.

Theresa May

Theresa May:Leader of the Tory party. Pic credit:BBC

So how are the Tories going to do this. They could scrap the present system and go back to the old fashioned 1950s style tax system- where the man had to fill in the form for the household. But that would be deeply regressive, anti feminist and take no account of modern relationships where couples may not even be married or have  a gay partnership.

They could limit payments only to those claiming pensioner credit – removing all other pensioners- but that would hit the JAMS – just about managing pensioners with a huge hole in their income and be deeply unpopular.

Or they could  say every person has to fill in a means test form – which means even if it was done on line – have to employ more staff at a huge cost just when they want to axe more civil servants.

It ain’t going to work and will be deeply unpopular and  be full of anomolies.  In other words Theresa May has just created another Balls-up.

Equality Commission facing waves of strikes from disgruntled staff

striking Commisison staff in Scotland

Striking Commission staff on Scotland. Pic credit : Commons Space

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The long running bitter dispute between the management and the staff of the Equality and Human Rights Commission has spilled over into a wave of strikes which will run until the day after polling day.

Rolling strikes began in Glasgow this week and will continue in London, Cardiff and Manchester following the sacking of many disabled and black and ethnic minority staff – some by email. One of the worst cases involved  57 year old Markus Caruana, a disabled former flute player in the Corps of Drums with the Grenadier Guards.

Markus Caruana was unfortunate enough to have been both at the Guildford pub bombings in 1974 and the Chelsea Barracks bombing in 1981 which seriously injured regimental bandsmen from the Irish Guards. He was fortunate enough to escape unscathed but later had a  serious disability.  He lost his 75 per cent of his hearing and got  an incurable muscle wasting disease called Marie-Tooth disease (CMT) which affects the nervous system that supports muscles, often weakening the legs and feet.

So ferocious has the sacking policy been  that there are now vacancies at the ECHR even though it has suffered enormous cuts since 2010. But the management have banned any of the sacked staff  from applying for a job.

According to the PCS Union The Commission’s expenditure report for April shows it has spent £90,876 on agency staff in April and £17,900 on recruitment costs. The spending on agency staff is a significant increase on previous months – £44,000 in January, £61,000 in February and £65,000 in March.

A Commission spokesperson, said: “We have greatly reduced our spend on contractors in recent years. Contractors are, however, used when we need certain technical skills and experience that are not available in the Commission. The recent increase has been due to one off costs and no long term rise in spending.”

Of the eight union members issued notices of compulsory redundancy, six are black or minority ethnic, five are disabled and seven are older workers. Four are union reps and one was a lead negotiator opposing the cuts. We are now pursuing legal action against the EHRC for victimisation of trade union representatives.

The management issued a defiant statement  on the existing strike action.

rebeccahilsenrath

Rebecca Hilsenrath: chief executive of the Equality and Human Rights Commission and leading the programme of staff cuts Pic credit: Douglas-Scott co.uk

Rebecca Hilsenrath, EHRC Chief Executive said: “The changes we are making will allow us to respond to the new challenges we face. I am proud of how well our staff have embraced this new way of working and our ambitious programme of work.

“We have made every attempt to end this dispute with the union and have offered them concessions at every stage of talks. We are now focused on delivering our business plan.  We are unclear as to their rationale for continuing action.”

PCS general secretary Mark Serwotka said: “Our members only take strike action as a last resort but management’s reluctance to adequately address their concerns have given them no choice.

“There are vacancies at the Commission and there is no reason why our members can’t have those jobs.

“The fact that the government has cut the Commission to a quarter of its original size demonstrates the Tories’ lack of commitment to equality and human rights issues.

“Further budget and staff cuts would leave the commission toothless at a time when more needs to be done to tackle hate crime and discrimination.”

What is extraordinary about this whole situation is that  the issues that the ECHR is supposed to represent – employment rights, equal pay, the rights of the disabled and  unfair discrimination against black and ethnic minority and gay workers – are all being undermined by their own attitudes to their staff.

If there are to be tribunal hearings – it will mean the reputation of the organisation will be damaged- and all these causes will suffer. This does not look like going away.

