Stay Ahead of the Political Curve

Badenoch: it’s ‘disappointing’ it took ITV drama to speed up Post Office payouts

Wednesday 13th November 2024

“Tory leader tells inquiry she worked behind scenes to try to win funding for more compensation over Horizon scandal”, reports The Guardian

Badenoch, has told an inquiry it is “extremely disappointing” that it took the ITV drama about the Post Office scandal to get the government to accelerate compensation payments for wrongfully prosecuted branch owner-operators.

Badenoch, the new leader of the opposition who held the post of business secretary for 17 months until the general election, said she and her then postal minister, Kevin Hollinrake, had been working behind the scenes to get the Treasury to sign off on funding for more rapid and generous payouts for post office operators affected by the Horizon IT scandal.

Badenoch appeared before the public inquiry into the scandal on Monday. The inquiry was shown a letter she sent in August 2023 to the then chancellor, Jeremy Hunt, asking for funding to increase payments to in response, he rejected the request and “encouraged” her “to explore the full breadth of other options”.

“I was not expecting the documentary [the ITV drama Mr Bates vs the Post Office] in January, which helped speed things along,” said Badenoch. “It suddenly turned it from a value-for-money question to a public perception question.

“It is not enough to do the right thing. You have to be seen to be doing the right thing. Many people had not known the arguments [already] taking place behind the scenes at Whitehall. Work was being done but no one was seeing what was taking place.”

Badenoch said the TV drama “changed the priority of the [Horizon] issue, which was behind the NHS and security and so on, to something we needed to solve now. It raised the prioritisation.”

Jason Beer, counsel for the inquiry, said it was “disappointing” to hear that it took a TV drama to get the government to change its priorities in relation to the scandal.

Rachel Reeves to unveil biggest pension reform in decades

Thursday 14th November 2024

Rachel Reeves will today unveil a major pensions shake-up designed to unlock up to £80billion of investment in British infrastructure and business.

"In her Mansion House speech, the Chancellor will confirm she is pressing ahead with plans to merge pension schemes to create 'megafunds' capable of investing in major infrastructure projects and emerging industries",reports Jason Groves

Ms Reeves will argue that the move could unlock a wave of private sector investment that will boost her anaemic growth forecasts and ultimately provide better returns for pensioners.

The Chancellor will use her speech in the City of London to try to set out a positive vision for growth, following last month's high-tax Budget, which rattled some employers.

She will say she has 'never been more optimistic about our economic potential'.

In a thinly-veiled warning to Donald Trump, she will also make the case for free trade, arguing that protectionist tariffs of the sort planned by the president-elect would harm the global economy.

Minister tries to ease MP concerns over time available for assisted dying Bill

A Cabinet minister has attempted to ease concerns that a proposed law to legalise assisted dying in England and Wales could be rushed through Parliament.

“Labour MP Kim Leadbeater’s Terminally Ill Adults (End of Life) Bill is expected to be debated at second reading for around five hours on November 29”, reports the Evening Standard.

Barring any parliamentary shenanigans, MPs are expected to take part in a free vote on the principle of the policy on the same day – the first Commons vote on assisted dying since 2015.

Commons Leader Lucy Powell said the Bill, if it clears its first hurdle, would “likely” spend “several weeks” at committee stage at which MPs can table amendments.

The Bill would then not be expected to clear its final stages in the Commons until April next year at the earliest and the Government would ensure it is “workable” if supported by MPs, Ms Powell added.

Visa fees scandal: Home Office Repay Millions

“The Home Office may have to refund tens of millions of pounds to people who were ‘unlawfully’ charged fees for checks in their visa applications”, reports the Standard

Visa fees for English and qualification checks have been charged “illegally” for years, ministers have admitted meaning tens of millions of pounds may have to be repaid.

They are now rushing to rectify the blunder with new legislation within months.

The Government is considering a “restitution scheme” for people unlawfully charged the fees or passing a new law to make them retrospectively legal.

The fiasco is in relation to fees charged to people applying for a UK visa through skilled workers, family, students, and settlement routes where they are required to show proficiency in English at a specified level or that they have a qualification equivalent to one in the UK.

Applicants seeking to demonstrate they have a qualification equivalent to one in the UK, or their proficiency in English by using an academic qualification obtained outside the UK, must provide them through Ecctis Ltd, an arrangement set up more than a decade ago.

Current fees for the online service are £140 plus VAT for the English check and £210 plus VAT for the qualification equivalency assessment, which take around 10 and 30 working days respectively.

