Showing posts with label EU. Show all posts
Showing posts with label EU. Show all posts

Tuesday 20 March 2018

TORIES USING BREXIT NEGOTIATIONS TO CLING ON TO POWER

The so-called agreement announced yesterday (19/3/18) proves just one thing. The Tory government has yet again kicked the can down the road on the Brexit negotiations. They should be dealing with the difficult issues first, not last, to avoid wasting time making agreements that can never be implemented. Many people realised months ago that this Tory Government is incapable of negotiating a fair Brexit deal and are spinning it out just to remain in power for a few months more. They know that admission of failure is likely to trigger an immediate general election, especially as they will lose the support of the DUP over the Irish border.

The big issues the Tories are not able to deal with and have therefore postponed:

1. The Irish border: there is no way that you can have a soft border with the Irish Republic unless Northern Ireland effectively remains part of the Single Market and the Customs Union. Green Leaves recognised this from the start and have been calling for an Irish re-unification referendum since before the 2016 EU referendum. The only other alternative is to move the customs border to between Great Britain and Northern Ireland, a situation totally unacceptable to the DUP and Ulster Unionists. A referendum vote to re-unite with the republic is the only way that that Unionist veto can be over-ruled.

2. Fishing: under Article 125 of the agreement, the UK will not be taking back control of our fisheries when we leave the EU – something which the Government had previously promised. I predict every MP representing fishing communities will agree that we must have absolute control of our waters and fish from the end of March 2019 and anything less is totally unacceptable. As this must be put to a vote, there is no way that this will pass in the House of Commons.

3. The EU is suggesting that the EU Court of Justice should decide on any impasse between the UK and the EU. For instance if there was no agreement on Northern Ireland, the EU’s draft protocol for a ‘fallback’ option to resolve the Irish border would take precedence, which would see Northern Ireland remain in the EU Customs Union and aligned with much of the Single Market after Brexit. Again unacceptable to the DUP.

4. But the big issue: not even mentioned by the UK Tory negotiating team, is the massive trade deficit that the UK has with the EU and the unsustainability of this ever expanding trade to the world's environment. The UK must develop self sufficiency after Brexit; learn to live within its means if it is not to become bankrupt, both financially and environmentally. Financially its trade is in a worse situation than the likes of Greece, which has been crippled by austerity. Environmentally, we are still learning just what a horrific disaster 100 years of plastics have been and we know that drastic action to vastly reduce our consumption is needed now. Not in three years, ten years or fifty years. We should be campaigning for Brexit be the catalyst for action on the environment NOW!

Sunday 10 December 2017

EU / UK joint report on Brexit is a blank cheque made of fudge

The EU / UK joint report on Brexit is a fudge. Most glaringly, it has fudged the issue of Ireland, kicking the can down the road yet again. However, unless a way is found to do the impossible of allowing Northern Ireland to be part of single market and outside it at the same time the fudge says:

"In the absence of agreed solutions, the United Kingdom will maintain full alignment with those rules of the Internal Market and the Customs Union which, now or in the future, support North-South cooperation, the all-island economy and the protection of the 1998 Agreement."

It also says: "the United Kingdom will ensure that no new regulatory barriers develop between Northern Ireland and the rest of the United Kingdom..."

In other words, the whole UK will remain bound by EU rules forever.

This is not Brexit: just capitulation by a weak and wobbly Tory government!

Now is the time for Brexiteers to declare that no deal is better than this fudge. But Tory Brexit supporters are too scared of a general election and a Corbyn win to rock the boat. Tory flag waver Jacob Rees-Mogg cravenly concedes defeat:
“Arlene Foster saved the day and the Prime Minister has done well to secure a deal that Brexiteers can live with."

Yet again the Tories have shown that they put their own interests above those of the country. It is time for the rest of us to demand the Brexit we voted for.