 

 

The Treasury: Destroying Britain’s world leadership in green technology

cop 21 carbon capture

Carbon capture from Cop21

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There has been much said that Britain doesn’t capitalise on its own innovation – and leaves other countries to do so. Much of the blame is put on companies not wanting to invest – but it is often acknowledged that the state has a role to pump prime innovation.

In green technology Britain is seen to have surrendered the lead it once had on wind farms – with nearly all the technology now being imported.

What has not been really reported is the role of the Treasury in encouraging or discouraging green technology. Until now.

A report by the Commons Public Accounts Committee in the dying days of Parliament shows just how baleful the Treasury has been in destroying Britain’s world prospects coupled with writing off taxpayers money. And the main culprit in the last six years must be George Osborne and to a lesser extent, former Liberal democrat energy secretary, Chris Huhne- despite the Liberal  Democrats green image.

Officially the report was on the abandonment of carbon capture technology. –

The Commons  criticised the handling of decisions by the last coalition and Conservative governments to waste some £168m by cancelling competitions to develop new carbon capture technology before its potential could be realised.

The Mps concluded: “ The UK has now missed opportunities to be at the forefront of a growing global industry” but say this is part of the pattern where the Treasury halts projects for short term financial gain over the last decade.

“The UK may now have lost any competitive advantage to export CCS technology to countries that are seeking options to reduce their own carbon dioxide emissions, which could have created engineering and R&D jobs in this country. This is reminiscent of government decisions in the 1980s not to develop renewables, meaning the UK lost its position as the world leader in emerging technologies such as wind power.

“Neither the Department nor the Treasury evaluated the potential benefits for the UK’s economy of having a globally competitive CCS sector prior to the competition being cancelled.”

What is more damning is how MPs go on to provide a shopping list of failure to support green technology.

“These included cutting feed-in tariffs for solar and onshore wind; scrapping the zero-carbon homes regulation; withdrawing the grandfathering support policy for biomass projects; privatising the Green Investment Bank; and cutting subsidies for low-emission vehicles.”

The original decision to halt the first attempt at carbon capture technology was made by Chris Huhne when he cancelled an experiment at Longannet power station in Scotland. Then George Osborne halted for short term savings a development at Drax coal fired power station in 2015.

Mean while in the rest of the world 20 projects are going ahead. As Mps conclude:

“Halting CCS’s deployment means that the UK will have to pay billions of pounds more to meet its decarbonisation targets, has missed opportunities to be at the forefront of a growing global industry, and has damaged investors’ confidence in working with the government on CCS in the future.”

Given we are supposed to be proudly standing alone -post Brexit – and need to develop new technologies here, this is doubly damaging. But then it seems politicians are more interested in rhetoric than action.

I have written a piece in Tribune on this.

 

A damning indictment on the dangerous failure of privatisation in the criminal justice system by a former Tory MP

Jerry-Hayes

Jerry Hayes, practising criminal barrister and former Tory MP for Harlow Pic Credit:Goldsmith Chambers

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I am reblogging this from the site of Jerry Hayes, a former Tory MP and practising criminal barrister. He is highlighting the dangers of miscarriages of justice since the Forensic Science Service was privatised by David Cameron because private companies are cutting corners and not doing a proper job. The person here could have been imprisoned for seven years as a result of their negligence.

THE SCANDAL THAT UNDERMINES OUR ONCE GREAT SYSTEM OF JUSTICE

10 May 2017 at 07:09

I never blog on cases, but today I must break my rule. Yesterday I discovered a scandalous state of affairs which could have led to an innocent man going to jail for a substantial period of time. I will not name the defendant nor the court for obvious reasons. In forty years of practice at the bar this shook my faith in what was once the finest and fairest justice system in the world. Read this and weep. And mourn for British justice.

Yesterday I was sent to the Crown Court to offer no evidence in a firearms case. I had been instructed some weeks ago as Prosecution counsel. Let me give you a thumbnail sketch. Last year the police searched a van. In this van was a tool box and in this tool box were founds guns and ammunition. This comprised of an 8mm blank firing pistol converted to be a lethal weapon. An empty magazine belonging to that hand gun. A Glock self loading hand gun. The magazine from this handgun contained two live rounds. And three further live rounds were found in a knotted bag. It goes without saying that the possession of these items is a very serious offence and carries a minimum sentence of five years for the guns and a consecutive sentence for the ammunition. Anyone convicted potentially faces a sentence of imprisonment of seven years upwards.

