Empty Shops and Empty Pockets?

Now, some people might think that I'm a bit tight. (I prefer to think of myself as appropriately frugal). Anyway, I went shopping for a Christmas present today for one of my God Sons. We'd agreed not to see them until the New Year and I had, genuinely, not had time to find the present prior to Christmas.

I therefore spent a couple of hours at Castlepoint and the shopping centre on the old bus depot site opposite.

What was astounding was firstly how few people there were about, the car parks were busy but by no means full and the shops were equally busy but there were virtually no queues at the tills.

More surprising for me was the lack of stock on the shelves. Admittedly, we are at the end of a week in which there is little stock coming in to the stores, but even so there was a very limited choice of goods. This wasn't just the case in the electrical stores, but also in the food shops as well.

It's a poor augry for the coming year. Little money to spend, both by consumers and by retailers stocking their shelves will surely have a circular and knock on effect, one thing leading on to the other. It doesn't bode well and it proves how wrong the Government's policy of borrowing wildly to pay for tax cuts that have had little effect and to bail out the banks who continue to refuse to lend is.

When is a tax cut not a tax cut....?

You know when you hear something on the radio news and you don't quite believe you heard it so have to make sure you listen to the next bulletin in case you misheard it.

I had one of those moments today listening to the radio 4 news this afternoon.

Yvette Cooper MP, the Chief Secretary to the Treasury was talking about what the Government was doing to help people hit by rising prices.

She told us that they were 'cutting taxes' like 'removing the additional 2p rise in fuel duty on a litre of petrol'.

So that would the Government cutting a tax they haven't imposed yet.  You can't cut taxes you haven't imposed, and in this case you shouldn't be imposing a tax in the first place.  

The preposterousness (is that a word?) of the Government's justification of the mess they have us in just get worse.

Polly Toynbee

Polly Toynbee was on Start the Week on Radio 4 this morning. Andrew Marr was asking his guests to make predictions about the year ahead.

Ms Toynbee made the prediction that we would become wealthier, healthier and safer next year, as we have done in each of the past ten years.

She also predicted that we would also not feel any of these things and as a result moan more than we had in the previous year.

Surely that's the point. It's not whether we are, according to statistics, wealthier, healthier or safe, the salient point is whether we feel that way or not.

National GDP may have risen and the economy may continue to grow, that doesn't mean that I am feeling any wealthier at the end of this year than I did at the end of last. I also know that my taxes have increased, as has my mortgage, as has the cost of running my car.

I also know that the turnover of my business has decreased, that I am facing greater costs as an employer due to increased legislation, taxation and regulation.

We may be living longer yet that doesn't mean I am feeling any healthier or that my family is any better off health wise. I know that my family might be healthy, but also that access to NHS services has not improved and that my mother is still facing a month long wait for an appointment at her local pain relief clinic.

Crime statistics may show that the level of crime is decreasing nationally, however my experience this year has been to have my car broken in to twice, two more times than in any of the previous five years. I hear daily from people that they feel there is no point reporting minor crime because the police are unable to respond quickly and seem unable to offer any prospect that the culprits will be caught.

Isn't it about time that commentators like Ms Toynbee stopped talking about the national statistics and started viewing the everyday experiences of real people? Then she might understand why people are likely to complain more in the coming year.

It really is time for change...

Further to my last post, it would seem prudent to emphasise the fact that this Government is smelling of cheap incompetence. As this HMRC scandal deepens – with another six packages unaccounted for and evidence of recorded phone calls being sent on CD to bemused householders across the country – we look back at a Brown premiership that has encompassed an evasive Home Secretary who attempted to cover up the true details of the country's asylum seeker situation. We have also seen the Northern Rock fiasco, a by-product of the credit crunch and of Gordon Brown's haphazard control of the Treasury for over 10 years, and not to mention the latest loans scandal which threatens to undermine further the credibility of senior Labour Party officials.


And, if that wasn't enough, further evidence of Gordon Brown's incompetence can be linked to the aforementioned HMRC scandal. Why did he cut the budget from that agency, thereby minimising the opportunity for proper checks to be carried out to trace data and to ensure that only appropriately-trained staff had access to such data?


Gordon Brown has been prided as a man of strength and of conviction, yet his premiership is derailing fast and it actually seems that he has been a very convincing actor for the past 10 years and a very unconvincing prime minister for the last 5 months.


And in the same way that he has allowed Alistair Darling to remain as Chancellor of the Exchequer, he also found the time to promote Dawn Primarolo from her previous job of Paymaster-General (a post she held from 1999 until June 2007, which exercises direct control over HMRC and made her the de facto minister in charge of that agency) to Minister of State for Public Health. So we have a prime minister who is incompetent, a Chancellor who cannot run his own Treasury, and a minister in charge of our public NHS who has a previous record of laying the (dis)organisational foundations for this HMRC crisis.


Wonderful.


Isn't it time that the citizens of the UK had the chance to vote on this crippled Government? When can we vote for change and for optimism? For real fiscal prudence and free market economics? For sharing the proceeds of growth and cutting stealth taxes? And, above all else, when will Gordon Brown give us the chance to vote for a new Conservative Government that will deliver the fair and just society that Britain desperately needs?

A Matter of Competence

No doubt by now commentators elsewhere are highlighting the horror of the loss of 25 million personal records by the Revenue and Customs.  

Errors occur in every business.  Post goes astray.  These kind of things are often unavoidable.

