Tax Credits: a battle won but the war goes on

Government fury over Lords revolt

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Chancellor George Osborne has said he will act on concerns about the impact of tax credit cuts after peers forced the Westminster government to think again last night – but he has vowed to press on with changes designed to slash billions from the country’s welfare bill.

In a dramatic night the House of Lords defeated the government in two votes over the controversial legislation, forcing the government climbdown.

The Chancellor has now agreed to offer ‘transitional help’ for those hundreds of thousands of people affected by cuts – but the government was angered by the defeats in the unelected ‘other place’ is now considering a review of Lords conventions to address what is sees as ‘constitutional issues’.

The proposed cut to tax credits is the most controversial piece of legislation introduced since the Conservative government’s election in May.

Tax credits were introduced by the last Labour government to help low-paid families. There are two types: Working Tax Credit for those in work, and Child Tax Credit for those with children.

Tax credits are gradually being included within Universal Credit, which is currently being rolled out across the country. Under the government’s plans, the income threshold for receiving Working Tax Credits and Child Tax Credit is due to be cut from April next year.

4.5 million people are currently eligible to claim tax credits.

Campaigners and respected think-tanks argue that the proposed tax credit cuts would deprive low-income workers of up to £1,300 a year but the Westminster government says the cuts are essential to tackle the UK’s massive deficit. It says most claimants will be better off when other changes, such as the introduction of the new national living wage, are taken into account.

Tax credits were worth around £2 billion to Scottish households in 2013/14, with two thirds of support directed at low income working families.

Scotland’s Social Justice Secretary Alex Neil called for for the UK Government proposals to be ditched in a letter to the Secretary of State for Work and Pensions earlier this week.

Me Neil said the UK Government should urgently rethink tax credit changes which will punish families and push even more children into poverty and urged the UK Government to rethink its plans to cut tax credits which mean households with the least money will face the biggest losses.

 

Mr Neil said: “Cutting tax credits is a thoughtless approach which may save the Treasury money in the short term but will have heart-breaking long-term consequences that could rebound on other public and charitable services.

“Tax credits can be a lifeline for families on low incomes that rely on them to get through daily life, put food on the table, heat their home and pay their bills.

“Removing this vital support from thousands of families will widen the gap in inequalities and push even more people into poverty.

“The UK Government’s plans are a clear attack on low income working families and those families must be protected as a matter of urgency.

“The Scottish Government has made clear its opposition to these changes and I urge the UK Government to reconsider the severity and timing of these changes and make changes before the Welfare and Work Bill reaches its next legislative stage, so that the poorest households in receipt of tax credits can be protected from this fall in their incomes.

“This shows why we need more social security powers through the Scotland Bill and why, we will ensure our approach to social security will be based on fairness and that people are treated with dignity and respect.”

Austerity: There IS another way, says Scottish Government

‘ … not only are these cuts ideologically driven, they are also unnecessary’ – First Minister Nicola Sturgeon

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First Minister Nicola Sturgeon has set out an alternative option for a UK wide fiscal mandate that would ensure sustainable UK public finances while releasing additional investment in public services and infrastructure compared to the UK Government’s planned cuts.

The illustrative figures show that the austerity proposed by the UK Government is not required to secure a current budget balance.

Under an alternative fiscal plan, the UK’s current budget could be balanced from 2019-20, with public sector net investment increased to 2 per cent of GDP over the same period.

As an illustration of the scale of unnecessary reductions being pursued by the UK Government, this would allow an additional £150 billion in cumulative investment in public services across the UK between 2016-17 and 2019-20 compared to the UK Government’s current plans – which could see Scotland receive around £12 billion.

In contrast, the fiscal targets set out by the UK Government in its summer budget require a significant reduction in public spending, with cuts of £12 billion to welfare and potential cuts of around £20 billion to public services expected by 2019-20. UK Government reductions in spending go beyond what is necessary to balance the budget.

