Universal Credit – A Conservative & Unionist Policy to Eradicate the Working Poor!

Having moved to Peebles in 2002, ‘Stooriefit’ Bosco Santimano gives us his own take on what he feels is the hot topic of the day. This week it’s the Tories toxic Universal Credit system which is disproportionately affecting the disabled, working poor and low-income families.

A very long time ago I had written about the shambles that would be Universal Credit, a policy introduced by Tory MP Ian Duncan Smith to make poverty disappear and work pay. All very good, since he had this epiphany while touring Easterhouse a council estate in Glasgow in 2002. This tour was carried out for his Think Tank Centre for Social Justice which was set up to find solutions to poverty in modern Britain.

Public memory is short-lived and our MPs know this, as even though they are responsible for the worst atrocities (benefit cuts) committed during peacetime on the British public, the Tories have managed to consolidate their power and even influence the working class to vote for them in the last general elections by blaming the ‘other’, in this case European citizens living and working in the UK. Brexit and Covid have decimated the livelihoods of millions of citizens and their families with many losing their jobs overnight and many having to resort to food banks to make ends meet and provide food for their children. The £20 top-up that was provided to every single claimant of universal credit last year has now been withdrawn, leaving many to fall back on food banks, loan sharks and if living in private rented accommodation at the mercy of unscrupulous landlords who are waiting to evict tenants who cannot pay their rent. I have said this before, in principle I do agree with the concept of Universal Credit as it was designed to incorporate six benefits into one. But in practice it was a disaster as the founders of this system; The Centre for Social Justice, were clueless about the complexities of the previous benefit system. There is still no evidence that Universal Credit is getting people into work compared to the previous system by the Labour government in 1999, while the costs of implementing it has risen to over £1.4 billion.

The National Audit Office said that the controversial five week wait for a first universal credit payment continued to exacerbate many claimants’ debt problems and push them into hardship. Vulnerable claimants – including those with physical, mental or learning disabilities, people with few digital skills, or with chaotic lives – were more likely to struggle with their claim, the NAO said, with the complicated process of moving onto the benefit causing payment delays and financial problems for these claimants.

On a final note, the £20 top-up was actually what amount claimants would have been receiving today if taking inflation into account and had the Tories not cut the benefit amount and thresholds of Housing, Working Tax and Child Tax Credits. The rich have got richer and the poor are made to fight among themselves. Divide and rule, the classic British policy is now being used on its own citizens for keeping the status quo.

Published in The Peeblesshire News on Friday 8th October 2021

 

Triple Blow to UK Citizens by Tory Government Policies

Having moved to Peebles in 2002, ‘Stooriefit’ Bosco Santimano gives us his own take on what he feels is the hot topic of the day. This week it’s higher energy bills, the end of furlough and removal of the £20 top-up to Universal Credit, a triple whammy, as millions of families will struggle financially this winter having to choose between feeding themselves or keeping warm!

From 1st October over 15 million people could be waking up to a massive increase in their energy bills with the announcement that the energy cap on some deals will be increasing by £139 per year. This is happening due to a combination of factors including Brexit and a rise in wholesale gas prices by more than 50% since the beginning of the year. Cheap energy deals are disappearing and becoming a rarity in the open market putting huge financial strains on low-income families and pensioners. The good news is that we can still reduce our bills as the price cap applies to certain energy deals like standard, default and out-of-contract tariff. Basically, they all mean the same thing i.e., if you have haven’t switched your energy supplier in a while or took no action when your last fixed deal ended, then you will be one of those that will be impacted by the price rise. Global prices of fossil fuels are rising, especially gas due to Covid-19 and a longer winter last year also meant that refiling of gas stores was delayed. Since some of our electricity is generated from gas, this means electricity prices are affected too. Energy companies are not obliged to increase their prices to match the new cap but big energy firms will do so in order to keep shareholders happy.

Add the removal of the £20 per week top-up to Universal Credit and the end of furlough and we are heading into a perfect storm brought about by polices of the Westminster (Tory) government which the Scottish government (SNP & Greens) have no control over. The worst hit will be those on prepayment meters. These are like pay as you go i.e., top up as you go along and are mostly used by low-income groups. Prepayment customers are charged more for each unit of energy than people on standard credit meters. In fact, the cheapest prepaid tariffs (£1,052, according to Ofgem) was found to be over £200 more expensive than the cheapest direct debit tariff (£846) in August 2019. Prepayment meter tariffs are also covered by the price cap. These are set to rise by even more. If you’ve chosen a fixed deal (one that has a set contract length) then you won’t be affected by the price cap changes. Housing charity Shelter estimates that nearly half a million private tenants are in arrears and this figure has doubled since the pandemic. Private renters spend more of their income on housing than any other housing tenure. Social housing is scarce and not readily available to fill the gap. The outdated Local Housing Allowance Rates needs a major overhaul as is not fit for purpose e.g., Scottish Borders is allocated a maximum of £74.79 per week rent (£324.09 per month). This is fine if you live in some remote parts of the Borders and in social housing but not in Peebles or the surrounding areas including Innerleithen. A private one-bedroom flat for rent in Peebles is around £450+. Which planet do these politicians live on, definitely not the same as us mere mortals?

We are going to witness a winter of discontent across the country if the Westminster Tory government does not get its act together and remove policy’s that impact the majority of the citizens of this country. Here is hoping that the four nations can keep themselves warm and well fed this coming winter.

Published in The Peeblesshire News on Friday 20th August 2021.

UK Government to phase out £20 per week extra support to Universal Credit Claimants!

Having moved to Peebles in 2002, ‘Stooriefit’ Bosco Santimano gives us his own take on what he feels is the hot topic of the day. This week it’s the Tories announcement to phase out the £20 a week increase to Universal Credit introduced last year during lockdown to help individuals and families struggling financially due to the pandemic.