What is avoidable is allowing a 'junior official' the access to so many personal records, the ability to download them and the authority to send them willy nilly to another agency without there being any system to authorise, track or confirm receipt of the information.

It is a matter of competence.  Yes, Revenue and Customs are a semi detached agency of the government, but the responsibility for their operation still lies, ultimately, with the Treasury.  That means the Chancellor of the Exchequer.

If he has an honour at all he should resign.   

Where our money's gone

The Shadow Chancellor, George Osborne has a commentary in today's Sunday Times.

This part of the article stood out for me:

for every extra £100 that Brown has spent since 1997, only £30 has been used to improve frontline public services. Thanks to the way he has run the Treasury, the rest has gone on cost-inflation, bureaucracy and waste.

That says it all about this Government really doesn't it? It also tells you exactly why I am running for Parliament.

BIC Wedding Fayre

I spent this afternoon helping man the Rubyz stall at the Wedding Exhibition at the BIC. In fact I didn't need to do that much really, Dame Kitty was a draw in her own right and I was lucky if I could get a word in edgeways!

I never knew that weddings were SUCH a huge business. It's the first time we have exhibited there, this is only the first day of two and we have already taken bookings for over 500 people, filling up what available space we had on Saturday evenings throughout April and May.

The range of services and products on offer is astounding. It's a real testament to the ingenuity and entrepreneurialism of people that they should develop businesses that cover such a diverse range of services.

Talking to other business owners there it was apparent though that everyone is suffering under the burden of extra regulation, both directly and indirectly applied by government.

I heard more than once that people were wondering whether it was worth continuing with their businesses and more often that they were no longer keen to employ people because of the regulation and additional cost concerned.

We must make moves quickly to begin to simplify legislation for businesses, take away some of their tax burden and make it easier and more flexible for them to employ people. Rescinding our introduction of the EU's Social Chapter would be a great start.

The place was packed and the organisation was clearly very professional. It's success is a huge credit to the BIC staff and Bournemouth Borough Council's events team.

This week news broke that the Conservative Party would not be coming to Bournemouth for our conference next year. I have to admit to having known this for a couple of weeks. What is heartening is that we will be returning, and more importantly for the staff of the Council and BIC, I know the party chairman has sent a message to them making it clear that the decision in no way reflects on their service, professionalism and the standard of the venue.

Helping with the cost of living

The official inflation rate at the moment is 2.7%, I think it's pretty clear to all of us that this doesn't reflect the true increase in the cost of living in the past twelve months.

I've certainly found that the combination of increases in utility costs, the mortgage rate, council tax and fuel duty have hit my pocket.

As many of you may know, I'm one of the owners of Rubyz, the cabaret restaurants in Bournemouth. A night out with us is one of those luxuries people tend to cut out if money is tight, and we've noticed in the last six months that many of our regular customers aren't coming as often as before. The answer from most is that money is tight and therefore they simply don't have the spare cash to go out as much as possible.

Talking to other people with small businesses this seems to be fairly common.

I'm therefore very pleased that the party is recognising this fact with the second update of their 'Sort it' web site. The publicity for the site says:

Life is expensive and the cost of living is increasing faster than our salaries, making our pockets feel ever emptier.

But don’t panic, there are ways to cut the cost of living and live your life for less.

Just click below to check out the sort-it website’s latest issue – ‘live life for less.’

http://www.sort-it.co.uk

The site has links to a number of different web addresses where you can compare the cost of utility companies, find out where the cheapest petrol is in your area and even compare the cost of your weekly shop between supermarkets.

Road pricing - Good or bad news?

The Government has commissioned a report about the feasibility of road pricing which is due to be published today.

Speculation is that the report, written by the former head of British Airways, Sir Rod Eddington, will recommend a considerable extension of road pricing. You can read the full BBC report on the issue here.

Apparently his recommendation is a considerable increase in road pricing schemes, essentially schemes whereby you would be charged to drive on certain roads, the cost being dependent upon the mileage covered and the time of day travelled.

It's suggested this would raise some £28 billion which could then be spent on public transport schemes including a new high speed link between Scotland and London and the expansion of key airports.

There are a number of points about these proposals, if the speculation is correct, that bother me greatly.

Firstly, much of the congestion on the roads occurs in the South and the Midlands and in particular in and around our major employment centres. Government policy is already pushing the expansion of these towns and cities through housebuilding and planning guidelines. Wouldn't any money raised be better spent on improving public transport links in, out and around these locations?

Secondly, why an expansion of airports? One week we are being told that cheap air travel is environmentally harmful and should be curtailed through higher taxation either of air travellers or removal of the lower rate of tax on aircraft fuel enjoyed by airlines. Again, the congestion comes at a local level, regional or international air travel won't remove this. I've yet to travel to or from an airport which doesn't appear to attract an increased amount of road traffic in relation to its surrounding.

Finally, I fundamentally have a problem with the principle of furthering taxation (for this is what road pricing would be) without the removal of tax burdens elsewhere. Too often it appears that we're told the only way to change our behaviour is to levy a financial charge. Under this government that's been a cover for just increasing the tax burden by stealth.

George Osborne, the Shadow Chancellor, recently spoke of introducing taxation to encourage businesses to reduce their carbon emissions. He pledged to use this income to reduce the tax burden on business elsewhere however. That's a principle I'd like us to follow in this case too.