The work, published by the Scottish Government yesterday, shows that UK Government plans, which would see a significant reduction in public spending, with cuts of £12 billion to welfare and potential cuts of around £20 billion to public services expected by 2019-20 are not required.

The Scottish Government example would ensure that public sector debt and borrowing were on a downward path every year from 2016-17 to 2019-20. Net borrowing would continue to fall each year from 4.9 per cent in 2014-15 to 2 per cent in 2019-20 – below the average deficit of 3.6 per cent seen in the UK over the past 40 years.

The First Minister said: “This week, the UK Parliament will vote on the Chancellor’s proposals for what are unnecessary and ideological cuts to public spending.

“The pain of the UK Government’s austerity agenda is already having an impact on some of the poorest and most vulnerable in our society, and is beginning to bite across the country. But the UK Government’s latest fiscal targets mean even more painful austerity is ahead for people across the UK, with further cuts to public services and welfare planned over the next four years.

“As our alternative proposals demonstrate not only are these cuts ideologically driven, they are also unnecessary.

“Our paper published today – which updates our fiscal mandate proposals following the UK Government’s summer budget – outlines an alternative to ensure the debt and deficit are put on a downward path while allowing up to an additional cumulative £150 billion of investment across the UK by 2019-20 – with around £12 billion in Scotland.

“The Scottish Government has consistently demonstrated that the deficit and debt can be brought down without the need for the huge public spending reductions that have been set out.

“As this alternative option shows, not only could we maintain investment in public services and protect the poorest and most vulnerable in society, the UK current budget would be balanced by 2020, with limited borrowing set aside for capital investment to increase the country’s productive capacity.

“There is a different path to austerity available – as our alternative option shows, it is a viable path and it is an opportunity that the UK Government should grasp.”

The alternative options are set out in the paper –http://www.gov.scot/Topics/Economy/Publications/Options-for-the-UK-Fiscal-Mandate

Cameron: ‘a national coalition to challenge and speak out against extremism”

Prime Minister hosts first meeting of new Community Engagement Forum today

10 Downing Street

The Prime Minister will today host the first meeting of the new Community Engagement Forum to discuss countering extremism. He will announce that for the first time, police forces in England and Wales will be asked to record anti-Muslim hate crimes as a specific category in the recorded crime statistics, bringing them in line with reporting of anti-Semitic attacks.

In 2013-14 police recorded crime statistics showed religious hate crimes increased by 45% and race hate crime by 4%. New statistics being published by the Home Office this morning are expected to show further rises. Creating a separate category will enable police, prosecutors, local authorities and the communities they serve to have a better understanding of the prevalence of anti-Muslim hate crime and allocate resources accordingly. It will provide the first accurate picture of the extent of anti-Muslim hate crime in England and Wales.

The Prime Minister will also say that new funding will be made available for the security of all faith establishments, including mosques.

This issue will be covered at today’s meeting in Downing Street, which the Prime Minister announced he would convene in his speech in Birmingham earlier this year. The Forum will principally discuss the themes and objectives of the forthcoming counter-extremism strategy including mobilising a national coalition to challenge and speak out against extremism in all its forms. It will also consider what more government can do across the board to help support young British Muslims to reach their full potential.

Prime Minister David Cameron said:

As I said last week, I want this government to be as bold in delivering social reform as we have been in economic – and a big social problem we need to tackle to rebuild Britain as an even greater country is extremism.

We all have a role to play in confronting extremism. That’s why I have invited important Muslim and non-Muslim figures to join the new Community Engagement Forum so I can hear directly about their work in our communities, the challenges they face and so that they can be part of our one nation strategy to defeat it.

I want to build a national coalition to challenge and speak out against extremists and the poison they peddle. I want British Muslims to know we will back them to stand against those who spread hate and to counter the narrative which says Muslims do not feel British. And I want police to take more action against those who persecute others simply because of their religion.