This EU / UK joint report on Brexit reads as if the whole lot was drafted in Brussels, which indeed it was. It uses EU jargon to muddy the waters and hide the dangers lurking within.

The consequences of this agreement are frightening. Not only will the UK be bound to the Single Market and the Customs Union forever, but also the financial consequences are probably under estimated.

Take one paragraph: "In particular, the value of the RAL, as audited by the European Court of Auditors, will be adjusted to take into account the actual implementation of the Union’s commitments, taking into account decommitments and assigned revenue. The UK opt-outs leading to non-participation in Union programmes existing at the date of withdrawal will continue to apply in respect of the financial settlement."

What on earth does this mean? The RAL stands for Reste à Liquider which, according to the Huffington Post ( http://www.huffingtonpost.co.uk/adam-hamdy/eu-referendum_b_10625150.html ) is "a fancy monicker for the EU's unfunded future liabilities." According to the HP "The EU commits to expenditure on the assumption that member states will continue to fund it. So it might agree to fund a €100 million infrastructure project over three years, but only receive the money for it over a much longer six-year period. This creates a gap between income and liabilities. The original idea behind the Reste à Liquider was to enable the EU to smoothly manage its commitments and not to be tied to receipts from member states."

"The only problem is that the gap between income and liabilities has kept growing to the point where it now stands at around €220 billion (in 2016). Total unfunded liabilities now equate to approximately 25% of the entire EU budget over the last six-year cycle, or over 140% of the EU's annual budget. The liability gap is so large that the ECR Policy Group has warned that the EU may soon be unable to pay its bills. The liabilities are starting to look a lot like an unapproved overdraft that's getting out of control."

The Court of Auditors is so unreliable that they were recently raided by the fraud squad. The EU's finances have never been properly audited, let alone the RAL. So the commitment for the UK to fund all EU expenditure "Committed" before the withdrawal date (according to the EU sometime in 2021) is basically a blank cheque. There is no way that anyone can actually put a figure on these unfunded future liabilities and who knows what additional financial commitments the EU will agree to before 2021. A European Army? The building of the capital of the United States of Europe?
The estimate of a net cost of £36 - £39bn is just a guess. The UK has no legal obligation to fund any of these " future liabilities", so why should we commit ourselves to pay for an unknown figure just to allow the EU27 continued free access to the UK market?

In the last year the UK trade deficit with the EU27 has been £90bn. This will continue and expand if this dodgy deal is allowed to stand. The UK just cannot afford to finance the incompetence of this Conservative minority administration. The country should rise up and demand that as we voted for Brexit, we should have Brexit and have it without this stitch up by the EU.

Wednesday 22 November 2017

Democratic Deficits in both the EU and the UK

As an active campaigner during the 2016 referendum I argued passionately for the UK to leave the EU. I campaigned not from the right, but as a member of Green Leaves, the Leave campaign supporting Green Party policies. Until the recent volte-face by the leadership, the Green Party had long been a Euro-sceptic party, its policies reflecting the Party's unease at the undemocratic nature of the EU.

Indeed the number one issue I discussed with voters on the doorstep and in meetings during the referendum was not immigration, but the lack of democracy in the EU.

As the former European Commission president José Manuel Barroso (now employed by big EU lobbyists Goldwin Sachs) said in 2007: “. . . I like to compare the EU as a creation to the organisation of empire. We have the dimension of empire.”

The European Commission is the most powerful pillar of a complicated EU structure. According to the Economist magazine it is "it is the guardian of the treaties, the originator of almost all legislation and the sole executor of the EU’s budget." But its members are appointed rather than elected. From Brexit to CETA it is always the Commission that represents the EU.

The parliament is made up of elected MEPs from across Europe, but it is a weak parliament, with no real power over legislation. Indeed the majority of the legislation drafted by the Commission is not discussed in detail in the EU Parliament before it is enacted. From there it goes directly into domestic UK law. Even arch remainer Nick Clegg admitted that: "probably half of all new legislation now enacted in the UK begins in Brussels."

