Unaffordable London

Yesterday I went door knocking/street surgery in my West Ham ward with local Party members.

It was a pretty successful and I think many residents were pleased that we were coming to speak to them and ask them their views.

I had some ear bashing about litter, dog mess and waste bins left in the street. But on the whole, it was pretty positive and solid Labour.

When we had finished we came across a local estate agent who was showing a couple a property for sale. We asked how much this property was. It was a 3 bedroom end terrace in need of improvement but it was for sale for £265,000!  If was modernised it would be worth £310,000.

What a huge amount of money. Who can afford this? When I got home I had a look at the various property websites.

If you could put down a 10% deposit you would still have to pay £1,391 mortgage repayment (interest and capital) each month to repay £265,000. This is also at historically low (and long term unsustainable) interest rates.

If you are on the medium London wage of £653 per week (£33,956 per year and obviously many Londoners are not paid this much) according to the Halifax you could only get a mortgage of £142,428. No where even near £265,000.

If you had a partner and were both on the London Living Wage (£8.55 per hour or £17,780 per year on a 40 hour week of ) both of you could only raise £152,908 for a mortgage.

The average rent for E15 is £343 per week which is £1 more than a London Living wage pay packet (£342 per week for 40 hours).

Newham has been traditionally one of the cheapest boroughs to rent or buy in Greater London.  But if you are on low wages or have no big deposit who on earth can afford to buy or rent anywhere in London?

Michael Gove on foodbanks and how they are unnecessary if you are wealthy

aka the ultra Tory Boy

nuff said.

#TUC13 Congress - Address by Ed Miliband

Ed started by comparing David Cameron - who considers unions a "threat to our economy" to a previous one nation Tory Prime Minister, the Earl of Derby, who first gave trade unions legal rights in 1867.

He called Cameron's attitude "nasty, small minded and divisive" and reminded Cameron what happened to Mitt Romney and his remarks about why 47% of voters will not support him.

He then championed his proposals for all trade union affiliates make an active choice to be part of the link with Labour. He then attacked the Tory economic policies and the prospect of a one sided unfair recovery. One which benefits the rich only. Followed by a raft of proposed Labour policies which are "union friendly". Such as action on zero hour contracts, living wage, public sector procurement apprenticeships, taxing bankers bonuses, British and regional investment banks, affordable child care, dignity at work, build more homes, regulate private sector landlords and letting agents, clampdown on payday loans with a cap on interest rates.

Finally a Q&A with firstly young delegates on the stage then with other delegates from the floor. He left to a respectable applause but no standing ovation (nor no jeers). 

So what do I think of it?

When you consider the recent blood on the carpet between the unions and the Party he was in my view remarkably self confident and upbeat. I wondered why? The Tory press however will be disappointed that there was no heckling or booing. 

While I still think that the proposals to change the way unions affiliate their members to the Party are unnecessary and potentially damaging, I thought it was clever of him to point out that unions have been complaining about their lack of influence over the Party for many years.  Increasing the number of union members joining the Party could change this.  This will depend on how much power you think ordinary members have over the Party.

He fudged a question on privatisation of public services (Railways) by saying he doesn't believe in "private sector good, public bad".

There was no mention of the NHS which surprised me a bit? I would have thought that it this would have  been a tub thumping issue that he could have "make hay" with.

I suspect that the personal attacks on Cameron and comparisons with him were there to remind delegates that it is less than 2 years before the next General election and that whether they all like him or not (and most are supportive) - it will be a straight choice between him or Cameron - on who will be the next Prime Minister.

So who will they prefer?

There is of course no choice and I think he knows this.

(personal impressions as always)

Join Labour Housing Group and help build a better tomorrow

"The Labour Housing Group is a socialist society affiliated to the Labour Party.  It was formed in 1981 by housing activists within the Party and has had a strong influence on the development of the Labour Party's housing policies, first in opposition, then in Government. 

It now faces the challenge of helping Labour to review its policies in readiness for the next General Election and helping Labour around the country to respond to the housing agenda being pursued by the coalition.

Membership includes many Labour members of Parliament, councillors, housing professionals and academics, tenants, trades unions and constituency organisations across the country.

Labour Housing Group has helped to develop and promote relationships between Socialist Societies, to link the development of housing policy with planning, transport, education, economic, regeneration, environmental and energy policy development".

