Posts Tagged ‘Euro’

Private Eye on the Real Reason James Dyson Is Moving His Business to Singapore

February 8, 2019

A week or so ago I put up a number of posts reporting and commenting on the outrage James Dyson caused when he announced that he was moving his company’s HQ to Singapore.

Dyson has been given a great deal of support from this country, and in the West Country he was regarded, or at least presented by the local media as a local hero. But he’s done this before. A few years ago he demanded that Bath give him more land to expand his business. They refused, so he decided instead to expand in the Far East. He needn’t have done so. If there was no room at Bath, he could have happily gone to other south-western towns. He already has plants in Malmesbury and Bristol, for example. Or gone further afield, like Wales or the north, which would also have been glad to have him. But he didn’t.

It was especially hypocritical as Dyson was telling everyone within earshot a few years ago that we should have joined the Euro. Then he decided he was backing Brexit. Now it appears that he has gone to Singapore partly because they’ve signed a trade agreement with the EU, which would make it easier for him to export his goods to them from there rather than Blighty.

Private Eye has run two pieces on Dyson in this fortnight’s edition for 8th-21st February 2019. And they make it very clearly that he’s going for the same reasons every exploitative multinational is heading abroad due to neoliberalism: to take advantages of countries with low tax rates, where workers can be hired and fired almost at will. The first article, ‘Bye-Bye Suckers!’ on page 7, runs

So Sir James Dyson’s relentless bullishness about post-Brexit Britain was so much hot air. The man who will now move his HQ to Singapore evidently has little real faith that Brexit will unleash the potential he has long claimed.

Th benefits of Singapore are likely to go beyond the proximity to his Asian empire that Dyson claims. By moving east it will also be easier to reduce workers’ rights. As Dyson told the BBC’s Andrew Marr last year: “This is controversial, but since I don’t know what orders I’m going to get next month or next year, industry, manufacturing industry’s very volatile. Not being able to flex your workforce is another big reason why you wouldn’t start a manufacturing business or expand a manufacturing business.” Elsewhere, he agreed bluntly, it was easier to hire and fire.”

This is not the most generous response to what the UK has given Dyson. Since 2012 his group has sucked up around 100m pounds in tax credits, ie discounts on its corporation tax bill. IN 2011 the then chancellor George Osborne brought in a special tax break for buyers of “energy efficient hand-dryers”, which meant…Dyson airlades.

There’s more information in the Eye’s ‘In the City’ column, entitled ‘Singapore fling’ on page 41. This runs

What is it that so attracts billionaire inventor, entrepreneur and avid Brexiteer Sir James Dyson to Singapore? Last month he announced that his privately owned Dyson group was switching legal residence to the Far East city state for “commercial reasons” and “future-proofing”. This followed the decision to produce the Dyson electric car in Singapore from 2020.

The Dyson party line is that the imminent move is nothing to do with Brexit or tax – it will still pay UK tax on UK operations – but all to do with Singapore being a lot closer to China, its main market, than Wiltshire. Who knew? Dyson’s 2bn pound move from hairdryers and bagless vacuum cleaners into cars is his biggest gamble.

So what does Singapore have over a “no deal” Brexit Britain – which Dyson welcomed? What about:

* A recent free trade agreement with the EU, to go with ones with China and the United States, plus the Singapore Freeport;

* International companies who headquarter themselves in Singapore can see corporation tax (currently 17 per cent, compared with 19 per cent in the UK) fall to 10 or 5 per cent or even zero, thanks to lengthy tax breaks and generous incentives, especially for those who create jobs;

* No tax on dividends – the Dyson family could have paid 38 per cent on the 86m pound dividends for 2017 (down from 111m) from the parent Weybourne Group;

* No capital gains tax on a future sale or inheritance tax (IHT) (Dyson is 71);

* Less stringent corporate disclosure and governance requirements for private companies (a Dyson moan);

* Finally, no risk from a Corbyn government targeting the rich.

Dyson moved control offshore once before – to Malta in 2009 – then returned in 2013. He has also legitimately taken advantage of film tax schemes and IHT-efficient investments in agricultural land. Still, Singapore tax and access attractions clearly played no role in the move east by this latter-day Stanford Raffles, who assured Leave voters that no deal with the EU was no problem because “they’ll come to us”. Now it seems Dyson has decided to go to them.

American Comedian Lee Camp on the Real Reason Iran’s Been Put ‘On Notice’

February 11, 2017

This week Trump’s administration officially put Iran ‘on notice’ for the crime of testing a ballistic missile in their own country. The missile wasn’t capable of carrying a nuclear warhead, but nevertheless Trump and his Nazis accused it of preparing to acquire them.

In this edition of RT’s Redacted Tonight, the host, comedian Lee Camp, suggests the real reason Trump has warned Iran of a possible invasion should they not comply with America’s wishes, has nothing to do with weapons of mass destruction. No, it’s for the simple reason that Iran is planning to ditch the dollar as the currency for trade in oil. He cites newspaper reports and Perkins’ Confession of an Economic Hitman to show that one of the reasons for the Iraq invasion was that Saddam Hussein was also considering abandoning the dollar. As was Colonel Gaddafi. Gaddafi wanted to set up the gold dinar as Africa’s and the Middle East’s rival to the dollar and euro.

