Friday 2 May 2014

Westminster ,Welfare and Independence


The current "reform" of the Welfare state is one of the most controversial policies in recent years from Westminster. The Tories have embarked on a campaign that scapegoats the poor, the unemployed, the disabled in a bid to make some savings to offset the growing national debt.


The total savings per year of this vicious policy that has seen the emergence of the horrendous Bedroom Tax is £19 billion a year. This means £19 billion has been taken out of the hands of those who most need it to offset a growing national debt caused by the irresponsibility of the City of London bankers.

The impact on the Western Isles, already a fragile economy, has been calculated and presented in a document released at the start of the year called "The Impact of Welfare Reform in Scotland". 

The statistics could not be any clearer on the detrimental impact these welfare reforms are having and will continue to have as the Tories promise austerity for the future and in fact have labelled these days as "the Age of Austerity" - not likely to change.

Overall Impact of Welfare reform on Eilean Siar by 2014/15

Estimated loss per annum : £6 million

Estimated loss per working age adult per annum : £380

Summary of losses per year in Eilean Siar directly resulting from Welfare reforms 2010-2015

£8,550,733

These are shocking statistics for us living in the Hebrides who could continue to live under a Tory government for many years to come. 

Is Welfare reform a practicality or ideology? 

One would have to say that Welfare reform on this scale is going to have a major impact on the equality of the United Kingdom which already has a growing inequality between haves and have-nots . Compare the saving of £19 billion to the £69.9 billion lost through tax avoidance, can we see Westminster addressing such a loss of tax revenue with such vigour?

There is the "shadow economy" where a lot of legal financial activity takes place untaxed. Prevalent in the neoliberal countries throughout the world, the UK being a prominent one. The inaction taken on this activity would suggest an ideological approach to the dismantling of the Welfare State by the Conservative Government.

Is this only pertaining to the Tories?

Sadly not. Welfare reform has been embraced by the New Labour party with The Guardian newspaper of Oct 2013 claiming that Labour will be tougher than Tories on welfare, promised by Rachel Reeves, shadow work and pensions minister. Also, Ed Milliband, New Labour leader, has promised to match Tory spending cuts for the first year of his premiership if elected.

Westminster are united in attacking the welfare state. No opposition from the new Labour Party who have opposed universal benefits in Scotland and their leader labelled Scotland "a something for nothing" society.

A sad state of affairs which Jimmy Reid predicted and wrote:

"The Government (UK) is moving from universal to means-tested benefits. This is being justified as targeting those most in need. It's a lie. Universal benefits are a cornerstone of the Welfare State. Benefits were viewed as legal entitlements, as of right, to everyone. These who want to end the universal principle ask: why pay benefit to a millionaire? The answer is that benefits are based on universal payments from which, as a matter of principle, no-one should be excluded. Anyway, a progressive taxation system would ensure that most of the benefits paid to the wealthy would be clawed back through income tax."

So it is clear that remaining in the union would mean more austerity and money coming out of the Hebrides - would this produce a fairer, socially just society/ Absolutely not.

The white paper, Scotland's Future is clear on what its plans for in terms of Welfare:

- abolition of the bedroom tax
- halt the further rollout of Universal Credit and personal Independence Payment in Scotland
- ensure that benefits and tax credits increase in line with inflation

Above all, reverse the most damaging and counterproductive of the UK Welfare changes

The Scottish Government wish to present the idea that welfare is a "social investment" which is in stark contrast to the scapegoating, stigmatising and demonising of welfare claimants through the right wing press.

Along with a progressive tax system, surely this would go far in addressing the inequality produced by Westminster governance by whatever party finds itself in power.

The reality is that Scotland, on September 18th, has a choice of two futures....

VOTE YES