Join the Labour Housing Group as an individual member here for £25 or affiliate your Labour Party CLP or trade union branch for £30.

@PragRad: Newham Top of the Policies

"Have you got a policy idea that you think Labour should adopt? If so come and pitch it, in just 90 seconds, at the Newham Top of the Policies event.

When: 7pm for 7:30pm start, Thursday 19 September 2013
Where: Upstairs bar/cafe, Stratford Picture House, E15 1BX

What: Pitch your policy idea in 90 seconds, followed by 90 seconds of fast paced question from the audience. A vote at the end of the night will decide which is the Top Policy with a reward of much kudos, possibly a prize and the opportunity to write and article on your policy for Labour Uncut.
We've already had submissions to pitch a policy about housing, domestic violence, cycling and education (but we can have more than one policy on a topic).

Who: All Labour Party members and supporters are welcome whether they want to pitch, ask questions or just come along. Our MP Lyn Brown and Shadow Minister Stephen Timms MP will be chairing and time keeping.

Pragmatic Radicalism has held lively Top of the Policy events across the country where Parliamentarians listen to policies and ideas from members and activists. Some of the previous winning ideas include: supporting businesses that provide jobs for ex-offenders, valuations for private lettings, including enterprise in the curriculum and opening up government data to entrepreneurs.

We look forward to seeing you there. But please let us know if you want to pitch and idea (we need to do a ballot paper) or want to know more by emailing both Julianne on juliannemarriottATmeDOTcom and Farah on farah_nfwiATyahooDOTcom. Numbers are limited so RSVP and let them know if you are coming (and what CLP or affiliate you are from)". 

Hat tip West Ham CLP newsletter.

A Minimum Wage, A Living Wage or Fair Pay for All?

The introduction of the National Minimum Wage was one of the great successes of the last Labour Government and trade unions such as UNISON who had pushed long and hard for it.

So successful that we now take it a little for granted and forget the huge opposition from the Tories who claimed that it would lead to business failures and mass unemployment.

While a national minimum wage of £6.19 per hour is far, far better than no minimum, it is simply not enough to live on. It is poverty pay. The vast majority of workers on minimum wage will also need to have their wages topped up by the State in housing benefit or family tax credit.  

The idea of a "Living wage" is the amount needed to "let workers lead a decent life". It is currently £7.45ph (and £8.55 ph in London).  Accountancy firm KPMG recently estimated that 20% of workers (5 million) are paid less than a Living wage.

Labour Leader Ed Miliband is in favour of making the Living wage compulsory in the public sector and in their procurement practices. He also believes in naming and shaming other companies that don't pay a living wage.

If this happened it would be a fantastic news for the low paid and also the British tax payers since we will not have to subsidise many poverty pay employers. It would also result in a welcome boast in demand for the British economy.

Yet, at the risk of being churlish, is even a "Living Wage" - not enough?

If you are on a Living wage but become sick and have no income protection you will immediately fall back into poverty. If you retire and have no company pension you will also fall back into poverty in old age. If you are on a Living wage but are on a Zero hour (or Bank) contract and have no employment protection, how can you live a "decent life" with no security? Ed Miliband is also  in favour of restricting Zero Hour Contracts. It has been estimated that there could be as many as one million workers on such contracts. 

What about those traditional low pay sectors which can actually afford to pay more than just a living wage and also pay decent sick pay and a pension?

So what about the concept of "Fair Pay". This is a recognised goal of the International Labour Organisation (ILO). Your pay should not be just about your wage but also about sick pay, holidays, overtime, pensions and employment protection.   There are some private companies competing for public sector contracts who would quite happily pay £7.45 per hour if they did not have to pay for decent sickness protection and pensions.

On the other hand today I met up with my lovely niece, her partner and their young family.  She works as a care assistant in a privately run mental health project. She loves her job but is on the minimum wage and on a zero hour contract. She does not receive holiday pay (which I need to check) and also cannot get family tax credit because she is on a zero hours contract.  She only gets statutory sickness benefits and no pension. Due to her income she is likely not to be eligible to be auto-enrolled into a pension. 

If she was to get a Living wage and an extra £1.26 per hour it would transform her family finances but since she does not know from day to day what hours she will work and has no security of employment, it would still be practically impossible for her to make plans for her future. 

