Peter Kenyon

Winning the argument - road pricing

This might seem a bit off the wall, given the seriousness of the Labour Party's apparent unre-electability. But with fuel prices soaring, the threat of direct action rising and there being a genuine issue of transport inequality (in the absence of adequate public transport provision in most parts of the country) shouldn't road pricing be back on the agenda?

Hurrah - that's 5x day returns to Crewe

No ifs, no buts. Alistair Darling has produced a master stroke at a time when everyone on low pay/pension could do with a little extra. I promised to head for Crewe if the compensation package was unequivocal. A quick check on Virgin trains website is offering £22.15 day returns from London for those of us on Senior railcards. As one of the unintended beneficiaries that is five trips to help with the campaign. Or if any comrade could offer lodgings....

Mission impossible? - Darling statement on 10p today

Alistair Darling is to make a statement in the House of Commons on compensation for the 10p tax losers. For a man known better from his managerial talent than his charisma, this is his moment to prove his detractors mistaken. I hope he can rise to the occasion - confirm that Labour is willing to risk over-compensating the low-paid whether in work or retirement to put this matter to rest. No ifs, no buts. Got to be done.

If done unequivocally, I will be heading for Crewe too.

Labour hits 5.3 million, and Balls attacks Field - nice one

Labour leadership pretender, Ed Balls hit out yesterday at fellow Labour MP Frank Field. Whatever his faults Field (whom I have never met, or spoken to) has led the case for compensation for the estimated 5.3 working people and retirees who have been paying more tax since 5 April 2008 following the proposed abolition of the 10p income tax band.

Having read the transcripts of the Prime Minister's recent remarks on this subject, I'm with Frank. What Balls can not obscure is the evidence that Brown still does not understand the nature of the problem, or the enormity of his mistake. I don't believe that this has been lost on either Frank Field, myself or a significant number of backbench Labour MPs.

Buried in the coverage in today's papers are reports that Chancellor of the Exchequer (CHX) Alistair Darling is going to announce details of the compensation package shortly, the BBC's Political Editor Nick Robinson is suggesting as early as today. That will determine the political weather, not Balls' misplaced loyalty. He would be better employed bringing Brown up to speed on this to restore his tattered credibility - vital if Labour is to win the next British General Election. If Balls doesn't know what I'm talking about, he knows me and where to find me. I will enlighten him. (I was going to say 'happily', but that would be trite - what's unfolded is tragic.)

Brown premiership bombshell - fuse ignited

You may have already heard this week's BBC Radio 4 Any Questions programme broadcast last night with Frank Field MP on the panel. I am just catching up. A chill went down my spine in his analysis of the predicament facing Labour MPs. In a nutshell, he is forecasting that unless the Prime Minister comes forward with a simple straightforward compensation package for the 10p tax band abolition, the 2008 Finance Bill provisions to abolish the 10p tax band will be defeated in the House of Commons. Listen for yourself here's the link to Any Questions page for the listen again facility. It starts about 10 minutes into the programme. Is he right?

Labour lessons - give Darling credit for commitment

The 10p tax saga ain't over yet. Jeremy Paxman's interview with Chief Secretary to the Treasury Labour slow-learner Yvette Cooper exposed her failure to read the letter from the Chancellor of the Exchequer Gordon Brown Alistair Darling to the chair of the House of Commons Treasury Select Committee John McFall.

The letter states:

As a sign of the government's intent, we do not wish to wait unnecessarily until November. Whatever conclusions we come to, all the changes will be backdated to the start of this financial year.

Politically the message is crystal clear. Vote Labour on 1 May. Labour really is on your side.

What is less clear is whether that commitment just refered to pensioners/retirees aged 60 to 64 irrespective of gender, or all 5.3 million (or however many) adversely affected by the abolition of the 10p tax band. Questions about how that commitment can be achieved are all over the media.

But for us in the Labour Party, Alistair Darling's swift response, as soon as Gordon Brown admitted there were losers from his decision, deserves acknowledgement throughout the Party, whether in the Balls/Cooper household, No 10, or every CLP in the country. There is an urgent need to build the case for open and transparent progressive taxation. All the political ingredients are to hand - greedy, failing fat cats bankers, a Labour government that understands political economy, a nation committed to fairness.

Labour launches an internal policy review next Friday as soon as the polls close. This must feature as a major consideration, surely? Oh, and the 10p tax compensation has to be for all and back-dated. Vigilance is vital.

BBC misreporting Labour position on 10p tax deal

What a cheek! BBC online reports: Darling 'U-turn' on 10p tax. I don't recall Alistair previously announcing anything relating to the 10p income tax band - neither its creation or abolition. In a certain sense that was at the heart of the political storm which now looks as though it is over. Surely, he should get the credit for dealing with compensating the estimated 5.3 mln 10p losers in such as expeditious manner? Reported details of the package are set out here.

Prem Sikka's 12-steps to restore progressive taxation

Essential reading for anyone interested in progressive taxation. I received this message earlier today from Prof Prem Sikka, professor of accounting at Essex University

I have an article today on The Guardian website with the title "The 12-step programme”. It is a contribution to a debate where the government is proposing to tax the less well-off more heavily. The article puts forward some suggestions on how governments can adopt progressive taxation to help the less well-off. The lead line reads “The government claims it can't afford not to abolish the 10% tax rate. Here are some ways it could plug the gap and have money left over”.

Enjoy!

Labour's slow learners, dividing loyalties over 10p tax

The scene appears to be set for a compensation package for the 10p tax band abolition losers following last night's Parliamentary Labour Party meeting. But doubts remain about how many, how much and when? For anyone with ambitions in the Labour Party, there are key lessons to be learned. It was not evident from the Chief Secretary to the Treasury Yvette Cooper's performance at the despatch box yesterday that there was any sense of urgency. Hopefully, Frank Field's proposed amendment to the Finance Bill 2008 now reportedly signed by 40 Labour backbenchers will concentrate minds. As for the Whips performance, what are MPs elected to Parliament for? Represent their constituents or worship the Party leader? It is refreshing to hear so many Labour MPs remembering that their greater loyalties are to Labour, not any particular leader. Ed and Yvette need to catch-up. If you are Labour the deadline for setting out a package is next weekend.  Deliver and Gordon Brown will deserve continued support to sort out those other troubling issues.

Phew, Gordon maybe listening to 10p tax concerns!

A live report from the Central Lobby in the House of Commons by Channel 4 news Gary Gibbon with Plymouth Sutton MP Linda Gilroy suggests that Gordon Brown making his second appearance at the regular Monday Parliamentary Labour Party meeting in three weeks is in listening mode.

A review is underway to minimise the losses likely to be incurred by some 5.3 million low-paid working and retired people.

Linda Gilroy said that the Prime Minister was focussed on ensuring the stability of the economy, but now acknowledged that something had to be done to deal with the downside of abolishing the 10p tax band.

This is very welcome news. It takes a big man to tacitly acknowledge a possible problem arising from a decision you took yourself earlier.

UPDATE: Channel 4 closing headlines confirm a contrite Labour Party leader under intense pressure to deliver asap.