Posts Tagged ‘Reform’

Private Eye from 2011 on the Corporate Sponsors of Cameron’s Outsourcing Policy

March 15, 2016

Private Eye ran this article in their issue for 22nd July – 4th August 2011, on the outsourcing corporations sponsoring the conference at which David Cameron released his policies, and the massive layers of corporate bureaucracy involved, as well as the way the taxpayer is expected to pick up the pieces for commercial company’s failures.

Will It Workfare?

When David Cameron launched his “Open Public Services” white paper last week, he did so at a conference arranged by a think-tank funded by the very firms who will benefit from the privatisations his document proposes.

Cameron unveiled his plan at a Canary Wharf event hosted by “Reform”, a right-wing charity funded by business “partners”. Cameron and his ministers regularly appear at Reform events; and the PM proposed “releasing the grip of state control and putting power in people’s hands”.

The list of Reform’s backers suggests who those people will be. They include leading hospital privatiser General Healthcare, prisons and schools firm G4S, cleaning and catering outfit Sodexo and all-purpose giants Serco and Capita. Telereal Trillium, which already gets £284m a year for running government properties, also funds Reform, as does PA Consulting, which makes millions as an adviser on several privatisations.

But will the outsourcing plan actually work? given how existing arrangements are panning out, it seems unlikely.

Days before the white paper, the Department for Work and Pensions quietly published some research on the previous government’s “welfare-to-work” outsourcing scheme, which pensions secretary Iain Duncan Smith will soon expand with a new “work programme”. The model involves layers of bureaucracy that would be derided in the public sector; first “prime providers” creaming off the fees, then subcontractors doing the leg work. And it’s not going well.

The DWP report reveals that, so parlous is the economics, “60 per cent of subcontractors have sough financial assistance from their prime provider”. As for the notion of the private sector bearing the risk, the researchers record: “The 23 per cent of subcontractors receiving guaranteed referrals from prime contractors are much more likely to feel financially secure.” When the insecurity of any of the 77 per cent translates into failure, the taxpayer will pick up the pieces.

Perhaps more revealing than the research is the fact that it was conducted by PricewaterhouseCoopers. With the inside track, PwC last month withdrew its bid to act as a prime provider and subcontractor on IDS’ new work programme.

PS: The work scheme is at least providing jobs for former Labour ministers.

Jim Knight, given a life peerage after losing his South Dorset seat in the 2010 general election, is a former employment minister who last month became a non-executive director of Alderwood Education.

This company was launched specifically to cash in on the Duncan Smith initiative; its executives saying that “welfare to work is a huge growth opportunity”. Well, it has been for Lord Knight, who until recently was an opposition employment spokesman in the upper chamber and now joins a gaggle of other ex-Labour ministers in the work programme field. They include David Blunkett (A4E), Jacqui smith (Sarina Russo and Angela Smith (Vertex).

I’ve already written pieces about the malign influence of Reform on the government and its vile policies. I can also remember reblogging pieces from Johnny Void as well as posting bits from Private Eye about how these firms were indeed failing, and having to be bailed out by the taxpayer after aIDS’ wretched welfare-to-work programme spectacularly failed to get people into jobs. Of course, the whole point of these organisations is not to combat unemployment, but to give the illusion of doing so, while giving work to the Tories corporate donors.

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Private Eye on Think Tanks Funding Political Conferences

February 16, 2015

One of the key causes in the corruption of British politics has been the way the different political parties are being lobbied and funded by the same, almost exclusively right-wing think tanks. These organisations provide the parties with advisors and sponsor debates and events at the various political conferences. As a result, while the parties themselves have changed, the Thatcherite policies they have pursued have remained unchallenged. Not only is this influence corrupt in itself, but it’s also led to the British voting public becoming alienated and disenfranchised. They feel with some justification, that there is little difference between the parties, and that they are being sidelined and ignored in favour of big business.

Private Eye published a piece on this issue in their edition of 21st September – 4th October 2012, listing the various think tanks and describing their links to various politicians and ministers.