Home Secretary Theresa May said:

Hate crime has no place in Britain and I am determined to make further progress to ensure we can eradicate this deplorable act.

Working with police to provide a breakdown in religious-based hate crime data will help forces to build community trust, target their resources and enable the public to hold them to account.

Our counter-extremism strategy will be published later this month and will introduce a wide range of measures to defeat all forms of extremism. These will empower communities to confront extremist ideologies, and build more cohesive communities where everyone feels able to succeed.

The Forum will initially include around 30 multi-faith representatives from across the country and is an opportunity for the Prime Minister to hear directly from those taking a leading role challenging extremism in our communities. They will also be consulted on how best to improve the security of faith institutions and their recommendations will be considered as part of the wider work of the Prime Minister’s Extremism Taskforce.

Parliamentarians return to Muirhouse Community Centre

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Next week sees the return of Colin Keir MSP and Michelle Thomson MP for their surgeries (writes James McGinty). Both attract large amounts of people with their general inquiries.

Colin is on the first Monday of the month whilst Michelle is on the first Friday of the month. We would encourage people to use these services.

To visit their websites click HERE for Colin and  HERE for Michelle

Referendum anniversary: Time to move on, says PM

‘More Scots voted to keep our kingdom united than have ever voted for any party in any election in Scottish history’ – Prime Minister David Cameron

Leaving Photos

Speaking one year after the people of Scotland voted to remain part of the United Kingdom, the Prime Minister today said he is focussed on delivering devolution so that the debate can move on from what powers the Scottish Parliament should have, to how they are used to better the lives of the people of Scotland.

He added that the UK government will shortly table an amendment to the Scotland Bill to put beyond doubt that Holyrood is here to stay.

The Prime Minister said:

One year ago Scotland’s majority spoke.

More Scots voted to keep our kingdom united than have ever voted for any party in any election in Scottish history.

They voted decisively for a powerful Scottish Parliament within a strong and secure United Kingdom. We listened.

So let me be crystal clear: Scottish devolution is woven into the very fabric of our United Kingdom.

We will table an amendment to the Scotland Bill so there is absolutely no doubt: Holyrood is here to stay.

Alex Salmond, Nicola Sturgeon and I signed the Edinburgh Agreement which pledged we would all respect the outcome of last year’s momentous vote.

We all agreed – as do the Scottish public – that the independence referendum should be a ‘once in a generation’ or a ‘once in a lifetime’ event.

So now it is time to move on.

Some may want to obsess about separation.

But I am focussed on delivering devolution so that the debate can move on from what powers the Scottish Parliament should have, to how they are used to better the lives of the people of Scotland.

And today, on the anniversary of that historic vote, let me repeat: we are delivering a new, accountable and permanent Scottish Parliament. Holyrood will be one of the most powerful devolved Parliaments in the world.

PM outlines details of £100 million package to support Syrian refugees

UK aid contribution reaches £1 billion

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Prime Minister David Cameron will visit Lebanon today to see first hand how UK aid is helping the most vulnerable people who have been driven from their homes in Syria.

While there, as the UK’s aid contribution reaches £1 billion, he will outline the details of the extra £100 million package to help Syrian refugees, including £40 million to be used in the region surrounding Syria.

The £40 million will be allocated to the UN and NGO (non-governmental organisation) partners working in Lebanon, Jordan and Turkey, including British aid agencies like Save the Children, providing shelter, food, relief packages, health and protection services, as well as cash assistance – giving individuals the freedom to decide how best to cover their needs.

what the government is doing to help Syrian refugees.

Up to £29 million will go to Lebanon – host to 1.1 million Syrian refugees, or over a quarter of Lebanon’s population. The aid will help refugees and impoverished host communities cope, helping to reduce tensions between those communities and lower the risk of conflict in Lebanon which, if it broke out, could lead to more displacement of people who may look to come to Europe. Some of the aid assistance will also focus on Palestinian refugees (via United Nations Relief and Works Agency for Palestine Refugees in the Near East), and support to Lebanese municipalities (via United Nations Development Programme).

