Donations for victims of the Nepal earthquakes are gathering dust in a church warehouse after the country’s government introduced taxes of up to 30 per cent on relief material.
Organisers of a Catterick Garrison-based appeal to provide aid to victims of the natural disasters said they were heartbroken that about half of the goods collected – about ten tonnes of items – remained at the Hollybush Christian Fellowship, near Northallerton, a month after they were due to be delivered.
Executive member of the British Ghurkha and Nepalese Community Jagannath Sharma, principal physiotherapist at the garrison’s Infantry Training Centre, said the appeal’s organisers had been heartbroken by the donations not reaching where they were desperately needed.
Dr Sharma said: “Everybody is donating because they want to get the right aid to the right people at the right time.”
Another appeal organiser, who asked not to be named, said tonnes of other donations from Catterick Garrison had been shipped to the Red Cross in India, but had not been moved to Nepal because of the taxes.
A company is set to axe 139 jobs after workers were told contracts were to be exported to India.
G4S Utility Services, based at Cobalt Business Park in Newcastle, this week told administration employees their work was set to be outsourced to a company in Noida, in India.
Ninety agency staff and 49 contract workers will be affected by the move.
While bosses from the organisation say all staff will be reallocated within the business, angry workers say they are sceptical and have condemned the move as a “cost-cutting” exercise.
The company is a leading provider of meter reading services, providing readings to all major energy suppliers and data collection services to a wider portfolio of UK customers.
> So is someone from India now going to come round and read there meter ? !
One worker, who asked not to be named, said: “We weren’t expecting this so it was a shock when we were told what they were planning to do.
“The announcement received a very hostile reception from both the permanent and temporary staff who are set to be affected.
“We don’t believe there are enough positions to reallocate jobs to everyone, and these plans have been greeted with a huge amount of scepticism.
“Roughly 150 people will be affected by the changes.
“We have been told that the reasoning behind the decision is “future proofing”, meaning the long term survival of the business.
“However, experience tell us that outsourcing is never greeted that well by customers which means we can see no other motive than cost-cutting.
“The North East is suffering a lot when it comes to unemployment and we can see this is doing nothing but adding to that problem.”
The changes are expected to come into force from this month, with the transition process complete by March next year.
A G4S spokesperson said: “G4S Utility and Outsourcing Services (UK) Limited confirms it is entering into a contract with EXLService to outsource back office data provision for certain contracts. Staff will be reallocated within the business.”
Source – Newcastle Evening Chronicle, 02 Oct 2014
This article was written by Larry Elliott, economics editor, for The Guardian on Monday 17th March
The scale of Britain’s growing inequality is revealed today by a report from a leading charity showing that the country’s five richest families now own more wealth than the poorest 20% of the population.
Oxfam urged the chancellor George Osborne to use Wednesday’s budget to make a fresh assault on tax avoidance and introduce a living wage in a report highlighting how a handful of the super-rich, headed by the Duke of Westminster, have more money and financial assets than 12.6 million Britons put together.
The development charity, which has opened UK programmes to tackle poverty, said the government should explore the possibility of a wealth tax after revealing how income gains and the benefits of rising asset prices had disproportionately helped those at the top.
Although Labour is seeking to make living standards central to the political debate in the run-up to next year’s general election, Osborne is determined not to abandon the deficit-reduction strategy that has been in place since 2010. But he is likely to announce a fresh crackdown on tax avoidance and measures aimed at overseas owners of high-value London property in order to pay for modest tax cuts for working families.
The early stages of the UK’s most severe post-war recession saw a fall in inequality as the least well-off were shielded by tax credits and benefits. But the trend has been reversed in recent years as a result of falling real wages, the rising cost of food and fuel, and by the exclusion of most poor families from home and share ownership.
In a report, a Tale of Two Britains, Oxfam said the poorest 20% in the UK had wealth totalling £28.1bn – an average of £2,230 each. The latest rich list from Forbes magazine showed that the five top UK entries – the family of the Duke of Westminster, David and Simon Reuben, the Hinduja brothers, the Cadogan family, and Sports Direct retail boss Mike Ashley – between them had property, savings and other assets worth £28.2bn.
The most affluent family in Britain, headed by Major General Gerald Grosvenor, owns 77 hectares (190 acres) of prime real estate in Belgravia, London, and has been a beneficiary of the foreign money flooding in to the capital’s soaring property market in recent years. Oxfam said Grosvenor and his family had more wealth (£7.9bn) than the poorest 10% of the UK population (£7.8bn).
Oxfam’s director of campaigns and policy, Ben Phillips, said: “Britain is becoming a deeply divided nation, with a wealthy elite who are seeing their incomes spiral up, while millions of families are struggling to make ends meet.
“It’s deeply worrying that these extreme levels of wealth inequality exist in Britain today, where just a handful of people have more money than millions struggling to survive on the breadline.”
The UK study follows an Oxfam report earlier this year which found that the wealth of 85 global billionaires is equivalent to that of half the world’s population – or 3.5 billion people. The pope and Barack Obama have made tackling inequality a top priority for 2014, while the International Monetary Fund has warned that the growing divide between the haves and have-nots is leading to slower global growth.
