the people

Silent Majority Speaks

Rescuing Democracy in the United Kingdom from our current Elected Dictatorship

Spin, not face-to-face confrontations with the voters, is the Government's chosen method of communication. Ordinary people are dangerous. Ordinary people might ask a question which throws a politician 'off message'; the Cabinet member might reveal himself or herself to be a human being like us, and not a programmed android. Worse still, he or she might tell the truth.

Ann Leslie - Daily Mail, September 16, 2004

Blair wants to leave his mark on history - looks more like a stain to me.

Peter Thorndyke, Diss, Norfolk - Daily Mail, May 23, 2005

I know I'm me - why do I need an ID card?

"Sorry, officers, I don't have an ID card. I never applied for one. It seemed a bit steep at 300 quid. I do have my free passport, my driving licence and my London freedom travel pass, each with my photograph. I have my NHS medical card, with its lengthy number, given me at birth, my RAF service book with my Armed Forces number, and a chit authorising me to wear a few gongs -including a General Service Medal with Malaya bar, for fighting communist terrorists on behalf of my country, or so they told me.

"I've also got various credit cards and store cards, all with my signature on the back, generally good for buying the everyday requrements for life as well as the odd luxury. If you decide to arrest me, I suppose I'll have to be photographed and given another number, besides my PINs.

"I'm afraid I haven't got a pension book; it was taken away."

"By thieves, sir?"

"No ... well, not exactly. By the Government. By the way, may I see your warrant cards please, gentlemen?"

Oh dear, they've disappeared. E. Harry Gumer, Romford, ESSEX - Daily Mail, June 1, 2005

NO means NO

When does NO mean MAYBE? When it's not the answeer the EU wants.

With the courageous French NON resounding in their ears, shabby, undemocratic self-interested leaders of Europe propose ignoring the part of their precious constitution that requires ratification by all members and continuing without one of the biggest founder members to prevent derailing the gravy train.

As in Ireland, they refuse to accept any NO votes, ignoring the will of the people, and re-stage votes until they can engineer the 'correct' answer. Sadly, Foreign Secretary Jack Straw dances to their tune like a puppet on a string. With tactics such as these, how can anyone really believe the EU has our interests at heart. Letter from Steve Penny, Kingsnorth, Kent - Daily Mail, June1, 2005

Surely the French result makes the £1million the EU recently spent on a treaty signing ceremony seem a trifle premature and extravagant. Letter from Keith Wiseman, Bury, Lancs. - Daily Mail, June1, 2005

May 11, 2005 (741 days since war ended)

Death Toll: 1,610 US - 88 UK - >6,164? Iraqi - >17,300 civilians - 25 media 

May 31, 2005 (761 days since war ended)

Death Toll: 1,657 US - 89 UK - >6,164? Iraqi - >17,300 civilians - 25 media

June 3 , 2005 (765 days since war ended)

Death Toll: 1,670 US - 89 UK - >6,164? Iraqi - >17,300 civilians - 25 media

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Britain has traditionally been one of the biggest net contributors to the EU because we do not get as much money back from Brussels in farm and regional subsidies as our rivals.

According to Treasury figures, between 1995-2002, Britain's average contribution taking the rebate into account, was £2.6billion, or £43.55 per head of population.

The French - the biggest recipient of farm subsidies - contributed £1billion a year or £16.08 per head of their population.

STOP PRESS

Sorry, I got it wrong on the euro

As its very future is questioned, a one-time advocate of the single currency recants

By Alex Brummer - City Editor, Daily Mail, June 8, 2005

There's a confession I have to make. When the Maastrich Treaty was finally implemented in 1992 and the euro began to trade on the markets followed by the introduction of its coins and notes in 2001, I was a believer. At the time, it looked like the dawn of a new age for Europe. After years in the shadows, the continent was on the verge of becoming a unified economic bloc able to compete with the world's other great trading areas.

Britain's Thatcherite triumph

City Editor Alex Brummer - Daily Mail, June 8, 2005

Praise be to the Organisation for Economic Cooperation and Development. Here is one European-based bureaucracy that does not dance to the tune of Brussels, As the European politicians wring their hands in the aftermath of French and Dutch referendums, along comes the OECD to remind them why euroland is not working.

It spelled out why the centralised, inflexible and over-regulated approaches still favoured by the German-French axis is out of step.

The ORCD believes that the EU could boost its output by as much as 3.5% over the medium term if it opened its labour and product markets and removed barriers to competition.

This'll be music to the ears of Gordon Brown as he battles over Britain's rebate and seeks to push the European reform agenda, still in abeyance 5 years after adoption in Lisbon.

Right across the board, the UK leads the way in keeping its markets open, Indeed, the OECD finds post-Thatcherite Britain almost faultless. It has achieved what no other country, including the US has managed.

Markets in airlines, telecoms, electricity, gas, post, rail and roads have been opened up and reformed. Consumers in Britain may not be happy with service levels, with rail and post the most frequently criticised, but at least they have increasing choice and a greater measure of efficiency,

Even the mighty US is chastised for failing properly to open up its electricity market - ask Scottish Power which came a cropper in the Western States - and still has tightly-controlled railroad industry.

France is given almost universal black marks for its lack of commitment to opening any of the key utilities to genuine reform and competition. One wonders what the real unemployment rate would be on the Continent if there were a shake up. Anglo Saxon Capitalism has many faults and can go badly wrong, as Railtracl/Network Rail fiasco showed. But it has delivered growth while the rest of Europe is still at the starting blocks.