The new support to Lebanon will provide:

  • food packages or vouchers for over 250,000 refugees living in Lebanon and the most vulnerable people in communities hosting refugees
  • relief packages for thousands of refugees, with items such as thermal blankets, mattresses, kitchen sets, fuel and heating stoves, cooking stoves and kitchen utensils
  • psychosocial consultations for children and counselling for adults to help them work through the trauma they have experienced
  • child-friendly spaces offering a safe place for children to play, study and spend the day
  • support for agencies working to reduce the incidence and impact of sexual and gender based violence against women and girls, including counselling, legal services and safe spaces
  • food, water, relief packages, health and protection assistance for over 21,000 Palestinian refugees
  • support to help Lebanese municipalities cope with the increased populations in villages and towns.

Up to £6 million will help Jordan – host to over 629,000 refugees, or over a fifth of its population – to meet essential needs and reduce the incentive for refugees considering routes to Europe.

Up to £5 million will also support the most vulnerable refugees in Turkey, providing food and healthcare for those situated outside of the camps. This aid comes in addition to the £4 million announced for Turkey by the Development Secretary in February, bringing the UK’s total contribution to Turkey this year to £9 million. This support will be channelled through UN and NGO agencies who are best placed to respond to the crisis, alongside the Turkish authorities.

The additional £100 million, announced by the Prime Minister last week in Madrid, will be used to provide food, water, health care, education and shelter to people in Syria as well as in neighbouring countries, helping them to meet their basic needs where they are, rather than taking the desperate decision to risk their lives by attempting to get to Europe.

Nearly 12 million people have been displaced by violence in Syria and nearly 8 million of those remain in the country, including many tens of thousands in informal camps near the Turkish border. Millions more suffering from the violence – who are yet to leave their homes – also need assistance.

In Syria itself, working with the International Rescue Committee, World Food Programme and UN agencies, £60 million will be spent to provide thousands of internally displaced people with a range of support including food, water, urgent trauma care and first aid. British funds will also help to provide essential drugs, medical supplies and equipment, as well as training for hundreds of dedicated health specialists and workers in the region.

Of those funds:

  • over £20 million will go to partners delivering aid across Syria’s borders without the consent of the Assad regime, including £10 million to the International Rescue Committee (IRC) for medical assistance, protection services, education and livelihoods
  • £10 million will go to OCHA’s Humanitarian Pool Fund to support and build capacity of local Syrian NGOs in Syria
  • £18 million will go to the World Food Programme, expected to provide over 2.7 million individual monthly food rations
  • the remaining £12 million will go to organisations providing humanitarian support inside Syria

The Prime Minister said: “As the second largest bilateral donor to the humanitarian crisis in Syria our aid effort is supporting thousands of people to rebuild their lives, providing protection, counselling and schooling, alongside the provision of basic food and water.

“Investment in health, education, jobs and stability is the most effective way to help people overseas, and it is clearly in Britain’s interests.

“Around 3% of the 11 million Syrians forced from their homes have sought asylum in Europe, and without British aid hundreds of thousands more could be risking their lives seeking to get to Europe, so these funds are part of our comprehensive approach to tackle migration from the region.

“For thousands of refugees this money means a meal for their families, the security of a home with basic sanitation and clean water, and for children it means an education so we don’t lose a generation to the Syrian conflict.

“Our goal remains to support the development of a secure, stable and peaceful Syria. Without our investment in international development, the numbers of people seeking to embark on a perilous journey to Europe would be far greater.”

‘A country of extraordinary compassion’: UK to welcome up to 20,000 refugees

‘this is a country of extraordinary compassion, always standing up for our values and helping those in need.’ – Prime Minister David Cameron

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The Scottish Government has welcomed Prime Minister David Cameron’s announcement that Great Britain is to give refuge to up 20,000  Syrian people and has offered to work with Westminster to tackle the humanitarian crisis.