Oxfam said the wealth gap in the UK was becoming more entrenched as a result of the ability of the better off to capture the lion’s share of the proceeds of growth. Since the mid-1990s, the incomes of the top 0.1% have grown by £461 a week or £24,000 a year. By contrast, the bottom 90% have seen a real terms increase of only £2.82 a week or £147 a year.
The charity said the trends in income had been made even more adverse by increases in the cost of living over the past decade. “Since 2003 the majority of the British public (95%) have seen a 12% real terms drop in their disposable income after housing costs, while the richest 5% of the population have seen their disposable income increase.”
Osborne will this week announce details of the government’s new cap on the welfare budget and has indicated that he wants up to £12bn a year cut from the benefits bill in order to limit the impact of future rounds of austerity on Whitehall departments.
Oxfam said that for the first time more working households were in poverty than non-working ones, and predicted that the number of children living below the poverty line could increase by 800,000 by 2020. It said cuts to social security and public services were meshing with falling real incomes and a rising cost of living to create a “deeply damaging situation” in which millions were struggling to get by.
The charity said that starting with this week’s budget, the government should balance its books by raising revenues from those that could afford it – “by clamping down on companies and individuals who avoid paying their fair share of tax and starting to explore greater taxation of extreme wealth”.
The IMF recently released research showing that the ever-greater concentration of wealth and income hindered growth and said redistribution would not just reduce inequality but would be economically beneficial.
“On average, across countries and over time, the things that governments have typically done to redistribute do not seem to have led to bad growth outcomes, unless they were extreme”, the IMF said in a research paper. “And the resulting narrowing of inequality helped support faster and more durable growth, apart from ethical, political or broader social considerations.”
Phillips said: “Increasing inequality is a sign of economic failure rather than success. It’s far from inevitable – a result of political choices that can be reversed. It’s time for our leaders to stand up and be counted on this issue.”
Landed gentry to self-made millionaires
Duke of Westminster (Wealth: £7.9bn)
Gerald Grosvenor and his family owe the bulk of their wealth to owning 77 hectares (190 acres) of Mayfair and Belgravia, adjacent to Buckingham Palace and prime London real estate.
As the value of land rockets in the capital so too does the personal wealth of Grosvenor, formally the sixth Duke of Westminster and one of seven god parents to the new royal baby, Prince George.
The family also own 39,000 hectares in Scotland and 13,000 hectares in Spain, while their privately owned Grosvenor Estate property group has $20bn (£12bn) worth of assets under managemenSpaint including the Liverpool One shopping mall, according to leading US business magazine Forbes.
Reuben brothers (£6.9bn)
Simon and David Reuben made their early money out of metals. Born in India but brought up in London, they started in local scrap metal but branched out into trading tin and aluminium.
Their biggest break was to move into Russia just after the break-up of the Soviet Union, buying up half the country’s aluminium production facilities and befriending Oleg Deripaska, the oligarch associate of Nat Rothschild and Peter Mandelson.
The Reuben brothers are still involved in mining and metals but control a widely diversified business empire that includes property, 850 British pubs, and luxury yacht-maker Kristal Waters. They are also donors to the Conservative party.
Hinduja brothers (£6bn)
Srichand and Gopichand Hinduja co-chair the Hinduja Group, a multinational conglomerate with a presence in 37 countries and businesses ranging from trucks and lubricants to banking and healthcare.
They began their careers working in their father’s textile and trading businesses in Mumbai and Tehran, Iran but soon branched out by buying truck maker, Ashok Leyland from British Leyland and Gulf Oil from Chevron in the 1980s, while establishing banks in Switzerland and India in the 1990s.
The family’s London home is a mansion on Carlton House Terrace, overlooking St James Park and just along fromclose to Buckingham Palace, which is potentially worth £300m. They have links with the Labour party.
Cadogan family (£4bn)
The wealth of the Cadogans family is built on 90 acres36 hectares of property and land in Chelsea and Knightsbridge, west London.
Eton-educated Charles is the eighth Earl of Cadogan and ran the family business, Cadogan Estates, until 2012 when he handed it over to his son Edward, Viscount Chelsea.
Charles, who is a first cousin to the Aga Khan, started in the Coldstream Guards before going into the City.
He was briefly chairman of Chelsea Football Club in the early 1980s and his family motto is: “He who envies is the lesser man.”
Mike Ashley (£3.3bn)
Ashley owns Newcastle United football club and became a billionaire through his Sports Direct discount clothing chain which he started after leaving school.
He was the sole owner of the fast growing business, which snapped up brands such as Dunlop, Slazenger, Karrimor and Lonsdale, until it floated on the stock market in 2007. He now owns 62%.
Ashley is a regular visitor to London’s swankiest casinos but is famously publicity-averse
Source – Welfare News Service, 17 March 2014
If children cannot read, write or add up well enough by the age of 14, he says, their parents should be denied state benefits and made to live on food vouchers.
That is the proposal of Lord Digby Jones, the only person to have ever served as a minister in Her Majesty’s Government without being a member of a political party.
