Thursday, October 16, 2008

Credit Crunch : Irish Politicians Lead with Pay Cuts

Hopefully this is another Irish example that will be followed here. The Irish President Mary McAleese has announced that she will be taking a 10% pay cut in light of the current budgetary troubles. The finance Minister Brian Lenihan says he and his ministerial colleagues will also take a 10% wage cut. The opposition leader has instructed his party’s parliamentarians to take a 5% cut. The governor of the Irish Central Bank and Financial Services Authority has volunteered to also surrender 10% of pay. RTÉ’s top six executives are taking a “significant reduction” in pay. This follows the government’s announcement of a round of spending cuts as recession bites.

The Irish ruling elite realise that they need to show leadership by example in tough times.

Will British politicians follow suit? After all their pension’s profited from short selling. Will they get their snouts out of the hard-pressed taxpayer provided gold-plated troughs? Perhaps some of the senior executives at the BBC could follow the example of their counterparts at the Irish state broadcaster? They all want the bankers to sacrifice their bonuses, but don’t the Chairman of the FSA and the Governor of the Bank of England need to make sacrifices? It is not as if they have been brilliant at bank regulation. If they were all paid on a performance-related basis they should be losing 30% or more – the same as the stock market has cost pensioners…

Thursday, October 2, 2008

Evil Short Sellers Part IV – MPs’ Pension Funds

There was a little union sponsored demo in Birmingham against “Cameron’s cronies cashing in on the credit crunch” organised by Charlie Wheelan. Unfortunately they seem to have missed out on the biggest short seller of Bradford and Bingley. None other than his old crony Paul Myners’ GLG Partners. Brown’s favourite financier, donor and deputy chairman of the Smith Institute, as well as Gordon’s personal financial backer during the leadership campaign.
GLG partners declared to the FSA the largest short position in the market, the massive hedge fund profited the most from being short Bradford and Bingley before it went under. If Charlie’s dozen strong rent-a-crowd don’t fancy demonstrating outside GLG’s City offices they could try demonstrating outside the Guardian’s offices. Myners is also chairman of the Guardian’s holding company.

Labour has also taken £1 million from Jon Aisbitt, non-executive chairman of Man Group, Britain’s biggest quoted hedge fund group. Derek Tullet, who made his money providing derivatives broking services to hedge funds, also sent £400,000 into Labour’s coffers.

Guido has already pointed out that one of the LibDems biggest backers, Paul Marshall of Marshall Wace, is an evil short seller with no less than three of his funds on the FSA’s register of short sellers.

It gets even better, the FT has discovered that MPs’ own pensions are invested in a hedge fund manager, Quellos. Not only that, in addition the MPs’ pension fund also made money lending stocks out to hedge funds to enable them to short shares. The hypocrisy is huge here, they condemn short sellers publicly and yet they roll up the profits of short selling in their pension plans.

Tuesday, September 9, 2008

Return to Rationing?

An advertisement is not an endorsement.  However in the case of the British Legion campaign for better treatment for servicemen Guido is happy to give his support.  The treatment of ex-soldiers by this government is disgraceful.  Whitehall bureaucrats have gold-plated index linked pensions, MPs vote themselves phenomenal benefits and pensions to keep them in the manner they are accustomed to when they retire (courtesy of the taxpayer).  These are the people who determine the pensions of ex-servicemen.
An estimated one third of ex-servicemen are in poverty.  Something is very wrong.

Wednesday, August 20, 2008

CCHQ Admits Cawte Declaration Errors Blames "Administrative Oversight"

When you are Chief-of-Staff to the Conservative Party chairman and she is under investigation for expense fiddling to pay for her nanny constituency secretary there is bound to be some scrutiny of your status. Simon Cawte has not yet satisfactorily explained how when she was in charge of the Tory local election campaigns he, as her Chief-of-Staff, was performing a non-partisan role paid out of her Parliamentary Staffing Allowance by the taxpayers.

Off the record and in the comments here CCHQ insiders say “everyone does it”. That is not a defence, that is an admission of guilt.

The Centre for Open Politics has been digging into Spelman’s expenses and discovered that, according to the register, Cawte was not being paid by CCHQ even though he was working at Millbank in the Party Chairman’s office (shaded in blue on the timeline graphic above). After two days of stonewalling by Cawte, CCHQ gave Guido an official response to his questions:

“Simon Cawte has previously declared to the House of Commons Registrar that he is paid for by Conservative Party funds. Whilst this declaration was made in January 2008 it has come to our attention that the declaration should have been made by August 2007. This was an administrative oversight and the registrar has been informed accordingly.”