Speaking in the House of Commons yesterday, the Prime Minister said: “Britain already works with the UN to deliver resettlement programmes and we will accept thousands more under these existing schemes. We have already provided sanctuary to more than 5,000 Syrians in Britain and have introduced a specific resettlement scheme, alongside those we already have, to help those Syrian refugees particularly at risk.

But given the scale of the crisis and the suffering of the Syrian people it is right that we should do much more. So Mr Speaker, we are proposing that Britain should resettle up to 20,000 Syrian refugees over the rest of this Parliament.

“In doing so we will continue to show the world that this is a country of extraordinary compassion always standing up for our values and helping those in need.”

The Scottish Government has repeatedly called on the UK Government to play a part in a co-ordinated European response to this emergency humanitarian issue and has pledged to take a fair and proportionate share of refugees in Scotland.

Responding to the Prime Minister’s announcement,  Scotland’s Minister for Europe and International Development Humza Yousaf  said:

“As made clear by the First Minister at last week’s emergency humanitarian summit, Scotland is willing to take our fair share of refugees to help some of the most vulnerable people in need.

“We welcome the Prime Minister’s shift in attitude and late recognition that the UK has a role to play as an important first step. The 20,000 refugees over five years should not be seen as a cap or an upper limit and we must also play our part in responding to the crisis on the southern European coast line.

“We believe that the UK Should opt in to the EU relocation scheme and while the Prime Minister has made clear that the year one resettlement will be funded from the UK international aid budget, we seek urgent clarification on the impact that this will have on the work of existing aid projects.

“The refugee situation is at crisis point now and stretching UK support and refugee intake over the next five years means a number of people who could be helped immediately will be left without the vital help they need.

“We want to work constructively with the UK Government and the First Minister has again, today, written to the Prime Minster outlining the proceedings of Friday’s summit which focused on looking at some of the practical issues involved in integrating those who come here to seek protection.

“Today, I met with the Scottish Refugee Council to discuss the immediate service provision required to take in refugees and tomorrow I will chair the first meeting of the taskforce which will bring together stakeholders from across Scotland in the areas of local government, housing, health services, language support, transport and social services and will co-ordinate Scotland’s humanitarian and practical response.

“This is first and foremost a humanitarian crisis and it requires a humanitarian response. The overwhelming support we have seen from the Scottish people over the past few days shows our willingness to help the most vulnerable in the world.”

Refugee crisis: Britain will act ‘with our head and our heart’

Britain to welcome ‘thousands more’ Syrian refugees

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Britain will provide sanctuary to ‘thousands more’ Syrian refugees in response to the worsening humanitarian crisis, Prime Minister David Cameron has announced.

He said the extra refugees would come from UN camps bordering Syria – not from people already in Europe – and  he pledged to work with others to find long-term solutions to the crisis.

Speaking during talks with his Portuguese counterpart Pedro Passos Coelho in Lisbon, Mr Cameron said:

“Turning to migration, this is clearly the biggest challenge facing countries across Europe today. In the first 6 months of this year, more than 220,000 people were detected crossing the Mediterranean to Europe.

“And in July alone, over 100,000 people made this journey, three times higher than the number last year. These people come from different countries and different circumstances.

“We know that many are Syrians fleeing the conflict that has raged across their country, that has killed over 220,000 and has forced more than 11 million people to flee their homes. They now face two enemies at home – Assad and ISIL.

“Britain has a moral responsibility to help refugees as we have done throughout our history. We are already are providing sanctuary and we will continue to do so.

“As the second largest bilateral donor to the crisis, we have provided over £900 million in aid to help those affected in Syria and the region – we have funded shelter, food, water and vital medical supplies for millions of desperate refugees fleeing the conflict and helping them to survive in the countries around Syria, like Jordan and Lebanon.