> I think with views like that he’s an honourary member of all the main parties anyway…
And it is a good job that he has no political allegiance, because he is scathing about Labour’s pledge of a bankers’ bonus tax as the solution to the country’s woes and would certainly have faced a few awkward questions were he sitting at Ed Miliband’s shadow cabinet table.
He has little time for any politician who pledges low taxes and high spending and believes Labour, Liberal Democrats and Tories alike to be guilty of such empty promises.
This is Asia’s century, he tells an audience of business people and academics in Wolverhampton.
The former minister for trade under Gordon Brown is adamant that there is no way for British manufacturers and service providers to compete with India and China on price alone.
The solution, he says is to offer better quality. And the only way to do that is a skilled workforce.
But there is a problem. Kids are not coming out of school with high enough standards of literacy and numeracy.
As the 58-year-old gives his speech at the University of Wolverhampton Science Park he says he knows that the left-leaning newspaper the Guardian ‘will say shame on you’.
He says it anyway.
“If children can’t read and write by the time they leave formal education the teaching profession has failed,” he says.
“The teaching profession will say they have kids who go home and they don’t see a book again until they are back at school the next day.
“If you have kids who can’t read and write to the appropriate standard by the time they are 14, you should have your benefits stopped.
“You can have food stamps. But the extra bit, the Sky dish, the fags, that stops until the kids can read and write.”
> Yeah ? But what if the kids who can’t read come from a family NOT receiving benefits ? Even, god help us, a rich family ?
Already it’s a two-tier system. Benefits = punish them, rich = oh, never mind, our connections will get him a job in the city even if he is as thick as a brick.
Speaking with the Express & Star, he also suggests that schools could lower the age that children can leave to 14, particularly if they are disruptive in class.
“You could solve youth unemployment if the education system could send young people out of school at 16 able to read, write and add up.
“I would have them out at 14 if they want to come. Get them out into the world of work.”
> Oh for fuck’s sake – THERE ARE NOT ENOUGH JOBS TO GO ROUND AS IT IS. And this guy advised the government ? My god… no wonder we’re in a mess.
He says he would want them to be given some form of vocational training or an apprenticeship if it suited them better than studying in a classroom.
“Having skills doesn’t mean a PhD,” Lord Jones says.
> So tell that to all the employers who seem to regard paper qualifications far more highly than time-served practical skills.
His frustration at the level of ‘functional illiteracy’ among young people in Britain goes hand in hand with his concerns that the country must change the way it does business if it is to compete with developing countries and the new economic powers of China and India.
In his speech Lord Jones suggests that Britain is on the verge of a calamity, even invoking the image of the ‘doomsday’ clock used to explain how close mankind is to some form of nuclear or environmental catastrophe.
“The Guardian will say shame on you. But this is five minutes to midnight my friend.
“This is Asia’s century.”
Lord Jones believes the employers have to innovate and add value to their products and services.
“If all you compete on is price, then China will have your lunch and India will have your dinner,” he says.
The 58-year-old former lawyer was director general of the CBI from 2000 to 2006. He was made minister of state for trade and investment in 2007 but did not join a political party, instead being made a life peer.
> “He was made minister of state for trade and investment in 2007 “ – just before things really started going pear-shaped. Coincidence ?
Innovation, he says, is not just about invention.
“It was a Brit who invented the World Wide Web, a Brit who invested the television, penicillin, the telephone.
“We remember how good we were at invention but who leads the world on this now? It’s about innovation, taking an idea to the market.”
> It was a Brit who invented Universal Credit and all the other “innovations” that don’t work but continue to swallow cash by the billions.
He tells his audience that politicians of all parties in all countries have ‘lied’ ‘every day in every way’.
> Well, can’t argue with that… but then he spoils it by repeating all the old crap about benefits and jobs and stupid, lazy people. He’s a political party all on his own.
And it will be those who innovate in the public sector, such as the councils now drawing up deep cuts, who get themselves back on track.
“Whether it was Conservative, Liberal Democrat or Labour, they all told us we can have it all. They told us we can have high public spending, low taxation.
“But ‘vote for me and I will cut your spending’ is not the greatest election slogan of all time.
“Tax the bankers? Rubbish. It will never deliver enough money. We all have to understand that the party is over.
> “Tax the bankers? Rubbish. It will never deliver enough money.”
Read that as : “Tax my mates ? Rubbish. It will never deliver enough money. Screw the poor instead.”
“The public sector has to do it in a different way. There will never be the same money around. We have to cut our cloth accordingly.”
He also warned about the pressures of Britain’s ageing population as he made a plea for people to get the skills and training they needed to get a job and have a long career.
> In a world of part-time, short contract, zero-hour contract jobs ? Its all short term nowadays – does anyone really want a life-long career doing zero-hour shifts for Poundland ?
“If you have a system of government where you’re going to be looked after for longer than you were putting into the state, you will go bust.
“People will live longer and with the scourge of dementia.
“No-one costs more to care for than a physically healthy but mentally challenged older person.
“Where are we going to get the money from? And don’t say just tax bankers’ bonuses. That doesn’t solve it all.”
> It’d be a bloody good start, though…
Source Wolverhampton Express & Star, 27 Feb 2014