IEA: Osborne’s Living Wage Hits Poor, Young, Minorities, Consumers, Taxpayers

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George Osborne’s Living Wage is likely to see those it is supposed to help lose out, according to a new report from the Institute of Economic Affairs. The IEA finds that modest minimum wage increases may not cause higher unemployment, but large increases will. Who are the losers? The young, unskilled, minorities and those in the regions:

“Minimum wage increases are always potentially a trade-off, between raising pay for those fortunate enough to keep their jobs and hours against the potential reduction in labour demand. Any significant reduction in demand will hit young and unskilled workers, particularly those from minority groups, hardest. It is also likely to have a bigger impact in some parts of the country than others… the ‘bite’ of the National Minimum Wage has been considerably deeper in Northern Ireland and the East Midlands than in London.”

Higher unemployment is a long-term consequence:

“the longer-run impact of the minimum wage might be to generate larger reductions in employment”

And low-paid earners don’t actually benefit as they lose out in other ways:

“firms such as B&Q and Waitrose have been accused of lowering premium pay for weekends and other ‘unsocial hours’, while Caffe Nero staff seem to have lost the perk of free paninis – showing that minimum wage increases are no ‘free lunch’. Those gaining from pay increases therefore lose out in other ways than jobs or hours lost”

The report concludes that someone ultimately has to pay for any sharp minimum wage increase:

“the cost can only be borne by consumers paying more, shareholders getting reduced dividends, or taxpayers paying more”

The Living Wage might make political sense – it leaves Labour with nowhere to go – but the evidence is it hinders those it is supposed to help…

Diane James Vows to Sack UKIP Plotters

Diane James is the candidate being pushed by many Faragists behind the scenes, and last night she followed their lead by demanding the party “ditch the NEC”. She also made this stark threat to UKIP plotters:

“There’s going to be no place in UKIP under my leadership for those who have sought or seek to destabilise, destroy or even obstruct what a new constitution will outline for the future governance of this party. So for all those individuals for whom what I’ve just described the cap fits, I suggest you find your P45 when it’s sent to you and I suggest you start looking for a new career, because we don’t want you in UKIP, I can tell you that now.”

It’s clear who she means – the anti-Farage faction on the NEC. Punchy stuff which will go down very badly with the Lisa Duffy/Suzanne Evans team. Though if Diane kicked out every Kipper who has destabilised the party there wouldn’t be many left…

UPDATE: Patrick O’Flynn, who’s in the Lisa Duffy camp, hits back at Diane:

“I am very surprised, disappointed and indeed perturbed to hear that Diane is threatening to expel from UKIP anyone who opposes the NEC being scrapped, not least because I oppose the NEC being scrapped. Given that she is not attending Ukip’s leadership hustings either Ukip members will be forgiven for wondering which party Diane is standing for the leadership of – Ukip or some new online party being promoted from the shadows.”

 

Dromey Cuts Short Attack on Corbyn to Greet Corbyn Warmly

Politicians…

Labour MP Gives Lobbyist Parliamentary Pass

whiterock harris bailey

A Labour MP has handed a parliamentary pass to a lobbyist, giving him unfettered access to the corridors of power. Carolyn Harris is employing Lawrence Bailey, a “public affairs specialist” for Whiterock Consulting, among her parliamentary staff. When Guido asked Harris if she thought it was appropriate to employ a lobbyist in parliament, we received this response from Bailey:

“Just to clarify, I am not an employee or member of Carolyn’s staff. I am a self-employed sole trader. My firm, Whiterock Consulting, is retained by Carolyn Harris MP. We provide 5+ days a month support.”

Guido pointed out that Bailey appears on the MPs’ Register of Staff, directly contradicting his statement. He replied:

“Clearly I work for Carolyn but not as a member of her parliamentary/constituency staff.”

If he is not a staff member, why is he registered as one? Why does he have a parliamentary pass and a parliamentary email address?

Bailey concedes the arrangement is “confusing” but claims it is not “unusual“. He says he needs the pass to access Harris’ office and insists there is no conflict of interest: “I dispute any implied misuse of my parliamentary pass”. An MP has given a parliamentary pass to a lobbyist and declared him as a staff member, even though he isn’t. The Commons authorities will want to take a look at this…

Bill Etheridge Speaks: “It’s Been Hard Times”

UKIP’s Bill Etheridge breaks his silence after his Viagra difficulties earlier in the week:

“It’s been hard, difficult times, people have rounded on me, there’s been attacks on me, and it’s been a tough time to get through. And now people are speculating, especially some of my good friends in the Cambridgeshire area. They’re worried about me, they’re worried I might not be able to carry on with the campaign. Today ladies and gentlemen, I have a message that I’d like to give to everybody – especially those who doubt I can carry on. Quit? Not bloody likely!”