Work and Pensions Secretary Therese Coffey told MPs last week that the £20 boost – introduced in April last year to Universal Credit to help deal with the economic effects of Covid – would be phased out by end of September. Devastating news for people on low income who rely on the state to top-up their meagre wages. We are now at the mercy of the Tories who have an overwhelming majority at Westminster thanks to English voters. Six former work and pensions secretaries have urged ministers to keep the £20 top up until the economy stabilises and claimants don’t suffer financially in the short term. Ms Coffey said the change had been a “collective decision” by ministers. The prime minister said the government is focusing on a “jobs-led” recovery from the pandemic, and was keen to “get people into work”. What planet do these Tories live on? Tory MP and their family, friends and donors have hugely benefitted financially from the pandemic. In my previous columns I have named and shamed these individuals and their companies and the billions lost due to tax payer funded schemes like furlough, contracts, etc. Tens of thousands of people did not claim universal credit during the early part of the pandemic because they felt too ashamed to sign on benefits, often despite struggling to pay rent and bills, a study has found.

Universal credit is claimed by almost 6 million households in the UK and was introduced by Tory Ian Duncan Smith in the early years of the Tories winning the election in 2010 but with Liberal Democrats as their coalition partners to replace six benefits and merge them into one benefit payment for working-age people. Many sane and educated people voted for the Tories in order to get rid of the so called “benefit scroungers”. Little did voters realise that the Tories in fact were taking apart a generous, fair and equitable welfare state to line their pockets instead. Karma is a universal concept well known in the east as a way of reminding people that what goes around come around. Strange that the very people who fell for the demonisation of the working class and people claiming benefits found themselves in dire straits financially last year during the pandemic as the state did not provide them with the safety net that this country built for its citizens exactly for such a scenario. This country is part of the G7 club, i.e., the seven richest countries on this planet! The question we citizens need to ask is where is all this money? And who is reaping the financial benefits? Tory MP’s and their families and friends have been directly or indirectly linked to companies that have financially gained from this arrangement from the Corporation that have contracts to deliver the various benefit systems, NHS contracts in England and Wales and major public service contracts like the BBC’s licensing fees!

Poverty campaigners have spoken out against removing this £20 per week top-up and have asked the government to make this permanent keeping in mind inflation and also the steep rise in food and other essentials since Brexit this year. This top-up amounts to a measly £1000 a year per household, but this has made the difference for some families between getting by and falling further into poverty. Overall, about 500,000 people in the UK chose not to claim universal credit, even though they most likely would have been entitled to it, the study found.  The perceived stigma around benefits – with some people feeling, they were for “dole scroungers” and “freeloaders” – meant many refused state help, or put off making a claim until they ran into serious difficulty.

We are no longer living in a humane society, and we treat animals better than our fellow human beings. Something has gone terribly wrong in Great Britain! It’s no longer great.

Published in The Peeblesshire News on Friday 16 July 2021.

Brexit Saga Ends -Breakup of UK Begins

Having moved to Peebles in 2002, ‘Stooriefit’ Bosco Santimano gives us his own take on what he feels is the hot topic of the day. This week it’s the beginning of the end of the Tory party because of its decade long austerity, divisions on class, extreme poverty, hungry children and the final nail in the coffin of the breakup of the United Kingdom, a Brexit Deal!

2020 will go down in history as the year the elected majority Conservative party and the political system at Westminster struck the final blow to democracy, decency, equality and social justice in this country. The Brexit saga continues as I write this column even though a deal has been reached by both sides. Boris’s oven baked deal last year had got burnt and was no longer edible, even to himself as he then chose to break International law by trying to push the Internal Market Bill through parliament. Analysts, journalists and economists are pouring over the finer details of the 1246 pages trade agreement. So, chaos will reign in her Majesty’s Kingdoms with England finally getting a deal, while Scotland, Wales and Northern Ireland are left feeling frustrated and bewildered by English attitudes towards the European Union and the cost to its young citizens that will be left feeling isolated and insecure with a United Europe.

Covid-19 has mutated into a new strain and Dover was shut due to France opting to protect its citizens and its Borders. 7-mile queues of trucks were common sight for a few days with drivers feeling frustrated and angry and the army had to be put on standby for any eventuality that may arise. Lucky for us France opened its Borders to allow freight and other essential trucks to move thereby reducing the traffic jam and backlog near Kent. We are in Lockdown once again and no end in sight to our situation changing soon in the new year. Unemployment has risen exponentially and the benefit system that the Tories and Lib-Dems coalition put in place since 2010 has been proven to be ineffective and driven many of its claimants to poverty, homelessness, suicides and Foodbanks! Benefit sanctions were imposed on nearly a quarter of a million residents last year from April 2019 until March 2020 according to research by the House of Commons Library. These include people seeking Universal Credit, Job Seekers Allowance and Employment Support Allowance. This was temporarily suspended at the beginning of Covid-19 but reinstated in July. Unemployment has reached record levels and we now know that sanctions only push people and families into financial hardship and foodbanks. Yes! The Furlough scheme was great and it kept certain people in their jobs but no pay rises and money for the self-employed, key workers and individuals on zero-hour contracts who are working on poverty wages.

Hoping that 2021 brings in positive change and social justice for all, especially key workers, some of whom who have lost their lives while making sure the economy and food supply chains stay open while we can feed our families and loved ones. We will never forget the ones who are benefiting from the misery of others, its time for change and Scotland finally becoming an Independent nation. Just like England, we need to take control over our borders, immigration and laws and make Scotland a Republic!

Stay safe and Good Luck to all in 2021!

Published in The Peeblesshire News on Friday 8th January 2021.