Conference Callers

Party members may see conference season as their chance to be heard, but judging by the brochures put out by think tanks, the grassroots will have a job making it past better-funded rivals from the business lobby.

Over the summer, the Eye acquired prospectuses from several think tanks looking to recruit sponsors for debates at the forthcoming Tory, Lib Dem and Labour conferences.

Reform, a think tank with Tory links, tells potential sponsors it can set up “successful events attended by ministers and shadow ministers, special advisors, MPs, MEPs and council leaders”, among them minister for welfare reform Lord Freud, housing minister Mark Prisk, employment minister Mark Hoban and the Foreign Office’s Henry Bellingham.

Lest anyone mistake the purpose, any “partner organisation” – ie company willing to pay for access – can use roundtable events or dinners with “around 20 high-level participants” to put their own “insights into the relevant policy debate at the beginning of the meeting”.

Not to be outdone, ResPublica, run by David Cameron’s “Red Tory” guru Phillip Blond, offers potential “partners” a chance for “intimate discussion over diner with select stakeholders and policymakers”, plus the opportunity to “contribute” to the choice of subject and speaker for meetings with ministers.

Meanwhile the Social Market Foundation (SMF) is touting “an excellent standard of service to our sponsors”, including the chance to “shape the key questions for debate” and “input into the speaker line-up”, with top totty on offer to include Lord Freud (again), Cabinet Office minister Oliver Letwin, prisons and probation minister Crispin Blunt, universities minister David Willetts and chief secretary to the Treasury Danny Alexander.

Trendy think tank Demos urges companies to cough up for events and roundtables potentially hosted by the prime minister or chancellor, with sponsors getting the chance for “conversations that link their policy agenda to contemporary political issues”. And Policy Exchange, the Cameroonian think tank, trumpets its “competitive sponsorship package”: as well as potential access to ministers, a few broad themes scheduled for debate will be honed after … conversations with sponsors.

Think tanks have tax-free charitable status based on their lofty aims to improve public policy. How does offering commercial interests the chance to pitch ideas to ministers over dinner fit that mission?

Clearly, it doesn’t. If politics in Britain is to be improved, and its people to be given a genuine choice between the parties, and have a real voice in how their country is governed, the corporatists think tanks need to be thrown out. Removing their charitable status, except for those rare occasions where they might, actually, represent charities, would be a start.

From 2011: Tories Launch Workfare Policies at Conference Sponsored by Workfare Contractors

April 9, 2014

Private Eye in the issue for the 22nd July -4th August 2011 also reported on the way David Cameron launched his policies further placing government services in the hands of private companies, including those running the various workfare schemes, at a conference organised by one of the organisation working for the same companies.

Will It Workfare?

When David Cameron launched his “Open Public Services” white paper last week, he did so at a conference arranged by a think-tank funded by the very firms who will benefit from the privatisations his document proposes.

Cameron unveiled his plan at a Canary Wharf event hosted by “Reform”, a right-wing charity funded by business “partners”. Cameron and his ministers regularly appear at Reform events; and the PM proposed “releasing the grip of state control and putting power in people’s hands”.

The list of Reform’s backers suggests who those people will be. They include leading hospital privatiser General Healthcare, prisons and schools firm G4S, cleaning and catering outfit Sodexo and all-purpose giants Serco and Capita. Telereal Trillium, which already gets £284m a year for running government properties, also funds Reform, as does PA Consulting, which makes millions as an adviser on several privatisations.

But will the outsourcing plan actually work? Given how existing arrangements are panning out, it seems unlikely.

Days before the white paper, the Department for Work and Pensions quietly published some research on the previous government’s “welfare-to-work” outsourcing scheme, which pensions secretary Iain Duncan Smith will soon expand with a new “work programme”. The model involves layers of bureaucracy that would be derided in the public sector: first “prime providers” creaming off the fees, then subcontractors doing the leg work. And it’s not going well.

The DWP report reveals that, so parlous is the economics, “60 per cent of subcontractors have sought financial assistance from their prime provider”. As for the notion of the private sector bearing the risk, the researchers record: “The 23 percent of subcontractors receiving guaranteed referrals from prime contractors are much more likely to feel financially secure.” When the insecurity of any of the 77 percent translate into failure, the taxpayer will pick up the pieces.