Etheridge will be competing tonight in the Torquay hustings. The soft-scoop ice cream is a nice touch…

Jamie Oliver’s Sugary, Fatty Advertising Hypocrisy

Fresh from celebrating the sugar tax while hawking his own sickly sweet recipes, Jamie Oliver today announced that he was “in shock” over the government’s new obesity strategy. In a hand-wringing Facebook post, the once-naked chef complained:

“Where are the actions on irresponsible advertising targeted at our children, and the restrictions on junk food promotions?”

“Junk food promotions” like this Taste the Difference advert from when Oliver was in a deal with Sainsbury’s estimated to be worth between £1-2 million per year? In the “1,000 Tables” advert, Oliver struts through a market town, passing by and singing the praises of literally 1,000 different types of food – many of them brimming with fat, sugar, and salt (as handily pointed out in this video). In one scene, Guido counted 10 varieties of cake on a single table – all while gaggles of young children run and laugh around the set. What is it about losing his multi million pound Sainsbury’s sponsorship deal that has prompted Oliver’s clean-up advertising campaign?

No Cap on SpAd Salaries

SPADS

This morning’s Times reported that special advisers’ salaries are to be capped at £72,000, a very low bar that would not only rule out talented candidates, it would mean current SpAds getting a pay cut. Guido is told that no such cap will be enforced. A Downing Street source says:

“It is not true that there is a new cap on special adviser salaries. All special advisers will be appointed on merit and paid according to their experience and responsibilities. The rules have not changed.”

Guido also understands that reports each Secretary of State will be limited to two SpAds each are wide of the mark. Some ministers will be allowed larger teams. Someone has been giving some naughty negative briefings about the new regime… 

Labour Conference Crisis Talks Break Down

IAN-MCNICOL-G4S-GIF

Crunch talks to solve Labour’s conference security crisis have broken down, leaving the party with six weeks to sort it out or risk the whole thing being cancelled. The Guardian reports talks between GMB and union-busting firm Showsec ended in impasse, the GMB have gone straight to Labour’s NEC with demands to block Showsec and talk to other security providers (including G4S, who Labour are boycotting).

“There is no right to representation, no right to collective bargaining, no right to negotiate pay, anything at all like that. There has not been any real relationship at all, and they don’t recognise any other trade union.”

Labour’s conference is just six weeks away on 25 September, it risks cancellation if they don’t find a provider in time. Momentum are holding a rival conference next door, they could always enlist their support to keep order…

Project Fear Spinner to Be Brexit SpAd

SPADS

Osborne’s former aide and Project Fear spinmeister James Chapman is to be David Davis’ SpAd at the new Brexit department. Chappers hasn’t been replying to Guido’s texts but the former Daily Mail political editor’s eyebrow-raising move from arch-Remain cheerleader to Brexit adviser is now confirmed. The rumoured £72,000 salary cap for aides has caused colleagues to speculate he’ll be on around half what he was earning at the Mail, a bit of a comedown. It will certainly surprise many Leavers that a prominent Remainer will be taking such a key role – his staunch pro-Remain views are still up on his Twitter accountHas he seen the light?

See the SpAd List in full here.

Brutal Tory Attack Ad Says Labour Soft on ISIS

Owen Smith’s disastrous day yesterday has inspired the Tories to produce this attack advert repeating their line that Labour is a threat to national security. Whoever wins…

Sky’s Poppy Trowbridge to Be Chancellor’s SpAd

poppy

Guido understands Sky News correspondent Poppy Trowbridge has been appointed as the new Special Adviser to the Chancellor. Poppy will be a recognisable face to many readers, she has reported on business and consumer affairs for Sky for the last four years. Now she is moving to the Treasury after being poached by Philip Hammond. Congratulations Poppy, though another journalist over to the dark side…