Meanwhile, EU citizens are led to believe they are voting for true representation in Brussels, when in fact they are voting for a weak Parliament unable to fundamentally change EU policy set by the Commission. Realisation of this has led to disillusionment amongst EU voters. Less than half the EU electorate bothered to vote in the last European Parliament elections. Indeed, many national parliaments have cast doubt on the European Parliament’s democratic credentials, as has the German constitutional court.

The real power in the EU lies with the undemocratically appointed Commission. To put it another way, power is vested in an unelected and unaccountable elite who make laws to preserve the status of their paymasters in large multinationals. Multinationals achieve this preferential status by spending enormous sums of money on lobbying. With over 30,000 corporate lobbyists in Brussels, they are estimated to influence 75% of European legislation. Large numbers of former Commission staff (like José Manuel Barroso) end up employed by these large corporations.

A classic example of this was CETA, the Canadian/ EU trade agreement, which not even MEPs were allowed to scrutinise before its final draft. One of the strongest arguments against CETA and TTIP (the US/EU agreement abandoned by Trump), made by Green Party leader Caroline Lucas and others, was that the structure of dispute resolution, in the form of the Investor-State Dispute Settlement (ISDS) system, was biased in favour of multinational companies. It allowed corporate lawyers to be the final arbiters in disputes between business and governments, usually upholding the right of business to make a profit in all circumstances. Other criticisms of the system are that it’s secret, that it’s dominated by unaccountable big-firm lawyers, and that global corporations use it to change sovereign laws and undermine regulations.

Both Labour and Green Party leaders appear to be ignoring the fact that any new trade deal between the EU and the UK would also have to have a dispute settlement arrangement. It has been shown that ISDS has increasingly become a way for rich investors to make money by speculating on lawsuits, winning huge awards and forcing taxpayers to foot the bill. All of which is a long way from the democratic will of the people.

The democratic deficit in the EU is indisputable, but to be consistent we must also address the democratic deficit within the UK.

Two thirds of the votes cast in the last general election were wasted, in that they made no difference to the outcome of the election.

In the UK's undemocratic "first past the post" electoral system, most constituency MPs are voted in by a minority of the electorate and often more people vote for opposition candidates than for the winner.

The democratic case for Brexit has no legitimacy without electoral reform of the UK parliament to ensure it accurately represents the British people, something this appalling minority Tory government clearly fails to do.

Power should rest not with Parliament, but with the British people. That means not only respecting the outcome of the EU referendum, but also ensuring that Parliament properly represents the electorate in direct proportion to citizens' political opinions. True Democracy depends upon proportional representation (PR).

I cannot agree with the Tory Brexiteer who said that the British people fought in two world wars to uphold the supremacy of the House of Commons. They fought for democracy, which was why the most reforming British government in the 20th century immediately followed World War 2.

The time is right for a new reforming Government, elected by PR and using the limitless possibilities given by Brexit to truly reflect the hopes and aspirations of the British people.

Tuesday 21 November 2017

The Green and Economically Successful Solution to the UK Trade Deficit

It is one of the great ironies of this world that the most successful capitalist country of recent times is the communist controlled Peoples' Republic of China. The reason for this is not difficult to see. As Irwin Stelzer said in the Sunday Times (19/11/17), "subsidised Chinese Companies have an immense competitive advantage".

As Jeremy Clarkson was so fond of telling us, China has been making knock off copies of European cars for years. How many people realise that the new MG cars now being sold are made by a Chinese company in China? If a foreign company wants to sell cars in China, they must manufacture them there with a Chinese partner, or pay a 25% duty on imported cars.

And yet China has been a member of the World Trade Organisation since 2001, so presumably what it does is within WTO rules?