CCHQ insist, despite the evidence of the register, that Cawte was actually paid by them since July 2007 for doing clearly partisan work. He was also paid by them in 2005 for doing partisan work. In 2006 he wasn’t paid by them, even though he was doing the same job, because it suddenly became a non-partisan job. Guido suspects that it is more likely that CCHQ was only willing to pay for one CCHQ staffer when Spelman was Local Government Shadow – Sheridan Westlake was seconded to her staff as the Local Government portfolio expert. Given that Spelman is about as popular as rabies with activists and donors she was, unlike other members of the Shadow Cabinet, unable to get private funding for her Chief-of-Staff so, in breach of the rules, she slipped him back onto the Parliamentary Staffing Allowance temporarily. She does after all have previous for expediently getting the taxpayer to pay for her private staff…

Monday, August 18, 2008

Coulson Cawte Out Over New Spelman Expenses Fiddle

Over the weekend the News of the World revealed that Conservative Party Chairman Caroline Spelman’s Chief-of-Staff, Simon Cawte, was paid out of her parliamentary expenses for two years (2006 & 2007). Parliamentary Staff Allowances are prohibited from being used for partisan purposes. Andy Coulson told his former colleagues at the News of the World that their story was rubbish.

The official spin from Coulson was:

“It is entirely wrong to suggest Simon Cawte was not paid in accordance with the rules. Simon Cawte was employed to support Caroline Spelman in her role as part of the Official Opposition in Parliament. He discharged duties such as speech writing and answering correspondence relating to Caroline Spelman’s role as the Shadow Local Government Secretary. This is entirely permissable within the rules.”

Errr, no it isn’t.

The Green Book states:

6.1.1. Scope of allowance
The staffing allowance is available to meet the costs wholly, exclusively and necessarily incurred on the provision of staff to help you perform your Parliamentary duties. Further details of allowable expenditure are set out at paragraph 6.10.1.


6.2.1. Eligibility

Subject to the paragraphs which follow, all Members of Parliament may draw on the staffing allowance to pay their staff. It is a Member’s responsibility to ensure that staff paid from this allowance are: employed to meet a genuine need in supporting you, the Member, in performing your Parliamentary duties; able and (if necessary) qualified to do the job; actually doing the job and that the resulting costs, in so far as they are charged to this allowance, are reasonable and entirely attributable to the Member’s Parliamentary work.
The issue boils down to: Was Cawte’s work in assisting Spelman “entirely attributable to the Member’s Parliamentary work”?

Timeline of Declarations of CCHQ / Taxpayer Funding for Simon Cawte


Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2004












2005

/










2006
X


X


X

X
X

2007
idth=”7%”>


X

X


X
X
X

2008
X





/





“X” = No declaration of CCHQ Chief-of-Staff funding, “/” = declaration of CCHQ Chief-of-Staff funding, note registers issued irregularly, these are all that were found.

Cawte was definitely paid for by CCHQ in 2005 – and properly declared that February – he was however back on Spelman’s parliamentary expenses in 2006/7 when he suddenly is supposed to have become apolitical, before once again going back on the CCHQ payroll in 2008 when she became Party Chairman. Spelman could hardly pretend that the Party Chairman’s Chief-of-Staff was a non-partisan role, could she?

Guido has had a look at some of the speeches Spelman’s supposedly non-partisan speech writer wrote for her. Here are the final paragraphs from some of the speeches Spelman delivered during that 2006 / 07 period:
The challenge for us is to help people, help themselves. As the Big Issue slogan says “A Hand Up Not a Hand Out”. And that is exactly what David Cameron’s modern, compassionate Conservative Party is all about.