“No European country has done more than Britain in this regard. Were it not for that massive aid, the numbers making the perilous journey to Europe today would be even higher.

“Now we have already accepted around 5,000 Syrians and have introduced a specific resettlement scheme, alongside those we already have, to help those Syrian refugees particularly at risk.

“As I said earlier this week, we will accept thousands more under these existing schemes and we keep them under review. And given the scale of the crisis and the suffering of the people, today I can announce that we will do more – providing resettlement for thousands more Syrian refugees.

“We will continue with our approach of taking them from the refugee camps. This provides them with a more direct and safe route to the UK, rather than risking the hazardous journey which has tragically cost so many lives.

“We will discuss how best to design these schemes and the numbers we will take with NGOs and our partners. We will set out more details next week.

“Alongside this, Britain will continue to work with partners to tackle the conflict in Syria, to provide support to the region, to go after the smuggling gangs exploiting these people and to save lives at sea. HMS Enterprise remains in the Mediterranean alongside the Border Force cutters and together with HMS Bulwark, they have now rescued more than 6,700 people.

“Britain will act with our head and our heart, providing refuge for those in need while working on long-term solutions to this crisis. As I said earlier in the week, that means bringing to an end to the conflicts that are driving so many to flee, including the bloodbath that has engulfed Syria.”

Exact numbers have yet to be discussed, but charities have been quick to welcome Mr Cameron’s announcement.

Oxfam chief executive Mark Goldring said: “Offering to resettle 10,000 Syrian refugees would bring the UK in line with other European countries who have already shown leadership in offering a haven to vulnerable refugees.”

Meet Michelle at Muirhouse Millennium Centre

Edinburgh West SNP MP Michelle Thomson now holds a surgery at Muirhouse Millennium Community Centre           (writes JAMES McGINTY)

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FRIDAY 4 SEPTEMBER 10.30 – 11.30am

Our newly elected MP in Westminster is back in Scotland after an extensive introduction to Westminster parliamentary procedure, whilst juggling her duties here in Scotland in her constituency.

Many of us have followed Michelle’s exploits via her reports in the Evening News. and Michelle now starts her promised General Surgery here in the Centre (see above).

Come along, no appointment necessary (open door). The surgery will take place in the cafeteria area but will have private space available if required.

‘That’s a business trying to be a good citizen’

Deirdie Brock MP visits Sainsbury’s Blackhall

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Deidre Brock, local MP for Edinburgh North and Leith, visited Sainsbury’s Blackhall on Monday where she met staff and local customers (writes GAIL WILSON).

The MP was welcomed by store manager, George Paton and taken on a tour of the 71,000 sq ft store on Craigleith Road.

Ms Brock learned about the store’s new Local Charity Partner, Meningitis Research Foundation. The charity has a vision of a world free from meningitis and septicaemia and was chosen by customers in July.

She also had a chance to hear about the store’s Food Donation Partner, Fareshare, who Sainsbury’s are teamed up with to make use of surplus food and Granton Baptist Church food bank, who they support with in-store collections.

Ms Brock, who was elected to represent Edinburgh North and Leith May’s general election, said: “I was delighted to hear about the work that Sainsbury’s staff do to reach out into the community, the support they and the store’s customers give to a local foodbank and to Crisis Fareshare. That’s a business trying to be a good citizen.

“The store is also a zero waste store recycling all of its packaging as well as providing recycling facilities for customers in the car park. It’s the first time I’ve seen an oil recycling bank in a supermarket car park and I’m looking forward to coming back soon to see how it works out.”

Store Manager George Paton said: “It has been great having Ms Brock in to our store, and introduce her to our customers and colleagues. I’m incredibly proud of our team, our store and the impact we have on the community. ”

Deirdie Brock MP is pictured with Sainsbury Blackhall PR Ambassador Gail Wilson