It is one of the great mysteries to me that the UK does not do the same thing. A 25% import duty on cars would reduce the number of imports and encourage manufacturers to make the cars in the UK. With all parties committed to facilitate the switch from petrol and diesel to electric cars, now seems an ideal time to introduce the measure and ensure the new factories are built in the UK to service our 60 million+ consumers.

Of course, such a tariff is contrary to EU rules, which are designed to help the multi-national companies to source their goods from low wage economies. With 30,000 lobbyists in Brussels, the multi-nationals have ensured that their economic growth is enshrined in EU law. But the UK has voted to leave the EU, which brings forth a multitude of opportunities to have much greener policies. And there is nothing greener than reducing the number of vehicles and the miles they have to travel to get to the customer.

Tuesday 28 February 2017

Proposals for Tax Reform after Brexit: VAT

This is the first of a series of proposals from me, to enhance the UK after Brexit. It is NOT Green Party policy, but I would like it to be!
Value Added Tax (VAT) in the UK is a tax on spending with numerous exceptions, which makes it a complicated system.
There is a strong argument for reform of VAT after Brexit, in particular in relation to imports. Currently VAT is charged on some, but by no means on all, imports. However, the VAT charged on imports can be set off against VAT charged on subsequent sales, i.e. it is fully recoverable if you are VAT registered.
After leaving the single market, the UK will be free from EU VAT regulations. My proposal consists of three stages:
1. Reduce the VAT rate to 15% from the current high level of 20%, which would reduce the cost of all purchases, both imported AND UK produced, by about 4%.
2. Put VAT on all imports, most importantly on overseas service and management charges, which are used by offshore companies to avoid UK corporate taxes. VAT would also be imposed on all food imports, including the over-pricing of commodities by multi-nationals, which is also used to avoid taxation, and on meat. This would be a disincentive to the long distance transfer of foodstuffs (and animals)and encourage more local production, upon which VAT would not be charged. It is also likely to reduce meat consumption, in favour of locally produced vegetables.
3. Stop VAT on imports being recoverable. This would undoubtedly increase the cost of imports, but it is likely that:
(a) it would be an incentive to produce more goods and services locally in the UK and reduce the record levels of imports, now running at £582bn a year;
(b) it would be allowable as a business expense, thus being partially mitigated for importers by a reduced corporation tax bill (if they pay their taxes);
(c) competition would encourage importers not to pass on all of the extra costs to their customers, to avoid being priced out of the market;
(d) the extra cost to consumers for imports would encourage people to prefer locally sourced goods and services;
(e) the extra cost to consumers would be more than mitigated by the overall reduction in VAT on ALL their purchases, both imports and locally sourced;
(f) be a major disincentive for tax avoidance using charging for "fictitious" overseas services, such as management costs or over-priced commodities.
(g) it would, at current rates, bring in an additional £80bn+ in revenue to the UK treasury, which could be used to improve the NHS and social care;
(h) it is likely to reduce consumption overall, as part of a "de-growth" economic strategy, which was recommended for economically developed countries,after the 2013 climate change talks in Warsaw.
Such a change would challenge EU rules and would probably flout World Trade Organisation (WTO) rules as well. But it would be in line with the Green Leaves proposal to shun all free trade agreements, like TTIP and CETA.
However, it is also likely that retaliatory action might be taken by other countries, in the form of tariffs on UK exports, but as imports to the UK outweigh exports from the UK, this is something that can be negotiated favourably on a bilateral basis with each country or trading bloc, particularly the EU, whose exports to the UK are already £70bn more than the imports from the UK.

Tuesday 24 May 2016

Fracking and the Technocrats

I live in North Yorkshire and I protested outside Northallerton County Hall against fracking. But I have also worked at County Hall and I knew in my heart that the supine North Yorkshire County Councillors would be led by the nose by the Technocrats (aka Council Officers) who recommended the destruction of our Green and pleasant land by fracking.