I say continue, because let’s not forget, we are already coming back in places like Birmingham and Leeds and we control the councils of towns and cities like Bradford Coventry Dudley Walsall and Tamworth. Those places are feeling the effects of a modern Conservative Party in tune with the aspirations of today’s electorate. The challenge for us is to make sure the Conservative Party continues to strengthen its presence in or towns and cities and I hope that you, like me, will be straining every sinew in between now and May 4th to help deliver that.
Reconnecting with our cities 07/04/2006
This will be a new politics under a new conservative government. A new Conservative policy on regeneration needs to restore civic pride in community by raising up and building the capacity of local champions who in turn engage the whole community in bringing about change which people want to see and take ownership of. A new Conservative government will have to provide a framework where schools and education are at the heart of regeneration, a sustaining local economy underpins regeneration, and the regeneration of lives goes hand in hand with the restoration buildings. Our hand should be open to the needs of the poor to offer a hand up where money is leveraged by the goodwill and instinct of people to build a better world around them for those they know and love.”
There are plenty of speeches to choose from, all in the same style, almost all concluding with words to the effect “Vote Conservative” – which seems a tad partisan.

Most shadow cabinet Chiefs-of-Staff are paid for by private donors or CCHQ – not the taxpayers – precisely because they do the party political work. Cawte was also Spelman’s Chief-of-Staff when she was in charge of the local government election campaigns – did he really stay out of party politics when the campaign she was leading was going on? We were expected to believe that the professional nanny Tina Haynes was actually her constituency secretary not her child minder at the taxpayers’ expense, based outside the constituency and doing political stuff with a small “p”. We are now expected to believe that her Chief-of-Staff Simon Cawte was not doing partisan political stuff with a capital “P”. That is not credible. Her stories are full of holes…
+++ developing +++

Saturday, August 16, 2008

She Didn’t Get the MP’s Job Dunwoody Still Unemployed

It is nearly five months since Tamsin Dunwoody lost the Crewe & Nantwich by-election. Apologists for politician’s troughing ways claim that the taxpayer needs to pay three times the national wage to MPs to attract high calibre candidates. Guido argues that there is no shortage of candidates, vacant safe seats attract hundreds of ambitious applicants, the market price for wannabee MPs is clearly lower, demand already far outstrips the available supply of constituency seats.

MPs and their apologists claim that they could earn far more in comparison doing other things – to which Guido retorts if they are in it for the money, they should do something else. The modern political class largely comprises of ex-party HQ staff, SpAds, spin merchants with a smattering of lawyers, ex-trade union officials and polytechnic lecturers. Life-long political insiders since their university days with little real world experience outside politics do not have great skill sets for the private sector (outside becoming lobbyists). It is no surprise therefore that Tamsin is still unemployed

She tells the Telegraph “I’ve not been able to find a job since losing my seat in the Welsh Assembly a year ago and I don’t have a pot of gold, so I can’t just go off and do what I want. People don’t like to employ ex-politicians, especially Labour ones like me who might unionise.” After the general election there are going to be a hell of a lot more Labour ex-MPs, SpAds , bag carriers and their hangers on. Nowadays lobbyists don’t even want them, they are alos handicapped by speaking an incomprehensible verbless language: New Labour-speak. They will have to be re-trained to become socially useful, to learn new modes of speaking… “Would you like fries with that, sir?”

Tuesday, August 12, 2008

Tender Welsh Pork Costs Taxpayers

Interesting how the expense claims swilling by Welsh Assembly members breaks down by party:
Lib Dems AMs: Total : £55,321. Average : £9,220
Plaid Cymru AMs: Total : £129,936. Average: £8,662
Conservative AMs: Total: £93,730. Average : £7,810
Labour AMs: Total : £121,977. Average : £4,691
Source: Assembly Commission figures for 2007-2008
Why are LibDem piggies twice as expensive as Labour porkers?

Well done to Labour’s Lesley Griffiths who managed to get the taxpayers to pamper her sty with a £2,000 sofa, LibDem leader Mike German, claimed £9,217.10, for a second home despite living only 17 miles from the Assembly, Tory Nick Ramsey spent £1,000 on a top of the range TV system and more than £2,000 on two beds. Clearly pork needs to be treated tenderly…

They only awarded themselves an 8.3% pay-rise in March. Oink, oink!

Tuesday, July 22, 2008

How Will MPs Cope With 76 Days of Unsubsidised Booze?

As they slip off this afternoon to face a tough 12-weeks holiday in the real world without subsidised drink, Guido wonders how will MPs cope?

The House of Commons Refreshment Department operated on a subsidy of £5.5 million of taxpayers’ money in the 2007/08 financial year, which is equivalent to the total annual tax receipts from 35 pubs. The subsidy is equivalent to £8,500 per MP – that is approximately £50 per diem on top of the £30 per diem they voted to award themselves every working day in cash.