As for Iran being put ‘on notice’, Camp remarks that they just might have worked out that America was threatening to invade them through the number of US bases encircling the country.

Camp then contrasts the ire of America’s corporate elite to this financial outrage, with the way Trump tolerates and encourage the destruction of the environment. BP has just been allowed to resume drilling again in the Gulf of Mexico, despite the oil spill that devastated the region’s ecosystem the other year. And what are they calling their new rig? Mad Dog II.

He also discusses Nancy Pelosi’s terrified reaction when a young member of a TV audience put her on the spot by telling her that Millennials don’t support capitalism. This is true. A recent poll showed that American young people don’t. Cue nervous laughter from Pelosi and the hurried response that ‘We’re capitalists’. She then went on to burble bilge about ‘stakeholder capitalism’, and so, as Camp remarked, try to position herself as supporting capitalism and working people simultaneously. He also jokes about the Democrats’ extremely weak response to opposing the Republicans.

He also talks to Naomi Karavani about the Republican’s criminalisation of the DAPL protestors. North Dakota is considering passing legislation to allow drivers to run down protestors. They also have footage of some politico claiming that the protestors were all paid and bussed in specially, and that after leaving the DAPL protests they will simply go on to the next one. He also reports how the DAPL protestors, including elderly ladies, who have done nothing except peacefully block the way and pray, are now ‘terrorists’. They also want to amend the laws on rioting so it includes simply standing there when told to go away.

Finally on the show he talks to John F. O’Donnell about Trump’s intention to repeal the Dodd Frank Act. This is the act that obliges the big financial firms to put away hundreds of millions of dollars to provide against another financial crash. This would allow the banks to pay out millions to shareholders, but it would mean that they would once more become that bit more vulnerable to financial collapse. O’Donnell also discusses Trump’s abolition of the financial regulator, that has forced pay day loan companies and other companies to pay money back to victims of financial wrongdoing.

He reports Bernie Sanders’ response to this, in which the veteran left-wing Democrat called Trump what he is: a fraud. Trump had promised during his election campaign that he was going to reign in Wall Street. Now he’s doing his best to strengthen it and expand its power.

Warning: Camp is one of the young, edgy comedians, so there is language and some might find some jokes offensive. Like when compares the tired excuses of the American military for their warmongering, that they’re attacking to prevent the other side from acquiring weapons of mass destruction, to a couple with Alzheimer’s in a retirement home.

Camp is, however, exactly right in his criticisms and the report about Iran and its intention to move to an alternative currency instead of the dollar has more than the ring of truth. Greg Palast in his discussion of the Iraq invasion in his book, Armed Madhouse, states that the American economy is to a very large extent insulated from many of the financial crises that hit the rest of the world’s countries because the dollar is the world currency for the oil industry. The moment an alternative currency is set up – such as Gaddafi’s Gold Dinar – much of America’s economic strength is wiped out. Hence the aggressive response to any oil producing state that dares to do so.

We’re being threatened with being taken into another war, simply to keep American oil billionaires rolling in it. More of our brave squaddies may die, and the innocent people of another country massacred and its oil and other industries looted.

Marine Le Pen Wants to End Free Education for Immigrant Children

December 10, 2016

Padraic Flanagan also wrote a story in yesterday’s I reporting that Marine Le Pen, the head of the French Front National, had recommended that immigrant children should not automatically qualify for free education. The report ran

The French far-right leader Marine Le Pen has called for an end to automatic free education for foreign children. She has said foreigners in France should go through a “waiting period” before benefiting from the country’s social services and that children whose parents are in France illegally should not be allowed access to free schooling.

Ms Le Pen, a candidate in France’s spring presidential election, took the subject in front of reporters yesterday during a stroll through the Paris Christmas market on the Avenue des Champs-Elysees.

The National Front leader also wants to stop what she calls “massive” immigration and is urging an exit from the European Union and its common euro currency. (p.13).

Mike’s covered similar issues in several of his blog posts. There have been demands from Tory and Kipper politicos to stop immigrants and immigrant children from qualifying for certain welfare benefits in this country. Mike has pointed out how this is not only grossly unjust, but also risks increasing the spread of disease, in the case of denying illegal immigrants medical care. He has also most recently stated that it is immoral to punish children for the crimes of their parents.

Much the same arguments apply here. This policy also risks pushing up immigrant crime. If immigrant children are denied the right to an education, this effectively blocks them from entering the jobs market. They will thus either have to rely on the welfare state, or turn to crime. And it will further radicalise them, by forcing them to turn inward to their own communities for support.

It’s a vile idea. But unfortunately, such ideas are becoming increasingly common in the post-Brexit, post-Trump world.