As former Cameron advisor, Steve Hilton has recently written, it is these Technocrats who rule this country and the EU. These Technocrats who hand down the rules and regulations who are "acting in the interests of the big businesses that have corruptly captured the levers of power in Brussels through their shameless lobbying and insider deal-making, enabling a gradual corporate takeover of our country."

These same Technocrats have now foisted fracking onto the people of North Yorkshire. I have no doubt they will be fought; there will be protests; there will be civil unrest. But to defeat the Technocrats, whether they work for North Yorkshire County Council, or the EU or the IMF or the Bank of England, we need to fight them on all fronts. That is why, I, a former Green Parliamentary Candidate, call on everyone to start this fight by voting to Leave the EU on 23rd June. Take this first step down the road to Independence and the ability to cry "Free at last, free at last"!

Saturday 23 April 2016

Here is the Evidence that the UK WILL be better off after BREXIT

Over the last few weeks we have heard a cacophony of vested interests telling us that it was not in THEIR best interests for the UK to leave the EU. From the US President and US treasury, the IMF, the Bank of England and George Osbourne's minions, there has been an orchestrated message of dire warnings about perceived threats to the personal wealth of every man, woman and child in the UK.

But all of these warnings have been predicated on one hypothesis: that if the UK leave the EU, the UK's trade will reduce. This is not a fact, it is a forecast, a prediction, basically a guess. And lo and behold, what is the outcome of this hypothetical scenario? Why we all get poorer.

A reasonable hypothesis you might think, but is it? It is based on us losing, as we are repeated told, an export market of 500 million people. That, of course, is a lie. Nearly 66 million of that 500 million are in the UK market, so we are actually talking about are exports to a market of 430 million people. What the hypothetical models do not take account of is the dynamic between the UK market of 66 million and the other 430 million in the EU.

So let us look at that dynamic: something the EU does not do, because it is only concerned with the whole market, not with the individual members, and least of all individual people like you and me. That is why the EU forces poverty and unemployment on vast swathes of the EU, from Greece to Portugal, young people in particular are suffering from this emphasis on the EU market as a whole, not the wealth of individual countries.

When we joined the EU, in the days of Ted Heath and Harold Wilson, the most important UK national statistic was the Balance of Payments. The difference between what we, the UK, as a nation export in goods and services and what we import. Indeed for many of the post war years, as we struggled to pay off the biggest debts of any nation after WW2 (any nation that actually paid its debts that is), we had import controls, because as a nation, we decided that we could not afford imports.

You rarely hear of the balance of payments these days. Yes, it was mentioned by the Bank of England as the Financial Policy Committee (29/3/16) dutifully trotted out its carefully worded support for REMAIN and the interests of international bankers. But only as a footnote: it merely said it had "concerns" about the UK's balance of payments deficit(1).

Yes, deficit. Because ever since we joined the Common Market, we have had a deficit with the rest of the EU. And as the EU has got bigger and bigger, so too has our deficit with the rest of the EU.

So here's the rub. Here is the evidence that yes, we would be better off if we LEAVE the EU.

In the last three years alone (2013-2015), according to the UK Office of National Statistics(2) , we have had a balance of payments deficit with the rest of the world of £267 billion. Within that, our trade deficit with the rest of the EU has been a staggering £303 billion. Yes, we actually had a modest SURPLUS of trade with the rest of the world outside the EU, of £36 billion.

And that deficit with the rest of the EU is going up, from £89 billion in 2013 to £107 billion in 2015. If we REMAIN, and the status quo does not change, then over the next ten years, based on these figures, we will have a net deficit with the rest of the EU of over ONE TRILLION POUNDS (£1,000 billion).