The subsidy, which for some inexplicable reason was not published in the House of Commons’ Annual Accounts, was £693,000 higher than in 2006/07 – a 15% increase. No belt tightening for MPs despite the Chancellor’s warnings.

It accounted for 43% of the operating costs, meaning that the taxpayer coughs up £4.30 for every £10 spent refreshing our politicians: even before they claim back their outgoings without receipts through the expenses system. These figures don’t include the multi-million pound re-fit of the wine cellar.
MPs are members of the best London club with a dozen bars on the parliamentary estate, plenty of dining rooms, brasseries and banqueting suites all operating without a licence and no restrictions on hours – you can even smoke in some.

A pint in the Stranger’s Bar costs £2.10, outside parliament in the West End you pay £3.50 to £4.00. An 8-year-old Scotch costs £1.35, while our politicians can enjoy a Pimm’s on the pleasant Thames-side terrace for just £1.65 – which is a third to a half of prices a mile down the road. Do you really think they need to pay politicians more to attract people?

*Not including all the additional expense claims for essential new kitchens, appliances, window cleaning, garden pergolas, plasma TVs….


[Incidentally to all PRs who send Guido press releases - the AMLR press release was the best Guido has seen in years. Clever, on a relevant subject, well aimed and timed.]

Wednesday, July 16, 2008

Tory Expense List Released

Uploaded to the Tory website.

Ooooh, what a surprise, the troughing Wintertons don’t appear to have put in their return…

Friday, July 11, 2008

Rosindell Googling Himself in the Early Hours

Rozzer has clearly been sat in front of his computer late at night Googling himself in the early hours of the morning. This arrived in the inbox at 1.30 this morning:

Dear Guido Fawkes

It has been drawn to my attention that on a posting dated the 24th April 2007, there are some extremely offensive comments relating to myself.

I have no problem with anyone taking part in your blog posting criticisms of me for my actions in parliament or my political views, but the remarks on this page are very personal and unpleasant as well as being untrue.

They also relate to other individuals, my family and my staff, which I find particularly offensive.

I would be grateful if you would remove them from the internet.

Thank you for your co-operation.

With best wishes.

Andrew Rosindell M.P.
Member of Parliament for Romford
Shadow Minister for Home Affairs

Looking after ROMFORD · Fighting for ENGLAND · putting BRITAIN first!

He is complaining about the entries in this caption competition from April last year.

Dear Andrew,

Yes they are unpleasant and offensive, they are also very funny. Straight insults and/or satire are however generally not considered defamatory. Nobody is seriously suggesting you and the dog are lovers. Clearly satirical comments of this nature are not actionable.

I have nevertheless had a quick look and removed a couple of comments which, at a stretch, could relate to staff members. Don’t see any about your family.

You are a public figure, you should expect public scrutiny, including ridicule. If you will go round kissing dogs for publicity photos, people are entitled to laugh and make jokes. They will therefore remain published.

On a more serious matter, I note you voted against transparency for MP’s expenses. Since we no longer have the stocks for those the public hold in contempt, my blog will have to do.

Regards,

Guido


Seen Elsewhere

Tories Say They Could Sack Ruffley | Buzzfeed
Ruffley Supporter Provokes Outcry | HuffPo
Mirror Readies Pennies for Hacking Payouts | Media Guido
How to Win a Twitter Argument | Hopi Sen
Sign Petition Calling for Ruffley to Resign | Change.org
People’s PMQs Would Divide Politicians and Public | Dan Hodges
Morgan Hires Gay Rights Campaigner as SpAd | Telegraph
Don’t Underestimate Philip Hammond | Nick Wood
Labour Council Collaborates With Pro-Hamas Group | Breitbart
Qatar Sugar-Daddies of Islamist Financing | Left Foot Forward
Guido’s Column | Sun


new-advert
Westbourne-Change-Opinion Guido-hot-button (1)


New Foreign Secretary Philip Hammond has big ambitions in his first meeting with Benjamin Netanyahu today:

“I came to bring this conflict to an end.”



Christie Malry @fcablog

Ed Miliband does photo oops, not photo ops


Tip off Guido
Web Guido's Archives

Subscribe me to:






RSS


AddThis Feed Button
Archive


Labels
Guido Reads