The guns and ammunition were forensically examined. The laboratory gave the police what is called a Streamlined Forensic Report (SFR). It came to this conclusion, ‘a match exists between the defendant and the sample’. In other words the defendant’s DNA was found on one of the magazines.

This was served on the CPS and duly uploaded onto the digital case system, effectively serving this on the court and the defence. An SFR is precisely that, and both prosecution and defence are entitled to see the full report. But very often it is taken at face value. As there was no other evidence the CPS reviewing lawyer wanted further information. He asked for more information. Was there a mixed profile? How strong was the DNA? He received obfuscation from the lab. ‘The SFR provided indicated that a number of results were subject to progress.’ But the lawyer was dogged in his determination and finally received this bombshell. ‘The lab confirms due to confusion they have never compared mixed profiles against the defendant.’ They also stated that ‘progress means there are no additional findings’. Then came this chilling line. ‘The lab refused to elaborate any further……’

The reviewing lawyer reported the following,‘I am concerned that the language used in the SFR appears to assert positive and ongoing actions when they are clearly negative. I have requested the OIC to obtain an email from the forensic officer confirming the phone communication and what is implied in the SFR…..he confirmed that the report was misleading.’

The CPS, underfunded, overworked and creaking at the seams comes in for a lot of criticism. In this case the reviewing lawyer deserves a herogram.

Yesterday when I offered no evidence I explained to the judge in detail what had happened. I will never forget the look of horror on his face. There will be a thorough judicial investigation.

And yesterday SKY NEWS reported that a private forensic laboratory had ‘manipulated data.’ What the hell is happening? I will tell you. In 2010 the government announced that the national forensic service (the FSS) was to be closed down and forensic analysis would be privatised. Let me be clear that the FSS has had its fair share of cock ups. But the government announcement prompted horror from professionals. The National Audit Office warned, ‘this could spark a crisis within the justice system.’ They were right. Soon the court of appeal will be swamped. Will someone, somewhere listen? I won’t hold my breath.

Why Theresa May must ensure transparency between top politicians and big business during Brexit negotiations

Theresa and Philip May

Theresa and Philip May: Pic Credit: ITV

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Tonight Theresa May and her husband Philip May appeared on the BBC One Show together – providing a major personal boost for the PM during the General Election campaign.

Last month Byline carried a story about the Cabinet Office being asked to investigate an issue that is very close to home to both of them – whether there could be any conflict of interest between her role as Prime Minister and his role as a senior investment manager of the Capital Group, which moves billions of pounds every day in the money markets.

The question is important – not because there is any evidence that either Theresa or Philip May  have abused that relationship to make money – but because the Whitehall rules are still pretty lax in ensuring that there is full transparency despite fine words in the Ministerial Code of Conduct.

As it says :“Ministers must ensure that no conflict arise, or appears to arise, between their public duties and their private interests.”

I raise this because last month the Cabinet Office insisted that there was no investigation into this and that  “The Prime Minister has declared in full her interests and the interests of her husband.”

That reply covers a multitude of sins because the same code allows nothing to be declared by Theresa May if she puts her investments in a ” blind trust” and leaves it to the trustees to invest. Similarly her husband Philip need only declare very basic information because  such details “would involve unjustifiable intrusion into the private affairs not only of Ministers, but of their close family.”

I also raise it because the Cabinet Office seemed unduly sensitive about this inquiry. I am told by another media source that it privately briefed that not only was there no investigation but there was no email correspondence about such a complaint or response from the Cabinet Office about it.

I have double checked my sources and indeed discovered a civil servant from the Cabinet Office did acknowledge the complaint and promised to examine the issue  after it was pointed out that billions if not hundreds of millions of pounds are involved in currency movements depending on speculation on Brexit.  I won’t embarrass the civil servant by naming the person on this site as I know the source won’t want to be identified.

This leads me to one conclusion. If the Conservatives do win the election, for the next two years the money markets will be desperate to know the state of Brexit negotiations – as there are hundreds of millions if not billions of pounds to be made by having an ” inside track “.

Therefore I think declarations by ministers and their close relatives – given the close connections between the City and prominent Tories – should be made much more transparent. This is one for Lord Bew and the Committee on Standards in Public Life but it needs to be sorted quickly.