However, Parliament was told that these fees have been levied “illegally” due to a mistake dating back to at least 2008.

Home Office minister Lord Hanson gave details of the error as he pushed the Immigration and Nationality (Fees) (Amendment) Order 2024 through the Lords.

A Gift from God

“The latest UN Climate Change Conference, Cop29, which kicked off this week in Baku, will not be inspiring much confidence”, reports the Morning Star.

The capital of Azerbaijan as the host city was a controversial choice right from the start due to the country’s human rights record and status as a major fossil fuel producer (note well without any irony previous hosts, Britain, Qatar and the UAE…)

In the run-up to the conference starting, a major controversy arose after the Azerbaijani Cop29 chief executive was secretly filmed using the event to promote oil and gas deals within the country.

Western “fake news” and “blame” should rightly be exposed in terms of the responsibility for climate change and the role of developing nations, but the opening remarks of Azerbaijan’s President praising fossil fuels as “a gift from god” have hardly set a promising tenor for proceedings.

Brexit and the US Election:

1. How might Donald Trump's re-election impact the UK's post-Brexit relationship with the EU?

Trump's re-election presents both challenges and opportunities for the UK's relationship with the EU. On one hand, Trump's potential trade war with the EU, fuelled by threatened tariffs, could put the UK in a difficult position. A preferential trade agreement between the US and UK, while beneficial economically, might signal to the EU that the UK is prioritizing its relationship with the US over a closer relationship with the EU. This could hinder attempts at a "reset" in UK-EU relations.

On the other hand, some commentators believe that Trump's re-election could strengthen EU-UK ties. The EU might see the UK as a key ally in navigating the challenges posed by a Trump presidency. This could lead to new security agreements and a greater willingness to collaborate on issues of mutual interest.

2. Could a US-UK trade deal undermine the UK's attempts to improve relations with the EU?

Yes, a US-UK trade deal could potentially complicate the UK's efforts to rebuild its relationship with the EU. The EU might perceive such a deal as evidence that the UK is prioritizing its transatlantic ties over its European ones. This could create tension and make it more difficult to negotiate agreements on issues like security, trade, and data sharing.

3. What are the potential benefits of a US-UK trade deal for the UK?

A US-UK trade deal could offer significant economic benefits for the UK. The US is the UK's largest trading partner, and a deal could reduce tariffs and other barriers to trade, boosting exports and creating new opportunities for businesses. It could also offer the UK some protection from a potential global trade war initiated by Trump.

4. What are the potential downsides of a US-UK trade deal for the UK?

A US-UK trade deal could have several downsides. It could lead to increased competition for UK businesses from American companies and might necessitate compromises on regulatory standards and labour protections to align with US practices. It could also strain relations with the EU and complicate the UK's efforts to establish a new post-Brexit identity.

5. How does Keir Starmer's approach to Brexit differ from his predecessors?

Starmer has pledged to pursue a "reset" in relations with the EU, seeking closer collaboration on areas like security and defence. He has also emphasized the importance of maintaining a strong relationship with the US, despite Labour's traditional alignment with the Democratic party. However, he has maintained the "red lines" established by his predecessors, ruling out a return to the single market and customs union and rejecting freedom of movement.

6. What are the EU's priorities in negotiating a future relationship with the UK?

The EU is prioritizing a stable and predictable relationship with the UK, focusing on areas like security cooperation and trade. They are also keen to see the UK uphold its commitments under the Withdrawal Agreement, particularly with regards to the Northern Ireland Protocol. The EU views a youth mobility scheme as "indispensable" for a strong future relationship, a policy Starmer has so far rejected.

7. Is the UK likely to face pressure to choose between a close relationship with the US or the EU?

Yes, the UK could face pressure to choose sides in the event of a global trade war initiated by the US. If the EU retaliates against US tariffs, the UK might have to decide whether to align with its European neighbours or prioritize its relationship with the US. This decision could have significant economic and political consequences.

8. What are the key challenges facing the UK in navigating its post-Brexit relationships?

The UK faces several key challenges in navigating its post-Brexit relationships. Balancing the desire for closer ties with the EU while maintaining a strong relationship with the US will require careful diplomacy. Negotiating trade deals that benefit the UK economy without compromising standards or alienating partners will also be crucial. Ultimately, the UK will need to define its new role in the world and establish its priorities in a rapidly changing geopolitical landscape.