William Penn on the Need for a European Parliament

March 26, 2016

I’ve probably blogged about this before, but as the issue is now of major importance once again, I’ll carry on talking about it.

The debate about whether Britain should leave the EU has been raised again, with both Boris Johnson and Ian Duncan Smith giving their support to the leave campaign. David Cameron, on the other hand, supports staying in, and has forced his cabinet to take an oath of personal loyalty to him about it. Actually, I wonder if this was the real reason IDS walked out of the cabinet, rather than any of the bunkum he spouted about working age people being hit too hard by Osborne’s benefit cuts. IDS has never voiced any opposition to cutting wages or benefits before. Indeed, he’s been frantically for them. And Tory opposition to the EU is focussed on the Social Charter, which guarantees European workers certain minimal rights. This seems far more likely as a reason for IDS choosing to walk out than him suddenly developing a social conscience. Though it might be that he was genuinely frustrated at not being able to vent his malevolence and hatred of welfare scroungers at the elderly.

Euroceptic attacks on the EU frequently argue that it’s a development of the policies of Napoleon and the Kaiser. Both of these monarchs wanted to create a free trade zone in Europe. However, the demands for a European parliament weren’t confined either to Napoleon, and can be traced back centuries earlier. Kant wrote a trace, On Perpetual Peace, arguing for a federation of states that would outlaw war, and Mazzini, the Italian patriot and revolutionary, also held the same views.

And one of the first pieces arguing for the benefits of a European parliament was written by the great Quaker writer and founder of Pennsylvania, William Penn, in 1693 pamphlet An Essay towards the Present and Future Peace of Europe, by the Establishment of an European Diet, Parliament or Estates.
This is divided into several individual sections, such as ‘1. Of Peace, and its Advantages’, ‘2.Of the Means of Peace, Which Is Justice Rather than War’, ‘3. Government, Its Rise and End of All Models’, ‘5. Of the Causes of Difference, and Motives to Violate Peace’, ‘6. Of Titles, Upon Which Those Differences May Arise’, ‘7. Of the Composition of these Imperial States’, ‘8. Of the Regulation of the Imperial States in Session’, ‘9. of the Objections that May Be Advanced against the Design’, ’10. Of the Real Benefits that Flow from the Proposal About Peace’, and a Conclusion.

It is the section ‘4. Of a General Peace, or the Peace of Europe, and the Means of It’, that contains Penn’s basic description of the European parliament he proposes to provide the means by which the various princes and leaders of the various European states at this time could settled their differences peacefully through negotiation. He wrote:

In my first section, I showed the desirableness of peace; in my next, the truest means of it; to wit, justice, not war. And in my last, that this justice was the fruit of government, as government itself was the result of society, which first came from a reasonable design in men of peace. Now it the sovereign princes of Europe, who represent that society, or independent states of men that was previous to the obligations of society, would, for the same reason that engaged men first into society, viz. love of peace and order, agree to meet by their state deputies in a general diet, estates, or parliament, and there establish rules of justice for sovereign princes to observe one to another; and thus to meet yearly, or once in two or three years at farthest, or as they shall see cause, and to be styled, the sovereign or imperial diet, parliament or estate of Europe; before which sovereign assembly, should be brought all differences depending between one sovereign and another, that cannot be made up by private embassies, before the sessions begin; and that if any of the sovereignties that constitute these imperial states, shall refuse to submit their claim or pretensions to them, or to abide and perform the judgement thereof, and seek their remedy by arms, or delay their compliance beyond the time prefixed in their resolutions, all the other sovereignties, united as one strength, shall compel the submission and performance of the sentence, with damages to the suffering party, and charges to the sovereignties that obliged their submission: to be sure Europe would quietly obtain the so much desired and needed peace, to her harassed inhabitants; no sovereignty in Europe, having the power, and therefore cannot show the will to dispute the conclusion; and consequently peace would be procured, and continued in Europe.

The full text of Penn’s work, and his other writings, can be found in William Penn: The Peace of Europe, the Fruits of Solitude and Other Writings, ed. Edwin B. Bronner (London: Everyman 1993).

Penn was writing in the late 17th century, after a series of terrible religious wars had raged across the continent, of which the British civil war was just one. The French in the 16th century had suffered the Wars of the Religion, while in the German Empire a fifth of the population had died of starvation as armies had raged across the country from the borders of France to Russia. As a Quaker, Penn was committed to peace, and saw the creation of a European parliament as the correct means through which peace could be achieved, and justice and prosperity return to the suffering peoples of Europe.

There’s a lot wrong with the EU, from bureaucratic wastefulness and corruption to the massive, economic mess that’s the Euro and the Troika ruling Greece, Italy and the other countries that have suffered severely from the economic effects of the single currency. But the idea of creating a single European community of nations, in which international disputes can be resolved without violence, and nation can truly speak peace unto nation, is the dream of centuries. It should not be thrown away, and especially not because IDS, BoJo and Priti Patel want to turn Britain into an unregulated sweatshop outside EU control.