So, how will we pay for this trillion pound spending spree? Well, the Bank of England told us. As a nation, there are only two ways to pay for this massive trade deficit. Either by flogging off our capital, or, by increasing our debt. Well, our national assets have gone to pay for the profligacy of the past. Margaret Thatcher started it by selling off our North Sea Oil too cheaply, such that last year whilst Shell paid Norway over $4billion, the UK actually paid Shell $123 million in tax rebates(3). Since then the railways, water, utilities and many other public and private assets have been sold and are now owned by overseas, particularly EU interests. The profits from which are, no doubt, squirreled away in Luxembourg tax avoidance schemes set up under the now EU Commission president, Jean Claude Juncker, when he was president of Luxembourg (free the "LuxLeaks" whistle blowers now under arrest in Luxembourg!)

So, as the BoE pointed out, the only way to pay for the £trillion pound balance of payments deficit with the EU expected over the next ten years is by debt. A debt that is frankly, unsustainable.

Yes, if the UK remain in the EU, within ten years the UK will be bankrupt.

So, what is the Brexit alternative? Well one alternative is to stop importing this stuff we don't need and start making ourselves the stuff we do need. We could stop importing quite so much and invest in our own economy instead; in steel, manufacturing, the NHS, local farming etc.. We can say good riddance to all these trade deals like TTIP whose primary purpose is to allow multi-nationals free rein to satisfy their greed for a privatised NHS, schools and other public works.

Another alternative is to stop worshiping consumerism and embrace conservation. We have the opportunity to be world leaders in sensible technology like renewable energy and home insulation.

Investing in the UK will cost us far less than the Trillion pounds the UK will have to find in the next ten years to feed our addiction to EU imports. That is why the world's vested interests are united in spending so much time and money on persuading us that our addiction to EU imports must continue, no matter what the cost to the British people. That Trillion pounds goes into the coffers of those same vested interests and further increases the servitude of debt into which every UK citizen is daily encouraged to fall.

The reality is that, after BREXIT, we will continue to trade with the EU, but on our terms, not theirs. The EU will still want its Scotch and other UK products, but more importantly, the EU cannot afford to lose all of that Trillion Pound bonanza it is expecting over the next ten years. The EU will be falling over itself to strike a trade deal with the UK, because it cannot afford to lose its largest export market. We just need to have faith in ourselves, in our country and have the courage to say NO to membership of the EU and stand on our own feet again.

References:
(1) www.bankofengland.co.uk/publications/Documents/news/2016/032.pdf point 11
(2)www.ons.gov.uk/economy/nationalaccounts/balanceofpayments/bulletins/balanceofpayments/octtodecandannual2015 & previous periods
(3)http://www.standard.co.uk/business/nick-goodway-why-do-we-pay-shell-to-extract-our-oil-assets-a3228751.html

Friday 15 April 2016

Jeremy Corbyn the Pessimist?

I have never known such a pessimistic Labour Party leader as Jeremy Corbyn. In his lack lustre speech about the reasons for his volte face over Brexit, he talked about the Tories as if they were destined to remain in power forever. He predicted that if we left the EU the Tories would immediately "dump rights on equal pay, working time, annual leave for agency workers, and on maternity pay". Even if we accept that the Tories could get away with such a change without the type of furore that we are seeing over their attack on disability benefits, surely he should be saying that if the Tories were so stupid as to attack the rights of working people, a future Labour Government would restore them and more. After all it was before the UK joined the EU that Barbara Castle championed equal pay!

That is the advantage of Brexit: a future left wing UK government can restore workers' rights and improve them. Compare and contrast EU law and TTIP. It is part of the EU Commission's president Jean-Claude Juncker's mission statement on trade to implement TTIP before 2019 (http://ec.europa.eu/commission/2014-2019/malmstrom_en). It will be done. And what rights do we, the British (or any European) people, have to reject TTIP or a future UK Government to repeal it? Absolutely none: once signed TTIP will remain at the whim of the EU Commission.
It is this lack of democracy and accountability that it is at the heart of Brexit. A Vote to Leave the EU will restore the rights of the British people to make and repeal our own laws at will. A vote for Brexit is a vote for Freedom and that is why I will vote to Leave the EU on 23rd June.