Send any updates to team@order-order.com

Corbyn to Attend Momentum Event With Vile Internet Troll

SEYMOUR

Jeremy Corbyn is to attend a Momentum event at Labour Party conference alongside an internet troll who called for a Jewish journalist’s throat to be cut. Among the advertised speakers at Momentum’s “World Transformed” event in Liverpool is Richard Seymour, a far-left keyboard warrior and all round nasty piece of work. Last year Seymour said of a Jewish journalist reporting on Israel-Palestine, “f**k him, they should cut his throat”.

seymour

Seymour also wrote this about Falklands hero Simon Weston:

Momentum say “the event will be a space of inclusive and respectful debate”. Do they think it’s “respectful” to host a man who said he hoped a Jewish journalist’s throat was cut? Corbyn says “I’m going to be there, because I want to see a world transformed”Does he think it’s appropriate to share a platform with Seymour?

Vote Leave Chief Launching New Brexit Site, Taxpayers’ Alliance Reshuffles

Vote Leave chief Matthew Elliott is back at Business for Britain post-referendum, and Guido hears he will be setting up a new website called BrexitCentral. Former Lobby journalist Jonathan Isaby is leaving the Taxpayers’ Alliance to join as editor. It sounds like the site will offer plenty of comment and analysis – there is a gap in the market for some proper wonkish insight making sure Brexit means Brexit. It launches in September and Guido wishes them well, readers of this site will no doubt await with interest…

Isaby’s departure from the TPA means a reshuffle in wonk world. Tufton Street veteran John O’Connell, who has been at the TPA since 2009, will be the new CEO, another well-deserved appointment. They’ve also hired Tom Banks, who ran Vote Leave’s ground operation in Yorkshire, as their new grassroots campaign manager. More jobs created by voting to Leave…

How to Make Canadian Mining Interesting

Theresa Longo

The other week Gaia reported on how the Canada Oil Sands Community were attracting publicity with a controversial “lesbian kiss” advertising strategy. Now one of Canada’s leading mining corporations, KWG Resources, has given them a run for their money:

When criticised about the video, CEO Frank Smeenk simply said “sex sells”…

Philip Davies MP – Bookies Leading Tool in Parliament Needs Suspending

MP_Philip_Davies

Tory MP Philip Davies was the clear leader of a group of MPs exposed in a recent Private Eye article, for accepting freebie hospitality trips from the bookies. Caroline Nokes, another Tory MP and John Mann, Jim Dowd, Justin Madders and Toby Perkins from the Labour Party all accepted around £500/600 in freebies from the lobbying bookies, but Davies beat them all with £3,000 of freebies.

What makes Davies, who besides having a bit of a problem with women, is anti-gay marriage and thinks disabled people should work for less, so popular and valuable to the bookmakers? He’s the Chair of the All Party Parliamentary Betting and Gaming Group.

This is a group that produces glossy brochures after inviting bookmakers and their cohorts to make speeches. Those speakers include bookmaker trade chief, Malcolm George, who took exception to a article about his pants being on fire. Did Schillings, the bookie’s lawyers, set off a fire extinguisher? If so, why are Mr George’s pants still burning strongly?

No-one who opposes bookies’ FOBTs (the high-stake, high-speed roulette machines) is ever invited to speak by Davies. As a result, Parliamentarians get a bookie-biased briefing organised by a man who gets a raft of freebies from them! This financial interest was not disclosed in a glossy brochure that he sent to the Parliamentarians.

Whether or not the Tories suspend Mr Davies for his “feminist zealot” views, he should be suspended for financial interest and non-disclosure.

Davies has no shame where he takes his freebies from and has a lot of form with the bookies, but other MPs should be wondering why the bookies are now so keen to “freebie” them!

Content produced and sponsored by Stop the FOBTs

Tory Report Clears Feldman and Shapps

feldman shapps clarke

Clifford Chance’s investigation has dropped in the middle of August while most people in Westminster are on holiday. It completely exonerates most of the key players in the Tory bullying scandal. Here are the top lines:

  • 13 victims of bullying identified, six potential sexual assault victims, five of which weren’t covered by the inquiry.
[…]

+ READ MORE +



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Quote of the Day

Heather Wheeler talks to Burton Mail about her tweet…

“It was a tongue in cheek pop after the European Parliament tweet – it was purely that. I also wanted to congratulate Team GB on a brilliant result and thirdly congratulate the Commonwealth countries who also did very well. Fourth, I am also looking forwarded to establishing new trade agreements. That was it – nothing more. Let’s just enjoy the summer!”

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