Perhaps more revealing than the research is the fact that it was conducted by PricewaterhouseCoopers. With the inside track, PwC last month withdrew its bid to act as a prime provider and subcontractor on IDS’ new work programme.

PS: The work scheme is at least providing jobs for former Labour ministers.

Jim Knight, given a life peerage after losing his South Dorset seat in the 2010 general election, is a former employment minister who last month became a non-executive director of Alderwood Education.

This company was launched specifically to cash in on the Duncan Smith initiative; its executives saying that “welfare to work is a huge growth opportunity”. Well,, it has been for Lord Knight, who until recently was an opposition employment spokesman in the upper chamber and now joins a gaggle of other ex-Labour ministers in the work programme field. The include David Blunkett (A4E), Jacqui Smith (Sarina Russo) and Angela Smith (Vertex).

This provides further proof of the fact that the public-private partnerships favoured by the Right since Thatcher don’t work, are massively inefficient and need to be regularly bailed out by the taxpayer. This is also demonstrated by the way the PFI contracts awarded to the private firms building and running hospitals regularly go way over time and budget. But such contracts aren’t really about providing services efficiently. They’re about giving public money to private firms, which fund the political parties and provide lucrative directorships for politicians.

Private Eye on Corporate Interests Favoured over Members 2013 Tory Party Conference

February 7, 2014

Jeremy-Hunt

Jeremy Hunt, the man in charge of the NHS. He would rather talk to the private health care companies than grass roots Tories, it would seem.

One of the pieces I put up this week was on the group, Bite the Ballot, which tries to get young people interested in politics and voting. I remarked that if the government and other political partiers were serious about encouraging more people to vote, then they should actually try to expand their party’s membership amongst ordinary people, rather than simply give all their attention to wealthy donors from private industry.

I’ve also blogged on the similarity between the Tory’s policy of taking over experts from the private sector and putting them in charge of government departments and other concerns, in order to have them run according to the wishes of private industry, and the Nazis’ policy of ‘commission management’. This was the industrial policy in which the heads of private companies were co-opted into the bureaucracy of the Third Reich. Carl Krauch, the head of I.G. Farben, for example, was appointed general plenipotentiary for chemicals in 1938 and Director of the Reich Office for Economic Consolidation.

In their issue for the 23 August to 5 September of last year, Private Eye covered the way card carrying members of the Tory party were in a minority at their conference, and were even excluded from some events altogether. The article runs:

‘That only 38 percent of those attending the Tory party conference next month will be card-carrying Conservatives has attracted a lot of attention. But even they won’t be allowed entry to some key events.

The schedule for Reform, a think-tank with links to the party top brass, reveals a number of invitation-only talks paid for by those who really matter: the commercial and other lobbying interest who make up 36 percent of the attendees.

Health secretary Jeremy Hunt, for example, will have a “private roundtable discussion” on NHS reform, paid for by BMI Healthcare, one of the UK’s largest private hospital groups. Reform has also arranged a private chat with health minister Dan Poulter, paid for by Baxter Healthcare, a US firm that sells blood and kidney services to the NHS.

Elsewhere Damian Green MP will speak on “policing and technology” at a meeting “in partnership with” Airwaves, which sells radios to the police; Sir Peter Fahy, chief constable of Greater Manchester, will speak courtesy of private security firm G4S; and Hastings Tory MP Amber Rudd will discuss “infrastructure investment” thanks to train leasing firm Angel Trains. How cosy!’

Apart from showing us who some of the firms lobbying the Tory party for the privatisation of the NHS are – Reform, BMI Healthcare and Baxter Healthcare, it also shows how low the party’s view of their own grassroots membership is, when they are excluded from so much of their conference.

If the Tories really are serious about encouraging people to vote, as they claimed to be when backing Bite the Bullet, then they will have to start by listening to their own members and opening up their conferences to them fully.

But given the elitism and preference for the company of respectable members of private industry over the masses, that probably won’t be happening any time soon