To my mind, benefits of a euro-zone outweighed weaknesses, such as the disadvantages of a 'one-size fits-all' policy. I was optimistic about an end to exchange rate extortion: the ability to compare prices across a continent: and, most importantly, the advantages for business as extolled by the employers' organisation, the CBI.

These included the ability to report financial results in a single currency as well as having the fire- power to compete globally. I was convinced the European Central Bank (ECB), despite its lack of transparency and Teutonic rigidity, could- with pressure from Britain for reform - be made to work.

Joyous

If I had a worry about the euro, it was the the City of London, so vital to the UK's prosperity, would lose out to Hamburg as Europe's new financial centre. I also believed that public support would propel the euro forward and that the sheer joyous simplicity of a single European currency would make the British eventually fall in love with it. After all, companies such as Marks & Spencer were introducing euro-compliant tills in their stores, so confident were they of the currency's success.

Well, six years on I couldn't have been more wrong. More than four years into the single currency experiment, the collective wisdom of the people of France and the Netherlands has been heard. While poll after poll in Germany and Italy reveals the public's distrust of the euro, the continent's political elite still believe that the public was voting only against aspects of the new constitution and that these problems can be smoothed out. The reality is that the electorate was voting just as much with its wallet.

The fact is that the years since the euro's introduction in 1999 have been difficult for those who've laboured under its iron rule. It is true that inflation has been kept tightly under control. But most ordinary Europeans know that the price of everything they buy - including, crucially, residential property - has soared. In a period when the British economy has been expanding on average by 2.5% a year, Europe has stood still.

The European Commission has conceded that, if lucky, growth across euroland will come in at just 1.5% in 2005. This is half the level Gordon Brown predicts for the UK this year. Economic watchdog, the OECD, puts EU growth even lower at 1.2%. Even worse, unemployment in Germany (Euroland's core) remains stubbornly high at 12%.

And Italy, the nation most disillusioned with Euroland, is having a torrid time. Output is falling at the rate of 0.5% a quarter and jobless rate currently stands at 8% of the workforce. Manufacturing jobs in key industries are shifting to the Far East and the country faces disciplinary action from Brussels because its budget deficit - at 3.6% of national wealth (GDP) - is in excess of the euro's rules.

The reality is that the euro-enthusiasts' dream has been shattered. Instead of creating a zone of prosperity stretching from the Urals to the Atlantic, they've given birth to a trade bloc struggling to compete in the fast-changing global economy. The trouble is that we believers ignored the lessons of history, which show that attempts at monetary union that are not accompanied by political union are eventually doomed.

It took America 140 years to achieve a working monetary union. The Federal Government adopted the dollar as the currency of the US in 1785. The first two attempts at establishing a central bank failed and, as late as 1905, more than 5,500 banks were printing their own dollars of variable value and reliability. Only in 1913, with the creation of the Federal Reserve system, did America become a modern monetary union. Similarly, 19th-century efforts to create a monetary area in the Austro-Hungarian Empire, ahead of political union, also failed.

Last week, voters in France and Holland made it clear that they don't want more political union for the moment. But without that political cement - moving Europe towards common taxation fiscal, trade and foreign policy - the euro itself is in danger of becoming unstuck.

Tensions

Politicians and bankers across Europe have been forced to question the very survival of the euro - something unthinkable just a few weeks ago. Instead of debating the identity of the next country to sign up to the euro project, they are now desperately attempting to shore up the Euroland dream.

There is a great awareness that this is a critical juncture in the continent's economic evolution. Huge efforts are being made to present any disillusioned countries from trying to dump the euro. So far the financial markets have been relatively restrained in their response to these growing tensions. Although the single currency has fallen to its lowest level in eight months on the foreign exchange markets, the damage might have been greater were there also worries about America's debt and the weakness of the dollar.

Yet even the modest 7% slide in the euro is a cause for concern. German Financial Minister Hans Eichel even met Bundesbank President Axel Weber last week to discuss consequences of possible failure of the single currency.

Such high-level sessions will remind people in Britain of the crisis days of the summer of 1992 when the Germans washed their hands of UK membership of the European Monetary System (EMS). The result was a convulsion on the currency markets that saw Britain ejected from the system, which allowed Britain to devalue the pound, which has led, in turn, to a sustained economic growth for the past 13 years.

Stultified

Indeed, the key reason why Euroland is now in such trouble is the lack of flexibility at the European Central Bank. It was created on the Bundesbank model, with the aim of ensuring an iron control of credit to guarantee that there would be no deviation from monetary orthodoxy.

At a time when the Bank of England regularly moved interest rates up or down to cope with changes in economic conditions, the ECB sat on its hands. Meanwhile, promises made at the Lisbon summit five years ago to introduce labour market flexibility and open up the market for utilities have not yet been fulfilled. The result - Euroland has the worst of all worlds: an inflexible monetary regime and stultified labour markets.

So what is likely to happen now? The fact is that there is no formal mechanism for a country to withdraw from monetary union nor is it very likely at present, despite the threatening mutterings coming from Italy. Everyone is aware that the technical difficulties involved in effecting a smooth exit from European Monetary Union would be enormous. The seceding country would have to find a way of reinstituting its monetary independence and exchanging its national euros for its new currency. Above all, it would face the risk of being overwhelmed by the power of financial markets.

But even global investment banks argue that the long-term future of the euro is now much more uncertain. While a seceding nation might find withdrawal initially very painful, they might also quickly breathe the sweet air of economic and political freedom and the sovereignty over their own currency for which there is no substitute.

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