The answer to such poverty pay and conditions is that the next Labour Government must be as brave and as radical on this and other issues as its predecessor in 1945.  While in the long run the best protector of decent pay and conditions are the trade unions. Post 2015 Labour should impose Fair Pay for All.  A living wage, living sickness benefits, living pension and employment security for all. While at the same time introduce binding sectoral bargaining agreements between unions and employers for those sectors which can afford to pay more than a Living wage.

While this will save the Government money by reducing the state subsidy on poverty employers and increasing demand in the economy, it will lets not fool ourselves, cost more, especially in the public sector. This is a price worth paying and will need to be paid for by increases in progressive tax rates on those who can afford to pay more. 

I think to win the next General Election and get rid of the Tories we need to be honest with the public and also offer a genuine alternative. I asked my niece today if she voted in the last General Election. She admitted she didn't. I also asked if she thought the next Labour Government would ensure she would get a Living wage and security in employment would she vote for them? She said Yes. Her current MP is a Tory with a majority of just over 3000.

Hat tip picture to Pay Up Sainsburys.

VICTORY FOR LEWISHAM HOSPITAL CAMPAIGNERS!

Great news! Press release from today "UNISON, the UK’s largest health union, today welcomed the High Court decision that Jeremy Hunt acted unlawfully in deciding that casualty and maternity services at Lewisham Hospital should be downgraded.

Dave Prentis, General Secretary of UNISON, said: “Today’s decision is a victory for all the local people who turned out time and time again to protect services at Lewisham Hospital. The High Court rightly ruled that the health secretary acted unlawfully in riding roughshod over the wishes of the community and that is a lesson that the Government ignores at its peril

“This decision will give heart to health campaigners across the country where other hospitals may be threatened by Government plans to close or downgrade much valued health services.”

The BBC reports that the challenge had been brought about by Save Lewisham Hospital and the London Borough of Lewisham and quotes Labour Mayor, Sir Steve Bullock, that "justice had been delivered to a hospital well-managed, highly-respected and financially solvent".

Hat tip Nicole Minet

Newham Labour Party Candidates for Council Elections 2014

Saturday 6th July
West Ham branches meet at the Old Town Hall, Stratford
East Ham branches meet at Newham Town Hall, East Ham

10am:

Stratford & New Town	Charlene McLean	Richard Crawford	Terry Paul
Manor Park	Jo Corbett	Amarjit Singh	Salim Patel

11.30am:

Green Street West	Tahmina Rahman	Hanif Abdulmuhit	Idris Ibrahim
Little Ilford	Farah Nazeer	Andrew Baikie	Ken Clark

1.30pm: Plaistow North;

Plaistow North	Joy Laguda	Forhad Hussain	James Beckles
Boleyn	Postponed

3.00pm:

West Ham	Freda Bourne	John Gray	John Whitworth
East Ham Central	Julianne Marriott	Ian Corbett	Unmesh Desai

4.30pm:

Forest Gate South	Dianne Walls	Mas Patel	Winston Vaughan
East Ham South	Lakmini Shah	Quintin Peppiatt	Susan Masters

Sunday 7th July
West Ham branches meet at the Old Town Hall, Stratford
East Ham branches meet at Newham Town Hall, East Ham

10.00am:

Forest Gate North	Seyi Akiwowo	Ellie Robinson	Rachel Tripp
Wall End	Frances Clarke	Lester Hudson	Ted Sparrowhawk

11.30am:

Plaistow South	Aleen Alarice	Neil Wilson	Gordon Miller
Beckton	Ayesha Chowdhury	David Christie	Alec Kellaway

1.30pm:

Canning Town North	Ann Easter	Clive Furness	Kay Scoresby
East Ham North	Firoza  Nekiwala	Paul Sathianesan	Zubair Gulamussen

3.00pm:

Custom House	Pat Holland	Conor McAuley	Rokhsana Fiaz
Green Street East	Rohima Rahman	Mukesh Patel	Jose Alexander

4.30pm:

Canning Town South	Sheila Thomas	Alan Griffiths	Bryan Collier
Royal Docks	Steve Brayshaw	Tony McAlmont	Pat Murphy

(results were also published on twitter @NewhamLabour. Hat tip stats to Ali G)